Getting hosed by my extended warranty company :(

[travsav]

Just blew a head gasket early this week... Dealership sent the estimate to the extended warranty company (CARS)... Was around $4500, replacing the oil cooler, egr cooler, head gaskets, and turbo... and some other odds in end stuff...

They said they weren't going to cover it because it was caused by the EGR cooler failing, and it's a known issue with the 6.0!

The reason I bought the warranty was because it specifically said in the details that it covered EGR, Turbo, and head gaskets!...

The dealership has been arguing back and forth with them... The dealership says the turbo was overboosting by 10psi, which they are saying caused the blown head gaskets... The warranty company is asking how they can prove that it was the turbo and not the egr cooler that caused it.

This is so frustrating, I feel helpless... Anyone had a similar experience?

[Ryan Rønning]

I hate people like that, friendly taking your money but good luck getting them to honer their agreement.

[colo_dually]

That's why I haven't bought one of these plans, its a scheme whenever I looked into it. They've got no issues taking your money for months/years, but file a claim and they turn on you quick. I trust you're dealership will continue to work on it, and you may want to look into an attorney against this warrenty company.

[Ryan Rønning]

I think I will pass on one of these also. Seems you are going to pay for it whether you have the plan or not.

[Mr. Black]

Did they not offer you a Ford extended warranty? or is this something you went out and purchased on your own after the fact?

I have heard too many stories like this with aftermarket warranties on all kinds of vehicles.

Hope you get it straightened out.

[ToMang07]

Yup, I got hosed on one of those companies, too.

They all suck, they are all liars and cheats.

I luckily got my money back.... but no, they won't cover your losses. The dammage to my Ram wasn't as extensive as your truck.... but they still wouldn't cover it.

Sorry man.

[cubalz]

Sadly we will add this to the current laundry list of people who have gotten screwed by so called warranty companies. There are very few stories of those companies actually covering a repair of any magnitude....

[ToMang07]

Originally Posted by Mr. Black

Did they not offer you a Ford extended warranty? or is this something you went out and purchased on your own after the fact?

I have heard too many stories like this with aftermarket warranties on all kinds of vehicles.

Hope you get it straightened out.

Here's the catch.... if you are outside of the factory warranty, it's really NOT a Ford warranty. (And if you do some searches, you will find PLEANTY of people that got screwed by Ford warrantys.)

If you get the "Ford Extended Warranty" it's actually some other company that Ford is contracting out to. (At least from my experience.)

[howell_jd]

Possible solutions:
(1) Read your contract (not the info sheet "details") - look for exclusions and inclusions within the body of the contract. You state that EGR is included but there are several elements to the EGR system (EGR valve, EGR cooler, throttle plate possibly)...hold the company to the contract for which you paid...it is a LEGALLY binding document...breach of contract is a serious business offense and a lawsuit is an option - get the contract out and review it.
(2) Have the EGR cooler pressure tested. If the EGR cooler has not in fact ruptured (which would be validated by no loss of pressure during the pressure test or no bubbles produced if immersion is used) then your extended warranty company's assertion that the EGR cooler precipitated the problem is invalidated. Of course, if the headgasket has failed there is a good chance the EGR cooler is similarly compromised.

The parts to be replaced for a head gasket failure are directed by a series of TSBs...head gaskets may fail from a variety of causes including excessive pressure which may come from the introduction of coolant into the combustion chamber creating steam, overboosting from a malfunctioning turbo (although the pressure here is significantly less than with steam), cracks in the head itself, excessive fuelling from a faulty injector, etc.

There is more behind the post though I suspect. The warranty company is cited as indicating EGR is the cause (how could they substantiate a claim except by information provided to them unless they were allowed to perform an independent assessment). The dealer is cited as indicating the turbo was overboosting (which is recorded as a DTC in the PCM or through the Ford Rotunda Tool/WDS/other diagnostic data-logger). Aftermarket modification is often cited as a disqualifier but this too is not a universal exclusionary element...your aftermarket air filter doesn't provide proximate cause to a headgasket failure. (I am using this as an example, there is no information on vehicle production year or any modifications whatsoever)

Supporting documentation: used oil analyses, receipts for recall work performed, diagnostic results (WDS/Rotunda/etc.), truck mileage log (even if just a personal journal of mileage and fuel usage)...these provide substantive evidence for your maintenance and repair history - even if a lawsuit is not pursued (perhaps even helping to avoid that as a method).

