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Tag Archives: steering
An Indiana bill designed to prohibit insurers and related entities from requiring an insured to use a specified auto repair shop has cleared the state Senate and is currently waiting to be heard in the House of Representatives. SB 164, … Continue reading
New York Gov. Andrew Cuomo has signed a controversial bill that exempts auto glass claims from anti-steering legislation. The bill was introduced in January 2017 by Assemblyman William B. Magnarelli. The legislation amends the state’s insurance law to require disclosing … Continue reading
A bill introduced in New York this week (NY A 8111) would amend the Insurance Law concerning windshield repairs and replacement. The proposed legislation “prohibits automotive insurance companies or their agent from requiring or suggesting their insured utilize a specific … Continue reading
Several panelists led a workshop during Auto Glass Week™ that took attendees through practical steps that companies have had success with such as arbitration, appraisals and anti-steering strategies. “We want to help glass companies through issues they deal with and … Continue reading
A U.S. District Court judge in the Middle District of Florida, Orlando division, has upheld the report of a magistrate judge who recommended many of the antitrust complaints by collision repair companies throughout the country against dozens of insurers be dismissed. However, he gave leave for attorneys to file amended complaints. Collision repair shops from 12 Federal District Courts had alleged “steering and price fixing” by dozens of insurers. The cases are consolidated before a Florida U.S. District Court judge.
A U.S. District judge in Florida has dismissed much of the antitrust lawsuit filed by group of Florida collision repair shops against State Farm and dozens of other insurers without prejudice, meaning attorneys for the repair shops can file an amended complaint. The shops allege the insurers use their direct repair programs to “illegally control and depress” repair rates and if the shops don’t comply, customers are steered away. The judge says more “evidence” is needed to support the allegations.
Nearly 100 automotive glass company owners, technicians and vendors have signed a petition called “Auto Glass Industry National Right to Fair Trade Petition” at ThePetitionSite.com. The goal of the Care2 Petition is to “restore free and fair trade to the auto glass industry so that that consumers will have the freedom of choice when it comes to what repair shop works on their vehicles and so that the business agreements between consumers and their chosen repair shops are not interfered with improperly and unduly,” according to the website.
In a panel reviewing legal issues in the automotive glass industry, Jim Amman, former Connecticut Speaker of the House; Mario Ercolini, general manager of branch operations for Wholesale Glass Distributors; and Mark Vece, president of The Whalley Glass Co., discussed … Continue reading
Louisiana Attorney General Buddy Caldwell filed a lawsuit today against State Farm in East Baton Rouge Parish judicial court alleging the insurer has “engaged in a pattern of unfair and fraudulent business practices aimed at controlling the auto repair industry” and uses “scare tactics to steer Louisiana consumers to State Farm’s preferred repair shops.” Similar allegations have surfaced over the years from independent automotive glass repair shops in regards to third-party administrators (TPAs), which handle automotive glass claims for insurers, so this case has potential implications for the AGRR industry.
Repair Shops Ask the Judicial Panel for Multidistrict Litigation to Consolidate Lawsuits Against Insurers
Collision repair shops in at least five states have now filed lawsuits against dozens of insurers, alleging the insurers use their direct repair programs to “illegally control and depress” repair rates and if the shops don’t comply, customers are steered away. They have asked the Judicial Panel on Multidistrict Litigation to approve their petition to consolidate the cases into one court.
State Farm’s attorneys deny the company has violated antitrust laws in their court response to a group of Florida collision shops which filed a lawsuit alleging State Farm (and dozens of other insurers) use a direct repair program to “illegally control and depress” repair rates and if the shops don’t comply, customers are steered away. This case has potential implications for the AGRR industry, as independent automotive glass repair shops allege similar issues with third-party administrators (TPAs), which handle automotive glass claims for insurers.