Extended Warranty

[Plug Tug]

6 yrs. ago I got the perch bug real bad and sold my 69 Super Bee and bought a boat that I thought I would keep the rest of my fishing days.I bought a 20ft. Starcraft Islander from Wilson Marine in Brighton( first big Mistake IMO) . I purchased a extended drivetrain warranty for 6yrs. from Pinnacle Insurance. If you do not have any over the life of the warranty period you get 100% of your money back the salesman told me. (2nd mistake IMO) The boat worked well for a couple of years for fishing out of Linwood and Caseville. I bought a place in Casevillle a few years back , the grand kids (7) got bigger and wanted to go fishing with me in the morning and swiming in the afternoon.
OK I need a bigger boat,so I sold the Starcraft last spring and went down to Port Clinton ohio last fall and came back with a 25ft. Baha hard top GLE. I called Wilson and told them that I had sold the boat and wanted to redeem my warranty.Well you have to wait to your 6yrs. are up no early paybacks. You have just a 2 week window in which ti apply for a refund. So I marked the date on the calendar in big red letters . I called Wilson Monday and asked for the info for receiving my money back. They wanted a copy of my drivers license,SS# and boat registration. Why do you need all that personal info for??. I sold the boat Oh well then you don't get a refund you still have to own the boat. He said that they needed the info to make sure you are not trying to fraud the insurance company.
They never explained this to me when I purchased the insurance, all you have to do is give us a call . No where in the paper work that explains the warranty does it say you still have to still own the boat to get your $750 back.I did finally find it on the back of the sales receipt in very small letters as I was directed to the spot by one of wilson's owners . He had a little snicker to his voice . So a word for the wise read the fine print Before Wilson and Pinnacle strike again.IMO

[Uzarious]

The dealer did not do anything wrong.

The feature you are referring to is quite common in the extended warranty industry; cars, boats motorcycles, etc. Some refer to it as "GPR" short for "Guaranteed Price Refund". In a nutshell, it is a provision that says that if you do not have a claim of any sort during the entire term of your extended warranty, you would be entitled to a 100% refund of your purchase price (usually less a small administration fee).

Now, why would an warranty company make such an offer? The answer is many people, pehaps like you, have a built in resistance to buying extended warranties. Warranty comapanys know this. So, to break down that resistance, the warranty companies give you a promise that you can't resist, specifically: if you have no claims, you get all your money back. You say, "what the heck" and buy the warranty.

They must be crazy, right? Crazy like fox!

First, YOU indeed paid for "an insurance policy on top of the insurance policy". Perhaps as much as 25-50% MORE than if than you had bought the warranty without that provision. So, the warranty company is betting that you will have a claim, you're betting that you won't, and YOU pay the extra money for them to make this fantastic "promise" to you, all so YOU will buy the warranty. Smart marketing in my opinion. It's like taking "insurance" at the casino blackjack table; Seems smart at the time, but a statistically stupid move, moneywise.

Now, to your personal angst...the warranty is counting on people to forget that (1) they even have an extended warranty and (2) that they have the GPR guarantee. It's called in the industry "breakage" and its an important component how insurance companies ultimately price an insurance product. C'mon, do you really expect them to call you on the phone and say, "Hey Joe, it's the warranty company here, and we've have checked our records and it looks like we owe you $900." No way.

Plus, they make you go through the entire term of the policy in order to qualify. What's the big surprise here? You sell your boat early..all bet's off--YOU LOSE! Again, breakage.

Then, after the warranty has expired and by some miracle you never had a claim, YOU have to redeem the GPR within a specific time window in order to get your money. Read my lips..breakage!

And now, you take a swipe at a reputable retailer (Wison) who has been in business for decades because YOU didn't read the language clearly spelled out YOUR own contract (yes it's there). Gimme a break! AND, if you had read the provisions of your contract (which, by your own admission, you never did) you would have seen that the warranty was a binding contract solely between YOU and the Warranty company. Wilson was merely the selling agent at the time who made you a legitimate offer, that you accepted and which you almost forgot about. And then, rather than read the contract, you called up the agent for instructions on something he (1) probably knows nothing about,(2) forgot or (3) is no lionger employed there and then you infer that they are dishonest and/or incompetent. Hell, I'd snicker too.

