Auto Glass Industry · Auto Glass Shop Marketing · Auto Glass Week · Driven Brands · Insurance Steering · Lead Generation · Live Call Leads · Pay Per Call · Performance Marketing · Safelite Auto Glass
Auto Glass Insurance Steering: Safelite Does It — Will Driven Brands?
In the American auto glass industry, the practice of job steering has become a potent strategy for companies like Safelite to corner the market. Steering involves insurance companies directing customers to specific repair shops, typically ones with which they have preferred agreements—such as Safelite Solutions. This practice enables Safelite to cherry-pick the most profitable jobs, leaving smaller, independent shops in the dust. As Driven Brands launches its new insurance claims division, Driven Claims, the question arises: Will they replicate Safelite's tactics?
How Steering Works and Its Market Impact
Safelite, through its insurance network Safelite Solutions, handles millions of claims each year, effectively managing the entire claims process and steering customers toward its own repair centers. Consumers are often under the impression that using these preferred repair shops is their only option, despite having the legal right to choose any provider. This practice allows Safelite to capture high-margin jobs such as windshield replacements, which are covered by comprehensive insurance policies, while lower-margin or more complex repairs are often left for independent shops.
This creates an uneven playing field. Independent shops, which lack the resources and insurance partnerships that Safelite enjoys, struggle to compete for high-value jobs. Safelite's steering practices result in a significant market share for the company while limiting opportunities for smaller businesses to thrive.
Is It Fair or Unfair Competition?
Safelite defends its practices by claiming that its close relationships with insurance companies benefit consumers through faster service and competitive pricing. From their perspective, steering is just a part of efficient business operations. However, smaller auto glass shops see it differently. These businesses often lose out on high-revenue jobs and are left to fight for the less profitable work, creating a market where competition is not based on quality or service but on who can best manipulate the insurance system.
While legal in many states, steering has faced growing scrutiny from regulators and industry advocates who argue it violates consumer choice and stifles fair competition.
Will Driven Brands Follow Suit?
Driven Brands, through its Driven Claims division, is entering the insurance claims management space in a way that many industry insiders believe will mirror Safelite's approach. By managing insurance claims, Driven Brands positions itself to steer work toward its own auto glass brands—Auto Glass Now, All Star Glass, and others in its portfolio.
If Driven Brands adopts steering practices similar to Safelite's, independent shops will face even more intense competition for the insurance-backed jobs that represent a significant portion of the auto glass market.
What Independent Shops Can Do
For independent auto glass shops, the rise of steering by major players makes it more important than ever to diversify lead sources. Relying on insurance referrals alone leaves businesses vulnerable to the whims of large corporations. Lead Link Media's Pay Per Call system provides a reliable, insurance-independent source of high-quality customer calls, helping independent shops compete and thrive.
Contact Lead Link Media today to learn how we can help your shop generate leads that aren't subject to corporate steering.