Montana has warned Safelite and Lynx to stop serving as unlicensed glass claims administrators for several large insurers, according to documents filed earlier this month. Its an easy fix; the license only costs $100, and the application doesnt take long to process. But the penalty for noncompliance is steep: $25,000 per violation. The states allegations are also a bit of an embarrassment for Safelite, Lynx, and the insurers for which theyve been improperly working. Lynx has been an administrator for Hartford and State Farm glass repair claims, and Safelite has worked for GEICO, Allstate, Progressive, USAA, Farmers, Liberty Mutual and QBE, the Montana Commissioner of Securities and Insurance said in separate, unrelated May 13 filings.
The insurers do not face state action for using an unregistered glass administrator.