Salvage Code of Practice Meeting - September 2017
BVSF were represented at a meeting of Thatcham and representatives from the Insurance Industry on Wednesday 13th September. The BVSF list of concerns with the code had been agreed by the Management Committee previously and pre-sent to form an agenda.
The BVSF can advise that the non legislative code as it currently stands with the alterations as agreed included, is acceptable to the BVSF and upon sight of the revised code and confirmation that the agreed alterations are in place will be signed accordingly.
The details of those discussion points appear below.
1)..BVSF were concerned over the fact that the Insurers were not prepared at this stage to enter into any further dialogue with regard to the sale of provenance known airbags.
BVSF advised that at the time of the next discussion of the code then this should be re-raised. It was suggested that BVSF should fund a further investigation with the view to a “PAS” or similar, the cost of this may well be prohibitive, however, even then, it was suggested that this wouldn’t automatically enable the re-use of provenance known and electronically tested airbags to be sold. This matter will therefore require further discussion. It was noted during discussions that the potential for the code to become legislative was again mentioned. Clearly a degree of re-writing would be required for that to happen and Thatcham confirmed that BVSF would indeed be involved in any form of discussion re “adjustment” to the code after the first year. Obviously a major concern would be that IF the current code became legislative then the sale of airbags would be outlawed which the BVSF would not support.
2)..BVSF requested that the word “Repairable” was included in the section of the new code relative to the category “S” in an attempt to deflate the word “Structural” as BVSF were concerned that purchasers of repairable salvage would be “put off” by the word “structural”. BVSF confirmed that they were happy with the V5c notation which confirmed that although the vehicle was deemed structurally damaged it was considered by the insurers as repairable.
After a great deal of debate it was agreed to add the word “Repairable” in an acceptably prominent position within the code adjacent to the Category “S” notation which members could refer to when selling a Cat S vehicle.
3)..BVSF asked for confirmation that not all engineers would at the inception date of the new code be “qualified” in the use of the new code or indeed would have their “Competency ID Number” and that this included those qualified in both Motorcycle and HGV repair.
The Insurers and Thatcham confirmed that all engineers had 2 years from the inception date of the new code which is confirmed as 1st October this year to gain the qualifications as required, to include that of motorcycle and HGV repair. Should any engineer fail to gain their qualification or Competency Number by Oct 1st 2019 then they would be unable to inspect and categorise vehicles from that date onwards.
4)..BVSF asked for clarification as to the definition of a vehicle of special interest as this could be a serious loophole which vehicles could fall through. Thatcham ETC salvage sub group confirmed that “supercars”, ie Ferrari, Maserati etc are not considered vehicles of special interest and would be categorised in the normal way. Vehicles of genuine Historic Special interest would be dealt with as and when a claim arose on their own merits.
5)..BVSF requested that vehicles that had been totally submerged should be considered a Cat A rather than B. This was confirmed as the correct action to take therefore the code would be adjusted accordingly. Furthermore, BVSF requested that vehicles that had been damaged by corrosive, contaminated, polluted or salt water should also be considered Cat A. This the insurers would not readily accept but did agree that in these cases all categorisation would be made in the interests of the health and safety of members of salvage dealer staff with the opportunity to discuss in the event of a dispute.
6)..BVSF have long since complained about the references to motorcycle frames within the code and the veiled invite to attempt to repair these and to that end entered discussions with the Motorcycle Industry Association who agreed with our concerns.
BVSF can now confirm that this section of the code has now been re-written to confirm that NO category “S” can be used on a Motorcycle, it is either “N” or “A or B” with members asked to act correctly when faced with a structurally damaged frame.
7)..BVSF raised the matter of Insurance repaired structurally damaged vehicles having a notation applied to their history as per salvage vehicles. It was generally agreed that this would be making the vehicles history transparent to purchasers but did not form part of the code discussions, however, it was generally agreed that this would be discussed in the future. This will be raised at the next Home Office meeting later this month.
8)..BVSF requested that stolen recovered vehicles with 20% or less damage would not fall within the remit of the code with the remainder being categorised as against the suggestion that all stolen recovered vehicles with little or no damage would fall outside the code. The insurers were, to a degree agreeable to the idea but wanted, in the first year of the new codes operation, to deal with each case on its own merits and re-discuss this matter in one year.
9)..BVSF asked if the rumour regarding the 2 codes working alongside each other had any truth, ie the rather confusing potential of 6 codes. This was advised to have emanated from Audatex and the rework was agreed to be up and running within 1 month of the inception of the new code.
10)..BVSF advised that the Secretary General (RW) would be attempting to gain the qualification and indeed competency ID asap so that in the event of a “problem categorisation” he could speak with experience. It should be noted however that with 2 years to gain the qualification set in stone as agreed by the Insurers and Thatcham that re-categorisation would be investigated, if requested by a BVSF member, by the Secretary General from the inception date of the new code in the event of an irresolvable categorisation dispute between the Insurer and the member.
