Repair cost standards

New XTRA Lease system eliminates headaches for repairs to damaged trailers. For fleets that rent or lease trailers, ensuring that they are being charged fairly for any damage to the trailer has been a headache. Until now, XTRA Lease has developed a new damage-repair policy that is backed by an exclusive computer maintenance system and new repair cost standards."We've suspected for a long time that

New XTRA Lease system eliminates headaches for repairs to damaged trailers. For fleets that rent or lease trailers, ensuring that they are being charged fairly for any damage to the trailer has been a headache. Until now, XTRA Lease has developed a new damage-repair policy that is backed by an exclusive computer maintenance system and new repair cost standards.

"We've suspected for a long time that companies that rent or lease trailers didn't like the way they were charged for repairs to damaged trailers, and our customer surveys have confirmed this," says XTRA Lease president Bill Franz. "We have also been concerned about charges from our vendors."

Some 24 teams throughout the company researched and tested the costs of doing repair tasks on every type of trailer in its fleet. From that, XTRA Lease developed a set of repair cost standards, which it says reflects the fair market value of performing trailer repairs.

The standard coordinates the cost of parts for the repair and the number of labor hours required to make the repair. While those figures remain constant, the labor rate changes from one geographic location to another. The repair cost standards were reviewed by independent repair suppliers for accuracy.

XTRA Lease's Equipment Maintenance Management system processes and stores hundreds of trailer repair tasks online at every branch location.

When a trailer is returned to XTRA, the extent of the damage is assessed. For jobs under $500, XTRA Lease will charge the repair cost standard, with no service charge or any other markup. For more costly repairs, the company will obtain two estimates from repair vendors and compare them to the standards, charging the lowest of three.

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