Extended Warranties and Service Plans

Extended warranties or service plans can be a source of confusion and potential scams.  Here's a summary and answers to some questions. 

Who can sell extended warranties

Both the original car manufacturer and third parties sell car warranties but there can be dramatic differences.  In most cases, the car manufacturers do an original job and it's preferable to an extended warranty from them.  Third party companies are a different story.  Car warranties are one of the few businesses that is not regulated, and the number of scams, problems, disputes, shows the problem with that. 
Many of the companies are LLC's, and can simply fold.  Presented with a claim, they seem to forward claims to a B & E (BS and excuses) department who tries to find some way of denying or severely limiting coverage. 

This is supposed to be covered by my warranty, right?

What do I do if I have a problem with an extended warranty   

You should first document your request for coverage.  Despite multiple calls and texts from a consumer, the company may pretend to be unaware of a problem.   If the company denies coverage, contact a lawyer in your area.  Some cases may be handled on contingency (payment on settlement) and in some the lawyer may request a modest retainer. 

I'm having difficult finding a lawyer for this, what do I do.  

While many lawyers handled claims such as personal injury, the market for auto warranty lawyers can be limited.  You can check and search.  If you cannot find one, consider filing a complaint on your own (recall shows like People's Court).  Generally you should list all your damages, and let the car warranty co negotiate down from there. 

Call Now for a Free Consultation on Your Car Warranty Claim 

 
Sources

FTC Guide to Car warranties and service contracts  Auto Warranties and Auto Service Contracts | Consumer Advice (ftc.gov)

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