Two former House Speakers turned lobbyists are facing off over a bill regulating auto glass, legislation that has escaped extensive attention amid controversial debates on the death penalty, liquor regulations and teacher tenure.
The bill creating the Speaker vs. Speaker clash is H.B. 5231. It would require insurance companies to provide a list of auto glass shops instead of referring a customer to one specific shop.
Under current law, insurers are required to ask customers if they have a preferred glass shop and, if the customer doesn’t, can suggest one.
This is a contentious issue because Safelite Solutions, a subsidiary of auto glass company Safelite, has contracts to administer auto glass claims for insurers. Therefore, when customers of client insurance companies call to report a broken windshield, Safelite Solutions takes the call.
If a customer has no preferred auto glass dealer, Safelite Solutions can refer customers to Safelite.
Richard Balducci, vice president of Doyle, D’Amour & Balducci, represents Safelite and opposes the bill. A longtime representative of Newington in the legislature who now lives in Deep River, Balducci served as Speaker two decades ago.
James Amann represents the companies that support the bill, including Pay Less Auto Glass, The Whalley Glass Company, Plymouth Auto Glass, Auto Glass of New England Hamden and National Glass & Mirror, according to state ethics filings.
Pay Less Auto Glass was one of Amann’s first clients, according to the Connecticut Mirror.
James Amann, who represented Milford, served as Speaker of the House from 2005 to 2008, immediately preceding current Speaker Chris Donovan, D-Meriden.
Amann formed his lobbying firm, International Government Strategies, after a $120,000 gig advising Donovan fell through. He did not respond to an email seeking comment.
Balducci said “when you undress the bill” the object is to get at Safelite, his client, because “they’re the big guy.”
“What they want us to do is more or less to advertise for them,” he explained. “They want us to present a list. Our guys would then become liable.”
“We are trying to continue our business as everyone can continue theirs,” he said.
Balducci said both the state Insurance Department and insurance companies in Connecticut oppose the bill. “There’s no complaint from consumers on this,” he said.
“We help save consumers money by shortcutting the process,” Balducci said.
Balducci said customers have the opportunity to go to any shop if they have a preference, but if Safelite Solutions provides a list, it seems like an endorsement.
“We become liable for making this recommendation,” he said.
Balducci said he chuckled thinking of the bill as a competition between him and Amann – or “Jimmy” as Balducci called him.
“He’s a lobbyist. I’m a lobbyist,” Balducci said. “We’re just like anybody else up there. No big difference.”
Sour grapes. Also, there is no steering. I know, I’ve worked there for years. Every call is recorded, so don’t make up stories. The reason you couldn’t hear that call is because that call was none of your business.
I’m not saying it’s a great job. It’s not and the pay is terrible. The company rides on the backs of its very low-paid workforce. They’ll stick it to the employees ever which way, because they know that can. The attitude is if you don’t like it, then there’s the door if we don’t fire you first.
But the content of your post? Total bullshit.
I think that glass company should have an unfair advantage over another. Payless Auto glass and Whalley Glass are both excellent companies. And Whalley Glass is family owned which is nice.
Has nothing to due with raping or over charging.
They have full control over other Auto Glass company’s leads. They see who their competitors are in every market in the US. They control it by steering consumers away.
For 6yrs that’s what I did for them. From wholesale to retail, it made me sick.
I have been in the business for 21 years. To say that that they are the biggest is correct. To say that they are the best is your opinion. I own a small independent shop in AZ and have been on The SGC network for years. I must agree to the pricing that they tell me the insurance company sets for our market or deal with the ramifications of csr scripts that frighten the customer or instill confidence. To say that Safelite does not do anything wrong is turning a blind eye to what we independents have to go through on a daily basis. I have had jobs waiting for the so called “verification process” to take place stolen and then performed by Safelite. Yes i said stolen! When I have asked to listen to the so called tape of my csr with our customer they could not find it. To say that it is frustrating that our company sales information is available to our competetors and it is used against us is even more frustrating. These networks or tpa’s that are affiliated financially with auto glass retail chains or stores use this information in markets to gain more business. Wonder how they get bigger…..thats just one way…..I had the same issue with another big network who was affilaited with a program for auto glass retailers. The wholesale use to tell me there was no way they could find out what my company’s sales were because that would be unethacle and they were two different entitiies. Wrong again….A sales Rep came in one day and gave me a full report on how may claims I had run through the network. The sales rep was with the whole sale glass retailer. I have watched oveer the years all the little tricks they play that make me sick. They tell you to me a member or an AFFILATE PARTNER and then they turn around and screw you by sending reports to insurance companies so the agents district manager can come down on agent for not sending all glass claims through the 1-800 number. They tell them they could have saved money if they would have followed the program….the same program that I am being told what I can charge and then being underbid or lowballed by the company that I have to go through. This travisty has been going on for years.
Are there crooked companies out there..absolutely. People that overcharge…absolutely. That problem could be fixed or changed easily. Its not for a reason…wake up! As long as that problem exists…its the best defense for a TPA to sell there services to an insurance company.
One last thing…the big company that you talk about has recently started charging for a glass disposal fee, shop suplles and in some cases mobile service when it is a cash price. I applaud them for raising the price on COD work. Answer me this….why don’t they do it for insurance customers also?
The reason legislation is now moving forward in various states is because people are starting to wake up and see what is really happening not to mention they hold approx 26% of the market. This still is America and small business makes up a huge part of our economy. All I want is the ability of having a fair playing field. I own a glass company and have been in the business for 21 years. I employ not sub-contract my people. Brick and mortar building, mobile and inshop. One hour safe drive away time urethane and documenet it along with performing replacement according to AGRSS standards.
What is it that you do again…..if you work for Safelite then tell me as so many other techs here in AZ have told me that they are overloading them with 8-12 jobs a day and there is no possible way to do 8-12 jobs a day mobile and do them correctly unless you are a hack!
Enlighten me Joe…please…tell me how you have lost jobs to your competetors…
There a few insurance companies that use this method. (Cincinnati insurance) Where it is a rotating list of shops. Its not a efficent way to do things, and often customers may get confused or end up with poor service.
I often hear this argument. It is a piss poor one, to say “Foreign owned” , Yes Belron bought out Safelite, but Safelite employs THOUSANDS of americans, and its a GOOD job to boot. So many auto glass people just have sour grapes because they cant rape people and overcharge customers/insurance company. There is a reason they are so big and successful.
not only does Safelite (foriegn owned) get to steer the undecided customers to their own retail shops, they often say that “they” can not guarantee the work of other glass shops that the customer might prefer. Of course that is true, however the other glass shop guarantees their own work and does not need Safelite to guarantee anything. Instead Safelite should just do their job and handle the arrangements for the claim. Safelite also colludes with the insurance companies to gather customer info, market pricing and labor rates of all of their competitors by operating as a third party administrator. This sensitive information is never shared with the other glass companies. Safelite should at least share this industry information with the other market participants.
How do you suppose Safelite became the “Big Guy” ?
Actually, Safelite should be restricted from acting as a third party administrator for auto insurance companies due to the obvious conflict of interest. Currently, independent glass shops are forced into dealing with Safelite (their direct competitor) anytime the policyholder uses their insurance for auto glass repair or replacement. Nothing is more anti-competitive than being forced to give your direct competitor proprietary business information!