Purchase today and save $200 or receive a $0 deductible plan for the $100 deductible price. Visit Warranty Direct to save on your vehicle service contract (extended auto warranty).

This offer is available is available for a limited time. (Discount offer not available in Florida or California.)

Call (877) 759-6861 or visit
www.warrantydirect.com for details

Take advantage of our Father’s Day Promotion to save on your vehicle service contract (extended auto warranty).

This offer is available is available for a limited time. (Discount offer not available in Florida or California.)

Give Dad more than just a tie.
Cover his car from costly repair bills today!
Call (877) 759-6861 or visit
www.warrantydirect.com for details

Take advantage of our Daylight Savings Sales Promotion to save on your vehicle service contract (extended auto warranty).

• $100 Off all plans we offer
• Upgrade to a $0 Deductible from a $100 deductible for FREE

This offer is available  until March 15th, 2010 at 8:00 PM EST. (Discount offer not available in Florida or California.)

Call 800-632-4222 or visit Warranty Direct today!

1. Rust-Proofing: Some dealers charge up to $800 for this service, which sometimes amounts to no more than spraying a coating from an aerosol can in the wheel wells.
2. Fabric Protection: For a couple of hundred dollars, some dealers will try to sell you fabric protection for your car’s interior that will repel stains. You know it as Scotchgard.
3. Paint Sealant: This is another instance where the dealership hopes the car buyer will be gullible enough to believe that it’s using some special technique and material that’ll keep your car’s paint looking factory fresh
4. Window Etching: Another easy-money markup for car dealers; they etch your vehicle’s VIN on a window so that your car can allegedly be tracked in case it’s stolen.
5. Alarm System: Many cars come with a basic form of security, such as coded keys, but many dealers will also try to sell you a full-featured alarm system.
6. Extended Warranty: Since vehicles come with longer and more comprehensive warranties these days, extended warranties are usually not worth the extra money. If you plan to hang onto the vehicle for a long time, an extended warranty can be a good investment if and when your car needs major repairs. But don’t buy it from the dealer, since you can often get a better deal through independent insurers, such as Warranty Direct.
7. CD Changer: The price of a CD changer at a dealership can be twice what it is at a car stereo shop or electronics store.
8. Rear-Seat Video: Whether to choose this dealer option is not as easy to decide as the ones above.

Consumer Reports says almost the same thing:

“Dealerships often try to sell you extras that boost their profit margin but are a waste of you money. They can include rustproofing, fabric protection, paint protectant, or VIN etching, in which the vehicle identification number is etched onto the windows to deter thieves. Don’t accept those unnecessary services and fees. If you see those items on the bill of sale and you haven’t agreed to them, simply cross them out and refuse to pay for them. Vehicle bodies are already coated to protect against rust. And recent CR reliability surveys show that rust is not a major problem with modern cars. You can treat upholstery and apply paint protectant yourself with good off-the-shelf products that cost only a few dollars. If you decide you want VIN etching, you can buy a kit to do it yourself for less than $25, instead of the $200 that some dealerships charge. Also think twice about an extended warranty. It can cost hundreds of dollars. But if you buy a model with good reliability or if you expect to have the vehicle only for five years or less, it often isn’t worth the cost.”

Regarding Car Warranties, US News & World Report says:

“The dealer’s extended warranty isn’t necessarily the best deal; in fact, it usually costs more. Plus, you’re in a high-pressure situation at the dealer and might not be able to read the fine print. Finally, if you buy the dealer’s extended warranty, you might be required to return to that dealership to get it honored – which could become a problem if you move.”

