“Windshield Bullies:” The Jails Must Be Full of Them—Is That a Fact?

A recent blog, “‘Windshield Bullies a Growing Fraud Problem,’ posted by MSNBC blogger Bob Sullivan, discusses the issue of direct marketing tactics used by auto glass repair and replacement (AGRR) companies. Once again, we have an article that attempts to label most, not all, of the companies using these techniques as “bullies.” The fact of the matter is that there are reputable companies using direct marketing to sell their services. And, in my ever-so-humble opinion, let me add that legitimate companies employing direct marketing are justified in doing so.

In this blog, there is a lot of chatter about direct marketing fraud. However, the blogger does not identify any specific cases where an individual or company was arrested, convicted and fined or jailed for fraud. When the blog refers to fraud, it refers to cases that were not related to direct marketing. The first two paragraphs describe an industry rampant with illegal activity. And then the third paragraph begins by pointing out that the “salesmen aren’t necessarily criminal.”

Ladies and gentlemen, unfortunately the insurance industry breeds fraud. It should not be news to any of you that there are dishonest people serving in the AGRR industry. But let me add that there are no excuses to commit fraud, and the perpetrators should be prosecuted and punished. By the way, what happened to the Florida woman referenced in the article who was accused of damaging windshields and told police that she received $45for every referral? Is she in jail?

But let’s not talk about it. If these people are guilty, let’s roll up our sleeves, put down the pens and the sensationalism, and get to work. How many more articles will we need to read about this so called problem? If local ordinances require licensing, are these sales reps licensed? If not, I would encourage local municipalities to license these kinds of activities. There are ways to deal with this problem, but it appears that we would prefer to write about it rather than deal with it.

The blogger does a good job of identifying the problem, discussing it, and painting the problem with a broad brush. But his perspective is one-sided. He does not discuss the real cause for the increase in this kind of marketing. And it does not help the situation when the push for windshield repair is all over the television and radio—especially with emphasis on how it may be no cost to the consumer. Mr. Sullivan, the author of the recent “Windshield Bullies” blog, is a journalist and sensationalism drives readership. But I continue to be amazed at the silence of the insurance industry. Prior to the barrage of these commercials focusing on windshield repair, how many consumers paid any attention to a chip in their windshields? People are coming out of the woodwork wanting to do chip repairs.

Companies have turned to direct marketing to take control of their businesses from a system that is designed to thwart real competition and refer business to those shops that are price-friendly to insurers. That is correct. The TPA models thwarts competition and does a major disservice to consumers. It would do the legitimate operators in the AGRR industry a service if Mr. Sullivan would pursue this matter by writing a blog on the real cause. I have sent Mr. Sullivan an e-mail suggesting he do just that. Guess what? No response.

Erin Klug, a spokesperson for the Arizona Department of Insurance, was cited as having a personal experience with direct marketers. Unfortunately, we remember the debacle in the State of Arizona and how they dealt with this issue. She says that there is a real problem with auto glass fraud in Arizona and elsewhere. Please give me the facts. There are thousands of shops operating within the industry. And how would an article built around sensationalism be complete without input from a representative of the National Insurance Crime Bureau? Does anyone recall the article on “questionable” claims on the rise, only to find out later in the article that they may not be of a fraudulent nature?

I can assure you that the legitimate players in this industry do not want to coexist with the bad apples in this industry. But let’s delve into the underlying reasons why this kind of activity is taking place and let’s fix it. Let’s work to fix it together.