CarShield Ordered to Pay 10 Mil by FTC

[Wiley Marmot]

"CarShield will pay $10 million to settle charges that its advertisements and telemarketing for its extended auto warranty plans are deceptive and misleading, the Federal Trade Commission said."

I considered a policy with CarShiled, Endurance [only if Danica Patrick would go out with me! ], or Ox, for the 2016 Focus RS I traded in on my GT, but pretty much all of them charge at least hundred bucks/month for any kind of "decent" coverage.

No thanks!

Glad I didn't now! Based on what the lady in the linked story had to say about her CS experience, and what the FTC is saying about them, and requiring of them; CS sounds like a stereotype insurance horror story. "Sorry! Your claim is rejected as you didn't meet the you have to be mowing the lawn on a Tuesday afternoon as a zebra runs down your street to be covered."

https://www.yahoo.com/news/carshield-pay-10m-settle-deceptive-172041547.html?fr=sycsrp_catchall

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[SSuperDave]

We don't accept CarShield or AutoShield (same company) due to many issues with them, so this does not surprise me. Most of their policies are powertrain only, and they will fight every claim, and the once they do pay, they try to short us on labor. The manufacturers offerings are always the best choice, regardless of type of car, but are usually more expensive.
Endurance, Vision and Ally are good choices if going aftermarket.

 

[smurfslayer]

Ouch.
I’ve had a few extended warranties, one aftermarket some other mfgrs and Ford ESP. Ford’s ESP has been the best the few times I’ve used it. 1x AC compressor - paid $50 out of pocket, cost almost 900 to repair. one or 2 more-ish.

I had a warranty from Allstate once, and it was _EXACTLY_ as @SSuperDave describes. I lost a cam chain tensioner, had to pay up front for the tear down on the hope it’s covered - it should have been as it’s in the contract, right... Then it was - where’s your service records. I hade everything from day 1, all on time. Then it was wait, wait, wait, then an adjuster comes out and fine tooth combs your car for any conceivable thing that wasn’t there when it was sold. Even as picayune as a shifter handle. Then they deny, delay, delay some more, deny again and hope you go away. Then they offer to settle for 1/3 or less repeat... it’s maddening.

 

[steveo1960]

Shops where I live rarely honor aftermarket, third party warranties. I'm sure there are exceptions but I don't know of any.

 

[SSuperDave]

I take 'em all day long, (except Carshield/Autashield) and do about $10K/week of work with extended warranties. If the problem is engine related, they WILL ask for oil change records, which you should have anyway. We sometimes get an inspector if the $ value is high enough, and its usually one of three different guys, all of whom I've known for years, and rarely have issues with. We have one guy who has been a constant problem to every dealership in the city, he is banned from our shop and if a company is going to send someone, I tell them so that they do not contract out to him for the inspection.
Wha was mentioned above about a diag fee is correct, if the repair is covered we do not charge the diag. The only time it comes into play is if the warranty and the customer both deceline the repair.
A lot of independent shops won't take them because they don't want the hassle, but every dealership that I've ever worked for has welcomed them. These days, they all pay with a credit card once you e-mail the completed invoice, so there is no more delay on payment.

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