Dealer Guide Limited Warranty Automotive Market Contents Program Overview... 2 Short Term Limited Warranties... 2 120/100,000 Limited Warranty... 6 Lifetime Limited Warranties... 7 240/200,000 Genesis/Hyundai/Kia Limited Warranty... 8 Administrative procedures... 9 Warranty Submission... 9 Claims... 9 Key contacts... 11 2017 Zurich American Insurance Company. All rights reserved. V42130FS (6/2017)
Program Overview Zurich provides administration and insurance backing for a dealer limited warranty (certification) program. Administration services are provided by Universal Underwriters Service Corporation (UUSC) and backed by an insurance policy issued by Universal Underwriters Insurance Company, individual member companies of Zurich in North America. In California and New York, UUSC operates under its DBA, UUSC Service Company. In Florida, the administrator is Vehicle Dealer Solutions, Inc. Limited warranties must be provided to the customer at no charge. Limited warranty plans are non-cancelable and may not be transferred or assigned. The customer does have the option to purchase a Zurich vehicle service contract to extend coverage. See the Vehicle Service Contract Dealer Guide for details. The program allows you to distinguish your inventory from competitors by certifying your vehicles and providing a limited warranty to your customers. There are various plan options to help you effectively market your vehicles. Short Term warranties help you meet state or federal regulations. Long Term and Lifetime warranties provide individualized coverage for niche markets and are not intended to meet state or federal regulations. Short Term Limited Warranties All certified vehicles with a short term warranty must pass a 110-point inspection process. The warranty ensures that if a covered part fails during the warranty period, you will pay to repair or replace the covered part. Compliance with the Federal Trade Commission Used Car Rule is required. This includes the placing of a Limited Warranty Buyer s Guide window label on all used cars offered for retail sale. Buyer s guides are available from the Federal Trade Commission (http://www.ftc.gov/) and many state dealer associations. Zurich can provide a buyer s guide template that lists the systems covered by the short term limited warranty. In states with specific warranty legislation the term, coverage and deductible of the warranty must meet or exceed the state requirements. Eligibility 0 15 model years old (current and next calendar year = 0) 0 200,000 miles (odometer reading as of the date of sale) Eligible Makes Acura Fiat Isuzu Mercedes-Benz Saab Alfa Romeo Ford Jaguar Mercury Saturn Audi Freightliner Jeep Mini Scion BMW Genesis Kia Mitsubishi Smart Buick GMC Land Rover Nissan Subaru Cadillac Honda Lexus Oldsmobile Suzuki Chevrolet Hummer Lincoln Pontiac Toyota Chrysler Hyundai Maserati Porsche Volkswagen Dodge Isuzu Mazda RAM Volvo V42130FS (6/2017) 2
Ineligible Models Acura NSX Audi R8 BMW 7 Series BMW Alpina BMW M Series Hummer H1 Jaguar XJ Jaguar XK Land Rover Range Rover Maserati all models Mercedes-Benz AMG models Mercedes-Benz CL Class Mercedes-Benz G55 Mercedes-Benz Maybach Mercedes-Benz S Class Mercedes-Benz SL Class Mercedes-Benz S550 Hybrid Porsche 911/Carrera Porsche 911 Targa Turbo Porsche Cayenne Turbo Porsche Panamera/Panamera Hybrid Supercharged/Panamera Turbo Incomplete, flatbed, Hi cube or cutaway models Special limited production and rare exotic models Any model with a GVWR in excess of 14,000 pounds Any model where the odometer does not reflect the actual mileage Any model declared a total loss or issued a salvage or branded title Any model sold by other dealers, lessors or private parties Ineligible Models Usage/Modification Vehicles that are completed with non-factory modifications, or designed for ineligible purposes, will not be considered for coverage. Used for commercial hauling, delivery, limousine service, ride share or transportation network (e.g. Uber, Lyft) Used for hauling or towing in excess of the manufacturer's limitations and specifications Used for rental, racing, speed contest or other competition, police car, security vehicle, emergency vehicle, shuttle service, taxi or commercial towing Equipped to plow snow, whether or not the plow blade is attached Modified for off-road usage or high performance equipment including, but not limited to engine, transmission, drive axle, exhaust systems, suspension, lift kits, oversized/undersized tires V42130FS (6/2017) 3
