When State Farm announced earlier this year it would realign the local markets it uses to establish labor rates it said the effort might impact prevailing competitive prices paid to collision repair centers. We surveyed repairers to gauge the impact on labor rates and allowances.
In July, State Farm announced it was realigning its traditional markets used during its surveys of collision repair facilities to identify prevailing competition prices (PCP), it signaled that changes may occur to rates paid to specific shops affect by market boundary changes.
Traditionally, State Farm defined its own geographic markets used to determine PCP. To
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