
Preferred Warranties Inc. Reviews
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About Preferred Warranties Inc.
Preferred Warranties Inc. offers extended auto warranties, including service contracts for powersport vehicles. Plans range from specialty to exclusionary coverage. Mechanics are usually paid directly, and all claims are paid within five working days. If the repair shop requires an upfront payment, Preferred Warranties Inc. will reimburse you.
- Multiple plans
- Powersport vehicle option
- Available in all 50 states
- Weak benefits
- Limited plan information online
Preferred Warranties Inc. Reviews
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Reviewed Nov. 18, 2021
Lester and his team are great with providing the tools we need to sell their products. They are always helpful when I have questions and have a quick response time to anything we need at the Dealership.

Thank you for the five star review! So glad Lester and PWI are able to provide you with the products and service you deserve!
Reviewed Nov. 18, 2021
We had a unit on the lot that currently wasn’t available with our current provider. Recently Mark A. from PREFERRED WARRANTIES Inc. stopped in to introduce himself as their new territory rep. He was very helpful and knowledgeable of the product. We were able to find the right product and continue to provide excellent service and great value.

Thank you for the 5 star review! We appreciate your partnership!
Reviewed Nov. 18, 2021
Lester is my sales representative for Preferred Warranty Inc. He is always there for me whenever I need him and very attentive to our dealership's needs. I'd highly recommend Preferred Warranty company.

Thank you for the five star review. We appreciate your partnership!
Reviewed Nov. 16, 2021
Love to work with this warranty company. Very easy customer service. Works well with adjusters. Very helpful and knowledgeable rep that has helped many times with issues. Online contract are super easy. Would recommend to any customer or dealer.

Hi David, thank you for the 5 star review. We appreciate your partnership!
Reviewed Nov. 16, 2021
Mark A, stoped in and talked to me about what he does for his company and was very well knowledgeable, he had an answer for every question I ask him highly recommend him. Very nice guy knows what he is talking about.

Hi Corey, thank you for the five star review and recommendation! We appreciate your partnership!
Reviewed Nov. 16, 2021
LA AUTO STAR VIRGINIA BEACH VA. Been using PWI for years and our mutual clients have nothing but great words about this company. Would recommend this to all our customers, affordable and ready to serve when needed!

Thank you for the 5 star review and recommendation! We appreciate your your partnership and loyalty!
Reviewed Nov. 16, 2021
Great Company. Great rep. Seamless approach to providing coverage for my customers. My customers have raved about their customer service experience from PWI. I have stopped selling other products because of my belief in this product.

Thank you for the 5 star review. We appreciate your partnership and loyalty!
Reviewed Nov. 15, 2021
Getting set up and signed up with PWI was easy and Anna was extremely helpful and informative! The products and services they offer far exceed that of their competition while their price is more than competitive. The financing option they offer will certainly increase my backend, while giving my customers more financial freedom and a variety of protection options.

Thank you for the excellent review! We appreciate your partnership!
Reviewed Nov. 12, 2021
We are shoppers, like anyone else--we comparison shop and find the best programs and prices for us and for our customers. Believe me when I tell you, we checked around, and could not find a competitor that came close in terms of mileage and terms covered. They provide coverage for very high mileage and old aged vehicles and odd items that independent dealers might find themselves putting on their lots, and their truck pricing and coverages are unsurpassed. We also asked around to other PWI dealers to see about claims experience, because that obviously matters, and simply put--they pay.
We have had no issues at claim time, we don't get long delays on repairs, we're not required to do extensive tear-downs only to then find out that they won't cover (been there with other providers), and they don't force us to hold up repairs for an inspector every time. It's a pleasant, simple, experience for us and the customer. The website is simple simple simple, and our account executive, Anna, is responsive and knowledgeable. Couldn't ask for more--highly recommended, to fellow dealers and to their customers!

Thank you for the 5 star review. We appreciate your partnership!
Reviewed Nov. 12, 2021
Signed with PWI last summer and have been very happy with the experience! With their full line of VSC products, and integration with Frazer has made the transition from our previous VSC company very simple. Would recommend PWI to any Minnesota dealer looking to add or replace their current VSC carrier.

Thank you for the excellent review and recommendation. We appreciate your partnership!
Reviewed Nov. 10, 2021
I have been in business for 5 decades and PWI is by far the best warranty company I have ever dealt with. Always pays their claims and never a hassle. Valuable asset to have in my business. Highly Recommend!

Thank you for the 5 star review! We appreciate your partnership!
Reviewed Nov. 10, 2021
Mark ** stopped by to see if we were ok and to introduced himself. We're very happy with this service and our customers are very happy as well. We've been working with them for about 6 months and have no complaints at all, absolutely recommend to my fellow dealers.

Thank you for the 5 star review. We appreciate your partnership!
Reviewed Nov. 10, 2021
Being in the car business for over 30 years, I have dealt with just about every warranty company that exists and none has topped the experience I have had with Preferred. My Account exec. Anna ** knowledge about the products, how they work and most importantly, how to improve my bottom line have helped me to improve my customers' experience while still maintaining profits. I would recommend PWI to any dealers or consumers looking for a quality professional experience.

Thank you for the excellent review and recommendation! We appreciate your partnership!
Reviewed Nov. 10, 2021
Preferred Warranties has been a great partner to provide quality protection for my customers. My representatives for the company have always assisted when needed. My new representative Justin and my regional manager Jill have been in for introductions and support.

Thank you for the excellent review. Thank you for your partnership!
Reviewed Nov. 9, 2021
We've been signed up with Preferred Warranties for a couple years and they're the only VSC provider we use. The range of warranty choices they offer for our customers is excellent. From the inexpensive budget product to the full premier wrap, PWI takes care of all our customer's needs at the time of sale.

We appreciate your partnership and loyalty!
Reviewed Nov. 9, 2021
We've never had any issues with Preferred and love to use them! Our customers have never had a problem using their warranty either. Our newest rep has been incredible and is very responsive and helpful.

Thank you for the excellent review!
We appreciate your partnership!
Reviewed Nov. 8, 2021
The overall process from signing with PWI, the training, and the online application process for our clients has been so seamless, I can't recommend them enough. Don the field rep and the corporate dealer services team have helped me with any concerns and or issues I've had.

Thank you for the 5 star review. So glad Don and PWI are able to provide the service you deserve. We appreciate your partnership!
Reviewed Nov. 8, 2021
Ellas Auto Outlet - Fredericksburg, Va. We have been using Preferred for years now and have had great success. The company and our Rep Leigh always does a great job and Leigh is only a phone call away. Thank you PWI for all you do.

Thank you for the 5 star review. We appreciate your continued partnership and loyalty!
Reviewed Nov. 5, 2021
If you want to invest your money in your future car differently, go with PWI, they have the best customer service, and the representative Neal ** always finds a way to get our work done – and done well! So I highly recommend having PWI on your wish list. Thank you PWI.

Thank you for the 5 star review and recommendation! So happy Neal and PWI are able to provide the customer service you deserve. Thank you for your partnership!
Reviewed Nov. 3, 2021
Jeff ** our Account Executive has set us up for success. Signed us up for his Service Contracts. Very attentive helped us receive training of the service contract process. To help protect our brand and customers.

Thank you for the excellent review! So glad Jeff was able to provide the training and service you and your customers deserve.
Reviewed Nov. 3, 2021
What a great partnership I have here at Autos Direct with Randy and his team. Great wonderful people all around. They really help out a lot when we are in tough situations. We know our customers are always taking cared of when they have a PWI warranty.

Thank you for the excellent review! So happy Randy and PWI are able to provide the service you and your customers deserve.
Reviewed Nov. 3, 2021
I have been working with Randy ** for a long time, It's always a pleasure to work and take advice from him. PWI has been great to work with, takes care of our customers with no hesitation. Great Company!

Thank you for the excellent review! So happy PWI and Randy have provided you and your customers with quality care. Thank you for your continued partnership and loyalty!
Reviewed Nov. 2, 2021
I am writing this review from Kargarmotors where we send our partners at preferred 50 plus contracts a month. We never have any issues with claims and our customers. Love the way they handle claims and customer service.

Thank you for the excellent review! So happy PWI is able to deliver the great customer service both you and your customers deserve. Thank you for your continued partnership and loyalty!
Reviewed Nov. 2, 2021
PWI is always willing and capable of taking care of my customers!!! Randy is always on call for my store. Wouldn't want it any other way!!!! Great business relationship. This company knows how to take care of our customers!