Coverage Coverage of the limited warranty is typically Powertrain, but other coverage options are available. A powertrain limited warranty provides a favorable opportunity for an upgrade in coverage via the purchase of a vehicle service contract. Limited warranty plans for vehicles under 100,000 miles include coverage for seals and gaskets of covered parts, as well as the failure of a covered part due to a gradual reduction in operating performance as a result of normal wear and tear. Powertrain Covers parts and components in the following systems: Engine Transmission Transfer case Drive axle Standard Includes Powertrain coverage plus parts and components in the following systems: Suspension Steering Heating & air conditioning Preferred Includes Standard coverage plus parts and components in the following systems: Steering Heating & air conditioning Brakes Comprehensive All-risk coverage with named exclusions. All parts of the vehicle are covered except those specifically excluded. Consult the limited warranty for details. Brakes Electrical Electrical Interior & exterior Cooling Limited warranty plans for vehicles over 100,000 miles exclude seals and gaskets and wear and tear coverage. Powertrain (no Seals & Gaskets/no Wear & Tear) Covers parts and components in the following systems: Engine Transmission Transfer case Drive axle Standard (no Seals & Gaskets/no Wear & Tear) Includes Powertrain coverage plus parts and components in the following systems: Suspension Steering Heating & air conditioning Brakes Electrical In states with specific warranty legislation, the selected coverage must meet or exceed state requirements. V42130FS (6/2017) 4
Additional Benefits Limited warranty plans include additional benefits; rental reimbursement, emergency roadside assistance and trip interruption coverage. Rental Reimbursement Your customers will be reimbursed for expenses incurred for the rental of a substitute vehicle through a licensed rental agency during the repair covered by the vehicle service contract or manufacturer s warranty. Compensation up to $40 per day for a maximum of 10 days or until the vehicle is repaired, whichever occurs first No overnight stay is required Emergency Roadside Assistance Your customers will receive benefits of a sign-and-drive roadside assistance program. The customer calls the 24 hour toll free number (800.831.6870) to have a service provider dispatched. Benefits are subject to a maximum of $100 per occurrence. Benefits include: Towing Jump starts Flat tire changes (using the inflated spare tire) Delivery of emergency supply of fuel, oil, fluid or coolant Lockout service (key cutting is not included) Trip Interruption Coverage Your customers will receive reimbursement of restaurant and hotel/motel expenses if the covered vehicle becomes inoperable, and in need of repair when traveling away from home. Breakdown must occur more than 100 miles away from the contract holder s home Maximum reimbursement of $250 per day for maximum of three days or until the vehicle is repaired, whichever occurs first Deductibles Limited warranty deductible options: $0, $50, $100, $200 In states with specific warranty legislation, the selected deductible must meet state requirements. Term Offering Limited warranty term options: 3/3,000 6/6,000 12/12,000 In states with specific warranty legislation, the selected term must meet state requirements. The following states have additional terms avaiable. Connecticut Massachusetts Minnesota New York Rhode Island 2/3,000 3/3,750 2/2,500 3/4,000 2/3,000 Expiration Limited warranty plan expiration is calculated from the vehicle date of sale and odometer miles on that date. The coverage expires when the length of time of the term has elapsed from the vehicle date of sale or the vehicle odometer is equal to the term mileage plus the mileage on the vehicle on the contract date-of-sale, whichever occurs first. V42130FS (6/2017) 5
120/100,000 Limited Warranty The 120/100,000 limited warranty provides long term coverage beyond the warranty provided by the manufacturer. It is not intended to meet the Federal Trade Commission Used Car Rule or regulations in your state. Eligibility Eligible makes, ineligible models and usage rules are the same as the short term limited warranties, but the model year and odometer eligibility is different. 0 5 model years old (current and next calendar year = 0) 0 60,000 miles (odometer reading as of the date of sale) Coverage The 120/100,000 limited warranty plan is Powertrain Coverage. (Engine, Transmission, Transfer Case, Drive Axle) Coverage includes seals and gaskets of covered parts, as well as the failure of a covered part due to a gradual reduction in operating performance as a result of normal wear and tear. Additional Benefits The 120/100,000 limited warranty plan includes rental reimbursement, emergency roadside assistance and trip interruption benefits. Deductibles 120/100,000 limited warranty: $100 Expiration The 120/100,000 limited warranty plan expiration is calculated from the vehicle s original in-service date and zero miles. The coverage expires when the length of time of the term has elapsed from the vehicle s original in-service date or when the vehicle odometer