SAMBRA welcomes insurer concessions as fuel hikes add pressure to repair sector

SAMBRA welcomes insurer concessions as fuel hikes add pressure to repair sector
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The South African Motor Body Repairers’ Association (SAMBRA) has welcomed early steps taken by some insurers to cushion the impact of fuel price increases on the already strained motor body repair (MBR) sector.

Fuel increases placing new pressure on workshop operations

The latest fuel adjustment has placed additional pressure on repairers already contending with rising operational costs, tight margins and ongoing supply chain challenges. For many, these pressures are no longer incremental, but existential.

Why diesel costs affect repair sustainability

Unlike many sectors, repair pricing within the MBR industry is largely governed through systems such as Audatex. While these are adjusted periodically, sharp increases – particularly in diesel – create immediate cost pressures that cannot be absorbed at workshop level.

SAMBRA National Director, Juan Hanekom, says the introduction of cost-alignment mechanisms, including per-job fees, is both timely and necessary.

Insurer support signals stronger industry collaboration

“The increase in fuel, especially diesel, has a direct and immediate impact on operational viability. These interventions are a positive step in recognising the real cost pressures faced at workshop level.”

He adds that this reflects a growing recognition of the need for collaboration across the value chain.

“Supporting repairers is ultimately about protecting consumers and maintaining the integrity of the broader automotive ecosystem.”

While these measures are welcome, ongoing alignment remains critical.

Stable repair networks protect consumers too

“Without consistent alignment, cost pressures will continue to accumulate at workshop level, with implications for repair capacity, turnaround times and claims efficiency.”

SAMBRA encourages wider adoption of these measures to ensure equitable operating conditions and a stable, efficient claims environment.