So save yourself some money:

• Skip the rust proofing
• Buy your own can of Scotchguard for your cloth upholstery as well as the carpeting and matting
• Say no to paint sealant which is often just a wax job that you can do yourself or pay the neighbor’s kids to do
• For your alarm upgraded stereo and video systems you can often find a better system cheaper at your local car stereo shop or a big box retailer like Best Buy
• Window Etching – check with your local police or sheriff department – a lot of them hold free etching days like the Amhearst Police Department
• Car Warranty or Vehicle Service Contract – contact Warranty Direct at 800-632-4222 for your best deal on an Auto Warranty

Friday and Saturday Only

For the 1st time Ever All Warranty Direct Coverages are Eligible for
$300 Off

Call Now: 877-882-7340

Also, all rates will be changing on Tuesday December 1st.
Lock in your rate at a discount,
while you still can!

Please contact a Certified Warranty Advisor at:
877-882-7340

Holiday Hours:
Friday 11/27 10am to 2pm EST
Saturday 11/28 10am to 2pm EST

When calling, please have your VIN Number
and current odometer reading available

According to US News & World Report, you don’t need to purchase a warranty the moment you buy the car. If you want one, you can easily buy it later from a reputable third-party company. “The dealer’s extended warranty isn’t necessarily the best deal; in fact, it usually costs more. Plus, you’re in a high-pressure situation at the dealer and might not be able to read the fine print. Finally, if you buy the dealer’s extended warranty, you might be required to return to that dealership to get it honored – which could become a problem if you move.” So contact Warranty Direct and buy direct from us and save.

If you need a vehicle service contract (generally known as an extended warranty), call Warranty Direct first and let us help you get protected  from unexpected repair bill costs when a break down occurs. You can reach us at (800) 632-4222 or visit www.warrantydirect.com to find out more.

In honor of National Breast Cancer Awareness Month, Purchase any Zero Deductible Upgrade from Warranty Direct and Choose from one of the following options: $50 Donation or a Commemorative Blanket

Warranty Direct will either donate $50 to Susan G. Koemen “For The Cure” from the proceeds of your purchase of a vehicle service contract OR you can choose to receive a Warranty Direct logo blanket commemorating our 30 years as America’s Trusted Provider.

Call (877) 882-7340

As quantities are limited, Don’t Wait! Make sure to mention “For the Cure” to qualify for this special offer

Please have your vehicle’s VIN and current odometer reading available.

Offer expires Friday October 30th at 8pm EST

Click here to update and view your quote.

To find out more about Susan G. Komen For the Cure please click here. That’s the Warranty Direct difference, a total “BLANKET” of protection for your vehicle and a peace of mind for you.

One thing we haven’t heard much about, however, is how Chrysler owners will be effected by the bankruptcy filing.  Being in the extended warranty business, we’re frequently fielding the following questions:

• How will my factory warranty coverage be effected by Chrysler’s bankruptcy?
• The President said that Chrysler purchasers would be protected even if Chrysler filed bankruptcy.  Are there any caveats?
• Does my extended warranty coverage immediately go into effect if Chrysler’s factory warranty is terminated?

At Warranty Direct, we’ve been examining the Chrysler bankruptcy issue and want to assure our customers that we can provide them with solid answers.  Starting next week we’ll be posting information on our blog to help Chrysler owners better understand what happens in a bankruptcy situation.

If you’re a Chrysler owner and you can’t wait, feel free to call us at (800) 632-4222 with any questions you might have.

Most extended warranties define “mechanical breakdown” as a defect in parts and workmanship as supplied by the manufacturer, or a defect that makes the part unable to perform the function for which it was designed. Often, they will state that the gradual reduction in operating performance (wear-and-tear) is not covered. Service contracts that exclude wear and tear will not cover repairs needed because a part’s performance has gradually deteriorated because of normal wear and tear, unless a mechanical breakdown has occurred.

The more miles on a car when a repair becomes necessary, the more likely it is that the repair will be needed because a part wore out, rather than because the part broke due to poor manufacturing. Again, many extended warranties do not cover parts that wear out.

Before buying an extended warranty for your car, you should carefully review what is covered and not covered to see whether wear and tear claims are excluded from coverage. That way, if it is not clear whether a repair is needed due to a manufacturing defect or simple wear and tear, it is more likely that the service contract company will pay for the repair. It is a mistake to assume that a repair agreement will cover every repair your car may need.