IMO, you've done Wilson a great disservice with your comments in this much-read public forum, when all you had to do was open up your contract and read it.

[William H Bonney]

I can honestly see where someone not "well-versed" in the warranty biz or language could get upset or miffed when they finally get it spelled out to them.(usually at the time of a claim or in this case, refund). Non-transferrable warranties are usually the norm, only recently(last 5-10yrs) have warranties companies made their warranties transferrable to the "new" owner. Why? Simple. To sell more warranties. It all boils down to "buyer beware",,,,, expensive lesson?,,,, sure.

[Uzarious]

Warranty companies make their policys transferaable because it is better (for them) to keep a policy in force and at the risk of paying a claim(s), than it does for them to give you a refund on any unused portion of the cancelled contract. "Your money in my pocket is better than your money in your pocket"--that's the thinking behind transfers.

As for GPR..the provisions are clearly spelled out:

you must keep the policy for the full term (no early cancels or transfers)
you must still own the boat
you must not have any claims during the full term
you must take the initiative to redeem the GPR if you meet all of the above
you must make the petition for the refund within a specific time widow
IF you meet all this criteria, we'll gladly refund you the money The original poster states that he indeed sold the boat which clearly voided the GPR provision. Still, he "marked the calander" in order to eventually petition for a refund that (1) was no longer valid nor,(2) was he entitled to (by virtue of the boat being sold). In other words, he has committed insuranse fraud which just happens to be illegal the last time I looked (any legal types viewing?)

Add to that, he then slams Wilson for not helping hime committ his caper more easily (hmmm..slander??).

BTW I am not affiliated with any of the parties in this case.

[hungry hunter]

Ill bet if you dig a little deeper that the 100% money back guarantee is not even through pinnacle or wilson marine its through another company all together I found this out becouse I bought the extended warranty also but found out later that the warranty was from pinnacle but the money back guarantee was from another company called associated consumers of america they have very strict guidlines you must follow in order to get your refund and its a pain in the rear but I eventually did get my refund and was happy about that but I still felt like I was misled by the dealer

[jpollman]

I personally don't see where Wilson Marine did anything wrong. I haven't seen the terms of the agreement but I'd bet that it was not transferable. And if it was, you should have "sold" it to the buyer and if at the end of the term there were no claims, HE would get the refund. (which should be fine with you because you got your money back from him when he bought it from you) If it were a six year warranty and you kept the boat for less than that and sold it, I agree that all bets are off and the contract was broken. I would not expect to be in your situation and get a refund once the boat was sold.

That's just my .02.

John

[Uzarious]

Ill bet if you dig a little deeper that the 100% money back guarantee is not even through pinnacle or wilson marine its through another company all together I found this out becouse I bought the extended warranty also but found out later that the warranty was from pinnacle but the money back guarantee was from another company called associated consumers of america they have very strict guidlines you must follow in order to get your refund and its a pain in the rear but I eventually did get my refund and was happy about that but I still felt like I was misled by the dealer

Glad to hear that you got your money. You might be correct about another company underwriting the GPR feature. Wouldn't surprise me at all as it is a specialized risk product.

The fact of the matter is this other fellow (above) CLEARLY know the rules of the game, CLEARLY knew that if/when he sold his boat it would void the GPR policy and CLEARLY went ahead with his efforts to defraud the insurer by attempting to claim his refund from the insurer AFTER he had indeed sold his boat prior to the term of the warranty expiring.

I have to venture that this guy probably got his full refund too and has cashed the check. That's just perfect: All we have to do now is back-track a little to the date of sale of the boat (no problem), the day the check was cashed and then wait for the Washtenaw County sheriff to arrive at the front door. Oh yeah, I thought that Wilson Marine should know about all this too so, somebody sent them a little "message" by email.

"Oh what a web we weave when we first attempt to decieve"

[ESOX]

Hows the weather up there on your high horse LeeG? Or whoever you are today...... Ta ta.

[hungry hunter]

but I still felt like I was misled by the dealer

by the way wilson was not the dealer I dealt with

[KI Jim]

I have to kinda chuckle at this.

