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Comments
One thing, so all of us here can judge, you said it was overheating, what was determined to be the cause and what was repaired/replaced?
PS: Went to Richmond past weekend to see NASCAR race with the Mini, got 35 mpg @75mph average speed (1200 miles roundtrip)LOVE this car !
Ray T.
Total repair bill was $655 covered in entirety by WG.
I really have gotten alot in return from this warranty. I haven't tallied up the total yet...but its up there. I've already contacted WG for a quote on my next car. Presuming I actually go through ahead with purchasing a 03 Lancer EVO.
But for now...the spyder is actually going into the shop again on Monday. This time around I'm having the transmission torn down due to a funny noise in the final drive. Almost sounds like a bad bearing. Hopefully they find the problem and WG covers the repair...
Glad to hear your still enjoying your Mini. I never knew until now they were priced so competitively. Not a bad deal for what you get in return!
Well...I can honestly say, WG finally denied me of my first claim. I brought my car in to have a transmission noise diagnosed recently, I approved the tear down and as it turns out, they found 1 bearing which was beginning to fail.
So...the next step was calling the Administrator and filing a claim. Well...this is where it got tricky. They told the shop since the car was already reported with a tranny whine back in February when I brought it in for the other major repairs. Since I did not approve the tear down right there and then, they decided not to cover the transmission repair due to prolonged use of the car, with the whine. I tried pleading my case and mentioned to them the condition did not worsen. It still had the same exact symptoms 3k miles earlier. Plus the tear down proved it was just the 1 failed bearing. Everything else was ok.
It didn't make a difference. They mentioned it was stated in the contract that continued use of the vehicle with a known problem, will void your warranty. Even though in actual factuality, it is just the 1 bearing which failed.
I'm a little bummed out at the way the situation turned out. I spoke to about 3 supervisors at the Claims Administrator office and their pretty much backing their principal.
So...all and all, I ended up getting a decent sized discount for a complete transmission overhaul at the dealer. It's worth getting everything done while its apart anyways.
This was in all likely hood my last claim with WG for my Spyder GST since the contract is expiring soon. They did come through for me for nearly $10k in repairs. Even though...I got stuck with a heavy transmission repair out of pocket, I'll probably still purchase another contract for my recent new car purchase of a 03 Mitsubishi Lancer Evolution.
Just wanted to share my experience..
Hard Lesson learned though!
If your car ever gets inspected by a representive from any one of these warranty companies and they make note of ANY possible issue which would require your approval to tear down or diagnoses.
ABSOLUTELY DO IT right then and there!
Otherwise...you WILL lose warranty coverage on anything which could possibly be related to the issue in the future.
ALSO...make sure to have your service shop CALL in any possible claim before any diagnoses or tear down is started. This will assure your coverage is in good standing before any work is started.
My transmission overhaul could have been avoided if the Dealer shop contacted the Claims administrator FIRST. I at least would have known warranty coverage was going to be denied in the first place.
However...back in February, the dealer nor I, had no clue that by not tearing down the transmission right then and there, was going to cause the a void in the Warranty. The Claims Administrator and The representive onsite, did not pass along this information to us.
RKS100, this info may be of use to you...
They however would not provide me with names of local or even somewhat local repair facilities that could give them a positive referral...
"I am considering purchasing an extended service contract (5 year 150k). Speaking with them they seem to be very proud of the "fact" they have had zero claims with the Better Business Bureau that haven't been resolved within "30 days".
RKS100, this info may be of use to you..."
Thanks harryhall. There has been some progress on my case. Our lawyer sent all evidence supporting our case (photos, letter from dealer, and our explanation) with his cover letter. WG responded by saying that they still believe that it was a misuse but since I am a valued customer they are willing to settle. They made a real low-ball offer. Since then we have had a few more rounds of back and forth.
