SEMA is accepting nominations for its Hall of Fame program, now through March 17.
The award honors individuals in the automotive aftermarket who have enhanced the stature of the industry. Inductees include visionaries, innovators and leaders who have positively impacted what is now a $50.9 billion market. Nominees may be business leaders or contributors from any aftermarket segment or niche.
The SEMA Hall of Fame award honors individuals in the automotive aftermarket who have enhanced the stature of the industry.
“The SEMA community is filled with men and women whose accomplishments are so great that the entire industry is changed for the better,” said SEMA Project Manager of Recognition Programs Chris Standifer. “The SEMA Hall of Fame honors these individuals for their outstanding contributions. Without them, our industry would be significantly different from what it currently is.”
Criteria for the SEMA Hall of Fame are:
His/her contributions must have extended beyond the local level and reach throughout the national or international level.
The candidate is and/or has been involved in the specialty-equipment automotive industry and/or SEMA for a minimum of 10 years.
The candidate must have made outstanding contributions toward enhancing technology, professionalism, dignity and/or general stature and growth of the specialty-equipment automotive industry.
The candidate must have conducted him/herself with a high degree of integrity both within and outside of the specialty-equipment automotive industry.
Candidate must be at least 50 years of age prior to the 2023 SEMA Show, or they may be at any age if deceased as long as the nomination is presented at least one year posthumous.
New Hall of Fame inductees will be announced in May. Nominations can be submitted now at www.sema.org/hof.
Are you hunting for a new job? The SEMA Career Center has a comprehensive listing of automotive-related job openings around the country. Here are some of the latest jobs posted to the website.
Mahle Motorsport is hiring a marketing coordinator responsible for all department advertising, in both print and digital media; defining and creating content for ads and promotions with planned campaign on a quarterly basis; organizing and recording effectiveness of advertisements; coordinating with the external marketing agency; working with the external firm to ensure all advertising adheres to corporate guidelines and department strategy; and maintaining the department website according to company guidelines.
Mile Marker Industries is hiring an industrial designer to assist in re-styling/re-configuring the current product. This candidate will also assist in styling and designing future products that are in process and being brought to market soon. A perfect fit for this role would be someone that is artistic, creative, conceptual, but also has a basic understanding of manufacturing processes and mechanical design. The industrial designer will work with engineers to create high-quality products that feature both aesthetics and performance.
Brandmotion is hiring a vehicle fabricator to build-up prototype autonomous vehicles as well as prototype installations on factory vehicles. An individual in this position will work closely with product development. The successful candidate for this role has a self-starting mentality, fully developed fabrication skills to influence both engineers and technicians and enjoys working hands-on with prototype vehicles.
World of Outlaws Late Models Expands Winner Circle Program
The World of Outlaws CASE Construction Equipment Late Model Series has announced its Winner Circle program will expand from the top 12 teams to the top 15 teams following the success of the opening weekend at Volusia Speedway Park (Barberville, Florida).
The Winner Circle program will now pay $2,500 a month to each of the top 15 full-time drivers from February to November. This means that a contracted team that runs the entire season and maintains a top 15 points position can earn up to $25,000.
The World of Outlaws CASE Construction Equipment Late Models continues its 2023 season during the DIRTcar Nationals at Volusia on February 16–18. For more information, visit worldofoutlaws.com/latemodels.
Motorsports Hall of Fame of America Announces Class of 2023
The Motorsports Hall of Fame of America (MSHFA) has unveiled its class of 2023, who will be honored at MSHFA’s milestone 35th annual induction ceremony presented by Toyota Racing at the Shores Resort & Spa, Tuesday, March 7.
This year’s honorees include “the Father of the Corvette and Corvette racing” Zora Arkus-Duntov (Sports Cars), national champion driver and trailblazing USAC official Henry Banks (Historic), one of America’s most successful enduro riders, Dick Burleson (Motorcycles), air racing superstar Art Chester (Aviation), one of NASCAR’s most innovative crew chiefs, Ray Evernham (Stock Cars), early NASCAR fan favorite Fonty Flock (Historic), one of the NHRA’s 50 Greatest All-Time Drivers, Darrell Gwynn (Drag Racing), prolific land-speed record-setter Ab Jenkins (Speed Records) and two men who revolutionized race track emergency services, Drs. Stephen Olvey and Terry Trammell (Open Wheel).
