Farmers Insurance Cautions Vehicle Owners on Windshield Replacement Scams
National News • August 10, 2004
Driving with a cracked or broken windshield puts both drivers and their passengers at risk.
In fact, insurance companies in some states are required by law to waive the deductible for damaged or ...
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Subject: RE: RE: RE: RE: farmers Insurance Cautions Windshield Repair
Posted On: August 15, 2004, 12:59 pm CDT
Posted By: Leo Cyr - National Glass Assoc
Comment:
The National Glass Association (NGA) is extremely disappointed with the misleading picture this article paints of thousands of responsible, ethical auto glass service providers in this country.
The NGA condemns any and all forms of fraud - insurance or otherwise. We feel confident our judicial system can and will render justice. However, justice is clearly lacking in Mr. Ashbridge's article. By definition, auto glass service companies exist to perform auto glass service. They are not "subcontractors". If there are problems with subcontractors or other third party claims administrators, call them what they are. They are not glass companies.
It is equally distressing to think consumers may be misled or confused into believing they could be implicated in a fraudulent 'scam' by consulting with reputable "glass companies" that really are "glass companies". If, as he maintains, Mr. Ashbridge is most concerned "that driving with a cracked or broken windshield puts both driver and passengers at risk" than he needs to reassess his priorities. Even if "glass fraud...is probably present in as many as 10 percent of claims filed," that definitely leaves over 90% of his readers wondering if their damaged windshield claim is legitimate.
The recommendation that policyholders consult with their agent before pursuing a claim for damaged auto glass is questionable at best. Twenty years ago local agents knew and referred their customers to several reputable, high quality and competitively priced auto glass service providers. Today, local agents are expected - even required - to send policyholders to a distant third party (subcontractor) for service. Ironic, isn't it? There seems to be a double standard involving subcontractors.
That irony has not been wasted on state legislatures. Virtually every state has enacted laws to protect the consumer's right to free choice when selecting their own auto service provider. The catalyst for these consumer protection measures is the pressure some insurance companies exert on policyholders to choose the least costly service provider. Cheap is not consistent with the quality of materials and craftsmanship required when installing automotive safety-related parts. Cheap is also not a justification to circumvent Federal law that prohibits 'steering' of customers to a particular service provider.
The last thing the NGA wishes to do is to trivialize Mr. Ashbridge's concern for fraud. That is precisely why the NGA, its members and allied organizations have invested 20 years in developing training, certification, business accreditation, installation standards and practitioner licensure programs to help consumers identify the true professionals in the auto glass service industry.
The NGA calls upon its insurance customers to join with the NGA to educate all consumers on auto glass safety and to explain how responsible, ethical auto glass service providers can be identified.
Subject: RE: RE: RE: RE: farmers Insurance Cautions Windshield Repair
The NGA condemns any and all forms of fraud - insurance or otherwise. We feel confident our judicial system can and will render justice. However, justice is clearly lacking in Mr. Ashbridge's article. By definition, auto glass service companies exist to perform auto glass service. They are not "subcontractors". If there are problems with subcontractors or other third party claims administrators, call them what they are. They are not glass companies.
It is equally distressing to think consumers may be misled or confused into believing they could be implicated in a fraudulent 'scam' by consulting with reputable "glass companies" that really are "glass companies". If, as he maintains, Mr. Ashbridge is most concerned "that driving with a cracked or broken windshield puts both driver and passengers at risk" than he needs to reassess his priorities. Even if "glass fraud...is probably present in as many as 10 percent of claims filed," that definitely leaves over 90% of his readers wondering if their damaged windshield claim is legitimate.
The recommendation that policyholders consult with their agent before pursuing a claim for damaged auto glass is questionable at best. Twenty years ago local agents knew and referred their customers to several reputable, high quality and competitively priced auto glass service providers. Today, local agents are expected - even required - to send policyholders to a distant third party (subcontractor) for service. Ironic, isn't it? There seems to be a double standard involving subcontractors.
That irony has not been wasted on state legislatures. Virtually every state has enacted laws to protect the consumer's right to free choice when selecting their own auto service provider. The catalyst for these consumer protection measures is the pressure some insurance companies exert on policyholders to choose the least costly service provider. Cheap is not consistent with the quality of materials and craftsmanship required when installing automotive safety-related parts. Cheap is also not a justification to circumvent Federal law that prohibits 'steering' of customers to a particular service provider.
The last thing the NGA wishes to do is to trivialize Mr. Ashbridge's concern for fraud. That is precisely why the NGA, its members and allied organizations have invested 20 years in developing training, certification, business accreditation, installation standards and practitioner licensure programs to help consumers identify the true professionals in the auto glass service industry.
The NGA calls upon its insurance customers to join with the NGA to educate all consumers on auto glass safety and to explain how responsible, ethical auto glass service providers can be identified.