focus Counterfeit Automotive Parts 22 > continued from page 21 fact that counterfeiters can operate without comeback and accountability. <strong>The</strong> image conscious society today looks towards brands as a sign of reassurance to the product’s quality and manufacturer accountability. People are unfairly judged by the car they drive or the clothes they wear but they all share a common goal and that is association. People buy a brand to be associated with the chosen company, product or service. Counterfeiters recognise this and use this method to ply their trade. <strong>The</strong>y play on the simple fact people will always try to buy branded products where possible, as they are an expression of who we are. <strong>The</strong> plain message really is, think before you buy. Don’t supply your own parts, leave it to the experts! Why Counterfeit Car Parts Are A Real Liability for <strong>Garage</strong>s Written by Callum Watkins, Digital Marketing Executive at 1st Choice Insurance With reports of an increasing number of counterfeit car parts entering the supply chain, garages and mechanics must be more concerned than ever. This article will outline why motor traders must have a strong liability insurance policy in place to protect their operation. <strong>The</strong> Counterfeit Car Market In <strong>The</strong> UK Counterfeit car parts are nothing new. <strong>The</strong> BBC reported what started as a £300 million industry in 1994 had become a £3 billion industry by 1999. In 2018, the size of the industry is difficult to comprehend. <strong>The</strong> European Union Intellectual Property Office estimated the counterfeit tyre and battery market to be over €2 billion, and that doesn’t cover the most commonly counterfeit parts. So, why are so many counterfeit car parts in the supply chain? As new materials and technologies improve, criminal gangs have become more sophisticated. Even experienced mechanics can struggle to tell the difference between what’s genuine and counterfeit. This has led to counterfeit parts becoming a lucrative, globalised business. <strong>The</strong> UK government is leading an effort to unite industry players and beyond to highlight the dangers counterfeit car parts pose to consumers. Some key names include Audi, BMW, Amazon, eBay, Motor Sports Association UK, UK Police and the Intellectual Property Office. <strong>The</strong> Dangers Of <strong>The</strong> Counterfeit Car Parts Market According to Illcittrade.com, a cross-government attempt to monitor the global black market, the most commonly counterfeit products in supply are filters, brake pads, lights, window wipers, wheel rims, tyres and airbags. Clearly parts such as brakes and lights, if not manufactured to the correct standards, pose a real threat to consumers and road safety. Lights can fail, and brakes can seize, leading to a fatal accident in no time. This is adding danger to Britain’s already over congested roads. Double Check Your Liability Insurance Policy <strong>Garage</strong>s who fit counterfeit products can be held liable in the event of serious injury or even death, even if they did not knowingly fit faulty products. Increasingly, consumers are now asking garages to fit their own ‘cheaper’ parts in a bid to save money. <strong>The</strong> Government recommends garages should be reluctant to fit them to protect themselves and their customer. Motor traders should all have employers, public and product liability including service indemnity insurance policies. Employers liability covers claims for damages made by employees or the public for damages caused by your employees. Public liability will protect you against claims made for damages by the public, and product liability will protect you against claims made because of products you have fitted. This includes products resold from the manufacturer. Failing to have insurance in place can be fatal. If a customer is injured or killed following work you have completed, even if you had no idea the parts installed were counterfeit, you could be liable for thousands, possibly millions of pounds in compensation. This could also mean criminal charges. Having a strong liability policy in place is the best way to protect yourself and your business. Seek Advice! We recommend you always check you have a strong policy in place to protect you against counterfeit car parts. If you would like more advice or start a new liability insurance policy, talk to 1st Choice Insurance or call 0800 078 7003. We’re motor trade insurance experts who are happy to help. 21, 22 Counterfit.indd 2 14/09/2018 15:22
QUALITY CONTROL. FOR QUALITY SERVICE. HIGH QUALITY RANGE NOW AVAILABLE THROUGH EURO CAR PARTS. BLOODY GOOD STEERING & SUSPENSION ECP2643_Starline_A4 Print ads_AW.indd 1 28/06/2018 13:25 ECP.indd 1 13/09/2018 14:06
Change language