Desie Heita
23 October 2008
Windhoek — Automotive panel beaters are accusing the new short-term insurer in the market, OUTsurance, of unfair market practices.
Panel beaters are accusing OUTsurance of using three white-owned panel-beating shops through exclusive arrangements that are unfavourable to the entire industry. OUTsurance, owned by First National Bank Namibia, also stands accused of forcing clients against their will to procure services of specific white-owned panel beating companies.
OUTsurance has rejected the claims as incorrect.
"We are pleased to state openly and frankly that race, ethnicity or gender does not form part of Swabou Insurances and its holdings company, FNB Namibia Holdings', procurement criteria, business philosophy and values. The fact that these businesses are white-owned as implied in the question does not constitute Swabou Insurance prefers to do business with white-owned panel beaters. For us, it is about infrastructure and service and making sure that Swabou Insurance customers are always happy and satisfied with mechanical services provided," said spokesperson for First National Bank Namibia Cassius Moeti.
However, the panel beating shop owners say they stand by their statements.
Most vocal is the President of the Independent Panelbeaters Association of Namibia, Paul Doyle, who says he has the support of the sister association the Namibia Panelbeating Association.
Doyle says the association is in possession of names and telephone numbers of clients forced by OUTsurance to make use of specified panel beating shops, even though clients were satisfied with quotations and services of other panel beating shops.
"We are not making the statements up," Doyle said.
The Independent Panelbeaters Association of Namibia sent out a statement last week claiming OUTsurance is employing uncompetitive market tactics for using only three panel beating establishments, and one panel beating company as an assessor for the entire country. The association also said the panel beating companies favoured do neither possess the best equipment nor do they have accreditation from all leading car manufacturers.
In its response, OUTsurance said they have five panel beaters on a full-time basis and three non-members as repairers. Moeti says the assessment is done at the premises of one of the full-time panel-beating members where OUTsurance has invested in training and time.
"Our new business and claim volumes are still very low, which at this stage, does not justify that we employ a bigger pool of panel beaters in Namibia. We inspected and assessed various repair shops during our start-up phase and made our selection based on the infrastructure of the repairer, manufacturer accreditation of marquee vehicle brands, pricing, reputation and location of the panel beater for customer convenience," Moeti said. OUTsurance said it would expand the pool of panel beating companies as its business grows.
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