Loss adjusters address year discrepancy - Electronic parts catalogue used for verification

In light of the ongoing controversy about the discrepancy between the year of manufacture advertised and correct year of manufacture of some used cars imported into Jamaica, the Loss Adjusters Association of Jamaica (LAAJ), through director David McKay, has provided this clarification of the process by which a motor vehicle's year of manufacture is determined.

The issue of incorrect model year vehicles has been an ongoing problem for local motor vehicle valuators for over 15 years. This problem was addressed in 2004 through meetings with various stakeholders, which included the Loss Adjusters Association of Jamaica (LAAJ), the Jamaica Used Car Dealers Association (JUDCA), Island Traffic Authority (ITA) and the Bureau of Standards.

Based on these discussions, the Jamaican Government issued a revised Motor Vehicle Import Policy, which became effective on July 1, 2004. This document speaks to the approved method of determining the correct model year for Japanese Domestic vehicles and vehicles with a 17-character Vehicle Identification Number (VIN), where the tenth digit decodes the model year of the vehicle. It also indicates that the Island Traffic Authority (ITA) is the competent authority for determining and adjudicating on matters relating to the model year of motor vehicles imported into Jamaica.

This document, however, does not address vehicles out of the South East Asia market. These vehicles became popular shortly after the revised Motor Vehicle Import Policy document was implemented. The 17-character VIN on these vehicles does not decode the model year.

In order to determine the market value of a vehicle, the valuator must first verify the correct model year of the unit. When a motor vehicle manufacturer assembles a new vehicle, a model year is assigned to that vehicle. This model year can only be determined by the manufacturer and not by any other party.

Currently, the incorrect model year problem is most common with the Toyota and Nissan models out of South East Asia. Valuators determine the correct model year of these vehicles through the use of the manufacturers Electronic Parts Catalogue (EPC). This EPC is also used by motor-vehicle dealers and part suppliers to verify the correct model year of vehicles to ensure the supply of correct replacement parts. When the Vehicle Identification Number is entered into the EPC, it returns data on that vehicle, including the production date.

Stating the facts

Motor-vehicle valuators do not claim to be the authority on determining the correct model year of motor vehicles. These valuators are merely stating the facts, as the correct model year is critical in determining the market value as well as allowing for the ordering of correct replacement parts in the event of a damage assessment.

In situations where a discrepancy is found regarding model year, the client is usually referred to the ITA for confirmation. They may also be referred to the franchise dealer for that model for further verification. In the several cases involving incorrect model year, the LAAJ is unaware of any instance where the valuator's findings have been found to be incorrect.

Special note should be made of the following facts:

1) Valuators are not "in bed with insurance companies" and are not "well funded by these insurance companies". It is also not the case that "the lower they value a vehicle is the better it is for the insurance company, the less risk it is to an insurance company".

2) Members of the LAAJ have assisted members of JUCDA in the past to verify correct model year of motor vehicles being imported and still offer this assistance.

3) Any suggestion that valuators are trying to put used car dealers out of business is absurd, as the vehicles imported by these dealers account for a large portion of the valuation business.

4) Valuators only give their professional advice on facts regarding the correct model year of motor vehicles, and leave it up to the relevant authority to verify this information.