Inside Insurance Contracts: Lloyd Offers Tips

“The policy is what dictates what the insurance company is going to pay,” said Chuck Lloyd of Livgard and Lloyd during a session of the Independent Glass Association’s annual conference.

Lloyd’s session was designed to help auto glass businesses learn tips for working with insurers and getting paid what they feel they should be in an insurance transaction. He stressed that obtaining an assignment of proceeds from a policyholder—a form saying they sign their insurance benefits for a particular claim over to your business—is key.

“The policyholder can take what is owed and assign that to you,” he said.

Lloyd called the assignment of proceeds a “foundational document.”

“It’s as important as your invoice,” he said.

He suggests obtaining this nearly as soon as you make contact with the customer.

“If you have an assignment, you have the ability to deal with [the insurer],” he said. “In fact, I think they have an obligation to deal with you.

Lloyd likened to receiving the assignment upfront to making sure a check clears before doing a job.

“You give us the assignment today and I will replace your windshield on Thursday,” he gave as an example.

He also said the assignment can help prevent possible steering attempts.

“The policyholder has no ability to allow someone else to do the work once the assignment is signed,” said Lloyd.