The argument surrounding whether or not to purchase an RV Extended Service Contract, commonly referred to as an RV Extended Warranty, has been around as long as the product itself. There are firm believers on either side of the debate. Some RVers wouldn’t travel without coverage, while others wouldn’t pay a dime out of pocket to have it. Why is there such a difference in opinion? As you might expect, not all extended warranties are created equal. So how does a consumer decipher between the many plans available to ensure they get the best coverage for their vehicle? Industry experts recommend looking for the answers to the following questions:
1) Who is the Insurance Carrier backing the policy?
The insurance provider backing the RV Warranty is the company that ultimately guarantees the solvency of the program. In most expert opinions, making sure that the warranty policy is backed by an insurer is an absolute must. If you purchase a policy without insurance carrier backing and the policy provider goes out of business, you could be stuck with a warranty that is absolutely useless! Ensure that the policy you are looking to purchase is not only backed by an insurance carrier, but that the carrier is in good financial standing. A great way to determine this is to ask the seller for the AM Best Rating of the underwriter. AM Best is a company that verifies the validity and financial status of insurance carriers on an A to F rating scale. Companies with an A or even B+ rating should provide sufficient standing.
2) Who is the Policy Administrator?
The RV Warranty Administrator is the company that processes the claims, and acts as the point of contact for you or your repair facility when seeking payment for a breakdown. The company that handles the claims can have a huge impact on your policy’s ease of use. You will want to take a look at the size and reputation of the RV Warranty administrator. Resources such as the BBB and other online reports can be a helpful indication of the kind of claims service you can expect. Keep in mind that large administrators will inevitably have at least a handful of unavoidable complaints, but if problems seem to be the norm, it could certainly be a red flag towards avoiding that particular policy.
3) What type of RV Warranty Coverage is being offered?
The most important portion of your program research should be an understanding of what is and is not covered by the Extended Warranty policy you are looking to purchase. RV Extended Warranty Policies are an investment in the protection of an RV’s value and performance. So what do you look for in coverage? Be sure that you are provided with a full copy of the actual policy you are purchasing, and determine what level of coverage is being offered. Look for key terms such as Comprehensive, Exclusionary, Powertrain or Coach Only, and determine the best type of coverage for your desired risk.
4) What is the reputation of the Contract Provider?
The RV Warranty Contract Provider refers to the individual, company or dealership that is offering the Extended Warranty Policy for your RV. It is the ultimate responsibility of the RV Warranty provider to perform their due diligence in offering the most accurate coverage information for programs that have excellent performance standards and reputation. Always look for the reviews of current clients as a way to gauge the service you can expect to receive from a given provider, as well as a quick search on quality control sites such as the Better Business Bureau, Yelp, and Google+.
As with any purchase, ample research is the best way to make sure you are purchasing a policy that is worth the paper it’s written on. Trust in the company providing you with coverage can be just as important as the policy they issue. The questions above are a great way to garner a given provider’s knowledge of the industry and the plan they are recommending, so you can purchase a policy with confidence.
This article was provided by Wholesale Warranties.
THE OFFICIAL BLOG OF RV TRADER. 