Thank you for the 5 star review! So happy to hear Randy and PWI are able to take care of you and your customers! Thank you for your continued partnership and loyalty!
Reviewed Oct. 20, 2021
I run a preowned car dealership in Blackwood NJ and have been using Preferred Warranties for over 20 years and are extremely easy to process claims and to communicate with. I constantly get other warranty company's coming to solicit my business and I wont even give them the time of day.

Thank you for the 5-star review!! So glad PWI is able to provide the service you deserve and ease to do business!
Thank you for your continued partnership and loyalty!
Reviewed Oct. 11, 2021
I want to thank NEAL ** from PREFERRED WARRANTIES our new account representatve at ARROW MOTORS IN LINDEN N.J. for his total and unwavering support & cooperation in assisting me to give my customers the best vehicle warranty and customer service possible. It's great to know that there are other people in this world with an ole school work ethic. SHAWN

So glad to hear Neal provided the service you deserve! Neal is a great addition to the PWI team. Thank you for excellent review and your partnership!
Reviewed Sept. 17, 2021
I had a problem with my car and my Preferred Warranties policy took care of the bill and cost from the mechanics shop that performed the work on my vehicle. For the money that it costed, it was well worth what I have received back..

Thank you for the 5 star review. So happy to hear that PWI was able to help you get back on the road!
Reviewed Sept. 14, 2021
Preferred Warranties is great to deal with. Jill and Neal are great to work with. The claims department is easy to submit claims to. We will recommend that Preferred Warranties is a great company to recommend service contracts to your customers.

So happy to hear PWI is able to deliver the service you deserve! Thank you for excellent review and your continued partnership!
Reviewed Sept. 8, 2021
I purchased a car with a 24 month warranty with Preferred hoping I would never have to use it, but sadly in second month I had an issue. It was covered at 100% minus my deductible. Then I had a second issue in my third month with my radiator, which was also covered. The people I dealt with at Preferred Warranty were very friendly and knowledgeable.

Thank you for the excellent review!
So glad PWI was able to get you back on the road with ease.
Updated review: July 13, 2021
UPDATE: After complaining publicly, PWI reached out the next day and asked if a 3rd party garage could assess whether the oil leaks were seepage or indeed leaks. They mentioned that they were already in touch with the outfit from which we bought the car, and they were amenable to looking at it. I asked if in the case it was determined a leak, I could get it fixed at the original garage and they said yes, however the BMW place would go over the $170/hr max that PWI would pay.
The 3rd garage conveniently found a leak in one of the two areas and we allowed them to fix it rather than the original BMW place. However, the fix was not the original fix that BMW recommended, which was a replacement of the whole part. The 3rd garage merely changed out some o-rings and charged about 1/3 of what the BMW place was going to charge.
Original Review: June 28, 2021
My wife brought in her BMW to the dealership, where they diagnosed two oil leaks - one in the oil pan, and one in the oil filter housing. Though neither are bad, the oil filter housing leak was determined to be spattering oil onto the hoses and belts. The dealership got in touch with PWI, who sent out an inspector. Their report couched it as oil "seepage" and therefore is not covered under the warranty. The dealership called to follow up but were unsuccessful in explaining that it was more than that.
I called PWI to follow up and make the point that mere "seepage" would not trickle/spatter onto belts and hoses, causing them to weaken and put my wife in a more dangerous situation than before. The representative was adamant that the report stating "seepage" meant seepage and that the "grime" on hoses/belts could be caused by the road, etc., and that the report doesn't state specifically that there was oil from this car on the hoses/belts. The dealership seems sure that the "grime" is based on an oil leak from the car.
As of now, we are going to forgo the fix and tempt fate. The car has the Premier plan, bought 3/6/2019 for $2450, and will be in effect until 12/2022 or 100k miles. For a fraction of the plan price, this could have been taken care of. Instead, my wife will drive a car that may have a hose/belt failure and be stranded somewhere or worse. Upsetting.

I am sorry to hear about your negative experience with PWI. We would like the opportunity to review your claim. One of our representatives will be reaching out to you shortly.
Thank you,
Reviewed May 13, 2021
Rob who has helped me throughout the process has been a great Account Executive. I highly recommend him if you have any questions or concerns with your warranty and account. I purchased a 2014 Hyundai Santa Fe and have had a few issues with the car and he was able to help and assist with the flow of my claims process.

Thank you for the five-star review! We appreciate the recommendation and certainly agree that Rob is a great addition to our team. So happy to hear PWI was able to provide you with the service you deserve!
Reviewed April 28, 2021
I never had any problems. Very competitive rates and terms. Excellent customer service. I have frequent contact with my representative. More dealers should be dealing with them! Robert ** is great to work with.

Thank you for the five-star rating. So happy to hear PWI is able to provide you with the excellent service you deserve! Robert is certainly a great asset to our company. We appreciate your partnership!
Reviewed April 21, 2021
Bought a service contract from a local dealer here in Clarksburg, WV. After driving for 8 months, vehicle broke down and needed a major repair. My warranty covered all except $100 deductible plus a few dollars to diagnose. Saved me a bunch.
Reviewed Jan. 4, 2021
I have purchased 3 contracts for my family and have had claims. PWI treated them very well. No delays in repair work. Quick and responsive and always professional. Will buy from them again. Very pleased with them.

Thank you for the 5 star review. So happy to hear that PWI was able to help when you needed to get back on the road quickly. Thank you for your loyalty.
Reviewed Oct. 5, 2020
I truly wish that I had checked the reviews on PWI before purchasing this policy! Now, after reading these reviews, it just substantiates my thoughts on this company even more. Their responses says that they pride themselves on their customer service, but in my opinion, just because you speak very nicely on the phone, doesn’t mean you have great customer service.
Customer service is taking care of the customers concerns with a situation. This company had no intentions of customer service. I am glad to see that some people have been lucky enough to have them meet somewhere in the middle, but in my case they won’t budge at all. I have a $0 deductible and the only thing they can say is that if I didn’t want to pay money out of my pocket for a covered repair I shouldn’t have taken it to a Ford Dealership! I should have taken it to an independent shop instead. Terrible customer service! Buyers be forewarned, you are not getting what you think you are getting when you buy a warranty from PWI! There are far better choices out there to spend your money on!

I am sorry to hear about your negative experience with PWI. We would like the opportunity to review your claim but do not have any contract information. Please let us know the best number and day/time to reach you so we can talk further about your experience. Thank you.
Sincerely,
Kim K
Updated review: July 22, 2020
Apparently, when my dealer contracted with PWI, they made sure that refunds would be provided. I received a check today. However, I would still recommend being aware upfront about the refund policies. They used an explanation that, although the company name has "WARRANTY" in it, it's a Service Contract. In CT, service contracts don't have to be refunded.
Original Review: July 7, 2020
Paid $2400 for a policy in 2019. Owned the car for a year and traded it in. Called to try and get a refund (policy was good until 2022) and was told that in CT, I would have had to have traded in my car within 30 days. Nothing on the contract about that, could not find ANY refund information on the website. The write up is correct - you have to pay for this thing up-front and with no ability to recover an unused portion, it's a complete waste of money. I should have been refunded about $1800, but nope - they got my $2400 and thank you very much. I DO NOT RECOMMEND THEM AT ALL.

Hi Ray – thank you for updating your review. While we’re disappointed that you are still not satisfied with PWI after we worked with your dealer to make an exception for your refund, we do hope that you will consider PWI in the future.
Reviewed June 18, 2020
This is the worst insurance! Bad customer service. They dig to find a reason not to cover the claim. They do not return calls. We kept calling trying to find out the status of the claim. They never called us to tell us the claim was denied because they believed the damage occurred before the purchase of the insurance contract. They never inspected the vehicle. All this was done over the phone. Instead, they called the repair shop and told them and the repair shop told us. They will not answer any calls. Do your research!

