PCTG Consumer Complaint Report Record ID#: 1174423310

DEPARTMENT OF INSURANCE: This Consumer's Complaint is submitted on behalf of our business and our consumer whose vehicle is under repairs at our repair facility. Our consumer signed our authorization to repair on March 12, 2007. We faxed State Farm Ins. Company a request for supplemental on March 9, 2007. Our reason for requesting a supplemental 3 days prior to our repair date was due to our inspection of the consumer's damages after Stewart Pague had inspected the vehicle on the street and underwrote obvious damages.' Stewart Pague, State Farm's staff appraiser stopped by our facility on March 14, 2007 to review our supplemental request. Mr. Pague entered our facility at 12:40PM unannounced without an appointment. CAC Company Policy: It has been our Business Policy for over 30 years that insurance appraisers schedule an appointment prior to inspecting damages on client's damage vehicles. All insurance representatives who visit or have visited Crawford's Auto Center, Inc. are aware of this policy. This policy has been accepted and understood by all insurance companies for over 30 years. Recently, State Farm Insurance Company has ignored this policy and demanded their appraisers stop in unannounced. We have asked State Farm representatives to call first which provides our business an opportunity to schedule for their visit. State Farm Insurance Company has advised us they will not schedule appointments at our place of business and will stop when it is convenient for them.' State Farm Staff Appraiser Stewart Pague: We have provided a recent complaint against State Farm staff appraiser Stewart Pague. State Farm's staff appraiser appears to have a malious agenda when asked why he did not call ahead for an appointment. This conversation was between our appraiser and Stewart Pague prior to Pague inspecting our consumer's supplemental request. CAC Appraiser: "Why didn't you call us for an appointment?" S. Pague: "We are not to be doing that. I get my assignments the night before. If you want me to leave. I will go" CAC Appraiser: "Our company policy is for appraisers to call ahead for an appointment." S. Pague: "If you want me to leave I will go."' CAC Appraiser:"Other State Farm appraisers have called prior to stopping by for inspections." S. Pague: "I will let my boss know their calling for specific times and it will be stopped!" It appears that State Farm Insurance Company is using this tactic to create "hostile" environments. Many independent repair facilities have been branded as hostile environments by State Farm, which facilitates the insurance company's tactic of steering consumers into State Farm's contracted repair partners. This branding of shops allows State Farm representatives a steering opportunity as they advise consumers of a hostile atmosphere at certain shops when their appraisers are denied access to inspect damaged vehicles due to the appraiser not making an appointment prior to visiting the business. Our facility has received letters from State Farm suggesting our facility as hostile when in truth the insurance company is utilizing the above type manipulation tactics to instigate an unprofessional environment. "I will leave if you ask me to". If the shop does in fact ask the appraiser to leave, and arrange for another appointment the appraiser will immediately contact the consumer by phone and complain that the shop has refused to allow them access to inspect the damages on the vehicle. This situation creates an opportunity for the appraiser to persuade and influence the consumer into moving the vehicle to another repair facility suggested as "friendly" by State Farm.' State Farm's strategy is obvious, especially for those shops branded as hostile environments by the insurance company. This manipulation of the claim practice is a violation of the State Law & Regulation " Act 367: Every appraiser shall: Conduct himself in such a manner as to inspire public confidence by fair and honorable dealings. ' Chapter 62. Regulation: (3) Review the appraisal with an authorized representative of the repair shop which is selected by the consumer or with any other person reasonably necessary to demonstrate that the actual costs of repairs are adequately covered in the appraisal. State Farm's refusal to follow a collision repair facility's appointment policy is a violation of the above state guidelines. Without fair and honorable dealings said appraiser can not review the appraisal with the consumer's authorized representative of the repair shop. Without an agreed upon time of day (appointment) to review said appraisal the insurance company appraiser and the consumer's representative cannot assure that the actual cost are adequately covered in appraiser's appraisal which is an administrative guideline under Pennsylvania State law and Regulation.' Enforcement action needs to be taken due to State Farm Insurance Company utilizing market influence to attempt and control the environment of independent businesses. To allow this to continue is anticompetitive and not in the best interest of the state's consumers.'' Thank You, Stephen Behrndt