Report: Citizen’s Insurance Offers Zero Deductible for Customers Who Use Preferred Auto Glass Companies

Citizen’s Insurance of Michigan is launching a new platinum program, effective November 1, that features full automotive glass coverage at a zero deductible for customers who agree to use its preferred auto glass companies, including Safelite AutoGlass, according to a company spokesperson. If a customer with this same policy decides to go to an independent auto glass shop for a replacement outside the preferred network, the deductible increases to $100, according to reports from glassBYTEs readers.

Safelite Solutions serves as the third-party administrator for Citizen’s Insurance.

“We do waive the glass deductible for platinum customers if they use any of our preferred glass providers,” says Mike Buckley, a spokesperson for Hanover, parent company to Citizen’s Insurance.

“This is true,” says an insurance agent who wished to remain unidentified for fear of retribution. “Citizen’s platinum program has full glass coverage—a zero deductible if you use [a preferred provider like] Safelite AutoGlass, otherwise it is a $100 deductible if you use another glass shop.”

The agent explains that the platinum coverage is a package deal, which must cover both home and auto.

“This new Citizen’s package is not available until November 1 for new business, but we are able to quote the package today,” says the agent.

“Citizen’s Insurance of Michigan is a big player in the Michigan market,” says David Zoldowski of Auto One in Brighton, Mich. “We just found out about this. You would think this is illegal.”

Safelite’s public relations manager declined to comment saying it is against the company’s policy.

What is your opinion on this policy? Are you a part of Hanover’s preferred auto glass company network? Share you thoughts by emailing, or visit the AGRR™ magazine forum here.

This article is from glassBYTEs™, the free e-newsletter that covers the latest auto glass industry news. Click HERE to sign up—there is no charge. Interested in a deeper dive? Free subscriptions to Auto Glass Repair and Replacement (AGRR) magazine in print or digital format are available. Subscribe at no charge HERE.

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5 Responses to Report: Citizen’s Insurance Offers Zero Deductible for Customers Who Use Preferred Auto Glass Companies

  1. Alan says:

    Why yes this is illegal and those who’ve worked for safelite knows its illegal. yes they stear the insured been doing it for many many years and get away with it. I worked out of a warehouse/Store many a times the Sales department would throw the insurance company “EMPLOYEES” a nice Catered Lunch this is why the mom and pop zhops aren’t making it anymore..

  2. Does the Michigan Department of Insurance allow this? I know from once working in the insurance industry in NC we used preferred shops, but the customers could always choose what they wanted. Steering insureds to one locations, if it is legal, just looks bad for the insurance company. It appears the insurance company is getting some great kick back that everyone thinks anyway.

    When we would recommend (not mandate) a preferred shop, the only benefit the customer received was that the insurance company guaranteed the work for life vs the body shop that may go out of business or would only guarantee work for 6 months or a year.

  3. LINDA says:

    Of course it is illegal. I have many accounts that have told me…… if I use another shop I have to pay out of pocket deductible because the preferred shop may charge over and beyond the insurance amount. When we called the supervisor of Safelite they deny this. When is this going to stop? There is enough for everyone.

    Why do the ma and pa shops have to suffer? We are almost gone. Many people perfer us small shops and are not given any choice. It is all about money. What about quality and safety?????????? YOU HAVE ALL FORGOTTEN. So sad.

  4. Auto Worx says:

    geez talk about doing whatever they want..not only are they promotingand soliciting for particular glass company….but now they are trying to incentify customers to be against any for of fair competition left…it is because of the mccarran-ferguson act that they can attempt to do these things… But it is illegal even under that Act and many of the things they do are illegal even under that Act…..the Act says for insurance purposes only… Promoting shops is not for insurance purposes……offering incentives against fair competition is also not for insurance purposes only

  5. Sickofsafelite says:

    Correct me if I am wrong but according to the contract I signed as a network provider, I am not allowed to waive a deductable or I am in violation of that contract. I am not allowed to give gratuities to insurance companies either. To say this is the insurance companies policy is total b.s. Ultimately it is the auto glass provider that agrees to pricing. It doesnt matter if it is inurance, fleet or COD work. So just another case of hypocracy in our industry. Heres another example…..about a month ago a big insurance company had an appreciation day at the ballbark. Who do you think was up in the suite hob knobbing with the higher ups of the insurance company……bet you can guess! Guess what else…this same company provided them with official team jerseys that I am sure were not cheap….. We as independents just keep getting pushed around. Been in this industry for 23 years and have watched it continue to erode. Just give me 7 more years and Im done. I keep telling myself that all the time.

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