It was recently discovered that the vehicle you purchased was not eligible for a PWI Service Contract due to the service contract being issued after the date of purchase of your vehicle. We hope this has helped to better clarify the current situation. Please contact the selling dealership directly for refund inquiries related to the subject Service Contract. Thank you.
Reviewed June 2, 2020
I purchased a used vehicle from Ducky Cars. The dealership offered various warranty options by Preferred Warranties Inc. for the vehicle so I did not have the vehicle checked out by a mechanic prior to purchase. I chose a one year full warranty with unlimited miles. Upon leaving the dealership and getting on the highway I noticed that the vehicle swayed when I got above 50 mph. The next morning I noticed some stains in my driveway.
I took the car to a mechanic and a number of issues was found. A lot of them major. Preferred Warranties Inc. (PWI) was contacted and they denied the claim. They said the dealership should not have sold the vehicle in such a condition. This is part of the "agreement" between PWI and Ducky Cars. As such Ducky Cars violated the "agreement" and the warranty was voided.
The dealership refused to make any of the repairs saying that the warranty company was responsible for the repairs. The warranty company refused to cover any of the repairs saying Ducky Cars should fix the issues. There has been a back and forth and nothing got resolved. Now I cannot get my money back for the warranty because Ducky Cars says they gave it to the warranty company (PWI) and the warranty company says they never received any money for my warranty.
So, the current situation is this:
I have a vehicle that I cannot drive.I do not have any kind of warranty.
I do not have the money I paid out for the warranty.
In the state of Georgia there is no protection for used car buyers and these companies know that. I would not have purchased this vehicle if not for the warranty.

Although we feel for your unfortunate situation, per your signed-contract, PWI does not cover any failure which existed at or prior to the purchase date. As we discussed during our earlier conversation, the issues of your vehicle were pre-existing prior to purchase and therefore are prohibited from PWI coverage. We did not receive payment from the selling dealer so we suggest reaching out to the dealer for your refund.
Reviewed March 18, 2020
This is my second claim with them and I am in another fight for my life. The first claim I wound up agreeing to paying 1/2 the cost. Now my mechanic is telling me that there is an issue with my oil pump and timing chain (a known problem with my car that I did NOT know about) yet PWI is INSISTING on a tear down at my cost to determine the cause. My mechanic has said that won’t show the cause, because this is a known defect. I know that PWI is trying to find a reason to NOT pay this claim too, and in the meantime I don’t have use of my vehicle because the engine may blow up due to the malfunction of the oil pump and chain.
My mechanic also said that the engine WILL go at some point, so it would actually save PWI money to just replace the whole assembly now...but I can’t even get them to pay for the diagnostic they are insisting on! I cannot emphasize this enough....DO NOT BUY ANY PRODUCT FROM THIS COMPANY!! They will find any reason NOT to pay a claim. I will NEVER buy another warranty from them ever. Big waste of money.

Hi Lisa,
I happy to hear that PWI was able to reach out to you and address your concerns and send you reimbursement for repairs. Please let us know if we can be of any assistance in the future.Thank you.
Reviewed Feb. 27, 2020
I will only state facts in this review. Read the Preferred Warranties' contract in its entirety before purchasing this warranty and it will change your mind. The way the warranty is setup, the buyer will lose money. They indicate that they will replace with used/recycled parts and consumer is responsible for paying the difference if new parts are used. They indicate that they will pay a certain amount of the diagnosis fee, but they also indicate that the repair company must show where the failure exists. Note, this this is difficult for intermittent issues such as mine. My car has codes that are being shown through diagnosis, but Preferred Warranty is requiring me to ask the Infiniti dealer where the shop is to go further with their diagnosis by dropping the transmission pan at my expense, which is additional money out of my pocket that will not be covered by Preferred Warranty's miniscule $115 diagnosis reimbursement.
Not to mention, I could spend the money for the additional diagnosis and Preferred Warranties can still deny the claim. I am now fully convinced that Preferred Warranty extended warranties are money grabs. Including the cost of the warranty, there's the potential that I could spend more money on this valve body replacement than Preferred Warranties. Overall, it would have been cheaper for me to not buy the warranty and instead pay the cost out-of-pocket. I guess that's a good business model for them, but a horrible one for the consumer. Ultimately, I, the consumer will lose. Don't buy products from this company.

Hi Wilmani,
PWI is eager to discuss your concerns. One of our claims representatives has been trying to connect with you. Please call our Claims Department at 800-334-4841 so that we can chat with you. Thank you.
Updated review: March 20, 2020
I still had to pay out of pocket some but at least Michael was able to get it to $90 hours for labor charges. I’m just glad after 4 different shops my car is fixed.
Original Review: Jan. 26, 2020
My husband and I have been having a check engine light on our car since Dec. We took it to our trusted mechanic. After seeing metal flakes (which he was able to show us) in my oil. He said our car needs a new engine. We have been going through Hell ever since. He suggested that we don’t drive it but tow it to the Chevy dealership across the street because he doesn’t repair engines. When the dealership called our warranty company (PWI) they played phone tag for almost a week. We also called and was told they were waiting for us to call in order for them to speak to the dealership. When the dealership finally got through to PWI, the customer service told them we hadn’t called yet so we both had to start all over. No one at the customer service was noting the account correctly.
Finally yesterday the dealership called at 6am. The dealership told them their labor charge was $150, but willing to go down to $125, and got a message that they will not negotiate labor charge it’s $90 and needed to speak with me again. My husband and I spoke to Rob at around 7:15a who was VERY RUDE to us inform me that the dealership hasn’t called and they need them to say what’s wrong with the vehicle and the average labor charge in Vegas is $90. (Mind you I spoke to someone yesterday who told me the the average cost was $85 but he knew a show that’s in my area that $95 and they will pay him. We went by the shop when we hung up. The shop mechanic spoke Russian and do foreign engine in a hole in the wall location.)
So back to my story, my husband and I got up and drove to the shop. After pulling up to the dealership the manager Wayne showed proof that he called. I picked up my phone and called back at that very moment. I was now speaking to Chris. He again informed me at 7:58a that there weren’t any notes of the dealership calling. Chris said there were only 4 agents working today. So I told him I have at dealership so finally what did they want to know. On speaker Wayne and Chris talked about the car and Chris said PWI needed proof of the problems and an estimate of charges. So Wayne said, "Are you giving me permission to break the engine down." Chris said, "No we just want proof." Wayne said, "It doesn’t make sense unless we look at what’s wrong."
Chris said, "Ok we will hear from you on Monday latest Tuesday." I was then informed that IF PWI decide NOT to pay then I the customer will have to pay $600 (cost of the breakdown) JUST to find out what’s wrong with my car and I have metal flakes. I called right back spoke to Sky (who didn’t know ANYTHING) quickly got me back to Chris when I mentioned his name. I asked him about the $600 fee if they decide not to pay. He insured me that if there is flakes it’s most likely an engine change but they need proof. I wanted to see if they can negotiate the labor rate $125 or at least $100. As nice as Chris was I fear I will have to start all over next week. All I want is the labor charge to be negotiated and for my PWI not to have me going in circles.
I don’t understand why PWI would want their clients to go to a hole in the wall shop just to save money and one I, as a client, wouldn’t feel comfortable with. We’re a military family and I expect to feel safe when I go drop off my car if my husband is not around. Also getting the run around like I’m a criminal or a bill collector is NOT PROFESSIONAL AT ALL!!!

Hello Samantha,
I understand Michael was able to reach you and address your concerns. Please let us know if we can be of any help in the future.
Kim K
Reviewed Jan. 16, 2020
Bought a used Truck and the PWI Warranty ($1100) and 9 months later the Power steering pump needs replaced. The warranty company told the dealership service department that the steering pump is not covered. Please READ every single line of your warranty contract before buying because if you don’t you will most likely be wasting your money. Do not make the same mistake that I made spending your money on a piece of paper that is useless.

