Aftermarket loss prevention best practices

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Producers, share these aftermarket loss prevention tips with your automotive services clients

Aftermarket loss prevention practices directly affect the profitability of any business, whether your client provides auto repair services, sells tires or installs car stereos. Developing and implementing a safety program is key to help minimize risk exposure and ensure the safety of employees.

One requirement of an effective safety program is that it must be built upon management support. Management involvement becomes increasingly important when balancing the desire to improve the bottom line and the welfare of employees.


Management roles and responsibilities for aftermarket loss prevention

Owners/ managers

Owners and managers have the ultimate responsibility for aftermarket loss prevention. That makes them responsible for designing the safety program and clearly outlining its objectives. Owner and manager responsibilities should include the following:

  • Developing clear and concise safety policy statements including
    • The company places highest importance on protecting the public, employees and company operations.
    • The organization intends to comply with state, federal and local laws, as well as accepted standards of safe work practices.
    • The company prioritizes safety over saving time or taking short cuts.
    • Every attempt will be made to create a safe work environment and reduce the potential for accidents.
  • Providing leadership and direction in the administration of aftermarket loss prevention activities.
  • Appointing a designated person to coordinate the loss prevention program.
  • Participating in monthly loss prevention meetings and give feedback to management on their safety efforts.
  • Giving positive recognition to those supervisors and employees who are performing well in their safety efforts.
Related: Shareable tips to keep garage premiums low

Designated person

Designate a point person for developing, implementing and supervising the entire program to assure that it is in accordance with company policy. The designated person’s duties should include:

  • Coordinating all aftermarket loss prevention activities for the business.
  • Establishing, implementing and enforcing loss prevention rules, regulations and procedures.
  • Conducting facility inspections and attend departmental loss prevention meetings.
  • Reviewing supervisors’ accident investigation reports and seeing that action is taken to prevent reoccurrence. Establishing procedures for reporting and completing accident reports.
  • Establishing and coordinating loss prevention training programs for managers, supervisors and employees as required.
  • Soliciting loss prevention ideas from managers, supervisors and employees for implementation whenever possible to encourage commitment to the loss prevention program.
  • Acting as chairperson of your safety committee.
Related: Top reasons to add Auto Aftermarket Express Package to your producer portfolio

Department managers

Department managers are also responsible for the effectiveness of the company safety program. Their duties should include the following:

  • Instructing new employees and reviewing departmental safety procedures with all employees.
  • Investigating all accidents promptly to discover their cause of loss and implementing corrective action. Completing and forwarding accident investigation reports to designated person for review.
  • Conducting loss prevention meetings on a regular schedule to discuss loss trends and hazards in the workplace and safety topics.
  • Encouraging participation from employees by soliciting new ideas and rewarding safe job performance.
  • Conducting inspections of department on a regular basis to identify and correct unsafe acts and conditions.

Strong management practices can help ensure the effectiveness of aftermarket loss prevention programs. Use these insights from Zurich with your management team to design and implement a loss prevention program that works for you!

This blogpost first appeared on Zurich’s Knowledge Hub. It has been slightly modified to better fit the needs of our commercial producers and their clients. Zurich is our insurance carrier for our Automotive Aftermarket Program.