reaches 100,000 miles, whichever occurs first. Optional Vehicle Service Contract The customer may choose to expand coverage by purchasing a 120/100,000 vehicle service contract that is specifically designed to complement the 120/100,000 limited warranty. Coverage Options: Additional Benefits: Deductible Options: Expiration: Standard, Preferred or Comprehensive (Includes seals and gaskets of covered parts, as well as the failure of a covered part due to a gradual reduction in operating performance as a result of normal wear and tear.) Rental reimbursement, emergency roadside assistance and trip interruption $0, $50, $100, $100 Waiver, $250 Waiver The 120/100,000 service contract plan expiration is calculated from the vehicle s original in-service date and zero miles. The coverage expires when the length of time of the term has elapsed from the vehicle s original in-service date or when the vehicle odometer reaches 100,000 miles, whichever occurs first V42130FS (6/2017) 6
Lifetime Limited Warranties Lifetime limited warranties provide coverage for as long as your customer owns the vehicle. It is not intended to meet the Federal Trade Commission Used Car Rule or regulations in your state. Eligibility Eligible makes, ineligible models and usage rules are the same as the short term limited warranties, but the model year and odometer eligibility is different. 0 15 model years old (current and next calendar year = 0) 0 85,000 miles (odometer reading as of the date of sale) Coverage Lifetime limited warranty plans exclude seals and gaskets and wear and tear coverage. Engine (no Seals & Gaskets / no Wear & Tear) Covers Engine parts specifically listed: All internally lubricated parts contained within the engine block and cylinder head(s). Cylinder head, engine block and rotor housings when damaged as a result of the failure of a covered internally lubricated part. Powertrain (no Seals & Gaskets / no Wear & Tear) Covers parts and components in the following systems: Engine Transmission Transfer case Drive axle Additional Benefits Lifetime limited warranty plans do not include additional benefits. Deductibles Lifetime limited warranties deductible options: $100, $250 Waiver* *If the warranty holder returns to the selling dealer for a covered repair, the deductible is waived. Otherwise, a $250 deductible will apply if the covered repair is performed elsewhere. Expiration The lifetime limited warranty term starts on the vehicle date of sale. Coverage expires when your customer no longer owns the vehicle. Optional Vehicle Service Contract The customer may choose to expand coverage by purchasing a vehicle service contract from your default offering. Lifetime terms are not available for service contracts. V42130FS (6/2017) 7
240/200,000 Genesis/Hyundai/Kia Limited Warranty The 240/200,000 limited warranty extends coverage for new Hyundai and Kia vehicles beyond the warranty provided by the manufacturer. It is not intended to meet the Federal Trade Commission Used Car Rule or regulations in your state. Eligibility The 240/200,000 limited warranty is specifically for Genesis, Hyundai and Kia models. 0 2 model years old (current and next calendar year = 0) 0 5,000 miles (odometer reading as of the date of sale) Coverage The 240/200,000 limited warranty plan coverage: Powertrain (no Wear & Tear) Powertrain (no Wear & Tear) Covers parts and components in the following systems: Engine Transmission Transfer case Drive axle Coverage includes seals and gaskets of covered parts, but excludes the failure of a covered part due to a gradual reduction in operating performance as a result of normal wear and tear. Additional Benefits The 240/200,000 limited warranty includes rental reimbursement, emergency roadside assistance and trip interruption benefits. Deductibles The 240/200,000 limited warranty deductible is $100. Expiration The 240/200,000 limited warranty plan expiration is calculated from the vehicle date of sale and zero miles. The coverage expires when the length of time of the term has elapsed from the vehicle date of sale or when the vehicle odometer reaches 240,000 miles, whichever occurs first. Optional Vehicle Service Contract The customer may choose to expand coverage by purchasing a vehicle service contract from your default offering. V42130FS (6/2017) 8
