Auto warranty claims in the automotive sector for new car warranties are up by less than 1% in the first three quarters of 2007.  When we compare this with the first three quarters of 2006 this is very good news.  In new car warranty claims it is a very small change.  Automobile manufacturers are very pleased about this trend. 

For all of the auto warranty providers who also manufacture new vehicles, thereby providing new car warranties, this industry sector is definitely in the black.  Hopefully this financial trend that seemed to begin in 2006 will continue in the future.  Auto warranty costs as a whole have been somewhat flat since back in 2004.

There’s no arguing that 2008 is a very important year for the automotive industry.  Consistent recalls, the fuel crisis, and many public-relations situations have automobile manufactures struggling to keep their customers loyal.  It will be interesting to watch during the year to see what makes and models can avoid a continuous downward slide of sales.

The auto warranty world will probably benefit from the manufacturers will as consumers will be far more concerned about adding new car warranties to their vehicles.  The auto warranty business has been on the incline for almost a decade now as a good extended warranty has become one of the most important purchases someone can make with their vehicle.

Feeling the effects of 2008’s potential lackluster automobile performance, vehicle manufacturers automobile warranty divisions may play a pivotal role in enticing customers to make a purchase.  Manufacturer’s warranties will now become an all-important incentive for new and used car buyers.  Customers simply will not be able to avoid considering what warranty coverage a particular company offers.  Many auto warranty providers are now making adjustments to fit in better with this new marketplace.

A South Carolina man whose vehicle was still under warranty said he was an able to get repairs done in a timely manner.

Since the middle of last year this consumer has been trying to get his van repaired but has not been able to get complete satisfaction.  The car has been into the shop numerous times and after several months of trying promises were made that were not kept by the dealer. 

He contacted the auto warranty company that provided him with his coverage and asked them to assist in getting the dealer to complete the repairs.  Many used car warranties offered by some providers would not have gotten involved.  Auto Advantage Inc. was not one of them.  They immediately contacted the dealer and persuaded them to complete repairs in just 48 hours.  Needless to say the customer only has kind words for the representative and company that assisted him.  The customer adds, “I just believe that if you buy an auto warranty the people that sell it to you should stand behind it”.

Used car warranties can be quite a value when purchased on any used vehicle in your family.  In addition they will also increase the value of your vehicle as they are transferable when the vehicle is sold to the next owner.

Road service refers to assistance extended by auto warranty providers to vehicle owners at times of distress.  It is not obligatory that a road service plan be included with new car warranties or used car warranties.  They are however, important and assist customers in distress, especially when they are stranded on motorways when their vehicle breaks down.

Normally, the road service is offered by cars manufacturer but expires with the original coverage.  Sometimes dealers may offer independent road service for their customers but this is very rare and is only for breakdowns in their region.

At the time of delivery, insist on an auto warranty that offers a road service program. Road service includes range of services starting from repairs and maintenance of the engine to flat tires service.

Usually road service operates through a hotline telephone number and has a toll-free number to call whenever vehicle owners are in distress and help is usually there in less than 45 minutes.

If you intend to sell your vehicle at some point you should consider purchasing on of the many used car warranties available to you.  Even if you are only considering a sale, automobile warranty can protect you while you still own the car and will add considerable value to the new owner. You will be able to drive your vehicle with the peace of mind that only an auto warranty can bring.  You should also realize that the buyer is likely to want the same comfort when driving the vehicle after the purchase.

In addition, you will increase the car’s value by adding the simple words “warranty coverage” in your ad.  

Consider purchasing an auto warranty for your new replacement vehicle as well.  Down the road the extended auto warranty will most likely save you big money on repair bills.  Remember, the auto warranty you purchase today will be an investment that will surely pay off for you in the future. 

There’s no arguing that 2008 will probably be a rough year for the automotive industry.  The fuel crisis, numerous recalls, and a tough economy will have vehicle manufacturers struggling to stay in the black.  It will be interesting to watch what makes and models can survive the industry wide lack of sales and keep their nameplates at the top of the production list.

Another interesting story will be how automobile manufacturers will keep the impending sales declined from cutting into the profits of their auto warranty divisions.  Manufacturer’s warranties will need to be a large incentive for consumers in the market to buy a new car.  New car warranties are quite varied depending on the make and model of the vehicle and sometimes play a pivotal role in the consumer’s decision about one vehicle to purchase.