The MSHFA Induction Ceremony presented by Toyota Racing will be preceded by the traditional “Heroes of Horsepower” presented by Firestone reception and strolling dinner at the MSHFA Museum on the grounds of Daytona International Speedway, Monday, March 6. For more information, including how to purchase tickets, visit mshf.com.
Leadership programs are valuable investments. Companies benefit by creating a talent pipeline and building engagement, while participants develop personal skills and connections. The SEMA Future Leaders Network (FLN) is holding its second annual Professional Development Program (PDP), where its members have an opportunity to take part in one of the world’s top leadership training programs, presented by Dale Carnegie.
The SEMA Future Leaders Network (FLN) is holding its second annual Professional Development Program (PDP), where its members have an opportunity to take part in one of the world’s top leadership training programs, presented by Dale Carnegie.
Taking place May 11–12 at the SEMA Garage in Detroit, the program is available to a limited number of FLN members at 50% off the regular fee.
FLN membership is open to anyone age 39 and under who is employed by a SEMA-member company. While simply attending the PDP will yield benefits, below are tips to get maximum value from the event:
The PDP is interactive and limited in size. Unlike programs where you to sit down, listen and take notes, the PDP includes exercises that allow you to get to know your teachers and colleagues. Be open to the activities. Consider sitting towards the front of the class and ask questions. The more you put into the class, the more you get out.
Network with everyone, even if they’re a direct competitor. You may find that some classmates have similar challenges and can share advice and solutions that you may have not thought of. Past participants of the FLN PDP noted that their favorite aspect of the event was networking with others, and many past participants have stayed in touch to this day!
Participants will receive a workbook that includes questions, modules and activities designed to inspire and challenge participants’ thinking. Don’t just stick the workbook in a drawer or file it away; Refer to the book after the event and apply the information in your daily interactions.
Another tip before signing up for the PDP is to go into class excited, ready to learn and have fun. Participants will be presented with skills to help excel your personal life and career.
Whether it’s caring for children and a family, working in an environment surrounded mostly by men or differences in communication styles, women in the automotive aftermarket often face unique challenges. The SEMA Businesswomen’s Network (SBN) Women’s Leadership Forum is a three-day day program focused on helping women in the automotive aftermarket develop skills needed to become strong, effective leaders.
The SBN Women’s Leadership Forum, taking place March 1–3 in Southern California, is an immersive experience that focuses on futuristic next-level leadership trends.
Taking place March 1–3 in Southern California, the event is an immersive experience that focuses on futuristic next-level leadership trends. SBN select committee members Tiffanie Hartenstein, CEO at ORACLE Lighting, and Aliceje Keyburn, graphic/media designer at Yamaha Motor Finance Corp., were among the participants of the 2022 inaugural event. Here is what they had to say about this year’s program:
What is the theme of this year’s Women’s Leadership Forum?
Hartenstein: This year’s theme, “Dare to Lead!,” embraces the challenges that we collectively face as leaders when learning new skills to improve both personally and professionally. The power of community and collective learning will be at the heart of the event.
What makes the Women’s Leadership Forum unique from other leadership forums?
Hartenstein: SBN’s Women’s Leadership Forum brings together leaders from the automotive aftermarket industry specifically. This allows attendees to create bonds with others who are aligned with their careers.
Keyburn: This is a unique forum that not only focuses on leadership and career growth but also acknowledges some of the hurdles that women sometimes face in the work environment. That is something that other leadership events don't offer or do not spend enough time talking about.
It’s helpful to connect to other women who have faced similar struggles and gain insight on how they may have handled various situations. It’s also great to meet a lot of “powerhouse” women and learn how they were able to climb the ladder and become successful in our industry.
What are some challenges women face in the automotive profession, and how does this forum help them overcome those challenges?
Hartenstein: Being a woman in leadership can feel isolating, especially in a male-dominated industry. Having an opportunity to spend three days with each other and release those feelings helps to build greater confidence and a sense of belonging.
Keyburn: I learned from our previous forum that women are usually underpaid or don’t speak up like they should for positions they feel they should have earned. This forum gave me the tools and understanding in how to have these conversations and successfully negotiate what I am looking for out of my career.
What would you say to those who are on the fence about attending?
Hartenstein: We had many women attend last year who didn’t know any of the others there. Our program is designed to quickly create friendships and inclusivity. You will return feeling refreshed with new skills to help you in your career.
