Since 1999, the price list for vehicles for the disabled has not been updated, and the Disabled Vehicle Equipment Forum, which incorporates companies operating in the industry, warns that the increase in prices in recent years has caused losses and the companies are on the verge of collapse. Two companies, out of seven that operated, have already closed – about 30% of the market.
Israel Hayom has learned that the National Insurance Institute, which is responsible for paying companies for equipment for vehicles for the disabled, began examining the issue in order to promote an agreed solution, and even contracted with an external consultant who specializes in prices. The person who is supposed to approve an updated price list is the Ministry of Finance, which at this stage raises difficulties. A meeting will be held today between the companies, organizations for the disabled, the National Insurance Institute and the Ministry of Finance.
Disabled protest: Azrieli junction blocked to traffic (Archive) // Moshe Ben Simhon
The price list for equipment for vehicles with disabilities was set more than 24 years ago, without an update or indexation mechanism.
Over the past decade, there have been discussions between the National Insurance Institute and the Ministry of Finance and the equipment companies on the issue of updating the price list. Three reports commissioned by the National Insurance Institute were shelved, even though they stipulated in principle that the price list should be updated, and the Ministry of Finance, where they presented data indicating the companies' profits, refused to give in to their demands.
Waiting times get longer
The companies, for their part, reject this and claim substantial losses. Now they claim that they have reached the point of death and warn that if the price list is not updated soon, according to an increase of at least 38%, they will not survive, and those who will pay the price starting next month will be the disabled.
The average time to equip disabled vehicles is supposed to be three months, but currently stands at six months due to shortages of manpower and parts. The wave of price increases in recent years has also led to a sharp increase in prices in all industries and commerce, and also affects equipment companies.
Disabled parking (archive), photo: Eliyahu Koren
For example, since January 2021, manpower has increased by an average of 12.5 per cent. In addition, the Consumer Price Index increased, the dollar exchange rate increased, and the interest rate in the economy increased. The COVID-<> pandemic and the war between Russia and Ukraine have led to sharp increases in the costs of raw goods such as iron and aluminum, supply, shipping and services.
Adi Adler, chairman of the Forum of Accessory Companies, says that "if there is no immediate solution this month, we will not be able to deliver cars and provide service to customers."
The Finance Ministry said in response to our inquiry: "We will not comment on the matter."
The National Insurance Institute said in response: "We received the request from the equipment companies in parallel with the data that came from the Ministry of Finance, and we are working to reach Emek HaShaveh. We see importance in finding a solution in the foreseeable future to ensure that the response to the eligible public continues as usual."
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