I’m very sorry to hear about your negative experience with PWI.
Customer satisfaction is of the greatest importance to PWI. I’d like to learn more about your experience with PWI and see if there’s a way we can help.
Please let me know the best number and day/time to reach you so we can talk further about your experience.
Sincerely,Kimberly K
Updated review: Jan. 10, 2020
I had a few follow up calls with representatives from Preferred Warranties and had a satisfactory resolution. With a minimal amount of hassle we were able to come to a settlement amount that covered a reasonable portion of the valve cover repair. While I kind of wish that was my experience off the bat, I am at least glad that the reps managing the web presence of PWI are much more rational than the folks who were manning the phones when I first called. I upgraded my review to 4 stars instead of 3 stars only because PWI had been responsive on my previous two repair claims. This particular incident and resolution was really a 3 star experience but I averaged my other two 4 to 5 star experiences in with this one to come up with the overall 4 star rating.
Original Review: Dec. 20, 2019
I purchased Premier coverage for a used BMW 535i. Back in March I needed a valve cover repair which should have been covered by the policy. When the repair shop contacted Preferred Warranties they had a very specific conversation about internal gaskets and valve cover not being covered. When I recently went through the policy, it clearly stated that valve covers were a covered item. I called Preferred Warranties to inquire why the repair which had already been completed was not covered even though it should have been.
They stated that it should have been covered but since the repair had already been done, they would not honor a claim. They then went on to state that they never talked to the repair shop even though the service owner had relayed to me very specific details about the conversation he had with them. Rather than acknowledge that the car was under warranty for a repair that should have been covered and make good on the claim - the PW reps pointed to the fine print in the contract that since they didn't have a claim approved in advance, that there was nothing they could do.
The experience got worse when the call was redirected to a supervisor. The first rep accurately stated that the call should be between the service center and Preferred Warranties. The supervisor instead stated that I should have called PW about the claim that they did not enter. Not sure how I would know that they did not record the conversation and not enter the claim. While to me this looks like it should be an easy to fix administrative oversight by one of the parties, PW uses it as a rationale to deny rightful claims. This has been a very disappointing experience and I definitely will not be shelling out thousands of dollars for a warranty that Preferred Warranties Inc. has little interest in honoring.

Customer satisfaction is of the greatest importance to PWI. We'd like to learn more about your experience with PWI and see if there’s a way we can help.
One of our claims supervisors will be in contact with you to further discuss your concerns.
Sincerely,Kim K
Reviewed Dec. 5, 2019
Updated on 12/13/2019: I have been in contact with Preferred Warranty staff in regard to my Bmw repair of the timing chain. The approval of $75 an hour was raised to $100 an hour. shortly after that I was informed that the car needed a different repair due to cam damage. A few days later an assessment was made like before a the cams were damaged due to the timing chain issues. A repair that was covered. Preferred Warranties then requested oil change documentation for the four changes needed between the warranty covered oil changes and my current mileage @86k miles. The Bmw has an oil sensor that notifies the driver when an oil change is necessary. That was used for the first couple of changes. An oil change service center did not reset the timer on a visit so at the point the oil was changed @ 8-10k intervals. All of the oil changes were full synthetic.
Non digital records are problematic. Oly one service center has a digital online records available. 2 weeks in the car is still sitting. Preferred warranties is also requesting current registration. I received an extension from the DMV due to the vehicle not passing emissions... The problem they sent me to the first car repair center where the car still failed emissions at a $3K repair bill.
Original Review: I purchased a warranty from Preferred Warranties when I purchased a 2012 528ix from a local luxury car chain on 9/28/15 for $3200. On 11/20/19 I take the car to the local BMW dealer and they have to call and authorize the repairs. The car has to be torn apart to see the failure of the part at $2500 fee if the repairs were not authorized. The failure was a covered repair and I received the estimate from the dealer for $8549.92 billing labor at 180 per hour at 24 hours and parts at $3681.50 plus tax.
This is how my contract reads: "The labor required to repair all parts covered under this agreement will be paid at the industry accepted flat rate as indicated in a current edition of Mitchell or ALLData labor guides, multiplied by the fair market hourly labor rate." None of these labor guides have been made available for comparison or editions used. PWI authorized $4.582.69 not including $390 rental that was covered. In conversation with Me and my service consultant $100 per hour labor was to be covered if the repair was covered. The labor was approved at $85.00 per hour. There is a $3967.26 difference to be paid by Me. So... prior to the car being inspected PWI suggested I take the car to non dealer for repairs.
I had taken the car to a neighborhood BMW service center and they were not equipped to expose the failed part for inspection from PWI. At a waste of $1900 for other repairs that were "needed" the check engine light was still on. The non BMW service center turned out to be a waste. The BMW dealership is looking to work with some of the costs ..as of yet no correspondence from PWI Warranties on the charges or explanation of them.

Thank you for providing feedback about the frustrations you’ve experienced. We set a high standard for ourselves and are truly sorry to hear that standard was not met in your interaction with our team. One of our claims team members will be reaching out to you to discuss this issue in more detail.
Updated review: Dec. 18, 2019
After posting my prior review, PWI reached out and was able to take care of my concerns. Everyone I worked with was very nice, and my concerns were taken care of quite quickly; 15 days to full resolution and receiving the reimbursement check for the claim.
Original Review: Dec. 3, 2019
I purchased one of their warranties when buying my used diesel Jeep; because it was diesel, I had to pay even more but thought that it'd be a good idea for those "just in case" moments where a single repair could potentially cost close to the price paid. I was given a brochure that listed everything covered and it all sounded great. Fast forward 1.5yrs and 40,000mi later, I had dropped the Jeep off at service for what I thought was a simple alignment (was pulling to the left). I was called the next day by the dealership while I was at work and was told it was a tie rod. I told them to go ahead and get it fixed, and I figured I'd get the information for the warranty when I got home and would get a claim submitted as the tie rod was covered under the warranty.
I go to submit a claim and was told that since I didn't involve them in the process BEFORE the repair was done, that they weren't going to cover it, even though the repair would've been covered, and they would've approved it. During the call I also found out that the dealer I purchased the vehicle and warranty through, used the warranty to fix a sensor that was supposed to be covered under NYS Lemon Law. This didn't negatively affect me, however if they had followed up with me, the customer, to ensure that I had requested the repair/that it was legitimate, I would've told them it wasn't and they could've saved money there.
Overall their process seems broken and it really is a shame. I don't think I'd be so upset if the warranty card they mailed with the policy information was clear that if they weren't contacted prior the claim would be denied, but it wasn't worded as such. With less than 3,000 miles left on my warranty, I fear I've just thrown away thousands of dollars.

Justin,
Thank you for the recommendation.We are happy to hear our claims department was able to help you and explain coverages and the claim process.
Sincerely,Kim K.
Reviewed Nov. 27, 2019
PWI... well in my situation I bought a used car and in the first week of owning it the transmission went out. I took it the shop and had the shop start a claim before any inspection was done. PWI sent out a third-party inspector and then told me that the issue was preexisting. How convenient for them. They gambled on the warranty and now that they have to pay they have an excuse that it was preexisting. The dealership I bought the car from is telling it was not preexisting. I would not trust this warranty company. They are clearly in breach of contract, unjust enrichment, intentional misrepresentation and in in breach of the duty of implied good faith, needless to say I will be contacting a lawyer and seeking damages, and loss of time. Do not buy this warranty!!!!

Please let us know if PWI could be of assistance with helping connect you with the selling dealer.
Sincerely,Kimberly K
Reviewed Sept. 16, 2019
I paid over $1200 for an extended warranty and when I need to use the warranty they gave me a transmission that was bad. Now they will not fix the problem after they gave me the bad transmission. NEVER BUY AN EXTENDED WARRANTY FROM PREFERRED WARRANTIES. I am going to expose them on every social media outlet. The power of the internet!!!!

I’m very sorry to hear about your negative experience with PWI.
Customer satisfaction is of the greatest importance to PWI. I’d like to learn more about your experience with PWI and see if there’s a way we can help.
Please let me know the best number and day/time to reach you so we can talk further about your experience.
Sincerely,
Kimberly Krammes
Reviewed Aug. 27, 2019
I purchased used vehicle from local dealership and opted for powertrain warranty. I was driving to work yesterday when check engine light came on and vehicle began shaking and hesitating. I was about a quarter mile from reputable service station. They identified that one of the cylinders/pistons went and needed to be replaced. I keep a photo of warranty card in phone and submitted a claim today. I was contacted this evening, about 8 hours after submitting claim. They initially tried to tell me that the cylinder and pistons were not part of powertrain followed by the customer service rep telling the repairs were conducted too quickly for a piston. I didn't know PWI has mechanics conducting customer service. The rep proceeded to tell me that it wouldn't be covered because I didn't call for prior approval as listed in my contract.
I never received any contract, just a laminated card with contact info and policy number which I didn't see to call first because I have the photo in my phone of the front of card. When I purchased vehicle, I was advised to submit a claim after repairs as the warranty covers all service stations nationwide. Although I believe that there was a communication error with the dealership, this is still unacceptable practices. I asked to speak to a supervisor and was advised I can call back during normal business hours. It appears that this company will do anything to avoid covering repairs based on my experience and other reviews. I will call to speak with supervisor tomorrow but I will be sure to let the world know that PWI engages in deceptive practices to fleece hardworking people out of their money.