Read more about wear and tear from the California Department of Insurance.

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard. Coverage is available in all 50 states and many parts of Canada.

For a free, instant online extended warranty rate quote, please click here.

1. How long have you been in business?
2. Do you pay the claims or are you a broker? What company actually is responsible for paying the claims?
3. Are you able to offer coverage in all 50 states?
4. Are you a Better Business Bureau accredited business?
5. How many warranty contracts has your company sold?
6. Do you sell through car dealers and financial institutions or only on the Internet?
7. Do you cover wear and tear failures or only mechanical breakdowns?
8. Do you cover seals and gaskets?
9. Do you cover damage due to overheating?
10. Do you include $100 towing benefits with your plans? What about a full roadside assistance plan?
11. Can I preview the actual contract online?
12. What companies endorse your company?
While there are many other questions one can ask in evaluating warranty companies, the 12 above will provide a great start.

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard. Coverage is available in all 50 states and many parts of Canada.

For a free, instant online extended warranty rate quote, please click here.

Bumper-to-bumper: Often called the basic warranty, a bumper-to-bumper policy covers virtually every component on a new car. Most exclude regular maintenance, like fluid top-offs and oil changes, but a few luxury brands — most notably BMW and Saab — have separate free-maintenance provisions. Bumper-to-bumper warranties usually expire faster than powertrain warranties. American and Japanese cars typically come with a 3 year/36,000 mile warranty while luxury and more upscale brands carry a 4 year/50,000 mile warranty.

Powertrain: Don’t be fooled, a 10-year or 100,000-mile powertrain warranty doesn’t promise a decade of free repairs for your car. It typically covers just the engine, transmission and drive axles. This represents about 20% of your vehicle. Some systems NOT covered include air conditioning, electronics, steering, suspension and high tech electronics.

Roadside Assistance: Most automakers include roadside assistance with their new car warranties. These programs cover anything from flat-tire changes and locksmith services to jump starts and towing.

Corrosion: This covers body panels that have rusted through. Such policies generally last five to six years and have no mileage limits. They only cover complete perforation — a relatively rare occurrence with today’s rust-proofing — so you’ll probably be denied a claim for sheet metal that’s only partially rusted.

Emissions: Since 1972, the government has required all cars to have emissions controls like oxygen sensors and catalytic converters. Two types of warranties exist: performance warranties and design and defect warranties. Performance warranties require automakers to repair or adjust emissions controls for at least two years or 24,000 miles if the car fails an emissions test. If emissions controls fail independent of a test, the design and defect warranty covers them for at least two years or 24,000 miles. Major components like catalytic converters and engine control modules are covered for performance and defects for eight years or 80,000 miles. On some items, California residents are eligible for additional coverage.

Hybrid components: Components in the hybrid drivetrain include the high-voltage battery pack along with the hybrid assist motor and the electrical connections in between.These components may be prohibitively expensive to repair or replace, so automakers offer generous warranties, in most cases 8 years and from 80,000 to 100,000 miles, whichever comes first.

Seat belts and airbags: A lot of carmakers include seat belts and airbags with powertrain or bumper-to-bumper warranties. Others make separate provisions, and the warranties sometimes carry no expiration date. Seat belts are generally covered for operating usability only, so don’t expect a replacement for discoloration or other cosmetic defects.

There are many different levels of coverage available.

Exclusionary Warranties – These are the highest level of coverage one can obtain and are often referred to as bumper-to-bumper warranties. Like a new car warranty, they will cover ALL parts of your vehicle except a small list of exclusions. The exclusions are typically for routine maintenance (oil changes, tune-ups), cosmetic items (seat fabric, carpeting, body molding), and consumable items (battery, brake pads, wiper blades). Read the exclusions carefully as they can differ widely among warranty contracts. Some companies will exclude commonly repaired items like stereo systems, oxygen sensors and more.

