Repairing a fleet vehicle — particularly a truck with a bunch of work stuff on it — is one of the most exasperating tasks for a fleet manager.  The first question is, should you just replace it?

It’s complicated. Element Fleet Management's 2026 Market Pulse Report found that 36% of surveyed fleet managers were delaying vehicle replacements.

Robert Martines, CEO of Corporate Claims Management (CCM), is seeing it this way: Clients are investing more in repairs to older, specialized units that would be expensive to replace.

"We have had requests for quality used vehicles to keep in service, rather than purchasing new vehicles," Martines said.

It’s an economic balancing act. Replacing a damaged vehicle may mean paying substantially more for a new unit with higher financing or leasing expenses and expensive new equipment.

But repairing an older vehicle comes with its own downsides as collision repair costs keep rising.

Parts Cost Inflation Is Affecting Decisions

Martines said replacement parts prices have increased considerably, which could outpace the relatively moderate year-over-year increases in new-vehicle prices.

He cited a door skin that previously cost approximately $250 but now costs $400 or more.

A $150 increase for one component may not be significant, but a repair requiring multiple replacement parts can compound those increases. Martines estimates that higher parts prices alone can add $450 to $1,000 to some repairs, depending on the components involved.

Labor costs add another layer. Body, paint, and mechanical repair rates have increased, while newer vehicle materials and technologies can require additional procedures and specialized expertise.

A Simple Repair Isn’t So Simple

On newer vehicles, components such as mirrors, windshields, and headlamps are likely connected to cameras, radar sensors, or other electronic systems. Repairing or replacing those now requires diagnostic scans, additional inspections, and calibration procedures.

Martines estimates that associated procedures can add $500 to $1,500 to certain repairs.

These costs are not necessarily optional. When a collision affects advanced driver assistance systems (ADAS), proper repair procedures may be necessary to restore the vehicle's safety functions.

A vehicle’s construction also affects repair complexity. Martines pointed to aluminum, high-strength steels, and composite materials that require specialized repair techniques and materials.

As a result, two vehicles with similar visible collision damage may have substantially different repair costs depending on their construction and onboard technology.

For fleet managers, then, how expensive will the vehicle be to repair throughout its service life?

Downtime Adds Even More Costs

Parts availability has improved since the worst of the supply-chain disruptions, but delays remain a problem for certain collision repairs, with some replacement parts taking five to 10 days to arrive.

If the damaged vehicle remains safely drivable, the repair facility may be able to order the parts and schedule the work once they arrive. For a vehicle that cannot be operated, however, the delay creates additional expenses.

Martines cited replacement transportation costs of $45 to $60 per day, potentially more for trucks. A 10-day wait for parts could therefore add $450 to $600 or more before the repair itself begins.

Other considerations remain, of course. A vehicle out of service may interrupt employee schedules, delay customer work, or require the fleet to reassign another vehicle.

Martines also noted that recovering these expenses through subrogation can be difficult. Even when another party is responsible for the collision, an insurer may dispute reimbursement for replacement transportation during parts delays.

Changing Collision-Repair Economics

Changing collision-repair economics complicate decisions about aging vehicles.

A fleet may be reluctant to authorize an expensive repair on a vehicle approaching its scheduled replacement date. But that same vehicle may be much cheaper to keep than a new replacement, especially if it has already absorbed much of its depreciation.

Specialized vehicles present an even more difficult decision because replacing them may involve long lead times, upfit expenses, and operational disruption.

That doesn't mean you should repair every aging vehicle. The decision should account for the vehicle's condition before the collision, expected future maintenance costs, remaining useful life, replacement availability, and the total cost of returning it to service.

Managing Collision Costs in 2027

Martines said these parts prices and repair complexities won't get better in 2027.

He also sees changes in the collision repair industry that could affect fleet customers. Some independent repair shops are changing ownership, and Martines is concerned that consolidation under larger organizations could shift the focus to insurance work at the expense of commercial fleets.

At the same time, independent shops face a shortage of qualified technicians. Martines said some owners are retaining experienced workers longer, although doing so can create additional cost pressures.

He believes independent repair facilities that continue to prioritize fleet customers could benefit from these changes, particularly if they can provide quality repairs at competitive prices.

As Martines put it when discussing the shortage of qualified repair technicians and the cost of retaining experienced workers: "The tough balance is at what cost?"