Link code in the Vehicle Service Contract effortlessly

Aug 6th, 2022
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How to Link code in the Vehicle Service Contract

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(upbeat music) - Did you know that a recent Assurant study revealed that 92% of the respondents knew of the vehicle service contract, but only 37% of them actually purchased one? My name is a Nick and Im a National Training Consultant with the Performance Institute at Assurant Global Automotive. You know what to do to get that 37% higher? Some dealers find it hard to convince potential service contract buyers to commit because they fail to engage them in illustrated dialogue. To convince customers for the need for the coverage, gaining agreement that factor warranties do expire, and breakdowns do occur, and repairs are expensive, especially with the technology in vehicles, is key to the presentation. At Assurant, we have helped thousands of financial services managers master this dialogue selling approach. Not only for its positive role in customer satisfaction and customer loyalty, but for its impact on dealership profitability. (upbeat music)

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Vehicle Service Contracts (VSC) are like health insurance for your car. VSCs prevent drivers from paying out-of-pocket for costly electrical or mechanical repair expenses. They can be worked into auto financing as a small monthly amount so that drivers can transfer the financial risk of repair to another party.
Sometimes referred to as an extended warranty plan (though not officially a warranty by legal definition), a vehicle service contract is a paid plan that helps cover the costs of any repairs needed once the limited warranty has expired.
Most often, Service Contracts include details such as deadlines and payment agreements. Contracts also usually define the work to be performed and what process needs to take place if changes need to be made. These are legal agreements and can be challenged if needed.
If you are buying a new car and the length of the service contract is similar to that of the manufacturers warranty, its probably not worth your money. Most new cars dont require many repairs during the first few years. And if your car does need repairs, theyre likely to be covered by the manufacturers warranty.
There are two main types of vehicle service contracts: a powertrain warranty and a bumper-to-bumper warranty. A powertrain warranty covers the components that make your vehicle move: the engine, transmission, transfer case, drive axles, and other related components.
An auto service contract is a contract to perform (or pay for) certain repairs or services. Service contracts are sometimes called an extended warranty, but theyre not a warranty as defined by federal law.
Service contracts and warranties both provide some element of repair or maintenance for a specific period of time. The main difference is that warranties are included in the purchase price and service contracts cost extra.
Service contract means a contract that directly engages the time and effort of a contractor whose primary purpose is to perform an identifiable task rather than to furnish an end item of supply. A service contract may be either a nonpersonal or personal contract.

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