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Vehicle and Recreational Marine Craft Repair and Insurance Industries

Industry Commission inquiry report

This report was signed on 23 April 1996, and released by the Commonwealth Government on 2 May 1996. The report contains the findings of the Industry Commission public inquiry on the efficiency of motor vehicle, towed vehicle and marine craft repair industries and related repair insurance industries.

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Contents

Preliminaries
Cover, Copyright, Signing Page, Contents, Abbreviations, Glossary, Terms of Reference, Overview, Recommendations

1 The Inquiry

2 Key Structural and Operating Characteristics
2.1 The insurance industry
2.2 The repair industry
2.3 Tow truck sector

3 Insurance Issues
3.1 Corporate structures
3.2 Competitiveness and performance
3.3 Consumer complaints and dispute resolution procedures
3.4 Relationships with the repair industry

4 Repair Industry
4.1 Repair costs
4.2 Factors impinging on competition
4.3 Concerns about cost and quality
4.4 Dispute resolution mechanisms
4.5 Safety issues
4.6 Environmental issues
4.7 Registration of repair establishments

5 Replacement Parts
5.1 Role of vehicle manufacturers in the replacement parts market
5.2 Concern about the cost of parts
5.3 Safety issues

6 Tow Truck Sector
6.1 The economics of smash towing
6.2 How governments are dealing with the problems
6.3 Smash chasing, harassment, "spotters' fees" and "drop-fees"
6.4 Allocation systems
6.5 Overinvestment in tow trucks
6.6 Fee regulation
6.7 Other issues
6.8 Summary

7 Motor Vehicle Theft
7.1 Theft in Australia
7.2 Existing antitheft measures
7.3 Additional measures to reduce theft
7.4 Review of progress

8 Compulsory Third Party Property Damage Insurance
8.1 Putting the problems in perspective
8.2 Options for addressing problems associated with financially unaccountable drivers
8.3 The Commission's view

APPENDICES

A Inquiry process

B Industry and market statistics

C Assistance to replacement parts

D Tow truck arrangements in Australian states and territories

E International third party property damage insurance schemes

References

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