Named Component Warranties – These types of coverages will provide a list of the parts covered and are available in many different levels. In order to do a proper comparison, you must read the detailed list and not just the system categories. 

Roadside Assistance – Better extended warranties will provide complete roadside assistance membership with each contract. Membership will provide you with 24×7 access to a toll free number to call for help for such things as towing, flat tire assistance, lost key and lockout service, battery jump start, fluid delivery and more. These plans have no deductible and are not tied to covered repairs only.

Lesser warranties provide limited towing benefits (often $50 or $75) that are only available to you for a covered repair. These will require that you arrange for towing on your own and seek reimbursement for the fees you pay.

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard.

There are as many variations in warranty contracts as there are models of cars.  If you know where to look, comparing them is quite easy. Never take the marketing hype on a web site or the explanation of a salesperson as to exact coverage details. Read the contract – the devil is in the details.

Definitions…

Each car warranty contract will have a section called “Definitions”. The terms defined here are used throughout the contract. Knowing what they mean and what to look for will allow you to judge the level of coverage offered.

The warranty administrator will be named here; now you know what company to research.

How a contract defines what it will pay for is often found here. Look for the term(s) failure, breakdown or mechanical breakdown. Read these definitions very carefully as they determine the type of coverage you will be receiving.

The broadest and best level of coverage, commonly referred to as wear-and-tear is what you want. Wear-and-tear coverage will often be defined as “a Failure will be deemed to have occurred when a covered part has worn beyond the manufacturer’s tolerances”. Few warranty companies offer wear-and-tear coverage for the full term of the warranty. Some offer no wear-and-tear coverage and others only cover wear-and-tear failures until the odometer reaches 50,000 miles.

Lesser coverages will only pay for mechanical breakdowns. These extended warranties define “mechanical breakdown” as a defect in parts and workmanship as supplied by the manufacturer, or a defect that makes the part unable to perform the function for which it was designed. Often, they will state that the gradual reduction in operating performance (wear-and-tear) is not covered. Service contracts that exclude wear and tear will not cover repairs needed because a part’s performance has gradually deteriorated because of normal wear and tear, unless a mechanical breakdown has occurred. As vehicles age, most repairs fall into this category.

The more miles on a car when a repair becomes necessary, the more likely it is that the repair will be needed because a part wore out, rather than because the part broke due to poor manufacturing.

Terms and Conditions…

Term of contract – Does coverage start the day you buy coverage or the in-service date (the original purchase date of the vehicle)?

Parts and Labor – Does the extended warranty contract restrict payments to national labor guides? If so, plan on sharing in the cost of each repair needed. Does the warranty contract allow the use of new parts or does it call for used and recycled parts? Will diagnostic charges be paid for? What about sales tax?

Deductible – If you select a plan with a deductible, how is it applied? The best extended warranties will apply the deductible on a repair visit basis. In other words, no matter how many items need to be repaired, you will pay only one deductible. Beware of plans where you are required to pay a deductible on each part needed for a repair.

Complaint Resolution – The best extended warranties will offer third party (often the American Arbitration Association) complaint resolution if a dispute can not be handled between you and the warranty administrator.  Beware of warranty contracts that severely limit your rights should a dispute arise. Often, you will be required to handle disputes in the county the warranty company is located in.

Exclusions- It is vitally important to read through the list of excluded items. This is an area where many things can be hidden.

Some companies hide their wear-and-tear exclusion in this section of the contract (i.e. the gradual reduction in operating performance is not covered).

Common parts and repair costs can also be excluded from repairs (CV boots, seals & gaskets, stereo systems and speakers, shop supplies, fluid removal fees, nuts/bolts/fasteners [often a cause of the failure], repairs where a Technical Service Bulletin has been issued,

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard.

