CarChex Dishonest, False Sense of Security Hunt Valley, Maryland

My name is Brian Delman and I am a support manager at CARCHEX. I welcome the opportunity to respond to this post. I feel its best to see both sides of the equation so that you may form an accurate assessment of how CARCHEX handled this issue.
 
First allow me to provide the timeline of events for this claim.
 
The vehicle service contract was purchased on 9/16/2011. As with most vehicle service contracts, there was a waiting period of 30 days and 1000 miles before any claims can be filed. Any issues that exist prior to this waiting period being completed are considered pre-existing conditions and are not covered by the contract.
 
The vehicle was taken in for service at the customers repair facility of choice, Wright Automotive, on 10/17/2011 with a concern for an engine misfire. It was found by the repair facility after running tests that the misfire was caused by low compression. At that point the vehicle was one day over the 30 day period and 86 miles over the 1000 mile requirement. According to Wright Automotive, the contract holder advised them the issues with the engine already existed prior to the policy being active and the customer expressed to his representative at Wright Automotive that he understood that the needed repair was pre-existing and would not be covered and therefore the customer decided not to submit a claim.
 
The vehicle was then taken to a different repair facility, Buchanon Auto Park, on 10/27/2011 just three miles after the first recorded repair with a complaint of a knocking sound coming from the engine. Upon teardown, Buchanon Auto Park found that there was internal engine damage. A qualified 3rd party inspector found the internal damage present to be consistent with subsequent damage from previous internal engine damage of cylinder number two. There was evidence to indicate the previous repairs were incomplete and improperly performed. These damages are long term, pre-existing and the customer was advised that because the repairs needed were clearly related to the same pre-existing issue the repair would not be covered.
 
Thank you for the opportunity to share this information with you, and I trust that you will be able to evaluate the facts and come to your own conclusion. As always CARCHEX is here to assist customers in any way possible.  Ive also included a link to another posting in which I personally was involved in the resolution were the customer was in the right and I was able to assist in getting a large transmission claim approved by the administrator; however, in contrast in the above case the customer was clearly wrong and the claim denial was correct. You can view that resolved issue that I referenced here:
http://www.ripoffreport.com/auto-warranty/carchex/carchex-enterprise-financial-g-b8129.htm
 
Also you can, at any time, reach our CEO Jason Goldsmith directly at ceo@carchex.com or 1-877-CAR-CHEX ext.1449 if you have any further questions or comments.
 
Thank you,
 
Brian Delman