You walk down to the mailbox, open up your email (possibly the spam folder) and or answer that strange, unknown phone number as it rings (hoping that everything is ok with Aunt Edna!?!?) to be greeted with………. A cryptic, automated message from a no-name company that is very concerned about the status of YOUR vehicle’s manufacturer’s warranty and how it is about to expire!
Oh NO! What can you do? Is this a scam? What should you do?!? Wait… How do they even know about the car I purchased last October anyway?!? All of these questions are valid, and so is some of the information that this mystery company is attempting to tell, and or sell, you.
WHAT IS IT ABOUT?
The purchase and registration of your vehicle is public information, and while not published in a book like the Yellow Pages phone book (if you aren’t sure what that is, it’s OK, here’s a good reason to check on Aunt Edna), it is available to companies for research and marketing purposes. These aftermarket Extended Parts and Labor providers purchase a list with all of our names on them, to which they add us to their email, mail and phone lists to market their products. They do not get your vital information i.e. your social security number, age of your pets, or your first born’s blood type, so don’t worry about identity theft in this example. They do get your name, mailing and email address, phone, type of car you purchased, and sometimes the Vehicle Identification Number(VIN). To find ways of keeping them from getting the information at all, click here.
OK, I KIND OF TRUST THEM… WHAT ARE THEY SELLING?
It should be noted that not all Extended Parts and Labor (EP&L) contracts are created equal. There are two basic forms of extended service contracts, 1) stated and 2) exclusionary. The difference being in the “fine print” of the contract itself and what it covers when it comes to mechanical repairs to your vehicle. They are very much apples and oranges, so here’s how to make sense of what you are considering:
Types of coverage
Stated : The most popular, and “cheapest” form of EP&L contract is the stated coverage, named differently by different companies. This product covers only the items “stated” on the contract, which therefore leaves a lot of room for what is NOT on the contract to be denied coverage and will only cover what is “stated” in the fine print on the contract.
This is more than likely the type of product this email, letter in the mailbox or phone call is attempting to provide you with to alleviate your fears of your vehicle breaking down, as they are usually less expensive for the company to provide you with because there is less chance of them having to actually pay a claim when you file it.
Exclusionary : This is the more expensive, but much more comprehensive product that most manufacturer’s use for their “new car” extensions, along with coverage for their used vehicles. The exclusionary coverage is the exact opposite of the stated coverage, wherein this type of coverage will usually cover EVERY computer, gadget, gizmo, whizbang and sensor in the vehicle, with a minor list of exclusions. This coverage makes sure that when something fails, you are back on the road with minimal expenses.
WHY ARE YOU TELLING US ALL THESE DIRTY LITTLE SECRETS?!?
Here at Centennial Leasing and Sales, we offer the exclusionary product first and only, assuming your vehicle qualifies for the product!
What do we mean “assuming your vehicle qualifies?” Well, much like health and life insurance, the older your vehicle is, the higher mileage it has on it, the higher the premium will be, because there is a more likely chance that the EP&L company will have to pay a claim.
What does that mean for you? It means that we are able to provide the EP&L at the time of sale, with lower miles on the vehicle, at a lower premium, to help you protect that very big, very nice purchase you are making! In many cases, we are also able to provide you with the product that we trust AFTER the sale, but we don’t buy your information on the aforementioned lists just to market them to you. Just in case you changed your mind, are deciding to refinance and keep that lease, or just don’t remember your consultant talking with you about it, because you were so excited when you got that new or used vehicle doesn’t mean you can’t be protected.
Our valued partner, CNA National, has been a leader in the vehicle service contract industry for over 35 years. Their award winning customer service, incredible coverage and willingness to assist our clients when needed, are the reason they are the best of the best, just ask us!
Your consultant can get you more information when you are discussing that new or used car, or if you want to contact us for more info, please feel free to do so. We want to help guide you, transparently and comfortably, through the process of purchasing or leasing all of your vehicles, so that’s why we are willing to educate you with the industry secrets about items such as EP&L…
In summary, when you get that letter, email or dreaded phone call, don’t fret; give us a call and we will make sure you are handled by a company that we both can trust to provide an excellent EP&L coverage and service for your particular needs!