Service Contracts

What is a Vehicle Service Contract?

A Vehicle Service Contract (VSC) covers the cost of mechanical repairs, helping customers avoid unexpected expenses while increasing dealership revenue. It enhances customer confidence, promotes service retention, and provides long-term financial benefits for dealers.

Covered components vary by plan selection, but may include:

• Engine & Transmission
• Electrical Systems
• Heating & Air Conditioning
• Suspension & Steering
• Brakes & ABS Systems
• and Much More!

Key Benefits for Dealers and Consumers:

Service contracts have a number of benefits, including:

• Increases F&I Revenue: High-margin product that drives dealership profitability.
• Enhances Customer Loyalty: Brings customers back for covered repairs.
• Flexible Coverage Levels: Plans available for new and used vehicles.
• Seamless Claims Process: Hassle-free administration and quick approvals.‍
• Peace of Mind: Reduces the cost of vehicle ownership and repairs.

Frequently Asked Questions

Q: Can customers choose their repair shop?

A: Yes, customers can choose any licensed repair facility to conduct their repairs. However, plans can incentivize customers to return to the selling dealership for repairs with features such as disappearing deductibles.

Q: Is coverage transferable?

A: Yes, contracts can often be transferred to a new owner, increasing vehicle resale value and providing an additional marketing opportunities for policies.