As more consumers learn that there are alternatives to the high price of dealer sold extended warranties, the number of companies and web sites offering them have exploded. How do you know which companies you can trust? How can you research the companies? What resources are available to you?

Warranty Direct, the oldest and largest provider of direct-to-consumer automobile warranties provides you this comprehensive guide to researching and selecting your warranty provider. We understand how difficult a process this can be. We welcome your phone calls to discuss the issues below in even greater detail.

Warranty Pricing…

A question we are often asked is why there is such a wide range of prices for extended warranties. The best advice we have heard to date is this, “Good extended warranties are not cheap; cheap extended warranties are not good”. As you read this White Paper, you will see the many areas that coverage costs can be lowered. Bear in mind that lower cost coverages cover less and will leave you paying out of pocket on most claims.

The Warranty Company…

Warranty Seller – In most instances, this company is a broker offering coverage(s) from regional, third-party warranty administrators. Once the warranty is sold, you will not deal with the seller again. You want to make sure the warranty seller remits payment to the warranty administrator and your coverage is in force. Warranty brokers typically look for the cheapest coverage available so their markups can be higher. Often, they are not concerned with the quality or level of coverage. As they frequently change the companies they represent, they do not develop long-term business relationships that are most beneficial to consumers.

Few warranty sellers are direct administrators of their warranty coverage. Purchasing direct from an administrator is beneficial because you know where your money is going. You maintain the relationship with the company throughout the life of your extended warranty; in other words, the direct administrator will sell you coverage, provide customer service, offer financing and handle all your claims. Buying direct from an administrator also makes it easier to properly research the company that will be responsible to pay for your repairs over the next 3, 4, 5 years or longer.

Administrator – This is the company that actually issues the warranty and is responsible for paying any claims. This is the company that should come under the closest scrutiny by consumers. Buying coverage direct from an administrator offers the most security as your money goes directly to the company responsible for fulfilling the obligations under the warranty contract. You will also be able to obtain the same coverage they sell through car dealers and avoid the car dealer’s markup. Administrators will offer you pre-sale counseling and after sale support.

There are many warranty administrators (national and regional) with varying business models. You should select a company that offers their coverage through many different channels and not just the Internet. Like insurance companies, the larger the pool of warranty holders, the more likely the company is financially stable and has adequate funds to pay future claims.

Regional warranty administrators tend to be small and have a smaller base of customers. National warranty administrators will offer coverage through car dealers, financial institutions (banks, credit unions) and may even handle warranty programs for manufacturers. With a larger, more diverse customer base, these companies are more financially sound. When a warranty administrator handles coverage for banks, credit unions and manufacturers, you can bet those companies did a lot of research before selecting a warranty partner.

More and more states are regulating the sale of extended warranties. Larger states like California, Florida and New York have licensing requirements and have done the homework for you. If a company is licensed in all of these states, that is a good indication of a stable company and one dedicated to compliance.

Internet Only Warranty Companies – Based on our 14 years of selling coverage direct to consumers on the Internet (and 28 years through car dealers, banks and credit unions), we have seen companies with this business model come and go. While the Internet allows consumers to buy products at more affordable prices than traditional selling channels, companies that only do business on the Internet present a risky business model.

Internet only companies are loosely regulated and some are not regulated at all. As they do not sell through car dealers or other channels, they are able to bypass the regulatory requirements that more and more states are implementing to protect consumers. These regulatory requirements most often deal with the company’s financial health.

By only selling warranties on the Internet, these companies are not able to amass a large customer base and often are not able to set aside appropriate funds to pay future claims. They take in money on Monday to pay claims on Tuesday. Couple this with a lack of regulatory over-sight and you have a recipe for disaster.

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard.

My personal thanks to Andree for her professionalism, courtesy and the overall way in which she handled this particular claim.

I chose Warranty Direct after much research and reading a review by a car consumer guru of sorts that described you as the Rolls Royce of Warranty Companies. My experience with Andree confirms that and much more and I will continue to use you in the future and recommend you to anyone considering an extended warranty!!

