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Louisiana Law Allows Mechanical Breakdown Insurers to Provide Windshield-Policies
Louisania Gov. Bobby Jindal signed a law in week of June 14 that will allow vehicle mechanical breakdown insurers to provide customers with specific vehicle component coverage contracts for several items, including windshield-specific coverage, for road hazards. Under the terms of the law, mechanical breakdown insurers can now provide windshield-specific contracts to their customers, and that contract would “promise to pay for all or part of the cost of the repair or of the replacement of windshield or window glass on a motor vehicle when the damage to the glass is caused by contact with a road hazard.” The law, which has already taken effect, says the term “road haz-
ard” includes items such as potholes, rocks, curbs, wood debris, other debris, nails, screws, bolts, metal parts or glass, but not damage caused by a collision with another vehicle, vandalism or other causes “usually covered under the comprehensive or collision coverages.” Vehicle mechanical breakdown insurers are defined as companies “issuing or attempting to issue vehicle mechanical breakdown policies or vehicle component coverage contracts.” The bill was introduced in March by Rep. Charles E. Kleckely (R - La.). Kleckely had not responded to requests for comment on the bill’s origins at press time.
According to reports by the Associated Press, General Motors Co. said June 17 that it will keep most of its U.S. factories, including the Arlington Assembly Plant, open through the normal two-week summer shutdown to meet demand for some of its vehicles. The automaker will keep nine of 11 assembly plants open to make 56,000 more vehicles that are in high demand, such as the Buick LaCrosse luxury sedan and the Chevrolet Traverse large crossover vehicle. GM said in a statement that the company is trying to reduce waiting time for dealers and customers to get vehicles. In addition to Arlington, plants that will stay open from June 28 to July 9 are
located in Bowling Green, Ky.; Fort Wayne, Ind.; Hamtramck, Mich., Kansas City, Kan.; Flint, Mich.; Delta Township, Mich.; Lansing, Mich.; and Wentzville, Mo. Automakers have traditionally shut down plants for short periods during the summer while switching production of model years and to manage vacation time for workers. The company has kept some locations open during the summer shutdown, but company spokeswoman Kimberly Carpenter said GM is keeping far more open this summer than it has during recent years. To help meet the increased demand, GM is also expected to increase
Arlington, TX, GM Plant to Open in Summer
See Arlington, Page 12
VOL. 28 ISSUE 7 JULY 2010
Weekend-long Hailstorm Caused WideSpread Damage in the Clovis, NM, Area Dime-sized hail dents to vehicles in the Clovis, NM, area on June 12 brought a truckload of work for insurance companies and body shops.
Chuck Jones, a forecaster for the National Weather Service, said the storm dropped .62 inches of rain in Portales, making it the fifth wettest June 12 on record. An exact rain amount for Clovis was not available, but Jones said the storm most likely dropped “well over an inch” of rain. The storm brought snow-like hail that blanketed the streets, which made for dangerous driving conditions over the weekend. The hail damage is so widespread Songer said he can’t keep up with the numHeavy hail accumulation is like driving on on an ice sheet covered with ber of claims coming into ball bearings his direct-repair shop. George Songer, owner of Rem- Songer said he has been writing a lot of esbrandt’s Auto Body Shop in Clovis, said he timates and is even glad to lose some of the received 256 claims in just one day on jobs to insurance companies’ DRPs because June 16. they’re so swamped. However, a fellow business in Albuquerque has more personnel on the way to help make the repairs. May Martinez-Hendershot, spokesperson for State Farm Insurance, said the company had a catastrophic loss team on the way from Albuquerque, and some of them are in Clovis. Hendershot said as of 3 p.m. June 14, State Farm Hailstones the size of eggs piled up had received 360 auto “We’re so busy we can’t get to our claims and 80 homeowner claims in the collision repair we already have in,” Clovis area relating to the storm. HenderSonger said. Songer also said he shot said the company is looking for a losaw a lot of dime to egg-sized dents cation to set up a drive-in auto claim and mostly broken sunroofs, rather center to make it easier for customers to than broken windshields, thanks to file and process a claim. the spring storm. He estimates that Other counties in the area saw heavy some cars coming in may also be to- rains and high winds throughout the week tals. but did not experience any hail.
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