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In 2007 I bought a luxury care package from Warranty Direct aka Interstate after being contacted by way of postcard. I paid $1697. I was told my warranty would provide coverage from bumper to bumper. I had one occasion to use the warranty in 2008. Interstate paid out $153.00. On September 3, 2009 I experienced a problem with my car. After having it towed to a dealer and the problem identified I whipped out my warranty card with the full expectation that my claim would be covered. I THOUGHT my problem would be quickly resolved. This began a nightmarish spiral into *** dealing with Interstate. As indicated by other customer experiences my claim was DENIED. It's better for you to read the email exchange to follow what has transpire. I am including email addresses of the company executives so that others can follow suit and let our voices be heard. A class action suit and a report to the attorney general's office are most certainly to be expected and in order. Please follow up with letters to your local politicians and maybe we can as a group, put an end to their BS.

From: Perry

Sent: 09/23/2009 1:02 PM

To: Mike Rogers

Cc: Jon Harkavy ; Troy Winch ; Pam Roy ; sampson@senate.state.ny.us

Subject: Shame: Unscrupulous Acts of Interstate National Dealer Services to Protect it's Insurance Company.

Michael T. Rogers , Chairman and CEO, ,

Dear Mr. Rogers:

Please allow me to introduce myself. My name is Ms. Perry. I reside in Brooklyn NY. I am a single parent with a child. I purchased an extended warranty with Interstate National Dealer Services at 333 Earle Ovington Boulevard for the purposes of having peace of mind and confidence that in the event of a vehicle break down my car would be promptly serviced and back on the road. My peace of mind has been turned into a complete nightmare. My vehicle broke down and was immediately towed to a car dealership for repair. After diagnosing the problem with my engine my warranty company, Interstate, was contacted and an inspector sent shortly thereafter. It was noted that the valves on the engine were bent, but the timing belt was intact and the engine had not been starved. The Inspector and the Service provider indicated that the car had jumped timing. Despite this information being document my claim was denied because "there was no stated cause of fault". I spoke to several customer relation representatives who seemed to brush me off and reiterate the claim had been denied. Mr. Tony Serrano advised me on 9/21/09 that "he was authorized to speak on and deny claims on behalf of the company". He stated "the claim would remain denied until I or my mechanic could prove what caused the failure". When I asked to speak to someone from corporate about the situation he referred me to customer relations to lodge a complaint. I was told I would have to send a fax to have a senior level manager speak to me about the situation. After hours of getting brushed off by Interstate I was ultimately told by a CCR, Danielle # 1373 that the issue was going no further and that I could not wait on her line to speak to anyone else. This morning I went to the office of Interstate National Dealer Services and was allowed to speak to Mr. Larry Cassani who advised me that the claim was denied because "there was no cause of fault and that the timing was working properly". His comment contradicted the comments of his subordinates and the previous reports submitted. When I asked if the policy stated a claim could be denied because no fault could be found he said "YES". He stated "it was his job to protect his insurance company and that is what he was going to do". He advised me that "my having to travel to get to any of my three jobs was not of his concern and had nothing to do with the claim". I asked if I could review the policy with him and he stated "NO". I asked if he could review the policy with the Attorney General and he stated "YES". I asked if he could have someone from Interstate speak with the Service provider, he stated "I do not care what they have to say, they have nothing to speak to us about".

Despite me having travelled to their location to get a proper explanation and treating Mr. Cassani with courtesy and respect, I was told "we have nothing further to discuss with you , Please leave our offices and we will dispatch another inspector in 24 - 48 hours".

Proof of loss has already been established and my claim has not been paid. The Attorney General has been properly notified of this unscrupulous activity, and I am now appealing to your company USA Risk Services for intervention in this matter. You are entitled to be informed of the unprofessional activities of your client in it's attempts to protect your company that serve nothing better than to betray the public's trust and subject your company to public scrutiny. Interstate's antics have been the most deplorable I have ever seen. I am surprised companies like this are still in business.

I would appreciate if you could assign someone from your company to open a claim and follow up on it.

Sep 29, 2009 11:45:16 AM, gifford_dente@inds.com wrote:

Ma,am,

My name is Gifford Dente and I am Vice President of Claims for Interstate National, your service contract administrator. I have been asked to reply to your email regarding your claim denial.

