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generic extended warranty

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sixturbosix

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I hate generic extended warranty companys.When I say this I refer to warranty other than a mfr warranty.Lately I see they are only wanting to pay warranty times instead of customer pay times in Mitchell or All Data.I thought they payed customer pay times always.I would like some insight on other opinions about this subject.I'm tired of getting screwed.

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Aftermarket warranty companies that I have dealt with pay retail. I find they just don't cover anything if it isn't 'defective', meaning is something is worn or loose it is wear and not warrantable. However, since when do companies get to dictate what they are going to pay for a service? If I go for a burger at lunch I don't tell the burger place how much I am going to pay for the burger. If there are instances of the warranty company not willing to pay for extras like broken bolts, rust, or aftermarket accessories, then the customer pays. They are then welcome to pursue the warranty company for the balance.

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We do not honor any non-Ford warranties. If anybody comes in with them, we'll let the customer do all the leg work, and get them to pay for the repair and submit for reimbursement from the warranty company.

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Thanks for the input on this subject.Last two companies we have dealt with have said they only pay 6.7 hrs. on egr cooler replacement.That includes 1hr for diag they give you.They say that is what All Data shows as time.I know Mitchell shows 5.3hr warranty and 8.1 customer pay.They said the customer is responsible for any additional.We have been charging the additional to the customer.I really hate to see customers have to pay for something the warranty company owes them.

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Like most others are saying... the aftermarket warranty company can do whatever they like to their customer - IT HAS NOTHING TO DO WITH ME!!!!! I didn't enter into this agreement... the store I work for didn't enter into this agreement... our only requirement is to perform an accurate diagnosis and a timely repair. Even if it is an aftermarket warranty comapny, it is still a retail repair - Ford is the only people that are allowed to bark at us.

 

If all else fails, I like 'warranty time X 1.4'...

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If all else fails, I like 'warranty time X 1.4'...

 

 

I do 1.5... but close enough. I do recall being told at one time that factory time is 2/3 of retail time. So that's where I came up with that.

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We have been looking into this to make a blanket decision. If one looks at motor alldata online and compares the warranty time and the retail time there is no matrix that they use. On some jobs they have double the warranty time, others its less than 10% up on warranty time. With the aftermarket warranty companies we work with we use motor alldata or SLTS x 1.4 the higher of the 2.

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"Back when", they would send us a trade magazine called MotorAge or some such (they stopped mailing to Canada many years ago).

 

Back then, there were several "business reply cards" included with the magazine... one of them would ask a few questions regarding labour times charged for various operations... one month might be heavy into Toyota questions and the next another brand... some months may cross platform suspension questions - kind of a mix and match.

 

Googling "motor age magazine" gets you THIS - quite different to what it used to be even just 10 years ago. FWIW, Mitch Schneider had a column in MotorAge - I always used to enjoy reading his articles all based on events in his own shop.

 

Back to the topic.... I would opine that this group would use their survey results to adjust various labour ops "mark ups".

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I've had some experience with aftermarket warranty companies also, all pretty much positive. They were fair, paid quickly, and knew what they were doing. I'd say they were much easier to deal with than your warranty Nazis. One even approved and paid a tranny overhaul after the van had left the shop because I was able to document the complete repair with clear pictures and old parts. I'm sure some companies are a bitch to deal with, but perhaps I was lucky.

 

My worst experience with an adjuster was with a crash job on a new IH MD truck. They sent a car adjuster out who really had no idea how to adjust a truck crash. I literally threw him out of the shop and told the company to send someone down who knew what they were doing. The ins. company did send down a good adjuster and it ended up being one of my best jobs- over $20K in repairs and very profitable.

 

Have Fun!

 

 

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In mitchell they rate the difficulty and tool requirements of a job a thru d. A being most difficult. The difference between warranty and retail seems to vary more on the A level jobs than the d level.

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The few dealings I had with aftermarket warranty companies had them trying to dictate my shop pricing and repair policies. On top of that, they assumed that I would grant them credit privileges "simply because"...

 

I made sure that I made it abunmdantly clear that any repair was to be between me and the vehicle owner... I would provide any pertinent documents that the warranty provider requested but it would end there.

 

This solved any of those "we don't pay for that"/"but I wont fix it without that" disputes.

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