Keyburn: If you are on the fence about going, I would urge you to think, “How could it hurt to go?” There are a lot of great educational and inspirational speakers that share their stories, but also offer time to chat about personal experiences or concerns. It is a great way to network with various people and unlike other networking events that last an hour or two, this multi-day forum allows you more time to build relationships with fellow women and meet more people.
Registration is limited. Reserve your spot for the SBN Women's Leadership Forum now.
SEMA Person of the Year Josh Poulson at the 2022 SEMA Show Pro Council Booth. Poulson is the current PRO chair.
This past November 3, nearly 3,000 industry professionals gathered for the annual 2022 SEMA Show Industry Awards Banquet in Las Vegas. The Thursday-night celebration encompasses the presentation of several distinguished honors, but perhaps none as prestigious as the SEMA Person of the Year Award. Beyond any personal or professional achievements, the award pays tribute to an individual who embodies service and dedication to the specialty automotive industry and the advancement of SEMA members throughout the aftermarket.
For 2022, the award went to SEMA Professional Restylers Organization (PRO) Council Chair Josh Poulson. The principal of Auto Additions, Poulson is well known for his industry leadership contributions, philanthropy and overall positive influence on SEMA members.
“SEMA is proud to recognize Josh Poulson as our 2022 Person of the Year,” said SEMA President and CEO Mike Spagnola. “Josh has long been an active SEMA member who exemplifies the association’s spirit of volunteerism. He has served many years on the PRO council and on multiple SEMA task forces. More recently, first as a PRO select-committee member and now as chair, he has guided PRO in creating incredible benefits for its members, including sales and installer training programs. We congratulate Josh on this well-deserved honor.”
Poulson (right) receives his Person of the Year Award from Sara Morosan, the prior year’s honoree, at the 2022 SEMA Industry Awards Banquet. Jarod DeAnda (left) emceed the event.
Born and raised in Columbus, Ohio, Poulson began his aftermarket career at age 16, when a friend recruited him as a part-time technician for Auto Additions. In Poulson’s words, it was more a “fluke” than anything else—simply a job to work himself through college.
“I showed up the first day and asked, ‘What do we do?’ And he said, ‘Well, we put sunroofs and striping on cars and stuff like that.’ I was like, ‘Oh, okay.’ To be honest, cars weren’t really my first love,” Poulson recalls.
“I was an installer for probably about six or seven years, and they realized I wasn’t that great of one, but I was dependable. I had my strengths and my weaknesses, but I was better at talking to people. So one year they all went to the SEMA Show and left me to run things. When they came back, the owner [Ken Morris] said, ‘Oh man, he did a great job while we were gone. Let’s, put him into management/sales,’ and my role just grew from there.”
Moving up the ranks, Poulson became good friends with Morris and his wife Vicki, who together entrusted him with their company in 2000. “I still keep in frequent contact with them—they’re actually still part of the business. They’ve just treated me like a son going on 30 years now. They’ve always given me the [business] freedom when I’ve needed it, and their mentorship when I’ve needed it,” said Poulson.
As a SEMA council volunteer, Poulson has built strong relationships with his association peers. Here he is pictured with (from left) SBN select-committee member Tiffanie Hartenstein, SEMA Council Director Nicole Bradle, SEMA Council Director Denise Waddingham, his wife Amanda, and SBN member Melissa Parker.
Under Poulson’s guidance, Auto Additions has since doubled its sales to become one of the nation’s premier restyling brands, employing more than 35 people serving car dealerships and the retail public alike with more than 300 accessories and services. Along the way, Poulson became an increasingly active member of PRO and was named the council’s Restyler of the Year in 2012 and PRO Person of the Year in 2015. Having served on the PRO select committee since 2013, he was recently elected council chair. He is also a veteran of more than 25 SEMA Shows.
In addition to his work with PRO, Poulson is part of a group of individuals who formed Restylers United in 2006. Representing top non-competing restyling businesses from around the country, Restylers United members meet semiannually to share ideas and assist each other with problems and challenges in the field. To date, the group boasts 14 active members who have also become lasting friends.
“We talk about what problems and challenges we’re going through, bring in vendors, and things like that. Whether it’s about buying a competitor, going over financials, or deciding to bring on a new product line, just having peers like that whom you can talk to and get honest opinions from—people who have done it and been in business longer than me—is invaluable,” said Poulson.
