The Connecticut House of Representatives is currently considering legislation that would prevent companies that process auto glass replacement insurance claims from having a financial interest in businesses that install automotive glass.
House Bill 5283 was introduced by Connecticut State Representative Robert Megna, who chairs the Joint Committee on Insurance and Real Estate. The bill was referred to this committee on January 14, 2011 for consideration.
According to the text of the bill, it is designed to “prevent conflicts of interest of individuals or entities that process claims for automotive glass replacement work.” Currently there are companies that process claims and are also in the windshield replacement business. This has created situations where an insurance adjuster/glass technician dispatched to examine a client’s vehicle then offers to replace the windshield immediately and happens to have the windshield for that vehicle with them – effectively cutting other service providers out of that potential business.
While most states have anti-steering laws that prohibit insurance companies from directing clients to specific automotive repair businesses, glass shops across the nation continue to claim that steering happens every day and this is just the latest assault on small independent glass shops.