Good luck with the warranty claim. If you are entitled then pursue - you bought a policy to protect against future expenditures - that is what you ought to expect. Notwithstanding, "caveat emptor" (let the buyer beware) - there are many unscrupulous insurance companies. Hopefully this is merely a case of hesitation on the part of the company in an effort to get you to provide full documentation...a technique that presumes - without merit - fraud. Let the company know in no uncertain terms how you do not appreciate this presumption...and remind them of the legal obligations within the contract (see again possible solution #1).

Good luck. Be patient.

Jonathan

P.S. Possible solution 3 is to demand refund of the cost of the warranty - not merely pro-rated as this is where negotiation from the company's perspective will begin.

[ToMang07]

Originally Posted by howell_jd

Possible solutions:
(1) Read your contract (not the info sheet "details") - look for exclusions and inclusions within the body of the contract. You state that EGR is included but there are several elements to the EGR system (EGR valve, EGR cooler, throttle plate possibly)...hold the company to the contract for which you paid...it is a LEGALLY binding document...breach of contract is a serious business offense and a lawsuit is an option - get the contract out and review it.
(2) Have the EGR cooler pressure tested. If the EGR cooler has not in fact ruptured (which would be validated by no loss of pressure during the pressure test or no bubbles produced if immersion is used) then your extended warranty company's assertion that the EGR cooler precipitated the problem is invalidated. Of course, if the headgasket has failed there is a good chance the EGR cooler is similarly compromised.

The parts to be replaced for a head gasket failure are directed by a series of TSBs...head gaskets may fail from a variety of causes including excessive pressure which may come from the introduction of coolant into the combustion chamber creating steam, overboosting from a malfunctioning turbo (although the pressure here is significantly less than with steam), cracks in the head itself, excessive fuelling from a faulty injector, etc.

There is more behind the post though I suspect. The warranty company is cited as indicating EGR is the cause (how could they substantiate a claim except by information provided to them unless they were allowed to perform an independent assessment). The dealer is cited as indicating the turbo was overboosting (which is recorded as a DTC in the PCM or through the Ford Rotunda Tool/WDS/other diagnostic data-logger). Aftermarket modification is often cited as a disqualifier but this too is not a universal exclusionary element...your aftermarket air filter doesn't provide proximate cause to a headgasket failure. (I am using this as an example, there is no information on vehicle production year or any modifications whatsoever)

Supporting documentation: used oil analyses, receipts for recall work performed, diagnostic results (WDS/Rotunda/etc.), truck mileage log (even if just a personal journal of mileage and fuel usage)...these provide substantive evidence for your maintenance and repair history - even if a lawsuit is not pursued (perhaps even helping to avoid that as a method).

Good luck with the warranty claim. If you are entitled then pursue - you bought a policy to protect against future expenditures - that is what you ought to expect. Notwithstanding, "caveat emptor" (let the buyer beware) - there are many unscrupulous insurance companies. Hopefully this is merely a case of hesitation on the part of the company in an effort to get you to provide full documentation...a technique that presumes - without merit - fraud. Let the company know in no uncertain terms how you do not appreciate this presumption...and remind them of the legal obligations within the contract (see again possible solution #1).

Good luck. Be patient.

Jonathan

P.S. Possible solution 3 is to demand refund of the cost of the warranty - not merely pro-rated as this is where negotiation from the company's perspective will begin.

Ah, I can see you havent dealt with one of these companies yet.

Unless you have a lawyer.... (and a couple grand to feed him)... Good luck getting them to comply with their warranty. They will find ANYTHING to deny payment.

For mine, they said that since I had a plow, it needed to be purchased as a commercial warranty. (I do not plow for money, do NOT have commercial plates.)

At the end of the day, they are liars anc cheats, as I said. I have NEVER met ANYONE, online or in person that had a positive experience with one of these companies.