1. Their latest offer is still about $700 - 800 less than the actual cost of repair.
2. Part of the settlement is that my warranty becomes void. I have about 20k miles left on the warranty.
3. Every time WG comes back with an offer, the lawyer faxes it to us then we prepare a modified offer and send it back to the lawyer, who in turn mails it to WG with his cover letter. His fee for initial consultation and first letter was $280. Each subsequent communication is another $100 (1/2 hour of consultation). By the time we settle, we will owe him at least $500. The fee may seem unreasonable but it has payed off. The lawyer did not send any new material. All of this was conveyed to WG multiple times over phone or through fax but just having an attorney's cover letter made us a "valuable" customer and motivated WG to settle.
4. Reading this board, I am not sure that WG are any worse than other warranty companies. I still think that it is preferable to buy from a local company -- especially through your bank or credit union. Telling your bank that you are going to refinance your 400k mortgage through another bank is a very effective threat
5. A couple of people doubted the veracity of my posting. I can not complaint. This is a free bulletin board and you should take any info with a grain of salt. I would like to add though that people need a motive to lie. What is my possible motive: I am not peddling another warranty company. So unless I am a lobbyist for banks or subscribe to "anti-industrial" philosophy, I have nothing personal to gain
take care
As a person with a financial background, I feel this rating will be lowered again. I analyzed the A.M. Best report and also showed it to my accountant. The report discusses just how bad their financial position is (National Warranty).
Don't take my word for it, you can order it yourself.
This is not to bash any one company, but I would be extremely cautious. I do not see this company (Warranty Gold) or their administrator(National Warranty)in business in the future.
There are plenty of other companies for me to choose from and don't need to get involved with a company that has its representatives discounted the seriousness of this issue when I questioned it. I think this is worse of a situation than can be imagined.
Any advise would greatly appreciated.
Thanks.
Spyderred
OLDWICK, N.J., MAY 23, 2003
A.M. Best Co. has downgraded the financial strength rating to B (Fair) from B++ (Very Good) on National Warranty Insurance Risk Retention Group (NWIC) (Lincoln, NE). The rating has been placed under review with negative implications.
A.M. Best believes the business and liquidity positions of NWIC are adversely affected by a recent dispute with the purported obligor regarding the non-payment of claims on a program under a bordereaux assignment agreement entered into December 2002. Under the agreement, NWIC was to remain as the third party administrator. In response to the unpaid claims, a number of lending institutions have notified dealers that they will not lend money on NWIC insured vehicle service contracts. Consequently, NWIC may lose most of its other business because of the refusal of lending institutions to finance. The potential unpaid claims related to the disputed program may exceed $60 million. In A.M. Best's opinion, NWIC's dispute could significantly impair the organization's ability to satisfy its policyholders' obligations.
The downgrade and under review status reflect NWIC's difficulties in securing support for the immediate financial restructuring of the bordereaux. Even if a proposed workout plan on the bordereaux dispute is secured, this initiative would not measurably mitigate the operational risk factors exposing the organization's assets to further erosion. The proposed workout plan would involve a significant loan from NWIC to the obligor to initiate claim payments.
Additionally, NWIC has indicated its independent auditor will not issue an opinion in the 2002 Independent Auditor's Report due to questions on overall reserving adequacy, including potential liabilities related to the aforementioned dispute. Therefore, surplus declines may also be driven by miscalculation of its reported liabilities. Through the first quarter 2003, NWIC also reported continued deterioration in operating performance.
A.M. Best will continue to monitor the company's progress on these issues. Nevertheless, further downgrades are possible should ongoing financial restructuring of the bordereaux and a completed reserve analysis fail to adequately resolve A.M. Best's concerns with regard to liquidity and capitalization. A.M. Best downgraded the rating on March 7, 2003, due to deterioration in performance during 2002, reserve uncertainty and capital and liquidity concerns, which was only alleviated by a capital infusion of $4 million.
