A Court Dismisses an Auto Insurance Provider’s Appeal

Progressive Corporation’s appeal was dismissed by the state appeals panel in Florida earlier this week. The auto insurer is accused of piling windshield replacement companies with the cost of insurance appraisals, according to court documents.

Two years ago four companies sued Progressive in a county court claiming the company was in breach of contract for only paying a portion of covered windshield repairs. The four windshield replacement companies are:

  • SHL Enterprises LLC,
  • Shazam Auto Glass LLC,
  • Glassmetics LLC, and
  • Lloyd’s of Shelton Auto Glass LLC

According to Progressive, its company policy includes an appraisal provision that works to resolve repair cost disputes. The windshield replacement companies claimed the appraisal provisions violated state law. According to the panel, the county court agreed and considered the provisions unenforceable because it requires windshield companies to pay for appraisal costs. The court claimed this was equivalent to a deductible.

The appeals panel claimed the lower courts, who had previously viewed the case, misunderstood state laws after these instances:

  • The lower courts referred to the company’s cost-shifting as a deductible, and
  • Accused Progressive of not citing appellate case law before it rejected the appeal.

“By improperly restricting the scope of its own certiorari review, the circuit court did not engage in a meaningful analysis of the county court’s order and thus could not have concluded that there was no departure from the essential requirements of the law,” the panel said in court documents.

This article is from glassBYTEs™, the free e-newsletter that covers the latest auto glass industry news. Click HERE to sign up—there is no charge. Interested in a deeper dive? Free subscriptions to Auto Glass Repair and Replacement (AGRR) magazine in print or digital format are available. Subscribe at no charge HERE.

This entry was posted in glassBYTEs Original Story and tagged , , , , . Bookmark the permalink.

Leave a Reply

Your email address will not be published.