In 2018, Poulson also became a partner in Auto Accessory Configurator, a software solution for U.S. restylers and shops that helps car dealers sell and provide accessories to their customers. According to Poulson, his experiences with Restylers United, Auto Accessory Configurator and his industry peers in general have provided him with a keen understanding of markets and challenges, making him a more effective voice within PRO and SEMA.
“There are many challenges for SEMA to address,” he explains. “There are the major ones, like CARB and emissions regulations and the right to modify your vehicle. But there are also some unseen things coming down the pipeline that maybe we’re not effectively reacting to because we don’t know how they’ll unfold.”
A specific concern for PRO is the changing model of how OEs sell vehicles through dealers, he added. Fast disappearing are the days when customers would walk into a dealership, select from many vehicles on the lot, and order a restyle package to further refine a vehicle to their tastes. “Now they can just order it however they want from the factory, and we’re maybe cut out. So for PRO membership, the future car-selling process and ensuring we’re a part of it is the biggest thing. The second biggest thing is the future of technicians and skilled labor, because now we’re competing with the OEMs, dealers and every mechanic shop out there. And not only do technicians have to be good with their hands, but with their brains too, because working on cars is harder than ever.”
Luckily, through his skill, dedication and openness, Poulson has built a strong network of peers and supporters within the SEMA community to take on such challenges.
Poulson is greatly assisted in running Auto Additions by Accounting Manager Kathy Ross and General Manager Jamie Rambo, who have become close personal friends.
“If you have ever had the opportunity to hang out with Josh, he will jokingly say that he hates cars,” said BOOSTane founder and fellow SEMA volunteer Ian Lehn. “The irony is that it comes from someone who at every turn has made his professional and volunteer career about giving back to the automotive industry. I’d hazard to say he’s one of the biggest enthusiasts in our industry, and just doesn’t want to admit it. Person of the Year speaks to his commitment to those around him and to the future of the aftermarket.”
“I am fortunate to call Josh a close friend, and to have witnessed up close the sacrifices that he has made for our membership and aftermarket community,” echoed Denise Waddingham, SEMA director of councils and liaison to PRO. “Whether he wants to admit it or not, he is the kind of guy that we need leading us into tomorrow, even if he says he prefers car businesses to actual cars.”
For his own part, Poulson said he has a number of people to thank for his career and his SEMA Person of the Year Award. Among them is his wife of 22 years, Amanda, who he said is the family’s true car enthusiast. “She’s the one who pushes me a little bit to make sure I keep up my game there,” he laughs. “Our daughter Halle is 16, is just starting to drive, and is excited about it. Our son Chase, who’s 14, is also super excited about cars.”
“I’d also be remiss if I didn’t mention two key people at my business,” he added. “My right hand man, General Manager Jamie Rambo, pretty much takes care of the day-to-day operations of the company. We’ve worked together for about 13 years, but he’s been a lifelong friend. And there’s also our Accounting Manager Kathy Ross, who has been with us for 20 years and helped me tremendously. And, of course, there’s my mentor Ken Morris and his wife Vicki, who hired me, got me started, brought me along and then entrusted me with the company.”
In fact, it’s the relationships that he’s formed over the years that have not only kept Poulson in the industry but fueled his advocacy for it. “Cars may not be my biggest passion, but the people in this industry are passionate about them, and I’m passionate for them,” he explained. “Whether it’s my employees, my family, fellow PRO members, other SEMA volunteers, or walking the SEMA Show and seeing 135,000 people who love and breathe this business, I keep thinking: Am I doing everything I can to help all of them?
“When we as car people—as business people and entrepreneurs—put in our heads to do something and are willing to put in the hard work, we’re a dangerous group of people,” he concluded.
For the first time ever, a vehicle owned by a state lawmaker was prominently displayed at SEMA Central in the grand lobby of the Las Vegas Convention Center: this gorgeous ’39 Ford Pickup owned by California Assemblymember Marie Waldron and her husband Steve.
As a public servant, California Senator Josh Newman’s mantra has been to put his constituents over politics. Since his first election to the California Senate in 2016, Senator Newman has routinely gone above and beyond to promote the specialty automotive aftermarket industry in his home state. Why? His Southern California district, which is home to SEMA’s Diamond Bar headquarters, boasts 83 SEMA-member companies. Put into perspective, that number is more SEMA members than most states in the union have in total. When it came time to select the 2022 winner of the Stephen B. McDonald Lawmaker of the Year award, Senator Newman had homefield advantage.