Kindest Regards

C. LaBreche
Click here for a free, instant online extended warranty quote.

Better extended warranties will NOT exclude damage due to overheating.
Warranty Direct does NOT have an overheating exclusion in its contracts.
While many warranty providers shy away from damage caused by overheating, Warranty Direct takes a much different approach. Although damage sustained when a vehicle overheats can be severe, we take care of all repair costs for covered components provided the vehicle does not overheat due to negligence and provided you act immediately to prevent unnecessary damage when your vehicle overheats.

 In fact, if your vehicle overheats and you require a tow or fluid replacement, Warranty Direct’s FREE 24×7 Roadside Assistance makes sure you get taken care of… fast!

Click here to obtain an instant, online automobile extended warranty quote.

We understand that you may have a warranty from the manufacturer. Our coverage is simply an extension of that, not double coverage. The manufacturer’s warranty has been factored into your price quote. The more factory warranty you have remaining, the lower the cost and greater the length of the warranty extension. In other words, you are paying for tomorrow’s coverage at today’s rates. In addition, our Roadside Assistance benefit, with $100 towing limits may prove to be invaluable during the Manufacturer’s Warranty period.

FACT: The newer your vehicle, the lower the rates for extended coverage.
Please click the link below to view a chart that illustrates this:

http://www.warrantydirect.com/when_to_buy_your_coverage.asp

Waiting may also carry other risks. Coverage costs rise as repair rates do. Labor rates have been steadily rising over the past few years. It is not uncommon for a repair facility to charge $100 or more per labor hour. As more repair data becomes available for your vehicle, its costs may also rise. These factors can cause the rates for your vehicle to rise should you elect to delay purchasing coverage.

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard.

Warranty Direct does NOT have an overheating exclusion in its contracts. While many warranty providers shy away from damage caused by overheating, Warranty Direct takes a much different approach. Although damage sustained when a vehicle overheats can be severe, we take care of all repair costs for covered components provided the vehicle does not overheat due to negligence and provided you act immediately to prevent unnecessary damage when your vehicle overheats. In fact, if your vehicle overheats and you require a tow or fluid replacement, Warranty Direct’s FREE 24×7 Roadside Assistance makes sure you get taken care of… fast!

About Warranty Direct

Founded in 1980, Warranty Direct is the direct-to-consumer division of one of North America’s leading providers of service contracts and extended warranties for automobiles. Through its automobile extended warranty portals, www.warrantydirect.com, www.carwarranty.com, www.warrantyinfo.com and www.warrantydirect.ca , Warranty Direct leads the industry in efficient and expedited claims handling, impeccable customer service and a technology infrastructure that far surpasses the industry standard.

Most extended warranties define “mechanical breakdown” as a defect in parts and workmanship as supplied by the manufacturer, or a defect that makes the part unable to perform the function for which it was designed. Often, they will state that the gradual reduction in operating performance (wear-and-tear) is not covered. Service contracts that exclude wear and tear will not cover repairs needed because a part’s performance has gradually deteriorated because of normal wear and tear, unless a mechanical breakdown has occurred.

The more miles on a car when a repair becomes necessary, the more likely it is that the repair will be needed because a part wore out, rather than because the part broke due to poor manufacturing. Again, many extended warranties do not cover parts that wear out.

Before buying an extended warranty, you should carefully review what is covered and not covered to see whether wear and tear claims are excluded from coverage. That way, if it is not clear whether a repair is needed due to a manufacturing defect or simple wear and tear, it is more likely that the service contract company will pay for the repair. It is a mistake to assume that a repair agreement will cover every repair your car may need.

Read more about wear and tear from the California Department of Insurance:

http://www.insurance.ca.gov/0100-consumers/0060-information-guides/0010-automobile/guide-to-automobile-repair-agreements.cfm

Next to your house, your automobile is probably your biggest investment. Finding the right company to entrust your vehicles repairs is easy if one knows where to look. The following resources can assist you in selecting the right company.