Administrative procedures Contact Zurich F&I Customer Service at 888.805.1594 with questions regarding administrative procedures. Warranty Submission Newly issued warranties should be submitted to Zurich by the 10 th of each month. Submission Process 1. Complete the warranty contract and have the purchaser sign and date where indicated. 2. Distribute all contract copies to the applicable parties. 3. Finalize the electronic warranties and close the electronic remit register. ACH Dealers: A debit transaction for the total amount of all remittances will occur within three business days. Check Dealers: Submit a copy of the register and your check for the total of all remittances. Zurich P.O. Box 7922 Shawnee Mission, Kansas 66207-0922 Claims The claims department toll-free number is 800.423.4566. The claims department is open Monday through Friday, 7 a.m. to 8 p.m. and Saturday 8 a.m. to 2 p.m. Central Time. Claims Authorization Prior authorization is required for any repairs. Claims Authorization Process Obtain customer approval for diagnosis of the breakdown. Obtain authorization for repairs from our claims department. Before you call, please have the following information available: 1. Contract number 2. Customer s full name 3. Last six digits of the VIN 4. Current mileage on the vehicle 5. Date and number of your repair order 6. Description of breakdown 7. Accurate estimate of the repair or replacement cost (including covered parts and related labor) V42130FS (6/2017) 9
Claims Submission Claims must be submitted within 30 days from the date of repair. Claims Submission process 1. Write the claim authorization number on your repair order near the customer s name. 2. Before releasing the vehicle, obtain the customer s signature on the repair order and collect the deductible, if applicable. 3. Submit all claim information to Zurich. Zurich Vehicle Service Contract Claims Department P.O. Box 7943 Shawnee Mission, Kansas 66207-0943 Claims When Customer is Traveling The toll free number for the customer claims department is 800.643.9059. Claims Process When Customer is Traveling When a customer calls in regard to a mechanical breakdown when traveling, please obtain the following information before contacting our claims department: 1. Customer s name 2. Telephone number where they can be reached 3. A brief description of the breakdown We will contact the customer to provide necessary instructions and assistance as required. As a convenience to them, we can also arrange payment for authorized repairs directly with the repairing facility. Self-authorization You are authorized to adjust your own claims up to $500 (after customer deductible). If the final repair cost exceeds $500 (after customer deductible), authorization is required from our claims department. No claims over $500 will be paid without an authorization. Attention California dealers: You may not self-authorize claims if your dealership participates in a profit participation program. Parts Pricing Allowance Dealers are allowed manufacturers suggested list price on parts unless the mechanical breakdown occurs within the first 30 days of the contract term for a used vehicle. If a mechanical breakdown occurs within the first 30 days of contract term for a used vehicle, dealers will be paid 75% of manufacturer s suggested list price on covered parts. Parts pricing allowance may vary in some locations. Consult your Dealer Agreement for specific terms and conditions. Labor Time Allowance The labor time allowance for the covered repair will be determined by the labor manual originally selected by your dealership. We will accept Factory, Chilton, Motor, or Mitchell flat rate manuals. Use your current customer retail hourly charge for pricing labor. V42130FS (6/2017) 10
Sublet Repairs On sublet repairs, you will be reimbursed for the actual cost of the repair. We will allow an additional ½ hour of labor time (at your current retail labor rate) to cover your administrative costs. Include a copy of the sublet repair order when you submit the claim. Claims Inspections In some cases, the claims adjuster may ask to examine the vehicle before the repair is authorized. An independent mechanical inspector will then be assigned to visit your service department to inspect the vehicle and take photographs. The inspector will relay information to our claims department, usually before leaving your dealership. The inspectors have no authority to approve or deny claims. Manufacturer Warranty Deductible If a contract holder s repair requires a manufacturer s warranty deductible to be paid, contact our claims department to determine if the customer s contract will contribute an amount towards this deductible. Engine Oil Consumption On any oil consumption problems, you are required to call our claims department before beginning any disassembly or diagnosis. Key contacts Zurich F&I Customer Service 888.805.1594 Zurich F&I Claims Dealership line 800.423.4566 Zurich F&I Claims Customer line 800.643.9059 Emergency Roadside Assistance 800.831.6870 This product guide provides summaries of the coverages to be provided and is not intended to substitute for, amend or duplicate contract provisions. The contract contains the actual terms, conditions and limits of the coverage to be provided. If there is any conflict between the descriptions in this guide and the contract, the contract will govern in all cases. V42130FS (6/2017) 11