Sublet markups

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PostPosted: Wed May 10, 2017 9:28 am
Every insurance company I deal with is paying a 25-30% markup on anything I sublet out of my shop (wheel repair, suspension, air bag diagnosis, alignments, etc.) except one. State Farm refuses to pay me a markup on sublet items. The will give me a "handling fee" of $50 or whatever suits them.

I'm not a Service First shop, but the Service First shops in town are getting paid a 30% markup on sublet items.

If you are not a Service First shop but are getting paid a sublet markup, please let me know.

Thanks,
Doug Leopold
Classic Collision and Restoration
Bryan, Tx



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PostPosted: Tue May 23, 2017 5:29 am
Doug do you need State Farm work ? I am not a dpr for any ins co but just a small one man shop. Last one they did have a 25 % mark up on a sublet. Maybe make a call or visit to a claims office to work it out or tell them to take a hike............. A glass or other repairman come in your shop and uses your place free ? Don't think so! Good luck, others may chime in



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PostPosted: Tue May 23, 2017 12:36 pm
Tommie,

Thanks for the reply. No, I probably don't "need" their work, but lots of my regular customers have State Farm so I'd rather not throw them out just yet.

My email address is classicdoug@verizon.net. If you or anyone wouldn't mind emailing a copy of an estimate that shows them paying a markup, I would appreciate it. That way I can prove to my local adjuster that State Farm will pay it. Thanks.



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PostPosted: Wed May 24, 2017 2:09 pm
For anyone who needs it, I now have an estimate from State Farm with a 25% markup on a sublet item. My local adjuster refused to pay it, but the supplement desk team said no problem.

The sublet item is a convertible top on a BMW so 25% added up to a good bit of money. The upholstery guy will come to my shop and put the top on and Tommie is right. He's using my shop space, my air & electricity, etc. Why should I supply that for free?



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PostPosted: Fri May 26, 2017 5:35 am
Good hope it works out

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