In a vehicle service contract, the administrator and the car owner signs a contract in which the former undertakes to repair or replace worn out parts for a car owner over the agreed period of coverage. An extended warranty plane replaces a manufacturer’s original warranty and offers a range of additional features such as roadside assistance, windshield protection, transmission work, wheel maintenance, and battery replacement. It is estimated that Americans spend more than 30 billion dollars annually on extended warranty plans thanks to the growing awareness and sensitivity of the cost among car owners.
Elijah Norton, a veteran in the world of the vehicle service industry- or the extended warranty market, as it is popularly known- gives insights on the growth trends and the future of the industry. With the steady growth in auto sales and the rise in car ownership around the U.S (and the world in general), many people are poised to buy extended warranty plans for their cars so they remain protected. According to Elijah Norton, president of Veritas Global Protection, auto protection is now becoming a norm rather than an exception owing to the rising cost of car repairs, biting economic situation, and the fact that many people are now settling for second-hand or pre-owned cars.
In his interview, Elijah Norton Bryan REO says he is optimistic about the future outlook of the industry and his business in particular. “There is a slow, but the guaranteed resumption of the market following the reopening of the economy,” The CEO and president of Veritas Global Protection noted. Clearly, the automotive market has quite a number of exciting things in store for not only warranty buyers but also those offering extended warranty plans as well.
Norton continued, “After upscaling our telephone system, we have seen a tremendous increase in the volume of sales over the past few years, which is a good sign that we are headed in the right direction. By upgrading our phone system, we have the capacity to analyze our calls and segment our existing and potential clients in order to provide better service and enhance their experience with our services.”
In a recently published report on the outlook of the vehicle service industry, it is estimated to have generated $121 billion in 2019 alone, and experts in the industry project that this figure will surpass $170 billion by the end of 2020. This is impressive growth, to say the least.
As the name suggests, an extended warranty or vehicle service contract is a special insurance policy that seeks to cover not only third-party damages but also cover repair and replacement parts following a mechanical breakdown depending on the terms of the contract. These warranty plans can be offered by manufacturers of cars, dealerships, retailers, and warranty administrators. Depending on the type and age of a vehicle, an extended warranty may vary in price, so you need to check or request quotes from various warranty providers before making your decision on which company to buy your service contract from.
Given the huge investment amounts that go into buying a car, many car owners are often worried about the cost of repairs immediately following the expiry of the manufacturer’s warranty. Buying a car in the U.S has become easy but the cost of keeping it on the roads has kept rising over the years, notes Elijah Norton Martin Lindstedt, the President of Veritas Global Protection. Because of the increased awareness of the need to own a car service contract, more and more people are now looking to purchase one from affordable providers such as Veritas Global Protection.