Originally from Poughkeepsie, New York, Senator Newman served as an artillery officer in the United States Army after graduating from Yale University. During his time in the Army, he served with the nuclear weapons unit in South Korea and with a conventional artillery battalion in Hawaii. After completing his military service, he relocated to California, where he founded Armed-Force2Workforce, which assists military veterans in the Los Angeles area in finding rewarding careers after their service to the nation is complete. In 2016, he launched a successful grassroots campaign for California Senate and was reelected in 2020.
Since his first years in the legislature, Senator Newman has worked with SEMA to improve the process for approving Executive Orders (EO) at the California Air Resources Board (CARB)—helping new specialty products enter the marketplace quicker. In 2017, he introduced SB 660, which would have provided a legislative basis for enabling industry to fund additional CARB staff to better address the workload for EO applications. Eventually, his proposal was modified and adopted through the state’s budget process to allow for the additional staff needed to accelerate the issuance of EOs.
Senator Newman’s support for the industry goes beyond his work to streamline the issuance of Executive Orders. When California’s Coastal Commission unilaterally decided to shutoff off-
highway vehicle (OHV) access to Oceano Dunes SVRA—the only state park that allows OHV access on the Pacific coast—Senator Newman was quick to challenge the Commission’s authority and advocated against such a closure. More recently, Senator Newman was a co-author of SEMA-sponsored legislation to help grow the aftermarket electric vehicle conversion industry.
“SEMA and the entire specialty aftermarket industry have been blessed to have such a staunch champion representing them in Sacramento,” said Christian Robinson, SEMA director of state government affairs and SEMA PAC. “We look forward to collaborating with Senator Newman for years to come and cannot think of a more worthy recipient of the Lawmaker of the Year honor.”
Lawmaker’s Cherished Pickup Takes Centerstage
If you’ve ever been to the SEMA Show, you know that unique custom and classic vehicles are the stars. In fact, more than 1,500 awesome cars and trucks were on display at exhibitor booths during the week of the Show. But how many of them are the prized possessions of state lawmakers? For the first time ever, a vehicle owned by a state lawmaker was prominently displayed at SEMA Central in the grand lobby of the Las Vegas Convention Center: a gorgeous ’39 Ford Pickup owned by California Assemblymember Marie Waldron and her husband Steve.
The 2022 State Automotive Enthusiast Leadership Caucus dinner took place during the 2022 SEMA Show. Pictured are: (top row) California Assemblymember Tim Grayson; Montana Representative Steve Galloway; California Senator Josh Newman; South Dakota Senator Blaine Campbell; Caucus Chairman Emeritus West Virginia Delegate Gary Howell; and U.S. Representative Doug LaMalfa (R-CA); (middle row) Idaho Senator Jim Patrick; Kansas Senator Randall Hardy; Kansas Representative Dave Baker; Maine Representative Shelley Rudnicki; California Senator Anthony Portantino; (bottom row) Montana Representative Lola Sheldon-Galloway; Kansas Senator Elaine Bowers; California Senator Bob Archuleta; Iowa Representative Cherielynn Westrich; Oklahoma Senator Jake Merrick; and California Assemblymember Marie Waldron. Not pictured, but in attendance: California Assemblymember Heath Flora; California Assemblymember Mike Fong; South Dakota Representative Taffy Howard; former Illinois Representative Allen Skillicorn; and Chief-of-Staff to Maryland Delegate Kevin Hornberger, the chairman of the State Automotive Enthusiast Leadership Caucus.
While visiting his parents during college, Steve recalls the fateful moment his dad proudly presented the family with a box of rusty ’39 Ford parts and explained that the rest was outside. The Waldrons painstakingly restored the rough pieces into a beautifully completed ride on weekends over the course of eight years. Steve’s dad enjoyed tens of thousands of miles behind the wheel of his project, which has since become a Waldron family heirloom. Most would not know that it has been wearing the same bright red finish, gleaming brightwork, and era-correct upholstery for nearly three decades. The pickup’s quality finish and unique factory-style character made it an eye-catcher among the many beautiful builds displayed at the 2022 SEMA Show.
