Safeway Insurance Co. has become the first to send out an Offer and Acceptance letter which offers no pay for the labor and materials following the NAGS rebalancing which took effect the end of February. The offer states that the company will pay the new NAGS list price for a job with all elements included in the NAGS price.
Here is the content of the letter which the company sent out.

NOTICE

NEW SAFEWAY INSURANCE COMPANY
GLASS LOSS PAYMENT GUIDELINES

2/18/05

To whom it may concern:

Due to new radically changed NAGS pricing effective February 28th 2005 Safeway Insurance Company has established new competitive pricing based on the new NAGS pricing with vendors that repair and install Glass for us.

THE AMOUNT WE WILL PAY:
The amount Safeway Insurance Company will pay for glass installation when the new NAGS pricing is effective will be based on the new NAGS list price. Payment of the new NAGS list price for glass installation will include the cost of the glass, installation of the glass and installation materials necessary to complete the work. Applicable tax will be paid in addition to the installed price. Moldings (when needed) will be paid in addition to the glass price.

OTHER THINGS TO CONSIDER:
The only person that can make a glass claim is our named insured. Our named insured must contact our claim department and make a claim before we will approve glass repair or replacement. Any invoice sent to us from a glass shop that does not have a corresponding reported claim set up to pay the loss from will be returned unpaid. A glass bill from a glass company is not proof of loss and the bill will be returned unpaid.

Direct bill from a glass vendor will only be accepted and paid direct to the vendor if approval to make a repair or installation was obtained from us prior to doing the work. For approval or authorization of glass repair or replacement, please call Alice Owens at 480-730-0026, x122