Gary I know all who are involved and Totally appreciate all the efforts being spent. Please do not take any offense. This is by far, one of the most critical events happening right now. This will have a wide spread impact for all in the auto glass industry. this is a sleazy attempt to stop legal actions to prevent Ins co's and tpa's from the real fraud.

They can't beat us legally so they are trying to stop us with bogus legislative measures. We are on the same team so let's stay there.

Up to this point we have stayed away from posting this for a few reasons.
The cat is out of the bag, and bottom line we will need allot of support to stop this crap.

We are on the same team Gary. and by the way Gary Thank you for ALL you do, I and many other appreciate your efforts. FOR SURE!

AH Gary, this is a week late a a few million short. Those of us in the trenches who found this and have spent the last 4-5 days working on this day and night, have stayed away from posting this because we caught it and maybe just IN THE NICK OF TIME TO STOP IT. I guess at this point maybe we don't care if the parties involved who are trying to slip this piece of crap into a FRAUD bill, can't stop the opposition. But those of us involved have stayed away from posting on an open forum for a reason. We didn't want them to know we were on to this crap. They wanted to catch us sleeping and didn't. Tomorrow will tell.

Any Mn shops who care about the future better show up at the capitol at 10:30 am Go to IGA website to find the scoop.

This will make a difference ALL over this country whether independent shops can survive.

This is the biggest event for the industry to date. It will make or break MN shops and all others will fall in the after- math. NO JOKE!

Bottom line any independent shops within driving range to the Twin Cities of MPLS and St. Paul better show up At the Capitol well Before Noon. GO to IGA and get details.

I have over 35 Mn representatives that have been contacted. Bottom line: If we succeed we have a chance. if we fail, auto glass in MN is doomed for all independents.

I was wondering who was going to post this first. We might be just in the nick of time or it will be too late for ALL independent shops.

Time will tell..... stay tuned...

You haven't been the only one working on this either and the IGA, MGA and the hired guns all agreed to get this out today in order to rally support. I have been right in the trenches, phones, emails, etc. for the same period of time and a lot of people have put a lot of work in to see this go away.

And yes, if you look at the back grounds of those who are trying to scam this off, they are ALL ins co plants. For sure. Do a little research the truth is right there.

Main thing is we wanted them to think they had a slam dunk because no one knew what they were trying to pull off.

But as far as the night before maybe no harm done.

If we can stop this now, there will be a second round where we will need allot more support. this is a fight with many battles. Surprise can work for both sides. You know this.

Gary does such a great job of running the IGA.

this does appear to be an important issue as does fighting all the issues steering price fixing etc,but I don't think this will put you all down completely.what I would like to know is why if arbitration has worked so well no one seems realize that the pricing that is jammed down our throats is not fair and reasonable,well one reason could be the willingness for so many to cut theirs and our throats with customize offers,it takes the fair and reasonable argument off the table when they can say they must be more than fair if so many are willing to work so so much less. I have been harping on this for a long time and no one seems to care, and it's not just the little shops helping in our demise. good luck to you folks up there and keep up the fight.

All Auto glass shops with an hour or so of the twin cities: Head for the capitol. Talking with our legislators, they are VERY interested in what is happening. Many shops have already contacted their legislators, and everyone of them are appalled at what is going on. This might be the time to expose the real FRAUD of altering invoices.

Every one of the legislators I am talking to are aware to some degree. I have even been told because they have a short session it's a mad house and many bills getting passed just so they can get through them and go home! The insurance industry thought they could pull one over on us. Sure hope enough of us get there and get this BS stopped! This is HUGE! And will effect everyone at some point.

Can someone point me to the actual amendment in question. I have tried to google search for it but I must be missing something.

Maybe someone could copy and paste it for everyone to read.

Thanks in advance.

Hi guys: It's SF 2372 (not 2373). I think this is causing some confusion. I just talked with Rick Rosar of Minnesota-based Rapid Glass. They expect the amendment to be introduced at the Commerce Committee hearing today in about an hour. It's not yet in the language of the proposed bill. Representatives from various state glass shops have shown up in force with uniforms on and a few plan to testify. Stay tuned to glassBYTEs.com as we'll be doing a quick write up once the hearing is over to share more. But basically, insurers are trying to eliminate consolidated arbitration, which is how glass shops in the state usually go after short pays after getting permission to consolidate in District Court. Hope this helps to clarify.

Here is a link to the bill is question: http://www.senate.leg.state.mn.us/bills/billinf.php?ls=88&all_sessions=Y

A copy of the proposed amendment can be found at http://tinyurl.com/stopsf2373amendment along with other materials related to the campaign.