CA Senator Josh Newman
Caucus Connection
Senator Newman and Assemblymember Waldron were not the only lawmakers to attend the 2022 SEMA Show. Despite the Show taking place less than a week before the midterm elections, more than 20 state lawmakers made the trip to Las Vegas to attend the largest gathering of small businesses in the country. In the past year, these lawmakers have steadfastly supported the specialty automotive aftermarket industries back home in their state capitols.
Product Liability: Protecting the Assets of Your Company
Having Coverage Isn’t Enough. You Must Ensure That Coverage Is Adequate
By Eric Colby
Product liability insurance is like life insurance for a manufacturing company—you need to know the right questions to ask before purchasing coverage.
For any company or corporate executive team, responding to an unexpected liability-insurance claim is not the time to find out that the business’ coverage is inadequate.
“We’ve had situations where someone was looking and they wish they found us three months ago,” said Bob Corwin, senior vice president of Alliant Insurance Services, an insurance consulting and brokerage service based in Irvine, California. “Most clients want to know that they have someone who understands their business.”
Added Corwin’s partner, Franco Ganino, also a senior vice president at Alliant, “The ultimate goal is to provide defense should someone allege that their property has been damaged or they’ve been injured in some way through the use of your product.”
They made these statements during a recent webinar (the video can be viewed at https://learning.sema.org/on-demand-video) hosted by SEMA’s Motorsports Parts Manufacturers Council (MPMC). John Lambert, MPMC chair-elect, opened the online event, saying, “Today we’re going to cover product liability insurance, basically what is it, why do you need it, and if you have it, you may need to update it as your business grows and changes.”
With that he turned over the webinar to Corwin and Ganino, who explained that Alliant Insurance Services does not sell insurance coverage. Instead, as a SEMA benefit partner, Alliant acts as a consultant for SEMA members to make sure they have the right coverage.
“Our experience with the organization is one that we have taken seriously for several decades,” said Corwin. “We’re here to make sure SEMA members are protected properly.”
“Added Ganino, “SEMA defends, perpetuates and promotes the aftermarket industries and that aligns perfectly with our goals.”
In a quick poll, Lambert learned that 57% of the webinar attendees didn’t have product liability coverage, so Corwin and Ganino broke down the session into three primary segments: Section 1 covered the basics of product liability insurance, including how much a company needs and when to reassess those requirements; Section 2 explained how products are classified and how they impact what a company pays for coverage; and Section 3 explained how to be ready when a claim comes your company’s way.
Bob Corwin
Breaking It Down
Starting with the basics, Corwin and Ganino described product liability insurance as life insurance for a manufacturing company. It will protect a company from financial loss arising out of claims because it transfers the burden from the corporation to the insurance company. “Product liability is a critical element of transferring risk away from a manufacturer’s balance sheet,” said Ganino. It will pay for defense costs should there be a need to hire an attorney and will indemnify a third party for damages if needed.
Corwin explained that being more educated about the coverage lets an executive make a smarter choice at renewal time. It’s all about “making sure you have the proper coverage in place by maximizing the lowest cost possible with the best outcome with the insurance carrier and the coverage you have,” he said.
Technically speaking, product liability coverage is a subset of a general liability policy. It can be purchased individually, but most often, it’s part of a package. Part of the decision to purchase coverage can include determining that your company doesn’t need it. There are three paths a company can take. “You can transfer the risk by buying insurance,” said Ganino. “You can avoid the risk by not making the product, and the last one is to assume the risk.”
This is where asking the right questions before buying coverage comes into play. This is also where Alliant can play a key role because it doesn’t sell the insurance, but instead recommends coverage to companies. “You’re buying the expertise of the company, so if there’s a claim, they are ready to handle it,” said Ganino.
A typical liability policy generally covers a company’s aggregate, products/completed, operations aggregate, personal and advertising injury, per occurrence, fire legal liability and medical payment.
General policy limits start at $1 million with policy limits of $2 million for general aggregate; $2 million for products/completed, operations aggregate; $1 million for personal and advertising injury; $1 million per occurrence; $1 million for fire legal liability; and $5,000 for medical payments.
When it comes to assessing the risks and how much insurance is needed, the overall value of the company’s assets and the level of risk based on the products are key considerations. For example, if a company uses a wholesale distributor for its products, the manufacturer will want to be protected if someone buys through the distributor and files a claim.
