Service Contract Providers
September 10, 2008
Once you realize the extended vehicle service contact business is worth more than $10 billion it makes perfect sense why there are so many providers. Here are just a few:
- Resource Automotive
- Protective
- AUL AdministratorsThe StoneEagle Group
- StoneEagle
- Allstate Credit Division
- Zurich
- Old Republic Insured Automotive Services, Inc.
- CNA National Warranty Corp.
- Interstate National Dealer Services
- First Extended Service Corp.
- United Car Care, Inc.
- United States Warranty
- JM & A
- F & I By Design
- Reliant Automotive
- American Financial & Automotive Services, Inc.
- AAAAutowarranty.com
- Bryant Group
- DaimlerChrysler Service Contracts
- AutoSoft NET
The vehicle service contract opportunity
September 10, 2008
There are more than 21,500 auto dealers (new car) in the United States. More than 40% own and operate their own extended warranty company. There are several companies who help dealers setup and manage their warranty companies. We work exclusive with these vehicle service contract companies.
Our program allows dealers to sell extended warranties to consumers who are unable to finance their extended warranty contracts within their standard auto finance products. According to the National Automobiles Dealers Association consumers bought extended warranties on nearly 30% of all new vehicles and 40% of used vehicles sold last year. The total number of extended warranties sold in the United States was in excess of 8.7 million units resulting in a $10 billion dollar market.
Historically, the average dealer could sell 5-10% more warranties if they were able to offer their customer a separate finance option. More recently auto dealers have seen more and more finance companies refuse to finance amounts greater than the cost of the vehicle and as a result secondary finance offerings such as the ones offered by Whitebox will become more and more important to a dealers bottom line.




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