A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source.
link to am best report:
http://www3.ambest.com/frames/frameserver.asp?site=press&tab=- 1&altsrc=13&altnum=&refnum=6555465777484655
bruce
Warranty Gold already went throught this with another administrator a couple of years ago; that was the driving force behind all of the complaints about them--the administrator would basically use ANY excuse to deny a claim.
If they are different companies, how would the administrator's problems affect WG?
Joe
With my recently denied claim and the refusal of National Warranty to even work with me a bit...they have left a bad lasting impression with me. Even my prior claim which took over a month due to national refusing to go through the dealers regular parts channel was very aggravating. The inspector was also arriving late onsite...further delaying the repair process. I personally will never approve an out of pocket diag charge for anything again, without calling in first and making sure my warranty is in good standing.
Service contract insurer in liquidation
Automotive News / June 09, 2003
National Warranty Insurance Co., an insurer of vehicle service contracts in the United States, last week began bankruptcy proceedings in the Cayman Islands, where it is incorporated.
National Warranty, headquartered in Lincoln, Neb., underwrote as many as 35,000 vehicle service contracts per month and its losses could be $100 million or more, competitors say.
The Nebraska Department of Insurance received complaints the company stopped paying claims from two Nebraska consumers, several dealers from different states and four other state insurance regulators, says Bruce Ramge, Nebraska's chief of insurance market regulation.
National Warranty's attorney could not be reached for comment.
The company, also known as NWIC, last week received approval from the Grand Court of the Cayman Islands for provisional liquidation, which is similar to filing for Chapter 11 reorganization under the United States Bankruptcy code, NWIC said in a press release.
The court order protects NWIC against legal action and allows the company to continue in business and pay claims.
Yes, Warranty Gold is a seperate company from National Warranty (NWIC); however they are just the agent/broker. Warranty Gold has no administration capabilities.
The price you pay when you buy a warranty from Warranty Gold includes:
1. Reserves to the insurance backer of the warranty (National Warranty Insurance Company Risk Retention Group - NWIC)
2. Warranty Gold's commissions
3. Administration fee to National Warranty Insurance Company Risk Retention Group - NWIC
When the insurance backer NWIC and the administrator, which is also NWIC go out of business then there is no one there to administer the claims on the contracts Warranty Gold sold. Yes, Warranty Gold can find another administrator but usually that administrator will only take on business on a go forward basis (and hopefully with the proper reserves).
Moving to another administrator will allow for Warranty Gold to stay in business but lets forget about them for a second and look to the consumers who already bought a warranty from them before this debacle. What about the tens of thousands of customers who are holding a worthless contract in their hand and have to come out of their pockets for claims that NWIC should be paying for? What about the single mothers who cannot afford to pay the repair facilities to get their vehicles fixed? Already their is a class action lawsuit filed in Las Vegas against NWIC because they wouldn't pay a dealership for the repairs on a Smart Choice policyholder's truck (which the dealership refuses to release the truck until they have been paid). Do you think the agent/broker will step up and pay for the claim? Absolutely not.
So you can't shrug your shoulders and say oh well Warranty Gold will just move to another administrator. You have to look at the big picture.
You followed a domino approach, and in that chain of facts, you had an assumption that is not automatically true. This therefore affects the outcome you assumed to be true.
You assumed that all previous WG contracts are null and void because of the change in administrators, due to the fact that any new administrator will only work on a 'go forward' basis. This is not automatically true; Warranty Gold has had to fire another incompetent administrator, and this action did not void any previous contracts that I know of.
If this WERE the case, does anyone think that WG, or any other warranty company, could sell new policies if they had tens of thousands of worthless contracts and complaining customers floating around, talking to their friends or posting messages in forums like this? I don't think so. Their future success is and will be based upon how well current and previous customers have been and are being treated.
Since I have two WG contracts, I have sent them an e-mail asking how this administrator problem will affect servicing these contracts. When I get an answer, I will post the results in this forum.