“Those companies generally have insurance and legal departments that ask for $5 or $10 million,” said Ganino. With Alliant representing a company, he will push back against those numbers to ease the cost burden.
When shopping for liability insurance, a company should be aware of endorsements that exclude specific parts or uses of products. For example, an insurance policy could be considered to be “full coverage,” but it has an endorsement in the fine print for safety equipment or tires. If the company makes either of these two items and there’s a claim, there would be no coverage because of the endorsements.
The same goes for an employee using a personal car for business. If an incident occurs when an employee is using his/her own personal car and there’s an incident, a company will want to carry “hired and non-owned auto insurance coverage.” With the SEMA Show, many manufacturers basically lease a vehicle from a car company to display their products and accessories. An exhibitor is going to want to obtain coverage for that vehicle at least for the duration of the event.
Worldwide coverage is required for companies that do business outside their home country. “If you’re going to carry a distribution center in Germany, at that point you need to work with an agent that allows you to have defense in that country’s legal system,” said Ganino.
Then there’s the positioning or classification of products, and that’s where an experienced agency can prove valuable. “One of the things we found early on is insurance carriers having a big concern for various auto parts,” said Corwin. “One of the issues that came up was how were the companies marketing their products.”
For example, a low-risk category is restyling products like trim; medium-risk are powertrain products like pistons, rings and connecting rods. Safety equipment like suspension, brakes, steering are considered high risk.
“What we’re trying to do with underwriting is work closely with them based on these categories,” said Corwin. “How is the premium promulgated?”
Ganino said that different companies will approach the same part from a different angle. For example, is a bumper a higher-risk safety item or a low-risk trim part? “Make sure your product is put into a perspective of the lowest common denominator because it will affect the rate the carrier charges,” said Ganino. “A true operating part, if it fails, can have sudden overturn or upset consequences. It can cause a car to end up on its roof.”
It’s also important to pay attention to the type of policy. An occurrence form is preferred over a claims-made policy. With a claims-made policy, coverage is triggered by the date a company became aware of a claim and must notify the insurance carrier of a claim or potential claim. This must occur within the policy period, subject to a retroactive date. On an occurrence form policy, the coverage is in force on the date of the loss and the insurer responds with coverage. The claim may come years after the policy period passed, but the coverage would still apply.
“We’re seeing fewer claims-made policies to limit the amount to a high-exposure client,” said Corwin. A company with claims-made coverage would need to purchase a policy that provides prior-acts coverage as a bridge between the two.
When it comes to a new product, the most important thing is documenting everything that went into its development from design to testing. “What you document up front as to how you design the part, how it was put to use—there’s a deep conversation we like to have about how you prepare today for a claim tomorrow,” said Ganino.
Franco Ganino
When Claims Happen
Finally, we have the inevitable claim. That’s not to say that every part made by a company isn’t high quality and will result in a claim. Lawyers are trained to look for opportunities, and an accident involving a vehicle equipped with one of your components could be that
opportunity.
There are three types of product liability claims—defective manufacture, defective design and failure to provide adequate warnings or instructions concerning the use of the product.
While the first two are self-explanatory, “Failure to warn is when a manufacturer does not adequately inform the public of potential risks that may occur when their product is used by a consumer that leads to a product liability claim,” said Corwin.
Regardless of the type of claim, as soon as a company is informed of a claim on one of its products, the first step is to make sure its attorney and the claims adjuster from the insurance company are involved early. “Don’t admit fault,” said Ganino. “Make sure your broker knows, and follow conditions in your insurance policy that allow you to meet the obligations of the policy.”
Obviously, the goal is to never have to use product liability insurance, but that doesn’t mean it shouldn’t be taken seriously. A liability policy that isn’t tailored to your company and its products isn’t going to help when a claim is filed, so do your homework and make sure the broker and the coverage are what your company needs.
“There are a ton of great brokers in their areas who are car people,” said Ganino. “Make sure your agent has oil in his or her DNA.”
SEMA News highlights new products from industry companies when available. To have your product considered for upcoming issues, send product press releases to editors@sema.org.
Wilwood Disc Brakes
Big Brake Kits for Polaris RZR UTVs
Wilwood launched an entirely new caliper and rotor design for the Polaris RZR UTV platform from ’14–’23. Matched UTV6 six piston calipers in front and rear with dynamically mounted steel floating rotors reduce piston knockback, improve thermal capacity, and fit most 15-in. or larger wheels.
