• Report: #871011

Complaint Review: Global Warranty Corporation

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  • Submitted: Thu, April 19, 2012
  • Updated: Thu, April 26, 2012

  • Reported By: KL — Ontario Canada
Global Warranty Corporation
471 Waterloo St London, Ontario United States of America

Global Warranty Corporation Global Warranty Failure To Honour Warranty London, Ontario

*Author of original report: Useless Company

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I was offered a warranty from Global Warranty as part of the purchase agreement for my 2001 Ford Escape (6mos, unlimited kms) under their "1 Star Powertrain Drive" package which I accepted. The vehicle was delivered as safety certified, e-tested, and with a clean carproof report. Regular oil change and maintenance was performed at the time of purchase and again though my trusted long time mechanic as a precaution. I have only been able to drive the truck just over 4000kms (truck was purchased in mid-Jan).

On April 18th, I brought in my vehicle to my regular mechanic as I have been noticing an unusual noise from the rear end and my parking brake light came on late the day before (low fluid). I was informed there was a couple of issues (should have been addressed by the dealer but thats another matter) and the rear differential had internal damage and needed to be replaced. The warranty agreement and marketing materials clearly state this item is covered. [continued below]....

My mechanic called Global and provided them his report, where they denied the claim without satisfactory or reasonable explanation as to why. Global has not made any efforts to communicate any reasoning with me aside from they won't pay.

Don't bother dealing with this company; clearly they are another one of these firms who likes to weasel out of their contractual obligations.

This report was posted on Ripoff Report on 04/19/2012 04:24 PM and is a permanent record located here: http://www.ripoffreport.com/r/Global-Warranty-Corporation/London-Ontario-/Global-Warranty-Corporation-Global-Warranty-Failure-To-Honour-Warranty-London-Ontario-871011. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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Updates & Rebuttals

#1 Author of original report

Useless Company

AUTHOR: Kevin Lord - (Canada)

Received this reply via the BBB:

I reviewed the file inregards to the vehicle & warranty purchased by the customer and can
offer the following facts.

The 1 Star Powertrain Drive coverage was both selected by the customer and or agreed upon as indicated by the signature on the Warranty Agreement. The coverage is limited to listed parts defined as internally lubricated parts of the powertrain.... There were additional coverages available however the optional "Seals & Gasket" for those parts that "contain fluids within the listed parts" was not selected for coverage. The cause of failure was in fact a diferential gasket and as such would not be covered by the waranty as selected. The available warranty does however cover many parts of the entire powertrain for a period of 6 months from purchase and Global Warranty will gladly look after a covered breakdown should it occur in the future. Best Regards.

First, I was never offered any of the other plans at the dealer. I was told I get the 1 star and I don't have the other options (although my used car dealer has been less than honest and less than helpful post sale but that's another matter). It also turned out my brake issues were because of the issues with the differential and the fluid damaged my rear brakes that I had to entirely replace out of pocket.

So basically they won't honour their obligations to cover the differential because the failure BEGAN with a seal. Also I love how they refused to explain anything or acknowlege me until I filed a complaint with the BBB.
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