I saw some interesting statistics from Allstate in a recent article (click HERE to read) about the insurer's efforts to keep A.B. 297 in Nevada from passing. The bill would prevent insurance companies from acquiring or opening collision
repair facilities and would place restrictions on pre-existing
relationships between insurance companies and shops they own interest
in, referred to as “tied shops.” The bill would also require a notice posted in all tied shops that reads:
This body shop is owned in whole or in part by (Name of Insurer). You
are hereby notified that you are entitled to seek repairs at any body
shop of your choice.
Anyway, in the article, Allstate reps said that, in 2008, only 10 percent of
its customers in Nevada had their cars repaired at Sterling, 30
percent used a preferred provider and 60 percent settled for a check or
used another body shop. They then said that this proves they're not steering. I just wondered if those numbers are true, especially given the stories you hear about how some insurance companies shoot for getting 70 to 75% of their customers to go to one of their preferred shops. Also, customers who took a check and customers who used a shop not on Allstate's list were lumped together in the 60% figure. I wonder how that breaks out? And I wonder how many of those customers who took checks did not get their vehicles repaired?
Does anyone believe these numbers? Just curious.