I’m very sorry to hear about your negative experience with PWI. Customer satisfaction is of the greatest importance to PWI and we will do whatever we can to help ensure your satisfaction. A member of our leadership team will be in contact within the next 24 hours to discuss your concerns.
Reviewed Aug. 23, 2019
If you're looking at purchasing a warranty for your vehicle, look elsewhere. Stepson bought a 2010 Audi A4 from a dealership and bought the extended warranty. The center balance shaft went out causing the engine to seize up. When we took it to the shop, they knew what the problem was through simple diagnostics BUT the warranty company insisted the shop expose the center balance shaft to prove that it was in fact the problem with the motor. This added on roughly 5 hours of labor due to body and other parts of the motor having to be removed to get to the balance shaft. Once it was confirmed by the warranty company's adjuster, they sent a used, long block motor for a replacement.
The warranty company WILL NOT pay for the extra labor for exposing the center balance shaft when it was they who insisted on it being done. Their initial response is that there is a $75.00 cap on diagnostics. The problem was diagnosed with no issues until the warranty company MADE the shop tear into the car body and motor. I was corresponding via email with a Preferred Warranty employee, Mike **, who suddenly ceased to return emails once I asked about covering the extra labor. This company has consumers over a barrel and they know it. Spend your hard earned money somewhere else.

Hello Mike
I’m very sorry to hear about your negative experience with PWI.Customer satisfaction is of the greatest importance to PWI. I’d like to learn more about your experience with PWI and see if there’s a way we can help.
Please let me know the best number and day/time to reach you so we can talk further about your experience.
Sincerely,Kimberly Krammes
Reviewed Aug. 14, 2019
I bought a used car and got the warranty. Had to have the transmission replaced. Started having problems with my right front, had a mechanic check it out and the axle had to be replaced, the strut and wheel bearing. While this was being worked on my mechanic said there was bolts missing out of the transmission, the bolt to the carrier bearing was broke. That is what caused all the other problems. The fluid was overfilled. Now the transmission job is telling me nothing is wrong with it, and Preferred Warranties is telling me they can't do nothing. The car was messed up while it was under warranty and now it's run out so they won't do anything. It's not like I can just go pop the hood and see that the transmission was put in the right way. it took time for the other problems to come up from where it wasn't installed right. I had to pay out 800.00 for this other work and I have a car making payments on that I can't drive. Warranty company is a rip off.

Customer satisfaction is of the greatest importance to PWI. I’d like to learn more about your experience with PWI and see if there’s a way we can help.
Please let me know the best number and day/time to reach you so we can talk further about your experience.
Sincerely,Kimberly Krammes
Reviewed Aug. 14, 2019
Bought the best possible warranty from them and still nothing covered. Had 3 separate issues with '16 platinum fx4 bought 10 months ago from used dealership. Hitting the 'cancel' button! Would highly not recommend wasting your money on them.

Customer satisfaction is of the greatest importance to PWI. I’d like to learn more about your experience with PWI and see if there’s a way we can help.
Please let me know the best number and day/time to reach you so we can talk further about your experience.
Sincerely,Kimberly Krammes
Reviewed Aug. 11, 2019
I purchased my warranty in Jan 2019 my BMW X5. The used car dealership assured me that this was the best warranty for my vehicle since it had high miles. I spent $2,905 for the Plus Coverage which based on what was listed covered everything under the hood. Last week I took to my vehicle in for service at BMW and was told that the oil pan gasket and transfer case mount needed service. The BMW contacted PWI to get approval for the repair and was told that neither was covered. I could not believe it especially since #4 on the list of coverage's is Seals and Gaskets!
When I called the PWI to question this, all I was told is that my warranty coverage does not cover the Oil Pan Gasket. The warranty coverage is very misleading in the contract. I plan on contacting the dealer that sold me the warranty and also considering contacting the Attorney General. At this point I would not recommend purchasing a warranty from PWI. T. ** PWI if you wish to contact me the last four of the vin is ** and last four of the contract is **.

I’m very sorry to hear about your negative experience with PWI.
Customer satisfaction is of the greatest importance to PWI. I’d like to learn more about your experience with PWI and see if there’s a way we can help.
Please let me know the best number and day/time to reach you so we can talk further about your experience.
Sincerely,Kimberly Krammes
Reviewed May 24, 2019
Updated on 05/25/2019: I’ll continue to post until I get my car! What do you know, I got a call from the company promising it’ll be fixed after Memorial Day!
Original Review: I only gave 1 star because I had to post. DO NOT PURCHASE THIS WARRANTY!! I’ve filed a claim in December and still do not have my car! Getting the run around about programming a body valve on a transmission for 2007 Mercedes. The communication sucks and no one knows anything. All I get are what’s in notes and nothing more. I have been making payments for 6 months in addition to insurance premiums and was told I’m not out of money! BS!!’ When you call everyone passes the buck!! Preferred Warranties do not stand by their company!

I am sorry to hear about your frustration. Customer satisfaction is of the utmost importance to us and we will do whatever we can to help ensure your satisfaction. . A member of our leadership team will be in contact within the next 24 hours to discuss your concerns. Thank you for taking the time to review our service.
Original Review: May 21, 2019
Bait and switch...surprise. So bought the extended warranty from them and after a couple months the a/c went out. Took to a shop and it turns out the core evaporator was the problem... That part is covered BUT to access and replace that part in our 2009 C70 Volvo you need to remove and replace the heat evaporator or whatever it is called is NOT covered. Now how are they supposed to fix the covered part without covering the part they also need to actually fix the problem. I am thoroughly disgusted with talking to them and speaking in circles. Waste of money and know ahead of time that your warranty is a hit or miss. So much for that $100 deductible that will now be $700... Seems to be enough complaints to take further action.

We are happy to hear that you are pleased with the final resolution. Please feel free to contact us with any questions in the future. Thank you.
Reviewed May 8, 2019
Called in my first claim, PWI said it was covered. Dealer called in for approval. PWI said it was covered. Go to pick my Truck, PWI told dealer they wouldn't pay full parts costs, so my $100 deductible turned into $420.80 cost. Don't buy this warranty.

I am sorry to hear about your frustration. Customer satisfaction is very important to us. Please leave your phone number so we can call you or feel free to contact us at your convenience to chat.
Reviewed May 6, 2019
Simply put, plunked down 1900 bucks for an extended warranty. First attempt to use it and of course, "that engine part is not covered", is what I hear from them. You have no recourse, YOU'VE BEEN HAD! So for the next poor dumb soul....DO NOT BUY A WARRANTY FROM PWI Inc.

I am sorry to hear about your frustration. Customer satisfaction is of the utmost importance to us and we will do whatever we can to help ensure your satisfaction. Please leave your phone number so we can call you or feel free to contact us at your convenience to chat.
Reviewed March 26, 2019
We purchase an extended warranty from our local Ford dealership when we purchased our new Ford Explorer. We have had it 3 years now. Odometer is at 78,000 miles. One day, our a/c starts blowing warm air. We take the auto to the Ford dealership for repair. The licensed tech found the a/c compressor was leaking. Preferred Warranties wanted pictures of the condenser because if it was damaged due to rock damage, it wouldn’t be covered. Otherwise, the condenser is covered if no damage is found. They called for more pictures to be taken. The service tech showed us where the leak was and stated that it was not damaged in any way.
Guess what. The company denied it stating that it was damaged due to road debris despite the service tech’s statements about no damage. We called and spoke to numerous rude and smug customer service agents. The company sent an adjuster to look at the condenser, alone and without speaking to the techs who worked on the a/c. Denied again. The insurance case worker, Chris, refuses to take our calls nor call back when messages are left and the ones we do speak with are very rude. The warranty company is a scam!!! They will find a reason not to pay, even if they have to make it up.

I am sorry to hear about your frustration. Customer satisfaction is of the utmost importance to us and we will do whatever we can to help ensure your satisfaction. . A member of our leadership team will be in contact within the next 24 hours to discuss your concerns. Thank you for taking the time to review our service.
Reviewed March 11, 2019
I purchased a used vehicle along with a warranty from PWI. The transmission started slipping and I filed a claim with PWI. They sent a replacement transmission 6 weeks ago to the transmission repair shop where I was having it serviced. I recently noticed that my transmission had been leaking. I took it back to the shop where I had it serviced and was informed that it was the axle seal attached to the transmission that PWI provided. The shop didn’t have to install it or do anything with the seal, but PWI won’t cover the repairs?! I’m so confused as to why not when they provided it as a part of my transmission, which is covered under warranty!

