Warranty Direct

Contracts are straightforward in listing all items covered by the warranties.

Warranty Direct offers the following plans for new vehicles:

• The Elite Advantage has the highest level of coverage.
• The Wrap Advantage covers the powertrain in combination with the manufacturer’s warranty.
• The Premier Advantage covers major systems and a list of components.

Coverage for used vehicles includes the Premier Advantage that covers stated components, the Preferred Advantage that covers stated essential items and the Standard Advantage that covers only major component problems.Variations of the Standard Advantage plans are available for high mileage used cars.

There is a Limit of Liability clause for each plan indicating the cost of coverage will not exceed the value of the car. The limit of liability for used cars is $7,300 to $12,000 based on the plan, the condition of the vehicle and the covered components.

Covered Items

The contracts are flexible and they state each item covered in detail.

The engine, transmission and drive axle assembly are covered with the powertrain warranties.

Component coverage includes most operation systems:

• Factory installed air conditioner
• Brakes
• Steering
• Electrical systems
• Engine cooling system
• Front and rear suspension
• Fuel system

The newer high technology systems, including factory-installed navigation GPS systems, are covered under a specialty category. Not every vehicle has the rearview camera, touchscreen or WiFi system found in the newest models.

Additional benefits include roadside assistance and cover towing in the event of a breakdown. Substitute transportation in the form of a rental car may also be included.

Warranty Direct claims there is no deductible amount required for repairs covered in the benefits section of the contract. If a deductible is required, the amount will be shown on the coverage application page. This can be confusing to some warranty buyers.

If there is a deductible required, it only needs to be paid once even if more than one trip to the repair facility is required to fix the problem. This is the Disappearing Deductible that will be waived if the repairs are made at a Firestone or AAMCO shop.

Warranty Direct may require maintenance records prior to a repair. Manufacturer’s warranties for new vehicles usually specify that factory authorized technicians service the car. Vehicle owners should keep all maintenance records with new and used vehicles.

Coverage with Warranty Direct begins 30 days after the contract is approved. The contract may stipulate that coverage only begins after 1000 miles. Each contract is valid for a specified time.

Buyers have 30 days in which to cancel the contract and receive a full refund. There is a $100 cancellation fee after 30 days in addition to any funds Warranty Direct has paid for service.

The time period of the coverage is specified in the contract. It may be a time period such as a year or more. It can also expire at a certain mileage level. Used car contracts are measured from the mileage on the odometer when the contract is signed to an agreed expiration date and/or mileage level.

Many late-model used cars come with a maintenance record and comprehensive vehicle inspection indicating what has been repaired. This inspection certifies that the car is in good condition. Warranty Direct does not require an inspection of used cars but they do have “specimen” contracts. The vehicle should meet the requirements of the specimen contract. This is important if the vehicle is sold during the contract period since the warranty is transferable to the new owner.