Joe
Yes, Warranty Gold has their own reserves but who holds these reserves? Is it Warranty Gold? Since Warranty Gold is not an administration company nor an insurance company they cannot hold their own reserves. The reserves and administration fee for each contract is sent to the administrator, who in turns sends the reserves to the insurer. Both the administrator and insurer is National Warranty Insurance Company (NWIC); which by the latest reports has been reduced to a rating of C- by Am Best and has received cease and desist orders in Illinois (LincolnJournalstar.com). If NWIC goes bankrupt then the reserves for all companies they administer are gone also. Which brings us to the point...what happens to Warranty Gold contracts already sold when the reserves that NWIC holds disappear?
I have no doubt that Warranty Gold will move to a new administrator; however there is a difference between moving to a different administrator when both administrators are continuing to operate, then there is if the administrator you are leaving is bankrupt or out of business. Lilsmommy and Joe, the example you give is correct if NWIC stays in business and can continue to pay claims. The Lincoln Jouornal Star reports "Because the KPMG Cayman partners arrived over the weekend to supervise NWIC, the company has stopped doing any new business, stopped paying claims, is returning any money coming in and has stopped authorizing claims, said Nebraska Insurance Commissioner Tim Wagner". At this point NWIC's future is murky and no one knows what the future will bring them. Most likely the new administrator will not pick up the tens of thousands of Warranty Gold contracts currently being administered by NWIC. So once again I ask what happens to those customers who contracts are backed by NWIC? Remember what I said NWIC the admnistrator is the same as NWIC the insurer.
Joe, I will be curious to hear what Warranty Gold tells you.
I am in a quandry. I have a new contract with WG, bought back in Feb. So far I have paid $849. I still owe $1050, (5 yr/150K zero ded diamond). So I don't know if I should cut my loses and hope for a refund of most of the balance by cancelling, or continue to make the payments and hope for the best.
MORE INFO
I just called WG and talked to someone in Customer Service about the whole situation. She told me the following information.
1. For all new Contracts Warranty Gold is already using another Administrator/insurer.
2. The Reserves that WG has, are held by NWIC, but are in a separate account and are not co-mingled with NWIC's other money.
3. Because of the bankruptcy filing of NWIC, all NWIC's assets are frozen, including WG's reserves. They have begun the process to have these freed up and returned to WG. They will know more on what will happen on June 30, when another ruling is due.
4. In the meantime, Warranty Gold is paying NWIC claims directly, out of pocket, for all WG contract holders who have NWIC as their Administrator. She said WG is in very good financial condition and thinks they will get over this hurdle and move the NWIC contracts to another Administrator.
I still don't know what to do.
4.
I'm personally glad to hear they're filing for bankruptcy. Good riddens!
IMO, it might be foolish to pay them another dime. I'd try to get as much money back as soon as possible. You can always go after them later for the rest but it's probably not worth the cost of collecting and/or seeking professional advice. Alternatively, you could ask them to temporarily suspend your future payments unless and until they are able to provide "clear and convincing" evidence that they can make good on their obligations under their extended service contracts.
Without very recent and very detailed independently audited financial diclosures to the contrary, I'd be most concerned about the following possibilities:
They may be dependent on cash flows from new sales to remain viable over the long term and their sales may be drying up. People who have recently purchased a service agreement might be exercising their rights for a full refund, which could make the existing situation even worse. Another major concern is the adequacy of any trust reserves, since investment yields have dropped significantly over the last couple years and the supporting assets may have experienced unexpected investment losses. Without having detailed financial statements, there is no way to know.
