• Report: #353120
Complaint Review:

Interstate, Warranty Direct

  • Submitted: Sat, July 19, 2008
  • Updated: Thu, September 06, 2012

  • Reported By:Sudbury Massachusetts
Interstate, Warranty Direct
333 Earle Ovington Blvd. Suite 700 Uniondale,, New York U.S.A.

Interstate, Warranty Direct will not pay claims or use correct parts Uniondale, New York

*General Comment: Phone Call From Company


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After purchasing a used 2002 Saab 9-3 in early December, 2005 I decided to purchase an extended Warrantee purchased through Warrantee Direct obligated by Interstate National Dealer Services, Inc. I had two claims early that although there were substantial difficulties submitting, Warrentee direct honored them: frozen rear calipers and a seized air conditioner pump.

On January 3rd, 2008 I took my 2002 Saab 9-3 Sedan into an authorized Saab dealer to investigate a pulsating that has been intermitently noticed for approximately 9 months particularly when accelerating up steep hills. This was eventually determined to caused by a faulty drive shaft. While the dealer was test driving the vehicle the power steering pump failed.

The following items were determined to be failed on the drivetrain: CV joint, CV joint boot, and drive shaft. Interstate told the dealer that they would cover the boot, but attributed the failure of the other components to the leakage of grease from the boot and therefore my fault for not having it addressed in a timely manner. During the time that the issue was intermittently noticed, the car has been serviced by the dealership - I had even previously once mentioned the pulsating and the dealer could not re-create it. Inspecting / replenishing the CV boot grease is part of standard Oil Change Service (Lube, Oil, Filter).

For the failed power steering pump, Interstate has determined that they would only pay for a remanufactured power steering pump from NAPA auto parts. The part specified fails to meet the specification of the manufacturer and the initial part delivered from a local NAPA auto-parts store was faulty and had to be returned. A replacement part had to be shipped from Pennsylvania and took a week to ship by ground (which was the fastest shipping for which Interstate would pay). Interstate again refused to install the Saab part despite the delay in the repair.

When I inquired about an auto rental for my loss of use (also covered by the contract), they offered a single day rental which they purported was appropriate since it was the standard length of the repair despite their contribution to the delay by insisting on deeply discounted parts delivered via ground shipping.

The total for these repairs was $1,281.04 of which I had to cover $949.71 for the drive shaft and CV joint. I was not able to use the vehicle from January 3rd until January 17th. Interstate contributed $331.33 for the Power Steering Pump and failed CV boot and associated labor.

One of the main purposes of an extended warrantee is to cover major components that may fail in the Power Train and I found it quite disheartening to find that the Drive Shaft was not covered. Interstate Auto Dealer Services web-site Warrantee Direct presents deceptive advertising.

I had presented this matter to the Better Business Bureau, State of Massachusetts and New York Attorney Generals, but Interstate refused to make any accomodations.

I wouldnt recommend that anyone do business with Interstate.

Sudbury, Massachusetts

This report was posted on Ripoff Report on 07/19/2008 09:44 AM and is a permanent record located here: http://www.ripoffreport.com/reports/interstate-warranty-direct/uniondale-new-york-11553-9340/interstate-warranty-direct-will-not-pay-claims-or-use-correct-parts-uniondale-new-york-353120. 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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#1 General Comment

Phone Call From Company

AUTHOR: munchkinsmo - (United States of America)

I had not been looking into extended warranty insurance, but out-of-the-blue received a call from this warranty company--DOT Warranty thru Interstate.  They tried to act like I had initiated the call--them knowing I had a 2006 Dodge Ram 2500

I listened to their speel--all that the insurance would cover, which they said was "everything," but then they wanted over $500 paid today, with payments of around $250 per month!  Well, I told them I didn't have the money and that I wanted to think about it and would call them back!  No, I couldn't do that and when they were seeing if I could not have to pay the $500+ today; they hung up on me!  I went online and found this report.  Thank you for your report; it has saved me a whole lot of grief and money.

Consumer beware!  They can say all they want that they will cover everything, but your report has proven just the opposite!  Again, thank you.
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AUTHOR: Savior - (U.S.A.)

This is the reason why we send out contracts for you to read and you have 30 days to cancel if you are not satisified with the wording
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