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Vehicle Repair Cost Calculation Systems

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BOGDAN ĩÓŁTOWSKI

University of Technology and Life Sciences

Summary

The paper covers issues connected with a description and practical application of vehicle repair cost calculation expert systems and a case study which involved the use of EREonline software provided by EurotaxGlass’s.

Keywords: repair costs, repair technology, spare parts and painting prices 1. Introduction

Vehicle operation is, in practice, connected with a possibility of its damage in collision or a road accident. It is usually connected with the occurrence of vehicle damage of a greater or smaller extent, considering the scope and costs of its further repair, which, in turn, should be one of the key elements of the cost-effectiveness analysis of such repair and, finally, potential liquida-tion of the vehicle.

The problem of reliable determination of vehicle repair costs, considering complicated vehicle structure, at the moment requires the application of expert systems, based on the data of the manu-facturer concerning the repair technology and repair, as well as spare parts and materials used in repair since the final effect of the calculation is cost estimation of vehicle repair including body-repairing, painting, mechanical works, as well as materials and spare parts [1].

2. Vehicle repair cost calculation systems

Currently there are two vehicle repair cost calculation systems in practise provided by: Au-datex and EurotaxGlass’s. Both systems are based on the data provided by vehicle manufacturers concerning spare part prices and repair operation times. One of the differences between the above-mentioned systems is the possibility of determining painting repair costs. The EurotaxGlass’s system allows for calculating the costs with the so-called AZT method, while the Audatex system facilitates cost calculation both according to the AZT method, as well as the vehicle manufac-turer’s standard (applied to calculate the costs of painting of lorries and motorcycles). The AZT method, as a common method for both systems applied in case of passenger cars and light vans, thus calls for more details [2]:

a) The AZT method was developed at the Allianz Technology Centre, one of the biggest insur-ance companies. It is used due to the fact that not each manufacturer creates own painting re-pair standards. It was developed basing on test spraying and further measurement of the vehi-cle surface;

b) All the data cover only direct painting works. However, because of the access to respective elements and the necessity of disassembly prior to painting, the system user should, if need be, consider all the additional works (necessary to carry out prior to painting);

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c) Despite the possibility of painting single elements (zone by zone: top, bottom, middle), one can calculate the cost of painting entire sections of a vehicle: painting of the front, painting of the side, painting of the rear, painting the entire surface without the roof, painting the entire vehicle;

d) Painting operations in Audatex and EurotaxGlass’s systems correspond to each other, but they are differently marked: Metal elements

L = Painting surface degree II L = Painting internal parts LI = Painting repair degree III (filled surface ” 50%)

LI1 = Painting repair degree IV (filled surface > 50%)

LE = Painting new parts degree I LE = Painting new internal parts Plastics

L = Painting external surface deg. K2 LI = Painting repair degree K3 LE = Painting new parts degree K1 LE1 = Painting new parts degree K1R (plastic with primer)

LE2 = Painting new parts degree K1N (filling without disc-abrasion) LE3 = Painting new parts degree K1G

(filling with disc-abrasion);

e) Each time a material constant is added once to the order or calculation depending on the painting method:

– painting built-in parts Y6 (standard)

– painting parts disassembled outside the vehicle Y8 – painting initial parts disassembled outside the vehicle Y7;

- Painting preparation time is included once to the order or calculation depending on the kind of painted components: – metal plate principal work – plastic added – plastic principal work – metal plate added – metal plate principal work – no additional works – plastic principal work – no additional works.

3. Repair costs calculation

AudaStation is a software tool for fast and accurate vehicle repair cost calculation. It applies state-of-the-art modular and unitary technologies; besides, it can be fully integrated with the existing software environment [3]:

a) Complete vehicle diagram makes it possible to choose damaged parts with a mouse click; b) Integrated repair logic ensures high calculation precision. The operations indispensable to

disassemble the adjacent parts are automatically considered;

c) Repair costs are optimised thanks to the option of parts repair, automatic elimination of works or parts duplicated and automatic optimisation of the systems defined earlier;

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d) Audatex provides updated manufacturer information concerning parts, considering part numbers and their prices, painting materials, as well as manufacturer’s standards.

The choice of a vehicle is made from a wide range of types available in Audatex. One can both define all the options of equipment of a model (manufacture date, wheel type, sunroof, etc.) prior to the start and determine them throughout the process. The integrated system signals the choice of a part which depends on a specific equipment option (e.g. electric or manual sunroof, air-conditioning).