Some time ago, I bought a WG service agreement, reviewed it during the "free look" period, and then returned it. I informed my credit card company of my intent to use the free look period and would need them to reverse those charges if WG gave me a hard time about this. I was able to return and get all my money back without any problems but made sure this was done during the credit card's billing dispute window. For what it's worth, here's a link expressing my concerns at that time, which were posted in this very same thread:
mgreene1 Jan 31, 2000 6:25pm
To be blunt, their customer service reps can say whatever they want, but it's difficult to have much confidence if they can't provide independent, trustworthy information re: financial condition. The same goes for anyone else collecting money in exchange for their "promise" to deliver peace of mind. What good is a "peace of mind" promise if you have to worry about them actually making good on that promise? You might well be trading one worry / hassle for another. Anyway, I hope this feedback is helpful and you have a good result with whatever you decide to do.
PS: Manufacturers extended service contracts (assuming they offer them) are a bit more expensive than aftermarket ones, but these are high profit deals and they are usually negotiable to be
reasonably competitive with 3rd party alternatives. All things considered (price, convenience, hassle factor, collectibility), these might be a better choice. It would be great if the manufacturers offered comprehensive coverage but with a cumulative and fairly high deductible (like $1000 or $2000) at a cheaper price. That would give people some peace of mind about big ticket repairs or a really problematic car. I suspect many people would be more than willing to cope with the occassional, less expensive repair on their own dime. Of course, the best warranty of all is the one that you never have to use. I paid $3k to Mercedes for their premium 8 yr / 100k mile extended sevice contract and hope they make a $3k profit. Most of all, I hope the insurance company that sold me life insurance enjoys similar profits!
A couple things. One, there is supposed to be some kind of ruling this Friday, so he said that they should know more next week. Also, my payment due date is approaching, 6/20. As a goodwill gesture he put a "payment holiday" on my account, so my next payment is not due until 7/20. So this is kind of like mgreene1's suggestion and I think it is a fair move as this gives me time to see what will happen and I can always cancel, if I wind up thinking that is best. Thing is, my total contract is 1899 and I have paid 849. So, I still have not paid 1050 and if things do not turn out well, I can put that 1050 towards another ext. warranty from another source. I hope things work out and I can stay with WG, the 5yr/150,000 mile thing is just too good to pass up, (unless of course they're out of business and it's worthless), this is the dilema I'm in. But with skipping this payment, this gives me time to decide.
Tony also said that if they can get the reserves back that NWIG is holding, it is almost certain the NWIG contracts will be moved to another admininstrator, with no affect on WG's customers.
They did admit to me that as of this moment, I have NO coverage. Unbelievable. Luckily my car has not missed a beat.
Bottom line - regardless of the "ruling" if they don't make me whole on this policy (and all the other people in my boat) they are over. I just don't see how they can expect to have anybody's confidence going forward if this is what happens when the underwriter goes... well... under. Who the heck would ever buy from them knowing they will be left for dead when the next problem hits?
That said, I'm hoping they do whatever it takes - even if that means going in the red for some time to keep customers confidence and keep the train on the track with the hopes of pulling out in the long haul.
Anybody else out there in this WG fiasco - please share something here. I've been told what others here have posted.
If they don't make me whole on this policy - I will make an effort to spread the word about what happened to me. If they don't take care of me after I shelled out almost 1.5 g's - they will certainly pay an even HIGHER price. I hope they understand this.
Garnes, I'm surprised they said right now you have no coverage. I was told that WG is currently paying claims for their NWIG customers directly, until this gets resolved.
I just can't believe there is not more noise about this. This seems like a very big deal and I can't believe this can happen so "easily".
It's bad not knowing what will happen. Again, if they have any hope of staying in business long term, they have to do something to make good. they better send something in writing ASAP explaining what is going on too.
"Also, Warranty Gold has put the processes into place to secure the investment that each of our customers make in our products. They have established a "Trust Reserve Account" ("TRA") which is managed by their administrator to pay your claims for the life of your contract. WarrantyGold's administrator is insured to adequately cover all claims today and tomorrow. The insurer is "A-" (Excellent) rated and the reinsurer is "A" (Excellent) rated by A.M. Best. A Warranty Gold service contract is absolutely reliable and secure."
LOL - or in my case for crying out loud.
Hardy-Har-Har.......................