Forged aluminum differential-bore opposed piston UTV6 calipers reduce deflection to increase braking force and provide more uniform clamping. Large 11.25 in. x 0.25 in. (285mm x 6mm) steel rotors are nearly 20% greater in diameter for more brake torque and thicker for less distortion and are available in plain face or drilled.
MAHLE Motorsport
2023 Porsche Application Guide
MAHLE Motorsport released its 2023 Porsche Application Guide that offers a complete listing of all Porsche-specific piston kits, offered applications, and features user-friendly sections of Water-Cooled and Air-Cooled listings subdivided based on engine size and application.
MAHLE’s machine-forged Porsche pistons have lightweight slipper skirts to reduce friction and are dual-coated with Phosphate and MAHLE’s proprietary GRAFAL skirt coating to reduce drag, wear, and noise. Piston kits include performance ring sets made from durable materials that are designed to provide consistent contact with the cylinders resulting in increased sealing and oil control.
The cylinders included in the air-cooled kits are machined to OE tolerances and designed to increase performance and longevity. Some applications are available as either a slip-in or machine-in design. The slip-in cylinders are simply a larger internal bore replacement. The machine-in cylinders require the engine cases to be machined to a larger bore diameter to accept their larger spigot diameter.
Advanced Clutch Technology (ACT)
Clutch Kits for Jeep Wrangler JL and Gladiator JT
ACT’s new powerful 11-in. Single-Disc Clutch and Flywheel Kit improves torque capacity, reliability and clutch feel. This kit is designed to work with factory hydraulics for easy installation, and ACT offers two flywheel weights and two friction materials to best suit your needs.
The new kits include a Heavy-Duty Pressure Plate, Street Mass Flywheel (JP5 Kits) or Pro-Mass Flywheel (JP6 Kits), a choice of Disc, Release Bearing, Bolts and Alignment Tool. The specially designed diaphragm spring of ACT’s Heavy Duty Pressure Plate dramatically increases clamping force and incorporates hardened diaphragm fingers for longer clutch life.
ARP
1/2-20 Thread Bolts
ARP released screw-in wheel studs for aftermarket axles. The most recent addition to the line, p/n 100-7738, has a 1/2-20 thread and an underhead length of 1.950 in.
Like other ARP wheel studs, they are manufactured from 8740 chrome moly steel and heat-treated to a nominal tensile strength of 190,000 psi (some 26% stronger than Grade 8 hardware) and cadmium plated for extra durability. Threads are rolled (not cut) to provide up to 10 times better fatigue life.
Obtaining the optimum stud length is an important consideration, and ARP offers 1/2-20 screw-in studs up to 3.470 in. underhead length. Many racing associations require the stud to protrude from the lug nut a distance equal to its diameter.
Exped
Megamat Auto
The MegaMat Auto (formerly MegaMat Duo TXY) was originally designed to fit the 2-row versions of the Tesla Model X and Model Y, the only vehicles equipped with a setting called “camp mode.” The ease of access from the falcon doors on the Model X makes it ideal for camping, and gazing at the moon under the glass roof of the Model Y is a truly special experience.
Over time, Exped realized that the mat had wider applications than just Tesla vehicles, including many midsize trucks, compact SUVs and wagons. The MegaMat Auto is the exact same mat as before, complete with the same dimensions and materials, just with an updated name.
Vintage Air
Gen 5 SureFit Climate-Control System for ’80–’86 Ford F-Series
Vintage Air released its all-new Gen 5 SureFit Climate-Control System for ’80–’86 Ford F-Series trucks and Broncos. These SureFit Kits showcase the all-new Gen 5 electronically controlled climate-control system featuring industry-first OEM-quality injection-molded cases and block-type expansion valves. The SureFit Kits are available as either a Complete Kit or an Evaporator Kit and are designed to install with minimal modifications to the original firewall.
The new Gen 5 Vintage Air Climate-Control Systems are electronically controlled like the Gen IV systems and offer several new OEM-quality features, including an injection-molded case assembly, new higher-torque actuator motors and rubber over-molded blend air doors. The new SureFit Kit is also equipped with Vintage Air’s largest and most powerful blower motor, delivering 20% more cubic feet of air per minute (CFM) than standard blowers.
World of Outlaws Late Models Expands Winner Circle Program