3.1. Vehicle repair cost calculation algorithm

1. Starting AudaStation and selecting a new calculation of vehicle repair;

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3. Entering man-hour rates, identifying the type and equipment of a vehicle, entering types of operations;

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5. Entering the kind of operation in respective zones;

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7. Determining vehicle repair cost – the cost of body-repairing work, painting, painting materials and spare parts;

4. Repair cost calculation system with CARWERT provided by EUROTAX GLASS’S as an example

CARWERT is a modern application used to estimate repair cost of passenger cars, off-road vehicles and light vans based on manufacturer’s data and technology. The calculation module includes [5]:

Numbers of parts facilitating the search of a vehicle in manufacturer’s catalogue;

Graphic identification of parts, namely damaged vehicle components, as well as the break-down of respective parts with specific price and replacement time or painting;

Time-consumption of works depending on vehicle equipment;

Eurotax Glass’s supplies updated manufacturer information concerning parts, part numbers and their prices, painting materials and manufacturer’s standards.

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4.1. Vehicle repair cost calculation algorithm

1. A calculation is launched by the selection (identification) of a vehicle by clicking NEW;

2. Vehicle selection – brand, model, type;

3. Confirming vehicle selection automatically opens Repair Calculation window. The window makes it possible to set such parameters as:

a) variants of painting preparation and the kind of paint; b) additional painting options resultant from the AZT method; c) man-hour rate, VAT and discounts.

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4. Entering the kind of operation;

5. Zone selection window, for which detailed graphics are to be selected with icons allowing the selection of the right scope of parts, as well as the set of additional works;

6. Confirming the parts for the cost estimation is made in Entering Parts window. The win-dow is divided into three parts: body-repairing, painting and confirmation / cancellation;

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7. The software makes it possible to enter one’s own operations, as well as to use the works of the so-called additional groups;

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8. Modification of the cost estimate can be made from the list of parts entered for replacement or repair, as well as directly from Entering Parts window;

9. The calculation is saved upon closing the ERE module with the possibility of later printing, sending by email or saving it on standard CD carriers, floppy discs, pen drives etc. Similarly as in AudaStation, the cost estimate can be, if need be, modified again;

5. Example of jeep repair calculation with the use of EREonline EUROTAX GLASS’S EREonline (Eurotax Repair Estimate) is an Internet application making it possible to make cost estimates of repairs of passenger cars, off-road vehicles and light vans, based on service data from vehicle manufacturer. It makes it possible to estimate total repair cost based on user’s own man-hour rates, as well as saved cost estimates. The advantage of the solution provided by Euro-taxGlass’s is online accessibility of the application paid with an SMS with no need to buy the yearly CARWERT software licence or enter into Audatex application and user agreement.

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Order data

Jeep Liberty participated in a road collision which involved head-on-and-side crash with Dodge Caravan. Case files, e.g. vehicle registration certificate and damage description made by an insurance company representative.

Based on that, prior to making repair cost estimate based on vehicle VIN number, the following technical data of the vehicle have been determined:

Made Jeep

Model Liberty 2.8 CRD Type Limited 4X4 Registration no CAL HXXX Body type lim 4 No of seats 5 Year of manufacture 2005, First registration date: 06.09.2005

Body number VIN 1J8GL58585W628871 Engine number: not determined, Engine type with self-ignition Capacity 2800cm³

Power 118kW

Odometer display 24291mil (read) Type of paint 2-coat (metallic paint).

Jeep damage description according to TU (Insurance Company) technical evaluation: 1 driver’s AIRBAG – replacement,

2 passenger’s AIRBAG – replacement,

3 widened front left wing: broken-off latches – replacement, 4 front left wing: bended – replacement,

5 broken bonnet – replacement,

6 front registration plate: bended – replacement, 7 broken front registration plate frame – replacement, 8 broken front bumper panel – replacement,

9 broken air-intake grate – replacement, 10 front left indicator: crashed – replacement, 11 front left clearance lamp: crashed – replacement,

12 front right widened wing: broken-off latches and scratched – replacement, 13 side front left reinforcement bended – repair 20JC (2rbg),

14 bar of the front bumper: bended – replacement, 15 air-intake grate – black: cracked – replacement, 16 metal plate of the lock: bended – replacement,

17 front reinforcement: bended and displaced – replacement, 18 right reflector: cracked housing – replacement,

19 left lamp: broken off latches – replacement, 20 left fog lamp cracked – replacement,

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21 front bumper absorber cracked – replacement,

22 engine coolant radiator – cracked housing – replacement, 23 air-conditioning condenser: bended – replacement, 24 intercooler bended – replacement.