Better Business Bureau – The Better Business Bureau (BBB) provides online access to a company’s BBB Reliability Report at http://search.bbb.org/ . The report will show pertinent information about the company as well as its complaint history. The BBB also has a special site for automobile warranty issues at http://lemonlaw.bbb.org/ .

WebAssured.com – WebAssured Business Background Reports give online buyers valuable insight into the companies behind the web sites. They show you instantly how responsive a company has been to complaints filed with WebAssured, whether a company is covered by their On-line Purchase Protection insurance, and other information about its physical location, management, and financial condition. Using this information, on-line buyers no longer need to take a leap of faith when ordering from a website for the first time. WebAssured also publishes verified customer testimonials. You can search for a company at http://www.webassured.com/search/search.cfm .

Dun & Bradstreet – Dun & Bradstreet (D&B) is the world’s leading source of business information and insight. Through the use of their D&B Web Log program, companies can become D&B listed by providing pertinent business information to them. Member companies will prominently display this logo on their web site.

Federal Trade Commission – The Federal Trade Commission (FTC) published an Auto Service Contracts FTC Facts for Consumers guide at http://www.ftc.gov/bcp/conline/pubs/autos/autoserv.pdf

State Regulatory Agencies – Many of the 50 states have licensing/registration requirements to make sure auto warranty companies are financially sound and/or properly insured. A growing number of states have very strict requirements when it comes to issuing licenses. While your state may not have these requirements, finding a company who meets the requirements in those states can provide you with peace of mind. California, Flroida and New York provide the most stringent licensing requirements. If a company can offer their products there, it may be an excellent indication of the quality of the company.

Internet – The Internet provides vast resources for consumers to access information. A simple web search at Yahoo.com or Google.com can unearth a lot of information about a company including consumer feedback.

The information above was provided by WarrantyDirect.com

Warranty Direct is the consumer division of one of the oldest and largest independent automobile warranty providers in the US. Their expertise in car warranties is unmatched with 28 years of experience, nearly 2 million automotive warranty contracts sold and over $500,000,000.00 in paid claims. In addition to offering their warranties direct to consumers, over 2,200 manufacturers, dealers, banks and credit unions choose to market their coverage. Why pay the dealer’s markup when you can select similar coverage direct from “the source”?
Click here for a free, instant online extended warranty quote.

I shared with him about Warranty Direct and the tremendous reliability that I have experienced with your company over the years with no deductible. So my effort on my lap top computer was an effort to bring you new business.

 The guy I talked to will not be coming to Warranty Direct immediately since he has other coverage, but he left thanking me and said his next car is going to be insured with your company. He said that will probably be early next year.

 Tom Waters 
A Very Happy Policy Holder
Get an instant, online extended warranty quote by clicking here.

Warranty Direct, a Better Business Bureau Accredited Business, is the consumer division of one of the largest independent car warranty providers in North America. We are a division of a 28 year old company with the experience of nearly 2 million extended warranty contracts sold and administered; and nearly $600,000,000 in paid claims. In addition to offering coverage direct to consumers, over 2,200 manufacturers, auto dealers, banks and credit unions choose to market these coverages.

You will find General Fidelity’s coverages to offer the most comprehensive coverage with one of the shortest lists of exclusions in the industry. No matter which policy you choose, all plans feature coverage for mechanical breakdowns; wear-and-tear failures; seals and gaskets; and damage caused by overheating. All plans allow you to make an unlimited number of claims and offer a host of benefits including towing, road service, rental car, trip interruption, lost key/lockout and tire protection. A variety of convenient payment plans are available to fit your budget and all plans include a 60 day “look” period. If you choose to cancel your coverage within the first 60 days, you will receive a full refund. Click here for a free instant quote.