Thanks,
Gary Hart
Executive Director
Independent Glass Association

Just for a bit more clarity. The BILL is not the issue. The amendment to the bill is. They are trying to slide this in with hopes that no one is looking. Now one might say this is only about consolidating invoices to arbitrate. But if you read deeper at the top and bottom this,it may in fact effect who, how and even if we can continue to arbitrate. They want to try and stop the assignment of proceeds.

They can't beat us legally so they are trying to beat us legislatively.

Here is the bad part of the amendment:


Claims for basic

economic loss benefits submitter for arbitration must be commenced only by an insured

sustaining covered losses arising out of the use of a motor vehicle. (hmmm??)

(b) An individual claim against a reparation obligor for comprehensive or collision

damage may be submitted pursuant to this section. Any assigned claims against a

reparations obligor for comprehensive or collision damage coverage that are aggregated

or consolidated with more than one individual claim shall not be submitted to binding

arbitration under this section regardless of the jurisdictional dollar limitation in paragraph

(a). Nothing within this section shall preclude an assignment of benefits assignee from

seeking to aggregate or consolidate comprehensive or collision damage claims in an

action in District Court. ( more HMMM??)

I would like to add to this also. I spoke with Vicki Jensen, the author of the bill, and she claims that this will not limit the ability to arbitrate ( which I have issue with). She also added that the people that she met with, wanted to have the insured be involved with any future arbitrations as well. You can draw your own conclusions from that. Please continue to keep us up to date on what is happening. I wish I could have attended but had prior engagements.

A major hurdle has been cleared. The arbitration language has been taken out of the bill by the author of the bill. There is still a chance it can be introduced in the house but that is unlikely.

A big thanks to everyone who helped with this!

Thanks,
Gary Hart
Executive Director
Independent Glass Association

Isn't it interesting that the author is an Ins agent? Anyone else see a major conflict of interest? I wonder how much of her campaign was funded by Insurance Co's donations? HMMM? Just wondering..

So she claims this will not LIMIT the ability to arbitrate, REALLY anyone believe that line of bull? That is exactly what it IS intended to do, and says so directly. You just can't make this stuff up. It's right there! WOW.

So they want the insured involved, YES of course they do, because they know many customers will not want to be further burdened, and it will make the shop look bad. We are trying to protect our customers from this hassle, and harassment. It's not the consumers fight, YET, maybe someday. Plus by doing so, they are negating the assignment of proceeds. Again exactly what they want because they can't beat us legally.

I still haven't heard if it made it to the table or got delayed.

Ah I just looked back,, THANKS GARY!
And a huge HUGE thank you to a certain person who found this (I know who you are) lol, and every shop involved. Allot of phone calls and e mails smacked the legislators and committee members. Allot of us spent many many hours of our time from last week until now.

GREAT JOB to all who are involved in this fight! But I bet it is not over. they will search for another way to keep price fixing, stealing and fraudulently altering our invoices. Now is the time to take the steps need to take the fight to them and smack back. We have some very interested legislators I have spoken to that don't like what they have seen. I have a few ideas...... But not here. not yet. But we need to stay on top of this so they don't try to sneak it in again!

Congratulations all!

Hi guys: Here's the article on the Minnesota situation. The glassBYTEs.com e-newsletter should be hitting your inbox momentarily.
MN Glass Shops Say No to Bill Amendment Designed to Halt Consolidated Arbitrations
http://www.glassbytes.com/2014/03/mn-glass-shops-say-no-to-bill-amendment-designed-to-halt-consolidated-arbitrations/

Senator Vicki Jensen did also day that she planned to introduce a bill next session that would help fight against steering. Hopefully it pans out the way she made it sound. We can keep our fingers crossed.

When pigs fly. Why would an insurance agent who introduced an amendment aimed at stopping arbitrations care about steering? If she introduces something to "stop steering" you can be sure she'll be ready to sneak something in that will kill us.

exactly what smiley said, REALLY? That will be another lame attempt to stop independent shops from being paid and collecting what is really fair and reasonable.

Ben do not believe anything this plant has to say. she is being paid off by the insurance industry plain and clear. anything she produces will be 1 sided. It will not help anything that helps independent shops. she has been planted to change the laws we already have to protect shops. Talk to her all you want, but she is spin twisting you until you get dizzy. I am going to speak with this person directly I promise. and she will not pull any wool over my eyes in any shape or form. IGA MIAGA, if you are paying attention, stay tuned to this because they will not give up.

They can't beat us legally so they will try to do it legislatively.

Keeping your fingers crossed will only bring you arthritis. won't help us here.

