SAMBRA Urges Insurers to Broaden Fuel Relief as Repairers Face Mounting Cost Pressure

The South African Motor Body Repairers' Association (SAMBRA) has called on insurers to adopt more consistent support measures as volatile fuel prices continue to place heavy pressure on the motor body repair sector.

While some insurers have introduced relief to help repairers manage the impact of rising diesel costs, SAMBRA says the response across the market remains uneven. As a result, many workshops are still carrying the burden of higher operating expenses without adequate compensation.

Fuel is a major cost driver for repair businesses. It affects a wide range of daily activities, including collecting and delivering vehicles, transporting parts, conducting mobile assessments and maintaining customer service commitments. When fuel prices rise sharply, these expenses are felt immediately at workshop level.

Although repair pricing systems such as Audatex are adjusted periodically to account for changes in input costs, SAMBRA says these updates do not always reflect sudden fuel increases quickly enough. This creates further pressure in an industry already operating on tight margins.

SAMBRA National Director Juan Hanekom says the steps taken by certain insurers are welcome, but the lack of uniformity is creating an unequal operating environment.

"We appreciate that some insurers have recognised the impact of fuel increases and have responded in a constructive way," says Hanekom. "However, the fact that this support is not applied consistently across the industry remains a concern."

According to SAMBRA, practical mechanisms such as per-job fuel contributions can be implemented within existing insurer processes and have already shown value where they are in place. However, limited adoption means that many repairers continue to absorb costs that are becoming increasingly difficult to sustain.

"When these measures are available, they make a real difference," says Hanekom. "Where they are not, repairers are left exposed to costs that directly affect their ability to operate efficiently and sustainably."

The association says fuel increases are only one part of a broader cost challenge facing the sector. Rising electricity tariffs, wage increases, parts inflation and supply chain disruptions are all adding to the strain on repair businesses.

Hanekom warns that continued cost pressure could affect workshop capacity, repair turnaround times and confidence in future investment.

"This is not only about short-term cost recovery," he says. "It is about the long-term health of a sector that plays an essential role in the broader claims environment."

SAMBRA says a financially stable repair sector benefits insurers, original equipment manufacturers and motorists alike. Repairers are responsible for ensuring that vehicles are restored safely and to the required standard, making their sustainability important to the entire motor claims ecosystem.

The association, which forms part of the Retail Motor Industry Organisation, is urging insurers to move away from fragmented responses and towards a more structured approach to fuel-related relief.

"There is already evidence that these solutions can work," says Hanekom. "What is needed now is broader and more consistent adoption. Without that, the industry risks creating a two-tier system in which some repairers receive support while others are left behind."

SAMBRA says it will continue engaging with insurers and other stakeholders in the claims value chain to encourage practical, fair and sustainable solutions to ongoing input cost volatility.