State Farm Makes It Official: Deductible Waiver for Windshield Repair Being Eliminated

In a memo to its Offer and Acceptance program participants dated May 6, Sate Farm Insurance has made it official: it is eliminating the current deductible waiver for windshield repair.

GlassBYTEs™ first reported the possible action on April 25.

According to the memo from Bob Bischoff, glass claim services manager for the insurer, the date of the change will vary by state and will be added to the policyholder's policy at renewal. The first states to be affected by the change are Alabama, Kansas, Oklahoma, Washington, Colorado, Idaho and Michigan beginning December 1, 2005. As more states become effective, the company said it would notify O&A participants prior to the change.

"State Farm continues to value windshield repair as an option," the memo states. "The company will continue to pay for repairs after the policyholder's deductible has been met."

The language being eliminated from policies is: "If we offer to pay for repair of damaged windshield glass instead of replacement of the windshield and you agree to have such repair made, we will pay the full cost of repairing the windshield regardless of your deductible."

The memo also said that LYNX Services will continue to dispatch claims and identify the applicable deductible amount. The LYNX dispatch fax or communication will have the appropriate deductible amount for any given repair or replacement.

See GlassBYTEs April 28 for industry response to the report of this State Farm action.

No reproduction, in print, electronic or any form without the expressed written permission of
Key Communications Inc. 540-720-5584.