I am so sorry for your frustration. Customer satisfaction is of the utmost importance to us and we would like the opportunity to review your claim. Please leave your phone number so we can call you or feel free to contact us at your convenience to chat.
Reviewed Jan. 30, 2019
I bought an old car from a dealership which offered a warranty that I bought. Not soon after my transmission was making a racket. PWI was more than willing to have me choose where the car was repaired. The shop I chose specialize in my particular car. A Honda S2000. These guys know much more than your regular old Honda tech about my particular vehicle. PWI paid a strong portion of the repairs. This was 2 years ago.
Fast forward to now my car was making loud clacking noise coming from the front of the valve cover. I pulled the valve cover off to find the head of a broken bolt wedged between the timing gear and the head. I called PWI and told them what was going on. They directed me to their roadside assistance line. The towing to that same shop was completely covered and they assured me that my repairs would be covered minus my $100 deductible. I've had actual Honda warranties refuse to pay for anything. Usually have to fight tooth and nail. Not with PWI. If you are considering purchasing an aftermarket warranty I highly suggest Preferred Warranties Inc.

Thank you for taking the time to comment. At Preferred Warranties, we really appreciate hearing from satisfied customers like you. Feedback like yours helps our team of professionals to stay motivated and keep delivering outstanding customer service every day.
Reviewed Dec. 20, 2018
When it comes to warranty everyone has a fear of buying something that would not actually cover what they say they cover. 2006 F-150 Had an issue that at first seemed like an easy fix, but turned out it wasn't covered in the plan I purchased. PWI still decided to pay for partial part of just because they wanted to help me out as best they could. Thank you PWI so much, you covered something didn't even have to cover. Business done right.

Alex,
Thank you for taking the time to comment. Feedback like yours helps our team of professionals to stay motivated and keep delivering outstanding customer service every day. It also helps others who may be making a decision to purchase a Preferred Warranties service contract.
Thanks and have a great day!
Updated review: Dec. 10, 2018
Thank you Preferred Warranties. I would like to change my response to satisfied!!
Original Review: Dec. 10, 2018
I’m on the PLUS plan and it isn’t worth a cent. They are not in business to help people with their “great warranty.” They are in business to rob you of thousands of dollars. I had around $1800 in repairs for battery unit module and transmission related issue. They cover both in the plus plan (but somewhere in the detailed contract, they specify in smallest font the NOT covered list of items, which is basically almost everything). They do not go over the NOTs when they sell the plan either directly or through a dealer. They are very good when you buy it or even open a claim. When you call them with diagnostics report and issues, they are very RUDE. Do NOT buy from these folks.

Thank you for taking the time to comment. Feedback like yours helps our team of professionals to stay motivated and help our customers.
Reviewed Nov. 20, 2018
Giving the mechanics the runaround. I’m on the PLUS plan and it isn’t worth a cent. These are bad people! They are not in business to help people with their “great warranty.” They are in business to rob you of thousands of dollars. Any dealership selling this warranty should be ashamed. Do not buy cars from dealerships selling this warranty, because they are most likely selling lemons. I’ve needed over $5,000 in repairs. You guys should be shut down. Garbage!

We regret to hear you are less than satisfied with your customer experience. Thank you for making us aware of the situation. Please allow us to review your claim. Is there a good contact number one of our representatives can reach you at? In meantime, please feel free to call us at 1-800-548-1121 if you’d like more information about how your account was serviced. Thank you.
Reviewed Nov. 19, 2018
My girlfriend bought a van with a PWI warranty for a used car dealership about two years ago. I was a little worried reading these reviews when the transmission in the van failed, but after talking with a PWI representative they told us it was covered along with a wheel bearing that needed replaced as well. When we finally got the van back from the transmission being replaced, the front wheel bearing needed replaced as well as the previous garage did a shoddy job, and this was covered as well. So overall we're very satisfied with how PWI handled our situation.

