For dealerships to survive in their cutthroat industry, they have to put their customers’ needs first. Most of the time, this means anticipating what they could/would need at any given moment as vehicle owners. And for owners of ATV’s, AUV’s, or other off-road vehicles, Powersports F&I Extended Service Contracts are exactly what they need—for their peace of mind.
What are Powersports Extended Service Contracts?
In a nutshell, an extended service contract is a type of service agreement that offers repair and/or maintenance services beyond what the standard manufacturer’s warranty offers. To put it another way, it’s an extension of the standard manufacturer’s warranty that often comes with the purchase of a new vehicle; in this case, a Powersports vehicle.
That having been said, not all Powersports F&I providers offer the same Powersports Extended Service Contracts; which means you will have to do your due diligence before agreeing to the contract. This will save you from paying for something that would not benefit you in the end. Here are a few things you need to look for in an extended service contract for your vehicle:
1. Flexibility to choose your mechanic
In general, extended service agreements provide policyholders with a list of specific mechanics or repair shops they can go to for repair and maintenance. While this is good overall, issues begin to arise when emergency repairs or roadside assistance are needed, and there are no nearby repair shops mentioned in the list.
On that note, you should look for an extended service agreement that gives your customers the flexibility to choose their repair shop or mechanic. Usually, the only restriction here, if you can call it that, is that the mechanic is a licensed mechanic and their repair shop has the parts needed for the vehicle.
2. Paperless proof of contract
Having to pull out papers from the glove compartment every time you need to show proof of your service contract is tedious and bothersome. There’s also the risk of misplacing the contract agreement. Thankfully, there are now Powersports F&I companies that provide policyholders with a “personalized waterproof enrollment card” that they can show as proof of their service contract. This means no more lugging around and pulling out paper contracts. Your customers will feel like a VIP when they receive their service card in the mail.
3. Fast claims process
One of the most common grievances of dealerships regarding insurance policies and service agreements is the slow turnaround time for claims, which could last anywhere from a few weeks to several months. What you should, therefore, look into is the provider’s claims process. If claims aren’t paid within 24 hours from work completion, you’d best look for other providers.