To determine vehicle repair cost, the workshop rate for body-repairing, mechanical and additional works of PLN 70, and for painting works – PLN 80 was applied. In the cost estimate compliant with the communication no 6 ORT (Polish Technical Council) [7], the cost of antirust securities, small standardized parts, blending-in of the adjacent components and measurements was consid-ered.

1. Cost estimate page one

Notes:

a) For the indispensable disassembly of the vehicle for painting and re-assembly of painted elements an operation of dismounting and mounting was applied (in justified cases one can also use the replacement operation with zeroing the value of spare parts);

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b) The system automatically corrected related and doubled operations upon parts replace-ment;

2. Cost estimate page two

Notes:

c) Since not all the spare parts can be found in the software database, a possibility of entering their price/time of replacement/repair free-hand after earlier findings in ASO (Authorised Dealer Service) was given;

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3. Cost estimate page three

Notes:

d) The system automatically considered assumed preparations for painting and material con-stants;

e) The system adds repair costs automatically, broken down into operations and kinds of work applied (here: body-repairing, mechanical works, additional works, painting);

f) The print-out shows catalogue numbers of spare parts considered in repair calculations and data present in the system database;

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4. Cost estimate page four

Notes:

g) The print-out shows the number of repair items which can be found in system database; h) The calculation print-out also covers the explanation of all the abbreviations of operation and

their description in the sections of the repair applied, constituting a control card which is very useful for verification, showing items of the operation of replacement, prices of spare parts a system user interfered and operations used to calculate vehicle repair cost;

i) Total Jeep Liberty repair cost resulting from the technical evaluation of an insurance broker was PLN 23,998.62.

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6. Conclusions

1. A comparison of both systems proves that AudaStation offers a greater selection of vehicle equipment (especially its interior), as well as a possibility of calculating repair costs also of lor-ries and motorcycles. CARWERT, however, gives a possibility of a more efficient calculation by less time-consuming identification of equipment of vehicles, which is especially useful in case of smaller damage of vehicles;

2. Computer systems offered by EurotaxGlass’s and Audatex allow fast and precise definition of vehicle repair cost, which are not questioned at a later stage of liquidation of vehicle damage, including the so-called total damage;

3. Reliable repair cost calculation is a solid base to determine whether vehicle repair is cost-effective in reference to market value and, as a result, taking further actions to vehicle liquida-tion – withdrawal from further operaliquida-tion.

Bibliography

1. Wielgołaski, W., Nowoczesne technologie napraw. AutoMoto Serwis, Warszawa 1995. 2. Audatex, Lakierowanie – Naliczanie kosztów i Informacje techniczne. Instrukcje Audatex,

2006.

3. AudaStation, Instrukcja obsługi. Audatex 2006.

4. Program AudaStation, Materiały informacyjne Audatex. www.audatex.pl, 2010.

5. Program Carwert z modułem kalkulacyjnym ERE, Materiały informacyjne, EurotaxGlass’s 2007.

6. Own developments – partially used data of the expert opinion developed based on the Deci-sion of the Regional Court in Aleksandrów Kujawski of 04.03.2010 on assuming the expert witness in the case of determining e.g. the repair cost of Jeep Liberty. 7.

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SYSTEM KALKULACJI KOSZTÓW NAPRAW POJAZDÓW Streszczenie

W pracy przedstawiono praktyczne aspekty napraw powypadkowych pojazdów, zwracając uwagĊ na problem opłacalnoĞci i bezpieczeĔstwa. Systemy informacyjne wspomagające proces szacowania szkody oraz opłacalnoĞci zadaĔ ujĊto w artykule w aspekcie zasadnoĞci powrotu naprawianych powypadkowo pojazdów na drogi. Studium przypadków omawianego problemu oparto na wykorzystywanym systemie Eurotax Glass’s.

Słowa kluczowe: koszty naprawy, technologie napraw, kalkulacja opłacalnoĞci, zdarzenia drogowe

*This paper is a part of WND-POIG.01.03.01-00-212/09 project. Piotr Aleksandrowicz

Bogdan ĩółtowski

University of Technology and Life Sciences Faculty of Mechanical Engineering

Cytaty

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