Thank you for your comment! You made our day! At Preferred Warranties, we really appreciate hearing from satisfied customers like you. Thank you for taking the time to comment. Feedback like yours helps our team of professionals to stay motivated and keep delivering outstanding customer service every day. Please let us know if you need assistance in the future.
Reviewed Sept. 22, 2017
The front landing gear crossbar broke on the 5th wheel. The RV has been taken to an authorized place of repair. They determined it is a breakdown, of parts. However Preferred RV is denying coverage because they say it is physical damage. We paid over $3500 for the Best warranty, only to be denied several times now. We have no recourse. They gladly took our money and ran.
Reviewed March 31, 2017
I had a VW CC. I had a check engine light on. I called them, they advised I go to some local mechanic. They diagnosed it was PCV valve and replaced it. The warranty did not cover it because it was emissions related. (Which is garbage because VW warranty covers it and says it's crankcase ventilation, which is crucial for exhaust gas re-circulation). The details are vague and did not cover it.
Here's the main deal. My car bailed on me a month later because of oil leak. I took it to a VW dealer. They diagnosed it was a rear main oil seal failure. They said it was bad since a while and that I should have replaced it a while ago. The local mechanics were not capable enough to diagnose the issue properly. Now I had to get it towed and do a repair for $1500. Not only did they not cover the issue but sent me to a local mechanic who could not diagnose the problem properly. The worst thing was, I crossed their 30k mile coverage within this month. They are very smart, denied coverage right before expiration of my warranty. I'm not sure how to take action on them, but I will make it a point to report to consumer forum of their deceitful tactics.
Reviewed March 27, 2017
I purchased a warranty on 9/21/17. I have tried to use the warranty 4 times in 5 months and not once was it covered. The last item was the radiator which it clearly stated on the brochure I was shown at the dealership but then I was told by the warranty company that was not my coverage. My coverage is different. I needed to look on the back of the agreement that I did sign to see the actual parts covered. The sales tactics they are using are deceiving. The list of items on the black and white contract are about a third of what is shown on the colorful sales tool I was handed and told this is what's covered. Buyer beware. This company PWI is very shady. I recommend don't buy their product.
Reviewed March 24, 2017
My car horn wouldn't work so I notified PWI prior to taking my car to the dealer and started a claim as required. The mechanic had to run electrical system diagnostic tests to discovered that the horn was shorting out and that the horn had to be replaced. PWI denied the cost of the horn. I called to ask why and was told that the contract didn't specifically cover horn and that I should check my contract. I then said that the contract does cover electrical diagnostic testing and ask if they would cover that expense. I was told that diagnostic tests are only covered on covered parts and since the horn wasn't covered the cost of the tests weren't covered. Legal BS. There's no way a contract could possibly list every part of any vehicle but their out was if it's not listed it's not covered. Lesson learned.
Reviewed March 14, 2017
Bought Toyota Yaris Nov. 11 2016, had 30 days to cancel $2000 extended warranty. Cancelled and confirmed it was cancelled Dec. 14 2016. Dealership refiled the extended warranty in my name without my permission on Jan. 5 2017. I have proof in the form of two contracts, one cancelled and one active that I did not authorize. Preferred Warranties said I have to contact the dealer, the dealer refuses to fulfill my request and keeps trying to sell me on keeping the warranty.
Reviewed Nov. 17, 2016
Buyer beware. Bought a car from TDR in Kearney Missouri that was in constant need of repairs. They also sold me a preferred extended warranty. After 7 months of monthly repairs I traded the car in for a new vehicle, proceeded to contact preferred warranties for a refund (contract was 36 month or 36 miles). I was told since I no longer own the car the contract is void with no refund. This policy cost me 1200.00. This is outright robbery. I would like to see a class action against these crooks. Beware.
Reviewed Oct. 3, 2016
I purchased a car from TSJ Auto brokers in Lakewood NJ on 8/26/16. On 8/27 after reading the Company reviews, I immediately cancelled the warranty. The car dealer said it would take a month for me to get my refund. it is now 10/3/16. NO CHECK YET!!
Reviewed Aug. 30, 2016
Be forewarned this company is no good as in complete garbage. Very dishonest and deceitful. They will never cover your claims and look for any excuse to weasel their way out. Not good! Save yourself the disappointment and never buy from them. If a dealer offers you this company run run run as fast as you can. It's all a fraud. Stay away. Bunch of story telling weasels.
Reviewed May 6, 2016
BIGGEST WASTE OF MY MONEY. I guess I was spoiled by Ford's extended warranty. I have paid for most of the 3 repairs I've had done with this thief. Last repair was to replace the manifold gasket. They paid $211 and I paid $675. EXCLUSIONS...
Reviewed Aug. 21, 2015
From every claim getting denied I ended up paying out of pocket for every repair after they towed my car to the limited crappy car shops they work with. I sold my car even though I still had 2 years left on Their warranty plan because the repairs were adding up so much and I asked for a refund on what was left with my contract with them. They miraculously made up charges so they could keep what was left of what I paid when I signed up. Do not use them! Horrible sarcastic customer service. Lessons learned.
Reviewed July 29, 2015
Trying to be brief, I bought a convertible, the motor that runs the convertible top is expensive to replace so I purchased coverage that specifically stated that it covered the motor. When purchasing the car, an older used car, the dealer said, "I don't promote these warranties, it's unlikely they will cover much, but if you want one I will sell it to you." That's the first red flag. But, I thought, it's one electric motor. How could they deny it if it fails? So I bought it. I initially had a warning light. Thought I might need to file a claim. Was sent to one of their preferred mechanics. First words out of his mouth - they will never cover a claim, just not going to happen. Turns out I was able to resolve the issue without filing a claim. That was the second red flag.
Last week the convertible top motor failed. I took it to a different preferred mechanic. First words to me were, "Yea, I've dealt with them. They will send an adjuster here who will just look at the car and say it's something else and that it isn't covered." What happened? They sent an adjuster, he said it was something else, not the motor, so it's not covered.
In the warranty company's defense, I realize it's in their financial best interest to be picky about what to cover and not to cover, however you, as a consumer have to realize that there are a million ways to simply say, oh, it's this or that or another thing, and simply deny a claim, even when there is only one replaceable part such as this electric motor. In fact what they would like us to do is tear the top down, an 8 hour job by the way, take the motor apart and just replace the pump mechanism, which isn't covered and has never been done before. It's all one part. Point is, buyer beware.
Resolution? I told them I wanted to cancel my policy. In North Carolina they have to refund the unused, prorated portion of the policy on demand. I've started that process and was referred back to the selling dealer. From what I've read, this too could be an extended process. Final analysis: Buyer beware. I'm sure they pay out many claims, just be aware that the "game" is that they will pull out the stops to find any possible way to deny a claim. Frankly, it's a crap shoot so if you are a gambler, buy an extended coverage policy. I was warned by the dealer and two certified BMW mechanics. Now you have been warned. All you have to ask yourself now is, do you feel lucky?
Reviewed April 29, 2015
We are a used car dealership in Hudson, NY. We previously provided our customers with Preferred Warranties Inc. warranties. Our customers are like family to us. This relationship with Preferred Warranties Inc. only last around a year because once our customers needed to call in a claim on their vehicle Preferred Warranties Inc. began giving our customers a run around and using loopholes to get out of paying claims and helping customers. Since these instances began we started looking for a better service for our beloved customers. We found a company that we wholeheartedly believe in and stand by. Since signing up with this new company we starting finding that customers with the new company were much happier with the claim process. Therefore Preferred Warranties Inc. received less and less new contracts from us.
Since we gave them less contracts they denied us access to our account to keep track of claims coming in. Now the worst part of this whole ordeal is our representative from Preferred Warranties, Inc.; who is losing accounts to this other warranty company, has started to go around to his still active accounts and is telling them and quite frankly almost bragging that he, himself dropped our dealership. This is not only degrading and disrespectful to our dealership it is also unbelievably unprofessional!
To top it all off this representative from Preferred Warranties Inc. is not telling these people the whole truth. He is telling people that he dropped us due to a high claims ratio, when the truth is that we are no longer associated with his company due to inactivity. The reason this is so upsetting is because when he tells people his company dropped us for a high claims ratio it means that our vehicles break down and have issues. This is not the case by any means. Even though our dealership was not pleased with the Preferred Warranties Inc. product we did not go to other local dealers and put down their product. To all dealers and consumers buyer beware.
Reviewed Jan. 30, 2015
I bought my car in February of 2013. I have the 2nd level plan, therefore not the highest, but it covered all the things I felt it should. With that being said, I have had two breakdowns adding up to about $2000 worth all of which fit under my warranty plan and they won't cover jack squat. They are a worthless company, and their service people are idiots. They don't know anything when you call and try to play stupid. I wish I could get my money back on the warranty because I could have used it to pay for all these repairs instead of them and then them not covering it. Complete bullhockey, they shouldn't even be allowed to be a company anymore.
Reviewed Nov. 18, 2014
In our opinion, Preferred has the worst service we have ever experienced and is a scam. They will not cover any repair they deem is from "normal wear and tear" and is not a "breakdown. " This loophole allows Preferred to deny almost any repair! Getting a refund is even worse. After weeks of the run around, we had to get our attorney involved.
Reviewed Aug. 20, 2014
Worked for this company prior to being taken over by a very large finance company in the car industry and they had a great family appeal. Once they were purchased they became just another warranty company that sells a bill of goods and then creates excuses. They hired a Divisional Manager that knows one thing, the CEO of the company. He is a classic example of "it's not what you know it's who you know" - Biggest sarcastic individual you will ever meet. Bring him to an important meeting and listen to him say nothing. He has nothing to offer. Every other word out of the VP of Sales and Marketing is "right". Listen to him give a motivational speech and you will wonder who hired this person. The former owner and VP of Sales and Marketing are true salt of the earth people.
Reviewed June 9, 2014
Years ago I had Preferred warranties on a Jaguar. When my engine broke down it was a failure that was covered under warranty. I went to the dealer I bought the car from who held my car for 3 weeks. After weeks of calling the dealer who sold me the car and Preferred Warranties and nothing happening by way of fixing my car, I had enough and got authorization to tow it to one of the best Indy Jaguar mechanics. He diagnosed the problem and reported to Preferred as something that was covered under the warranty.
For the next 3 weeks more runaround from Preferred happened - at one time the adjuster even insinuated the mechanic didn't know what he was talking about. Mind you he had been working on Jaguars for almost 30 years and handled repairs on some of the most rare classics and was trained by Jaguar. Well after 2 months of run around they refused to cover the issue stating what their adjuster thought happened and not what the mechanic found was correct. After all these years I cannot believe they are still in business and still using the same tactics on consumers.
