EasyCare Announces Anti-Fraud Strategy For Vehicle Service Contracts with Office of New York Senator Charles Schumer

    ATLANTA, GA, August 08, 2009 /24-7PressRelease/ -- EasyCare, the vehicle warranty and vehicle service contract company that provides administration, marketing, and claims processing services for many Manufacturers' Warranty and Service Contract programs, as well as under its own brand, announces the results of a successful July 15th meeting between EasyCare CEO Larry Dorfman and key staff from the Washington, DC office of Senator Charles Schumer (D-NY).

"This was a very productive meeting where we all agreed to diligently pursue, with the intention of eradicating, the fraudulent activities in not only the marketing aspects of the car warranty business, but in the administrative and insurance areas as well," says Dorfman.

One of the primary discussion points in the meeting was the fact that there are many companies offering car warranties and service contracts that are misleading, hard for the consumer to understand, and that make it difficult to get coverage when a repair is actually needed.

Examples include:
• A marketer offered another company's contract with three different administrators and two different insurance companies -- all on the one contract.
• A consumer who was charged $1900 for a contract that had a maximum benefit of $3000 (less than the cost of an average engine replacement) and a maximum per claim amount of $1500.

During the meeting, EasyCare committed to provide Sen. Schumer's staff with a set of guidelines to help consumers faced with a decision to buy an extended warranty or vehicle mechanical repair coverage. In addition, EasyCare will assist in monitoring the marketplace for violators of ethical business practices, and will report violations back to Sen. Schumer's office for further action.

Larry Dorfman saw this meeting as an opportunity to support Sen. Schumer's fight against criminal behavior in the car warranty industry through sharing his company's knowledge and experience from 25 years as a national provider and administrator of vehicle service contracts.

"I look forward to working with Senator Schumer's office to help protect consumers from the predatory sales processes and unfair contracts that are increasingly common in the industry," said Dorfman.

About EasyCare

EasyCare has paid out almost $2 billion in car warranty claims on behalf of contract holders since their inception in 1984. They consistently maintain a Better Business Bureau rating of A+, and have been honored with numerous customer service awards, including being named the only Motor Trend Recommended Best Buy extended service contract, the 2008 Dealer's Choice Platinum Award, and many other acknowledgments over the year. Visit their website at http://www.easycare.com.

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