11)..BVSF asked in regard to those members who provide engineering facilities for insurers. It was confirmed that if a member “Suggests” a salvage category upon inspection with the final decision being the insurers then no further qualification is required. If however, a member provides a categorisation service for insurers then those staff members will require the full qualification and competency ID within the first 2 years.
I genuinely believe that this is the best outcome for members of the Federation and this is the culmination of almost 3 year’s work.
Roadside Emissions Testing by the DVSA
From August 2017, roadside checks of lorries carried out by the Driver and Vehicle Standards Agency (DVSA) will include an emissions check.
DVSA will be targeting lorry drivers and operators who try to cheat vehicle emissions. The new checks will target those who break the law and will help to improve air quality.
This included looking at ways to reduce emissions produced by vehicles, including those used commercially. A final plan will be published by 31 July.
Fraudulent emissions readings
DVSA’s enforcement staff, and their European counterparts, have found evidence that drivers and operators use emissions cheat devices to cut the cost of operating. These include:
• using devices designed to stop emissions control systems from working
• removing the diesel particulate filter or trap
• using cheap, fake emission reduction devices or diesel exhaust fluid
• using illegal engine modifications which result in excessive emissions
• removing or bypassing the exhaust gas recirculation valve
Taking action against emission cheats
DVSA enforcement officers will give the driver and operator 10 days to fix the emissions system if they find a vehicle with tampered emissions readings.
If the emissions system isn’t fixed within 10 days, DVSA will issue a fine and stop the vehicle being used on the road.
DVSA enforcement staff can insist that a vehicle be taken off the road immediately if they find a driver or operator is repeatedly offending.
Working with the EU
DVSA will investigate all Great Britain operators cheating emissions and pass the findings to the Traffic Commissioners for Great Britain, who have the power to remove operator licenses.
DVSA will also continue to work with their counterpart agencies across Europe, and further afield, to make sure that all offences committed by non-Great Britain haulers are dealt with locally
The BVSF have recently received information via email from the EA concerning the cessation of OPRA and the introduction of Performance Based Regulation. Obviously BVSF will feed into the consultation when we are able. However, should any individual companies wish to comment then may I respectfully suggest that these comments are forwarded to the BVSF offices in the first instance so that they can be collated into one cohesive document.
Salvage Code of Practice Soft Launch.
Well readers, the revised salvage code of practice had its "soft launch" yesterday so that industry can be "ready for it"....Ready for what I ask myself, a non legislative gentleman's agreement that is dangerous to the industry financially and just dangerous (Potentially) to the public. Written by the Insurers for the insurers totally ignoring all previous owners of the code.
Not supported by the BVSF, MVDA, MCIA to name a few.
The BVSF has received an "offer of dialogue" with the co-writers in the last 24 hours but, to be honest if they have soft launched a document will they really want to substantially alter it in an attempt to gain some support from the industry it affects...I think probably not although I would add that we would happily meet with them if the meeting was considered worthwhile.
In the light of this announcement the BVSF have prepared a media pack showing what the ill conceived, poorly written document really means for both industry and the public alike.and this will be issued to the media in the month leading up to the alleged launch date of 1st October. (A number of print houses have already requested the information)
Furthermore the Federation will be offering any member a Categorisation confirmation checking service, totally free of charge in the instance of a suspicion of "commercial categorisation".
Full report in the up and coming magazine
THE BVSF HAVE JUST BEEN INVITED TO A MEETING OF THE ENGINEERING SUBCOMMITTEE AT THATCHAM REGARDING OUR “CONCERNS” WITH THE CODE. SADLY NOT UNTIL SEPTEMBER BUT THIS WILL NOT STOP THE BVSF MEDIA PACKAGE BEING ISSUED AS PREVIOUSLY ADVISED.
The BVSF have been advised of a Consultation that is running until late March this year relating to....
broadening the UK definition of a motor vehicle and extending the insurance requirement beyond roads and other public places. This could mean users of motor vehicles (including trailers) would be required to have third party insurance on private land.
This consultation has been brought about due to an incident elsewhere in the EU and the subsequent actions of the commission. Of course, the UK is leaving the EU but we have to abide by decisions made until we actually leave unfortunately. Had this incident occurred in the UK it would have been covered under the Public Liability section of members insurance policy so in theory at least it wouldn't have been a problem
Currently as it stands members of the BVSF do not need to separately insure their fork lift trucks or similar machinery as they have cover for these vehicles on their private land via the public liability insurance they have in place The only time they need to insure items such as fork lift trucks or other machinery would be if they were used on roads or public places such as their car parks To separately insure every "vehicle" as is one of the options being considered on site would not be practical for our members and financially would be potentially crippling and almost impossible to police.
It is clear that a great deal of thought needs to be applied to the answer to this consultation and rest assured that this will be done. We can't sadly just say "we don't agree" and hope the problem goes away !!!
Roger West AMIMI