I have reviewed the circumstances surrounding the denial of your claim and have determined the denial was justifiably made. As I understand it the drive belt seized and was the beginning in a sequence of events that damaged your engine assembly. This claim has been denied in accordance with the terms of the contract where it states under

Definitions

Failure…refers to the failure of a covered parts under normal service. A covered part has failed when it can no longer perform the function for which it was designed solely due to its condition and not due to the action or inaction of any non-covered parts. In addition……

It has been determined that the cause of failure is the drive belt, which is specifically excluded under the Exclusions section of the service contract where it states

Exclusions

This Vehicle Service Contract provides no coverage or benefits for the following:

C. Maintenance service and parts described in your vehicles owners manual as supplied by the manufacturer and other normal maintenance services and parts including, but not limited to: alignments; wheel balancing; tune-ups; spark plugs and spark plug wires; glow plugs; hoses; drive belts; brake pads;……..

I hope that this clarifies our position on this matter.

Best regards,

Gifford

From: Perry

Date: Tuesday, September 29, 2009 1:08 PM

To: Gifford Dente

Cc: sampson@senate.state.ny.us; , , ,

Subject: Re: 10089703

What makes me suspicious is the claim by Mr. Larry Cassani of Interstate. Mr. Cassini stated to me, in the offices of Interstate, in no uncertain terms "there was no problem with your timing belt. Your car was not off timing". This statement alone was completely contradictory to all of the previous and current reports. So where did the drive belt jam?

Sep 29, 2009 05:17:17 PM, Perry wrote:

Isn't the harmonic balancer a counterweight that reduces the vibration? There was no vibration. If the drive belt falls off and the car stops, then the engine should in fact keep running. I was stopped at a light. The car shut off. With the alleged wrapping I should have heard something. I heard nothing at all. The car has never overheated and per your report (please send to my attention), the car was not starved. I performed all the proper maintenance on the car. Now even if the drive belt slipped off, wrapped around the harmonic balancer, how do we get past the timing belt to have damaged valves on the engine. Per Mr. Cassini, in our meeting, the timing belt was intact and the car was "on timing". Mr. Cassini stated in no uncertain terms that there was nothing wrong with the timing on the car. He read that off the report to me.

I paid approximately $1700 for a luxury care warranty, which was to provide me bumper to bumper coverage. I have used the package just once prior to submitting this most recent claim. Interstate paid out $153.00 on that prior claim. I was told that even if I requested reimbursement you would prorate the $1700. I would in fact only be reimbursed for approximately 12.2 % of my original purchase price or 207.40.

I believe that Interstate is purposely attempting to avoid paying out the claim by laying fault on the customer. I was even accused by both the supervisor of claims and the National Director, Mr. Cassini, of revving the engine. It simply doesn't compute that a 42 year old woman and her 62 year old mother would be sitting at the light revving the engine, in the presence of the police no doubt.

This sounds like an unscrupulous attempt of Interstate to work its way out of honoring a contract which I was duped into purchasing with the belief that I would be fully protected as long as I did the necessary maintenance. I can't imagine that a company whose National Director would so rudely ask its client to "leave" their premises, and offer two different reasons, NO... three different reasons for a failed engine could possibly be considered credible.

I understand scam car warranty companies have been the subject of many news investigations ( http://www.cnbc.com/id/30392039 ) because of the deceptive practices. I will continue to pursue this issue, file a complaint with the BBB, and also the Attorney General's office, as well as my State and local politicians.

In short, Interstate ROBBED me. And you wonder why the American economy is failing? The corruption, cover-ups, and dishonesty are all contributing to the failure.

Ms. Perry

  • Mike Rogers
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InterstateNational
#1380446
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience.

We adjudicate claims based on the terms and conditions of the coverage you purchased.

Since every claim is different, please give us the opportunity to discuss your concerns further. Kindly visit http://www.interstatenational.com/pissedconsumer/ and provide us with your contact information, and our Member Services manager will call you directly.

Anonymous
Riverview, Florida, United States #1334207

I have to tell you, I purchased an INDS extended warranty from AAA and they have covered every claim that I put in front of them. It could be that my policy was flagged as purchased from a major vendor partner, AAA, and they didn't want to tarnish their relationship with a large provider of clients like AAA.

So far they have paid out over $14,000 in claims. I can't complain since I paid less that $3,000 for the policy.

