TPA Legislation to Go Before Rules Committee in Washington State House of Representatives

A bill before the Washington State House of Representatives, which addresses the role of third party administrators (TPA) with regard to auto glass insurance claims was recently passed by the State Executive Committee, and will now move forward to the State Rules Committee.

If passed, the bill would require TPAs to disclose their financial relationship to the insurance company. The legislation would also require all TPAs to inform customers of their right to choose their preferred auto glass shop. The bill goes on to state that, should a customer inform the TPA that they have a shop preference, the TPA "shall not" recommend an alternative auto glass shop.

Tom Grim, president of the Washington Independent Glass Association, expressed his satisfaction with the progress of the bill by stating that the move to the Rules Committee is, "a great first step" for the bill.

The bill does have its opposition. "We do not support the current version of House Bill 1066 because, as proposed, it is too vague and does not protect the rights of the consumer," says Jenny Cain, spokesperson for Safelite Group, Inc. in a written statement provided. "It restricts the consumer's ability to receive a recommendation for services even when one may be requested. We continue to work with property and casualty trade associations, insurance companies and numerous lobbyists to defeat or appropriately amend the legislation for the benefit of the consumer."

Additionally, there is a similar bill before the State Senate. Grim, who testified on behalf of both the House and Senate bills, expressed confidence that the Senate legislation would pass the executive committee as well, saying that he is, "pretty confident that it will pass the Executive Committee."