Report: #682685

Complaint Review: Warranty Corporation

  • Submitted: Fri, January 14, 2011
  • Updated: Mon, January 24, 2011
  • Reported By: nancy jp — florence Indiana United States of America
  • Warranty Corporation
    4400 Government Blvd
    mobile, Alabama
    United States of America

Warranty Corporation sell auto warranties they never intend to honor if a covered problem occurs. mobile, Alabama

*UPDATE Employee: The Real Facts

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Our car transmission was destroyed due to a tork converter going bad. The company refused to pay stating that the problem should have been fixed before it damaged the transmission. There was no sign that the problem existed until the car just stopped. Towed itto transmission shop. They felt it should be covered. The adjuster for the warranty corporation said no. This outfit is truly a scam and just a way for the company tocheat the elderly and non-mechanics.

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#1 UPDATE Employee

The Real Facts

AUTHOR: Employee - (United States of America)


nancy jp (Florence Indiana United States of America)

nancyjp fails to mention many factors that result in denial of a claim.

Incorrect application information resulted in Warranty Corporation issuing a contract on a vehicle; that if truthful information had been provided would not have passed underwriting guidelines. The purchaser stated that the vehicle would only be driven 8,500 miles annually. When the vehicle was taken in for repairs the mileage reflected that the vehicle would be driven approximately 17,134 miles annually.

The contract owner was mailed a contract at the time of the initial purchase. The contract requires that maintenance be performed by a licensed facility. The contract owner chose to ignore that requirement and when asked to provide maintenance receipts could only produce receipts for the purchase of oil.There was no VIN number or mileage figures noted on the receipts. This is important to enable Warranty Corporation to determine if maintenance is being performed on the vehicle.

The vehicle owner also chose to ignore the contract requirement that the transmission be serviced per OEM guidelines. The vehicles transmission had not been serviced as required by original manufacturer guidelines. A Warranty Contract is not a replacement for car maintenance. It is issued to aid individuals who maintain vehicles properly and have failures due to other factors.

To determine the cause of failure an independent Licensed Master Mechanic was sent to inspect the vehicle. The inspector does not work for Warranty Corporation and he simply makes an inspection and writes a report. The inspection revealed continued operation after initial failure caused further damage to the vehicle. The vehicle owner not only continued to operate the vehicle after initial failure but continued to drive the vehicle until it was totally inoperable. That fact makes it impossible to determine what it would have cost to repair the initial failure.That is why it states in the contract that Continued Operation of a vehicle in an impaired condition, or with existing mechanical problems, will result in a loss of all benefits.

Warranty Corporation stands behind its contracts and fulfills its responsibilities, regardless of the age and profession of the contract holder.

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