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The most common complaints related to auto warranties
are deceptive marketing practices and failure
to pay claims.
Consumers are increasingly turning to auto warranties
to extend the life of their current vehicle instead
of buying a new one. Unscrupulous companies are
taking advantage of the situation through aggressive
and misleading sales practices such as “robo-call”
telemarketing. Such behavior has even prompted
government intervention.
The second common area of complaint is failure
on the part of the company to fully disclose coverage.
It is highly recommended that you only deal with
a company that makes available a full copy of
the contract for you to review before purchasing.
Second, avoid any provider or broker that has
been in business for less than 3 years. Most complaints
are filed against newer companies which have no
intention on staying in business for more than
a few years.
For more information:
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