Arizona Bill Reintroduced – Auto-glass Bill May Change The Direction Insureds Can Be “Steered”

A game-changing auto-glass bill under consideration by the Arizona Legislature is re-igniting a fresh wave of debate in that industry.  HB 2197 has been re-introduced to a new wave of resistance from Arizona’s largest auto glass repair and services provider.  HB 2197 was re-introduced because:

Abex.com: Currently, if motorists need auto-glass repair, they call their insurance companies and, depending on the insurer, may be referred to Safelite where a third-party administrator will send out an inspector. The vehicle owner then has a choice of shops to do the repair.

The Arizona bill would create a rotating list of repair shops, and the consumer would be given a choice of three providers to use. If the bill becomes law, Arizona would be the only state with a rotating list.

(for the full article, see the Arizona Builders Exchange)

One aspect of this development for consumers is that Chandler, which houses 600 Safelite employees, may see one of its major local business sources downsized.  While 600 is a large number, Arizona is sustaining an economic recovery despite a recent similarly-sized General Dynamics layoff and a number of other such reductions in force recently in Arizona.  Proponents of HB 2197 include the Arizona Auto Glass Association and say it would preserve consumer choice, level the playing field and increase competition in the state’s industry.  Safelite contends that the bill amounts to industry meddling.