Can you believe anything these days??? Anything?
Interesting...you say to say away from the dot coms....then give a dot com company's web site!!
This is my first post on the board. I really appreciate all of the info that you folks pass along. I just wanted to warn anyone out there that you had better read the fine print in any of their contracts. I had a failure of a part that I though was covered (break cylinder). I call the claims folks and explained the problem. He indicated that the part would be covered unless it showed sighs of rust or corrosion. Well, he had the mechanic take the cylinder apart, and sure enough, there was a little ring of corrosion inside the cylinder. This was enough for them to deny the claim. You could take this corrosion argument to any extent necessary to deny many claims, ie. front end parts, suspension etc.
Let the buyer beware!
Jim Bell
QUOTE
Please accept my apologies for the inconvenience that you have experienced with National Warranty Insurance Company (NWIG), which is the insurer and third party administrator of your contract. As you are no doubt aware, NWIG is currently in Provisional Liquidation and has ceased authorizing and paying claims.
In short, Warranty Gold contracted with an "A-" rated insurer (NWIG) and third party administrator that is responsible for insuring, reinsuring, and administering claims on behalf of contract holders. With respect to Warranty Gold, NWIG assumed the complete financial responsibility for our book of business. Due to an issue with another company, NWIG, who is domiciled in the Cayman Islands, recently entered into Provisional Liquidation. Provisional Liquidation is similar to Chapter 11 bankruptcy in the United States. As such, the liquidators have ceased administering claims for all contract holders. Warranty Gold has met all of our obligations under our agreement and has fully funded the reserve account as per our agreement. The liquidators have "frozen" all accounts related to NWIG and the funds will not be released at this time, not withstanding our repeated requests.
You are a highly valued customer of Warranty Gold. The actions of NWIG related to your claim have obviously caused a great deal of inconvenience and problems. We have also been unable to secure from NWIG a responsive and equitable treatment for your claim.
If you have a claim that needs to filed, please follow the normal procedures by having your repair needs by the repair facility call 877-262-8765. They will make notes on the claim but will NOT be authorizing claims nor will they be paying claims at this time. You will need to pay the claim and submit the bill and proof of payment to National Warranty Insurance Company by fax to 402-325-2325.
As always, we value your comment on the service you receive. We apologize for any delay or inconvenience you have experienced, and we hope that the NWIG issue is resolved quickly.
END QUOTE
I don't know if this clears anything up for folks. Personally, I'm concerned and may be making a phone call to my attorney today. Their contract says you have to file in Austin, TX if you wish to sue, but I'm just down the road in San Antonio, so this is not a problem.
Joe
Furthermore, the manager I spoke with at WG said that if the frozen money ultimately does not get released back to WG, I will be SOL and they will be out of business as they cannot cover all their claims.
I still find this unbelievable. I won't be buying any such policy in the future - ever. This is a loosely regulated industry at best. Anything can happen.
If you purchase from them you will be sorry that you did. If you are in the middle of paying for a contract, contact them to see if you can get your money back or you will be sorry that you did.
I purchased a contract from them for my 99 Pontiac GTP.
Just last week I put my car in the shop for repairs, and it turns out that it needed a MAP sensor. I eagerly turned over my Warranty Gold information with no concerns, as I am the proud (or so I thought) owner of the Diamond plan - I mean folks, I'm talking just sign and drive, the whole nine yards.
The mechanic called me back and informed me that the claim was not paid.
I, of course, called warranty gold to find out what the problem was. Much to my surprise, I was informed that their administrator is no longer paying claims.
Mind you that I called before I took the GTP to the shop for repairs, so I can't imagine how they managed to skip that minor detail of them not paying claims.
I was told to take my car in and have the mechanic call us once they determined what the problem was. Good Deal (wrong)
Now the odyssey begins, the administrator gives me a number to call warranty gold, warranty gold insists they are a reputable company and have nothing to do with this. They also say that they are not paying claims either, you get the picture here (finger pointing 101).
