Truck Master Warranty celebrated a major milestone last month with its five-year anniversary.
Truck Master Warranty CEO Jeff Dobish says he founded his business in March 2013 because he wanted to do something different in the heavy truck space, with the idea of being the only exclusively heavy truck warranty company fully insured in all North America.
“If you tried to go in the auto market today with a ‘limited warranty,’ you would get kicked out of the showroom and told never to come back,” he says. “A lot of car dealers got [burned] when some of these companies went belly up. When claims exceeded warranty sales, it became too much for these companies to handle and ultimately came back on these dealers. There is a substantial difference between an insured warranty, and a limited warranty.”
With a limited warranty, Dobish says, if the warranty company goes out of business or ceases to operate, 100 percent of the responsibility to pay the claim goes on the dealer.
“And you can only image how much a dealer or dealer group is exposed, especially if you do a high number of warranty sales volume,” he adds. “It would completely devastate most dealers.”
With an insured warranty, both the dealer and customer have peace of mind in knowing they are covered, and the claims are insured to guarantee that covered failures are paid, Truck Master Warranty says.
“In my opinion we chose one of the strongest, most reputable and experienced insurance partners on the planet when we teamed up with AM Trust North America,” says Dobish. “AM Trust is an AM BEST ‘A+’ rated insurance carrier with decades of dealer experience.”
In 2015, AM Trust awarded Truck Master Warranty its own Claims Administration Company called Specialty Administration Services.
“This is the second largest difference between us and the competition, having full control over the customer experience when it comes to handling claims is huge,” Dobish says. “Other warranty companies employ third party administrators, where customer service can be iffy at best.”
“I find it humorous when a prospective dealer calls us and says that the competition says we don’t pay claims, when in all actuality, Truck Master Warranty is the only extended warranty company in the heavy truck market that is contractually obligated to pay claims,” he adds. “Paying claims is not a direct correlation to profit and loss for us, what we cover is in black and white.”