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What is your favorite Vehicle Service Contract company?

Jan 15, 2020
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Dan
We always get agents knocking on our door trying to sell us their VSC. We are all concerned about a variety of factory such as coverage, cost, and the biggest is the difficulty when the customer tries to go through a claim. Some companies will give you the best price but they will torture the customer when a claim is made. More premium brands are going to be much higher in cost, but they make claims relatively pain free. I'm just curious to hear from both sides of the auto industry whether it be sales experience selling these contracts, and from service experience in getting the claim paid out.

My favorite company has got to be All State Dealer Services. They are usually 2-3x the industry average in pricing, but you can count on them in keeping your customers happy. I have sold a few of these contracts over the years and I have never heard of my customers ever having issues.

Then you have a company like Royal Administration that we've all heard about mixed reviews. I know of a dealer who used to sell their contracts and recently stopped because of the level of frustrations they cause for the customer. They are sending out appraisers for the smallest jobs such as alternators and attempting to negotiate with repair shops to use the cheapest parts, and paying cost from autozone.