Why can't Sen. Jensen along with the rest of the legislature as well as the Attorney General and the Insurance Commissioner see all the Sherman Act violations?

Safelite Solutions LLC, clearly has a monopoly on the auto glass claims TPA market. Safelite is on record stating how all non-Safelite shops are "avowed" competitors and that all divisions of Safelite Group Inc. work in concert with each other.

Insurance companies that contract with Safelite's TPA Division (all 150+ of them) do so knowing about the conflict of interest and do it to control pricing in the auto glass industry. Safelite is the only company in the auto glass repair industry that gets to negotiate pricing with the insurance companies. They in turn use Safelite to stagnate pricing in the auto glass industy to Y2K levels! Safelite can use its guaranteed average invoice scheme and then use all the repairs of their "affiliates" to help offset their replacement invoices. If an indy refuses to join, they get bad mouthed. If one does join to keep from being badmouthed, it has to essentially endorse the Safelite brand and submit to the insurance company price demands. Safelite manufactures auto glass and can influence NAGS pricing knowing that many shops will use their glass because since they agreed to discounts off NAGS they will have to eat the cost difference of more expensive but usually better glass. In the meantime, Safelite uses all the statistics only they are privy to (because of the collusion with their insurer customers who force the non-Safelite shops to divulge proprietary business information to Safelite))to determine where to open and close fulfillment division shops. Also, to buy out those that have better brands.

The new anti-trust lawsuits being launched by the body shop industry against the insurance industy all over the country call it "unjust enrichment."

Maybe they will file in Minnesota next. When will our industry follow suit?

Y2K prices were well over 50% higher. Safelite has devastated fair and reasonable pricing in order to gain market share. And Nags and the insurance industry has helped them.

Actually, Safelite does not have a monopoly.



150+? While they do represent a large group, they do not represent the largest claim volume overall. How does Safelite negotiate pricing with the insurance company? At best, Safelite has to bid the lowest GAI in order to get the business in the first place. If you haven't noticed, LYNX is bidding 5-7% lower GAI's and winning back business.



What is this "proprietary" information shops are forced to divulge that the insurance company doesn't already provide Safelite Solutions in the first place?

Gary, Please go back and reread. I didn't say Safelite had a monopoly.
I said Safelite Solutions, LLC did. You don't have to have 100% to be considered a monopoly or to have "monopoly power". In my opinion, Safelite Solutions, LLC has enough of the auto glass claims administration market (not repair and replacement market) to qualify as a monopoly. I based my opinion from a sample of thousands of 2013 claims and found that Safelite handled 78%. This entity operates a network and controls who can participate and is known to reject applications if in their opinion "the region already has enough repair and replacement facilities." (Barrier to entry, discrimination, anti-competitive to say the least.) Way too much control!

Gary, where are you getting your numbers? If Safelite Solutions, LLC doesn't handle the largest claim volume, then which of their TPA competitors does? I think State Farm only has 18-20% of the auto coverage market and they only waive deductibles for repair in TX and a few other states that require glass coverage riders to be offered, so I stand by my statement. Remember total claim volume includes both repair and replacement claims.

GAI? Guaranteed Average Invoice. The winner of this scheme is the one that does the most repair claims to bring down the average. Of course the insurance companies have done their best to depress and retard repair pricing. Some in recent years moving to flat rate.

Gary, When someone comes into my shop for service, it is none of my competitors (or their affiliates)business. The names of my customers are my business not my competitors. What kind of service I provide for my customers is my business not my competitors. How much I charge for my service is my business not my competitors. The insurance company didn't contract for my services. Their policyholder, my customer did. The insurance company has no business forcing me to deal with a third party that has financial ties to one of my competitors. I rest my case.

jb I don't think anyone with any common sense would disagree with what you are saying including our senators & congressman our system is corrupted by special interest and lobbyist, no one will ever convince me that a direct competitor will not use proprietary information to their advantage (collecting personal info e-mails etc.)having all this info creates many advantages like knowing where to concentrate your sales force advertise etc. We here in south Carolina got a law passed that had some workable language in it,but no one seem's to care that it's being ignored.The first thing the tpa is supposed ask is do you have a shop of preference I ask people all the time if they ask and say they ask if they want to use the company that there insurance company uses, and if they do have a shop of preference they start a commercial of all the advantages of using the company there insurance company uses. I've tried to convince people that customize offers and network participation hurts our argument against unfair treatment but I have to tell ya no one really seems care. after 34 years I'm on the home stretch of my career but these guys in their 20's 30's and 40's better have a plan B for making a living because if people don't wake all that will be left for independents will be r & r's and used car lots.

Gary,

Are you still there?