Consumers should be aware that these longer powertrain coverages leave them vulnerable to many expensive repairs on the vehicle. Special extended warranties called “Wraps” were created to close this gap in coverage.

The powertrain warranty will cover the engine, transmission and drive axles only. This represents about 25% of your car. While these covered parts can be very expensive to repair, you are left with no coverage for such things as air conditioning, brakes, electronics, fuel injectors, steering, front and rear suspension and many more. That’s where a Wrap warranty comes in; it fills the coverage gap between the powertrain and the thousands of uncovered parts on your vehicle.

Warranty Direct offers its bumper to bumper PowerWrap+ warranties on select vehicles and ExtremeWrap+ coverage for eligible Chrysler, Dodge and Jeep vehicles that come with the Limited Lifetime Powertrain Warranty. In addition, you pay lower rates on other coverages if your vehicle has an extended powertrain coverage from the factory.

The Internet is littered with web sites selling cheap extended warranties. These companies hope you’ll be blinded by low prices and not do the necessary research into what kind of coverage they are really offering. Cheap warranty contracts are full of clauses that will cost you dearly in the long run. Here are a few examples from 2 of the leading “cheap” warranty providers that have popped up on the Internet recently. Items that are underlined are the areas you should be very careful of.

THESE CLAUSES DO NOT APPEAR IN WARRANTY DIRECT CONTRACTS

BREAKDOWN” or “Mechanical BREAKDOWN” means the event caused by the total failure of any COVERED PART to work as it was designed to work in normal service. Please refer to the wording under exclusions for a listing of conditions under which the failure of a COVERED PART is not considered a Mechanical BREAKDOWN.

“Repair Cost” means the parts and labor expense necessary to repair or replace any Covered Component that is the result of a covered Mechanical Breakdown , subject to the exclusions set forth herein. We may use replacement components of a like kind and quality that may be rebuilt, remanufactured, or used. Parts pricing will be determined by the lesser of Your Vehicle manufacturer’s suggested retail price or the suggested retail price of a like kind and quality part, whichever is authorized by Us . Labor will be determined by a current nationally recognized flat rate labor guide.

Pay the CONTRACT HOLDER or the REPAIR FACILITY for repair or replacement, as WE, deem appropriate, of the COVERED PART(s) which caused the BREAKDOWN if the CONTRACT HOLDER has met his/her obligations as described in this Contract and if the BREAKDOWN is not excluded under the exclusions section of this Contract. Replacement parts can be of like kind and quality. This may include the use of new, remanufactured or used parts as determined by US. Labor will be authorized based on a nationally recognized labor manual.

BREAKDOWN caused by contamination (Foreign objects or substances including but not limited to Sludge) of or lack of proper fuels, fluids, coolants or lubricants, including a BREAKDOWN caused by a failure to replace seals or gaskets in a timely manner

A BREAKDOWN caused by overheating

This is a vehicle service agreement between the “Purchaser” (Agreement Holder) and the “Obligor.”

“Mechanical Breakdown” means the inability of any covered part(s) or component(s) to perform the function(s) for which it was designed due to defects in material or workmanship. Mechanical breakdown does not include the gradual reduction in operating performance where a mechanical breakdown has not occurred.

Any repair for the purpose of correcting engine compression or correcting oil consumption when a mechanical breakdown has not occurred. Valve grinding, valve guides, stuck valves, burnt valves, burnt piston, and/or stuck rings are not covered.

Any failure related to a previous repair.

Engine block and cylinder heads are not covered if damaged by overheating, freezing or warpage.

It’s no surprise that the Better Business Bureau reports states this about one of these companies:
The BBB processed a total of 96 complaints about this company in the last 36 months,
Clauses like those above can cost you hundreds, even thousands of dollars in repairs. Don’t be fooled by low prices alone as they are often accompanies by low levels of coverage and service.

Looking for high levels of coverage to fair process? Visit WarrantyDirect.com and find out why they are the most recommended provider in North America.