I ask why have they not informed their current policy holders, and got the usual corporate runaround. If you look at their site they still maintain the they are the #1 On-line provider of affordable extended warranties. (I think they mean scam, it's got to be a typo).
When I asked to speak to a manager or someone in charge that can make decisions, the customer service reps. insist that their (managers)are all very busy and will not let you speak to them.
I, of course, having paid $1249.00 for this bogus contract, was all over this. It cost me $247.00 for repairs, you figure I could have gotten the car fixed and still had an extra $1,000 in the bank.
I asked why are you still selling new warranties and you can't even take care of the current customers that you duped earlier? I mean, you would think that any reputable company would take care of the people that got them to where they are today. They maintain that they will pay the claims and they will be fine.
I have filed a complaint with the FTC and encourage anyone with a contract to do the same.
The FTC has to see a pattern before they will act and it's the only way to stop this company and shut them down. It may be too late for some of us but I'm not going to watch the public trust be intentionally betrayed by such an organization.
I have also notified the media regarding this matter in an effort to ensure that as many people as possible are notified of just one of the continuous scams affecting our country today.
It sounds like the administrator, which has most of the financial assets of WG, has filed bankruptcy, so therefore WG is now a creditor in NWIC bankruptcy case. The assets of NWIC are frozen pending the decisions of the bankruptcy court judge to allow them to resume business.
In short, if WG doesn't recover from NWIC, it sounds like WG could well go bankrupt as well. That means all contract holders will be creditors of WG in their bankruptcy filing.
All I can say is you cannot squeeze blood from a turnip - if WG hasn't got the cash, they are not going to pay claims. It could be temporary, or it could be fatal. Just stay tuned.
This was the first extended warranty I have ever bought, and most likely the last.
Remember the old joke about "Send this nut the bedbug letter!" I think we have both just received it.
Personally, I can't tell if WG is an innocent victim in all of this, or if they made a foolish business decision to let NWIC handle their reserve account. It sounds like the case of the suddenly broke celebrity/actor/model that trusted his accountant with all of his funds until he woke up one day and discovered the accountant had taken up residence in Costa Rica--WITH the money.
Anyway, keep your eyes open. I have also been e-mailing a reporter with Automotive News. The reporter tells me that after one interview with NWIC's attorney, he suddenly doesn't return calls. Automotive News should be publishing a list of ALL automotive warranties administered by NWIC, hopefully sometime next week. We are not the only people in this NWIC leaky boat; they are the administrators for LOTS of brands of warranties.
Joe
What that means is that you can make the request to cancel, but you won't get any money back until the courts down there decide whether to sever the WG reserve account.
I've decided to wait and see. If WG is successful, life goes on and nothing has changed. If they loose, none of us will likely be getting anything back, period.
IF they do win and get their reserve account severed from the NWIC liquidation, WG says they made sure their new administrator is incorporated in the U.S. They also said that they are looking at a direct payment set up, where the administrator doesn't make the decisions on paying a claim, all they do is process the paperwork.
So, have a happy 4th of July, and hopefully this will all be settled to our satisfaction in a few days. Either way, worrying about it won't affect it one way or another, so I will choose not to worry about it.
Joe
If this thing is not resolved soon, I'm afraid it will kill WG. Even if the money is available again, a long delay has got to be killing future contract sales. So if the courts screw around with this (they seem to be good at it)then maybe WG will have a hard time staying afloat anyway.
I'll never buy another such policy. And it would be cool if the other aftermarket auto policy companies would/could do something, because this will put the hurt on the industry as a whole.
I know this has happened in the life insurance business. Solid companies coming in and taking over a bankrupt company and assuming the liability so that the industry would not be crippled.
With this business, confidence is EVERYTHING.
never again. i'll take my own chance
warranty gold sucks!!!!!!!!!!!!!!!!!!!!!!!!!!!!