Reviewed May 20, 2014
I purchased the Plus warranty with the purchase of my vehicle, with the understanding that it would cover oil leaks, power motors, i.e., windows sunroof and mirror. It also included engine sensor information. BUYER BEWARE. It DOES NOT cover any gaskets of any type, i.e., Valve cover gaskets, engine gaskets of any kind. It only covers the valve cover (I have never replaced a valve cover, only the gaskets). It DOES NOT cover the sunroof if you have a European car because the name is not named within the contact by the name, and it will NOT cover Engine sensors because as with the sunroof, the names are not compatible to the American vehicle sensor/equipment names.
Updated review: April 25, 2014
Preferred Warranties resolved the issues I was having to my satisfaction.
Original Review: April 13, 2014
I purchased the PLUS extended warranty through PWI on 2/7/2014. My purchasing decision for the 2006 BMW was driven 70% by the fact I was purchasing the extended warranty with it. What a mistake. I bought the car AS-IS but walked away with comfort and ease because I paid a premium ($1800) for the extended warranty so if anything happened I had covered my bases. 6 weeks after, the car overheated (the engine overheat light popped up). I immediately stopped the vehicle and called PWI. The 1st hick-up - they told me I was unable to have the vehicle reviewed and fixed at the BMW service center and referred me to a PWI preferred repair shop. That shop diagnosed the issue as the thermostat and water pump and charged over $1000 for the repair which included aftermarket parts.
I called the BMW service center and inquired what the cost of replacement for the exact parts and they quoted $630 which included OEM parts. I called PWI and told them I would rather have my car repaired at BMW since they were less expensive and BMW would be servicing and replacing w/ original parts vs. aftermarket. Dawn, the PWI claim specialist, told me she thought she was helping me out with the more expensive repair and sub-par parts. Ended up when I told their preferred repair shop BMW was cheaper and faxed him a copy of their quote. He told me he didn't want to repair my vehicle and to have it off his lot by 5pm that day or he would charge a $75 per day fee for storage. I ended up having to pay for the tow to the next shop because PWI wouldn't cover it after they referred me to a scam repair center.
2nd issue - The next repair center replaced the water pump and the thermostat but sad the engine was ticking and the valve's needed replacing (suppose to be covered by PWI) - PWI told them they had to know exactly what valve in the cylinder head caused the failure. The repair center stated it would take 26 hours to break the cylinder head down and identify what valve was causing the failure. When they tore down the cylinder head, PWI sent a inspector out and the inspector stated he saw sludge so ended up PWI used the oil sludge as a way to say they would not cover the $3600 cylinder head replacement (suppose to be covered). PWI said the oil sludge indicates pre-exisiting conditions and it showed lack of oil change maintenance so therefore they were not going to cover it.
I called BMW and got all of the service records. My car had 2 previous owners. I bought at 59000 miles on it and it was covered under BMW's maintenance plan through 50,000 miles. I called PWI and told them I could have BMW forward them all service maintenance records to show the car had been maintained according to manufacturer recommendations and oil changes had been done as scheduled. PWI told me it was nothing they could do; wasn't interested in getting the maintenance records and it was out of their hands. The underwriter had made the decision to not cover the repair.
Now Dawn will not return any of my calls. Her boss Tim and/or Colette ** will not return my calls either. My car has been in the shop for 3 weeks now and PWI won't do anything. The bill is $3710 - I would never put my car in the shop if I would have known PWI was not going to adhere to their service contract. I would have waited until I had the money for the repair. I found out the underwriting company is Amtrust Company. PWI is a scam. They will do any and everything to get out of upholding their service contracts. What a shame and a scam. This company should not be allowed to do business. If anyone has any suggestions or would like to file a class action lawsuit, please contact me. I also found out PWI was recently bought out by Karauto Options.
Reviewed March 21, 2014
Preferred Warranties is not worth buying. I have had my 07 Dodge Ram in several different shops over a 6-day period. Preferred Warranties will not cover what they say. I have been sitting at a shop for 4 half hour still getting the runaround. These men are trying to do their jobs and can't move Forward because Preferred Warranties tells them something different every time they call. So I'm out over $2000 and they still have not done a dang thing. This is a worthless company... Don't purchase this warranty. Axles, differential, tie rod wheel bearings and more on my Dodge, all items that will cause an accident but they will not fix. They want the shop to put used parts under the truck. I do not think this is very professional because the shop can be held accountable for an accident.
Reviewed Dec. 11, 2011
Lack of good faith warranty claim handling: I am paying out of pocket for repairs that should be covered.
Reviewed Feb. 9, 2011
On July 13, 2010, I purchased an extended protection warranty from Preferred Warranties Inc. for the used vehicle that I purchased. My vehicle is a 2007 Jeep Grand Cherokee 4x4. The extended warranty cost me $1,500, and was to cover a wide variety of items if the car broke down or needed repairs over the next 48 months or 60,000 miles.
So far, I have needed to use the extended warranty twice. The first time I tried to get Preferred to cover what is specifically supposed to be covered under the warranty, they told me that I had not followed their precise rules on pursuing a claim and that they would not honor any warranty for the repair. The second time, I was particularly careful to follow the procedures so that the repair would be covered. I thought that I did everything needed, including having the repair shop call Preferred to make sure everything was done correctly.
Once again, Preferred found some small procedure that they claim was not followed and refused to pay for the repair. So far, I have paid close to a $1,000 for repairs that are specifically designated as being covered under the extended warranty from Preferred. From the instant I was on the phone with the Preferred representative, I got the run-around. Before I could barely state what I was calling for, I received an adversarial challenge that I had not followed some minute procedure so the repair would not be covered. This was followed in later calls with Preferred substantially negotiating down what they would pay for a covered repair because their procedure was not followed to the "nth" degree, even though I did everything possible to follow these procedures.
I have been around long enough to know when I see a scam and this is it. Preferred is happy to take your money and give the impression that any major repair for your used vehicle will be covered under their warranty. But then, they actively seek to find a loophole or super-technical item to not pay, or to negotiate down the amount that they will pay. This is a total rip-off and an expensive one at that. So far, I have paid for an extended warranty, and I have also paid for the repairs that were supposed to be covered by that warranty.
Preferred is running a scam. I would like my $1,500 back that I paid for the warranty. Clearly, Preferred has no intention of ever paying anything under it. I still have 41 out of 48 months left on the extended warranty, but with no real hope that Preferred will ever honor it and pay what it is supposed to pay. I also note that I am just the latest victim of these same business practices of Preferred. Preferred is the subject of numerous similar complaints as can be found at the following website locations, among others: **, **, **, ** and **.
Reviewed Feb. 24, 2010
About one year ago, I bought a used truck and two weeks ago, the motor broke. I took it to the mechanic, showed him my warranty and he said that it was covered. The warranty called me and said it wasn’t covered.
Reviewed April 16, 2009
I purchased an Isuzu Rodeo from a dealer in Plano, TX and drove the car for 1100 miles and the engine had to be rebuilt. The cost of rebuilding the engine was more than $2900. The warranty paid nothing.
Reviewed Oct. 10, 2008
Purchased a vehicle and the extended warranty through this company. The truck had a few minor issues after purchase and the service needed was not under warranty. Just last week a major problem with the truck, a spark plug shot out of the motor, resulting in a new head needed for the motor. A $2,800.00 problem. My bumper to bumper warranty would not cover the repairs, due to crafty lawyer's writing this policy with many hidden loopholes to get them out of almost every repair imaginable.
Reviewed Oct. 5, 2008
6/23/2008, Four months ago I bought a house along with a one year appliance agreement. My appliances were inspected and in very good working condition fairly new. The refrigerator has started to leak from the insides to the point where bowl are put in to caught the water, and their is a bad smell from the water. I first had my husband call the warranty company because I was on my way to work, but could not leave. He seem to be having a hard time communicating with the lady on the other end. He told her four months ago we brought the house and two weeks ago the leak in the refrigerator begin. She then precede to use some form of word not to his understanding then strayed playing this game of confusion. He said she said. However she said she will not fulfilled the contract agreement and to write a letter of dispute. In the mean time food has gone bad and more money spent on eating out.
Reviewed Dec. 5, 2001
I purchased a used 1996 Mitsubishi Eclipse, for my son, from Royal Imports in Roanoke, Va. Included in the purchase of the car was a three month, 4000 mile warranty through Preferred Warranties which covered engine, power train, etc. This was a selling point for Royal Imports and put my mind at ease in should anything major go wrong with the car. My son an I checked the car out and noticed nothing out of the ordinary and decided to go ahead and purchase. After about a two week period I was checking the car over and found that the oil level was low.
I then kept a closer check on the oil and over the next two week period I noticed the oil level to continue to drop. I followed my son to work one day and as I drove behind him I noticed an abnormal amount of smoke coming from the exhaust as the car was setting at stop lights and a big puff of smoke when he eccelerated from a stop. I then became very concerned as the problem seemed to be getting progressively worse.
I decided to call Preferred Warranties and talk to them about the problem. Preferred agreed that I should go ahead and process a claim so I proceeded to take the car in to my regular mechanic at Coyner Springs Service Center in Blue Ridge, VA. This was agreeable to Preferred.
I proceeded to follow the Warranty Companies instructions and kept in contact with them throughout the repair of the vehicle. The car was checked out by an independant Automotive Consultant along with the part owner/mechanic at Coyner Springs. As it tuned out when the engine was torn down and the report from the consultant was turned in to Preferred for review so they could make sure the wording was correct, Preferred refused to honor the contract. They stated that the reason they would not pay for the repair was that my situation fell under an exclusion in the contract. Preferred stated that the smoking problem was caused by the engine piston rings freezing up and allowig oil to pass by the rings and burning in the exhaust system. They stated specifically that the condition of stuck rings ocurred over a period of time and miles and not during the 942 miles I had personally put on the car.
As a result of Preferred Warranties refusal to pay, I paid the repair bill in full to Coyner Springs. The total was $2,532.73 for a used vehicle that my
son had driven for less than a month.
My contention is that it can't be determined exactly when the problem started and in that the smoking problem was not detected by either Royal Imports or by myself at the time of purchase it cannot be proven that this problem exsistated in its full blown state at the time. Preferred is resting their case fully on conjecture and what they think may have happened.
Preferred Warranties Inc. Company Information
- Company Name:
- Preferred Warranties, Inc.
- Year Founded:
- 1992
- Formerly Named:
- Preferred Warranties, Inc.
- Address:
- 200 PINEBROOK PL.
- City:
- Orwigsburg
- State/Province:
- PA
- Postal Code:
- 17961
- Country:
- United States
- Website:
- www.warrantys.com
