Alpine Glass Inc. Receives Fourth Six-Figure Award Against Insurer Short-Pays

Minneapolis-based Alpine Glass Inc. has been awarded $133,862.04 from Liberty Mutual Insurance in payment for more than 350 short-paid invoices ranging from July 28, 2005, through July 6, 2011, according to the arbitration award signed by arbitrator Robert K. Randall.

The matter, which was heard before the Arbitration Tribunals of the American Arbitration Association, was resolved on July 25, 2012, in Alpine's favor.

The case arose from Alpine's allegations that Liberty failed to reimburse them for expenditures accrued over the course of nearly six years of glass repair and replacement claims for vehicles insured by Liberty. Liberty, however, claimed that Alpine's charges exceed the amount necessary to cover such cost of repair and replacement and that their payments are "consistent with competitive prices in the area."

As a result of the disagreement, Randall was left to decide on the validity of Alpine's assignment from Liberty, the full scope of work necessary for repair, what amount Alpine is entitled to, and if Liberty committed a breach of contract. Randall agreed to the legitimacy of Alpine's assignment, as well as the fact that Alpine did submit 354 valid invoices.

Randall writes, "Respondent [Liberty Mutual] shall pay Claimant [Alpine Glass] the amount of $133,862.04 pursuant to the terms of its insurance policy. This amount represents the short-pay or an underpayment by Liberty on the glass claims submitted for review by the arbitrator."

Alpine did not receive the full amount of compensation originally requested, however. Randall reduced the original $154,248.01 request for compensation down to the awarded figure. The arbitrator's award was less a mobile fee of $920 considered a part of regular business non-specific to the Liberty matter, a mouldings fee in the amount of $7,075.97 which was considered already covered under the re-payment of the windshield, and a reduction of $35 per claim ($12,390) to make the request more reasonable.

Mike Reid, president of Alpine Glass, issued the following statement to glassBYTEs.com™/AGRR™ magazine.

"Even though we have had enormous success seeking fair compensation through arbitration, we would always prefer to work something out with the insurers," says Reid. "Often, we are able to. In this case, we tried to settle before the hearing and offered to settle for much less than what we were awarded by the arbitrator but Liberty was unwilling to be reasonable."

Alpine's attorney, Chuck Lloyd of Livgard & Lloyd, adds, "Alpine intends to continue to pursue just compensation and if that means litigation against insurers, all indications are that Alpine is fully prepared to go down that path and do so very successfully."

Officials from Liberty Mutual had not yet responded to requests for comment at press time.