Measure to eliminate assigning insurance benefits to auto glass repair companies clears the Legislature
'This bill will finally put an end to frivolous lawsuits perpetuated by a few bad actors and modernize our laws'
Sen. Linda Stewart
The Legislature has signed off on a “tort reform” measure that sponsors say would repair Florida’s reputation as the nation’s leader in auto glass-related lawsuits.
The House voted 103-16 on May 2 to approve SB 1002 by Sen. Linda Stewart, D-Orlando.
House sponsor Philip “Griff” Griffitts, a Panama City Republican, reminded his colleagues that the number of auto-glass lawsuits in Florida increased 6,000% from 2011 — to 38,000 last year.
“If your business is predicated on filing lawsuits, you should probably be a lawyer and not an auto-glass installer,” he said.
The measure would prohibit motorists from assigning their insurance benefits to an auto glass repair business, a practice known as “AOB.”
Insurers would be authorized to offer discounted policies with deductibles for windshield replacement, in addition to state-mandated full coverage. Another provision would require auto glass repair shops to notify customers that they may need to have their advanced driver assistance system, “ADAS,” recalibrated.
The National Insurance Crime Bureau said some shops were charging customers for unnecessary calibrations or charging for a service they don’t perform.
Florida Chief Financial Officer Jimmy Patronis testified for the bill at several legislative committee hearings.
The Florida Independent Glass Association, a chief critic, warned that the measure could put smaller shops out of business.
Association lobbyist Jeff Johnston told lawmakers that Safelite, a large competitor, has an unfair advantage because in addition to auto glass repair, it also serves as claims handler for insurance companies.
Sponsors added an “anti-steering” provision that would require insurers to offer policyholders an option to use multiple shops without showing a preference.
Safelite lobbyist Ashley Kalifeh assured lawmakers the company supports the provision. Safelite Solutions, a subsidiary, is the claims handler, Kalifeh said, adding that customers are free to choose their own repair shops.
SB 1002 cleared the Senate 40-0 on April 19.
Before the vote, Stewart thanked Patronis and Republican colleagues for their help crafting the final language.
“This bill will finally put an end to frivolous lawsuits perpetuated by a few bad actors and modernize our laws,” Stewart said.
