Goodbye OLH...

[BillH]

I was just wondering how many of you have already had the OLH discussion with your reps, and what the feeling is about routing a larger percentage of the claims "H" for authorization. I forsee a bit of a problem for us, only because we will be submitting the OLH % that was just cut and it WILL increase the "H" routed claims. Since we submit OLH by formula the frequency on our end will not change, the formula may have to change, but until the Dealer says it's okay to lose that $$$ the claims will be submit...
Each DSM will be different, I am aware of that, I guess what I am looking to see is what the "General" approach is, that should give an indication of what they were told by GM. Thanks -Bill

[robc]

For better or worse, if a dealership can't count on their rep to authorize 'H' routed claims for OLH (especially in a timely manner), they will just divide up the operation.

Claims for OLH over 2.0 hours normally involve several related repairs (such as gaining access in a wiring short) so many stores are just using the trim labor operations as necessary.

It's totally incorrect processing, but that is what I am noticing.

(By the way for subscribers, you know this will be the lead story in the Warranty Dollars & Sense newsletter - Aug. 15th issue)



------------------
** Rob, Editor WD&S **
Help is only a message post away!
robc@dealersedge.com

[jargonaut]

I was wondering what submission by formula is? I always thought you punched on and off and then had comments showing a clear and logical sequence of events for the needed repair(s). Most of the OLH claims I submit are for electrical wire repairs and water leaks so essentially a straight time repair. The odd diagnosis and horror story claim also happens now and again as well but in my experience the BULK of my OLH claims have been for under 2 hours OLH.

Again just what is a formula submission? Either you punched on and off and have a warrantable failure justified by comments or you simply dont. And when you dont you shouldnt claim the time but if you do and you have trained techs knowing what theyre doing I cant see a rep not signing for OLH over 2.0 hours unless the shop is plagued by OLHitis.

[warr_wiz]

My theory on OLH is as follows...if we need to remove a headliner to find a pinched wire, that is the olh time I use. And the comments reflect that headliner removal as the olh requested along with wire colors, circuit #'s, etc. This gives the claim a good reason for olh rather than "trace a harness." It's tough to convince anyone to pay olh because, well, a good song came on the radio so we then had to trace a harness. If it is legit and requires "H" routing, then so be it. You shouldn't have any trouble getting it paid. But for the most part how often are we asking for more than 2 hours of olh? Maybe there are other things we should look at if olh is high. I don't agree with the 2 hour self-authorization but then again, I am not CEO. I'm sure they are just trying to keep things in order. Not just add "H" routed claims.

[zman]

Be careful if you decide to pyramid labor operations to get paid for olh. You could find yourself in hot water....in other words, you could find yourself in an audit situation. From what I understand it is very easy for GM to find out who is pyramiding to get extra $$$. What do you think makes those !!! show up on your DA report. It happend to me a few months ago.

[lovemotors]

F.Y.I. all, the cutoff for OLH is 1.9 hours.
We can self authorize up to 1.9 hours only...
The bullitens were wrong stating 2.0 is the cutoff.