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Monday, 19 March 2018 17:17

$713,000 Lawsuit Against Progressive Filed by PA Shop Owner

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Across the country, “insurers aren’t fully reimbursing consumers so they can have proper and safe repairs done,” according to Ron Perretta, owner of Professionals Auto Body in Pennsylvania.

“It’s impossible for the shops to fix these cars properly [while] being paid what they are being paid,” said Perretta. “Their hourly rates are being suppressed and the repair operations that are needed to fix these cars properly have been suppressed.”

 

He said insurers continue to “bully” shops into lowering their rates and not performing operations required to bring the vehicles back to their pre-loss condition.

 

After experiencing this first-hand for many years at his two Pennsylvania locations in Altoona and Duncansville, Perretta filed a lawsuit against Progressive in 2017.

 

According to court documents, “Progressive had a contractual duty to the insureds and third-party claimants to compensate Professionals for the reasonable and necessary costs to return the covered vehicles to their pre-loss condition. But rather than agree to reimburse Professionals for the cost of making reasonable and necessary repairs, Progressive directed Professionals to ‘utilize inferior parts and/or to perform inferior service.’”


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