The aftermarket auto warranty programs will also have to adjust to the longer powertrain warranties that are now being offered on new vehicles.  Regardless, and auto warranty still remains one of the best investments you can make when buying a new or used car or truck.

Does your auto warranty restrict where you can go for your repairs?

Auto warranties come in many different shapes and sizes.  Some limit the locations where you can bring the vehicle for repairs under their coverage.  It’s safe to say that some consumers do not have a specific repair shop over a long period of time that they use but the most consistent customers probably go to a particular maintenance shop.  These contract holders are forced to find a new location that may not be comfortable or convenient for them.  An aftermarket auto warranty program that binds its contract holders to particular locations for auto repair can be quite a hassle on scheduling, travel distance, and the repair shop may not be as reputable as the local competition.

If you’re in the market for an automobile warranty that does not limit you on repair locations, be sure to read their fine print.  The bottom line is that you want to choose an auto warranty that allows you to pick you own repair shop.

Lawmakers recently voted to strengthen the regulation of auto repair facilities after an investigation by a television news team from Nevada.

Apparently the current laws in place are more or less a license to rip people off. The new laws help streamline the regulatory process and have the Department of Motor Vehicles named as the place for disheartened consumers to lodge their complaints. This is a great step as the DMV has authority to shut down a crooked repair shop.

Auto warranty providers had also lobbied for the new legislation as it will provide them with an additional safety mechanism for the used car warranties they offer. 

It has already helped as some repair facilities have already felt the sting of the new system and have lost their license to do business.

The bill also helps to provide additional funds for the attorney general’s office to do more in the future with their undercover investigations.

Recently Saab debuted the worlds first completely hybrid car.  The vehicle Saab unveiled is the first fossil-fuel-free hybrid and it’s a convertible to boot. The car is called the BioPower Hybrid 9-3 convertible concept car. It is a giant leap in hybrid cars. This concept is based on using pure bioethonal instead of just a part bioethonal formula.

In addition, this biopower convertible has a “zero mode,” which is a button that enables the car to run from two very powerful batteries eliminating all emissions.  Even though while in “zero mode” the car’s maximum speed is limited, it has the ability to switch back automatically to the biofuel mode. 

Saab’s BioPower Hybrid also includes anew and natural step in the development of BioPower technology.  One challenge is how to fit this technology into the auto warranty market.  New car warranties are not currently structured for this.

Their turbochargers have been tuned to take advantage of the high octane rating of pure bioethanol so the engine can produce a solid 260 bhp and 375 Nm torque. Acceleration has been increased by two electric motors of the hybrid system. At low speed and take-off they can add a huge instant 785 Nm of torque helping to catapult you from zero to 100 in 6.9 seconds, faster than most diesel or gas-driven cars, but with zero fossil fuel emission.

Very exciting, I can hardly wait until they are actually developed to work in the “real world.” If Saab can deliver it sounds like a success story to me.

A somewhat new IBM technology helps auto manufacturers cut warranty expenses which are an over $14 billion cost to them annually. IBM’s plan goes beyond “keyword” searches and collects and analyzes data from many different information sources like repair records and blogs. Automotive companies worldwide face stiff competition as well as a difficult marketplace. To help stimulate growth automakers, particularly from the

United States have resorted to deep discounts to stay competitive. Obviously this takes a toll on the profit margins. To counterbalance downward trends of their profit margins, many automakers are looking at new ways to control costs. Auto warranty coverage is one of the quickest growing areas of operating costs in the industry. In 2004, some industry experts estimated that warranty costs could exceed $45 billion worldwide. In the

United States, auto warranties account for nearly 41 percent of all auto warranties industry wide. For the first time, in 2004 the number of recalled vehicles exceeded the total number of manufactured vehicles. One of the causes behind rising warranty costs and claims is the ever increasing complexity of the vehicles being built. Almost 40 percent of the value in a vehicle is tied up in the car’s software.  A car could have as many as 70 different processors that control everything from anti-lock brakes, automatic transmissions, cruise control, and fuel injection systems.  Controlling the costs of warranties has enormous benefits. Warranty costs can drag down profits of the automobile industry by over 3 percent. Automakers could lower their warranty costs by half and they would see their profits soar over 300 percent.