I know a little bit about this kind of transaction too as at one time I was a Field Consultant for Saturn. Extended warranties are ALWAYS sucker bets. I have heard many, many complaints over the years-all of which are dismissed by the selling agent (dealer) or the insurer by the "buyer beware" or "it's in the contract-you should have read the contract" . The fact is, the insurers ALWAYS structure the contract to their advantage. Look at it this way, the insurers have to pay sales commissions to the dealers sales guy (who sold you the contract), the dealer, and the insurers own sales rep to the dealer. In addition, the insurer makes a profit and pays for all of his overhead. What is left is what actually get paid out in repairs. If the insurer and dealer and sales guy don't make a profit on it, why would they sell it?

Fact is, people buy these contracts in good faith because the dealer salesman presents it too them and pushes it. Fact is, many people realize later down the road that it is/was a bad deal and that leaves them feeling taken advantage of. I don't blame him for being a little sore at Wilson Marine-they sold him the contract-even though he willingly bought it. He now feels taken advantage of and doesn't like it. Fact is, ANYONE who buys an extended warranty HAS been taken advantage of!

My $.02.

Jim

[chamookman]

I thought all that DRIVEL sounded vaguely familiar:yikes: ! Bob

[William H Bonney]

Warranty companies make their policys transferaable because it is better (for them) to keep a policy in force and at the risk of paying a claim(s), than it does for them to give you a refund on any unused portion of the cancelled contract. "Your money in my pocket is better than your money in your pocket"--that's the thinking behind transfers.

.
You might disagree,,, but your not correct. Any company that sells any type of extended policy wants the coverage to expire as soon as possible. Ten years ago who ever heard of "transferring" a warranty to the new owner if you sold something? Very few. The very idea of transferring a warranty if you sold the item, is a selling point to the original consumer, nothing more.
I'm not affiliated with either company either,, however, I've dealt with these exact issues on a daily basis for the better part of the last 12 years.:rolleyes:

[MSUICEMAN]

Warranty companies make their policys transferaable because it is better (for them) to keep a policy in force and at the risk of paying a claim(s), than it does for them to give you a refund on any unused portion of the cancelled contract. "Your money in my pocket is better than your money in your pocket"--that's the thinking behind transfers.

As for GPR..the provisions are clearly spelled out:

you must keep the policy for the full term (no early cancels or transfers)
you must still own the boat
you must not have any claims during the full term
you must take the initiative to redeem the GPR if you meet all of the above
you must make the petition for the refund within a specific time widow
IF you meet all this criteria, we'll gladly refund you the money The original poster states that he indeed sold the boat which clearly voided the GPR provision. Still, he "marked the calander" in order to eventually petition for a refund that (1) was no longer valid nor,(2) was he entitled to (by virtue of the boat being sold). In other words, he has committed insuranse fraud which just happens to be illegal the last time I looked (any legal types viewing?)

Add to that, he then slams Wilson for not helping hime committ his caper more easily (hmmm..slander??).

BTW I am not affiliated with any of the parties in this case.

committing insurance fraud would mean that there was intent to defraud, which is not true in this case, so shhhhhh.

while i agree that it was in his contract and you gotta know the fine print on these things, saying that he broke the law is rediculous.

[Czarthree]

I also purchased an extended warranty from Pinnacle thru Wilson Marine on my Starcraft Pro-Elite 2000. The promise of a full refund on the cost of the warranty was what caught my eye. The cost, coverage, and deductible was the same as an extended warranty from Merc. I purchased it for a cost of $1100. It was $1300 but the dealer gave me 2 $100 coupons to use toward the purchase. It was a 4 year extension after the 1 year factory warranty. My salesman was very honest and forthright and I would not hesitate purchasing from Wilson again. The warranty was expiring, I sent in all the required info to Pinnacle and 5 weeks later recieved a check for the total ammount. Case closed. As far as Wilson Marine is concerned, my motor blew on the 3rd tankful of gas, 3 weeks before the family was leaving on a vaca to the U P. Wilsons excellent service had me back with a new motor and on the water in 10 days. Thanks Wilson Marine and thanks Pinnacle.

[Plug Tug]

Gee!!! guys I didn't want to start a war. I just went the long way around and said make sure to read the fine print.. which I didn't and payed for it. Uzarious needs to take a pill and calm down... I didn't request a refund like he replys so he can sleep well tonight. Wilson is just like any other place, some sware by them and others sware at them .. such is life