InterstateNational
to Donald George #1380448
Interstate National Dealer Services Verified Representative

Thank you, we're always happy to hear stories from customers who have experienced the benefits of purchasing peace of mind protection through our products.

Anonymous
Appleton, Wisconsin, United States #1282167

These guys call me day and night starting a class action lawsuit

InterstateNational
to John Current #1380450
Interstate National Dealer Services Verified Representative

We are sorry to hear about the inconvenience and the unwanted solicitations you are receiving. We have started to receive a large volume of complaints similar to yours regarding unwanted mail and telephone calls, and want to assure you that we are here to help you.

Interstate National Dealer Services has been an industry leader for 37 years. We are an administrator and provider of service contracts, and assure you that these mailing/calls are not from Interstate. Again, we are sorry to hear about these frustrating solicitations.

Since they misrepresented to you that they were from Interstate, we will need your help to investigate this further.

Any additional information that you are able to provide will help us understand who is doing this, and will be shared with our legal counsel. Please visit http://www.interstatenational.com/pissedconsumer/ to contact us directly.

We have also been informed that our complaints need to be shared with the Vehicle Protection Association. They too want to know about these unwanted solicitations and RoboDialers. To file a complaint, please visit www.vpanet.org.

Thank you for your feedback. We appreciate when customers bring this to our attention.

Anonymous
#1028873

Dear Ms. Perry,

Complaing to the BBB is not worth your time. The BBB is supported by these corrupt business, they only see how timely the business responds to your compliant they will not address your original problem.

I even complained to the Automoblie club of America where I found the ad for interstate and told them of the deceptive scam.

sincerely,

Alexander Krzeminski

Alkrz@msn.com

InterstateNational
to Anonymous #1380451
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience. Please give us the opportunity to discuss your concerns further by visiting http://www.interstatenational.com/pissedconsumer/ and providing your contact information, and our Member Services manager will call you directly.

Anonymous
#1026463

Thanks, I was thinking of getting the Diamond coverage, but not any more!!!!! Started looking in the Internet about Interstate National and I mostly found negative reviews!

Again, thanks

Anonymous
#1007174

They have called me two times. They know what kind of car I own and lead a person to believe they are from the dealer.

I was told my warrenty ended. I said no it didn't. He said it doesn't cover electrical things on your automoble. It is all a scam.

I could hear all the other telemarkers in the room talking on the phone.

In fact, I asked him how he could stand all the noise.

He said "I just get used to it." They are making a LOT of money from people.

SCAM SCAM SCAM

InterstateNational
to Anonymous #1380452
Interstate National Dealer Services Verified Representative

We are sorry to hear about the inconvenience and the unwanted solicitations you are receiving. We have started to receive a large volume of complaints similar to yours regarding unwanted mail and telephone calls, and want to assure you that we are here to help you.

Interstate National Dealer Services has been an industry leader for 37 years. We are an administrator and provider of service contracts, and assure you that these mailing/calls are not from Interstate. Again, we are sorry to hear about these frustrating solicitations.

Since they misrepresented to you that they were from Interstate, we will need your help to investigate this further.

Any additional information that you are able to provide will help us understand who is doing this, and will be shared with our legal counsel. Please visit http://www.interstatenational.com/pissedconsumer/ to contact us directly.

We have also been informed that our complaints need to be shared with the Vehicle Protection Association. They too want to know about these unwanted solicitations and RoboDialers. To file a complaint, please visit www.vpanet.org.

Thank you for your feedback. We appreciate when customers bring this to our attention.

Anonymous
#783126

You people are all idiots. Read your paperwork, just like any other insurance there are things that are covered and things that aren't.

I doubt if this company were a scam they would be A rated and accredited by the BBB. I also doubt they would still be in business after 30 years.

NYDB
to smarterthanyou #1024243

I have a warranty, a valid claim, and a denial of covered item. I read my paperwork/warranty.

I also saw the BBB's rating and was absolutely flabbergasted at the A+ rating (you know only because of the 368 complaints...JS). My claim is being reviewed, again, at the request OF THE AUTHORIZED DEALERSHIP. Interstate is refusing to pay because the adjuster does not believe the service manager (one of Interstate's authorized repair facilities).

Watch and see if they are in business another 30 years...buy stock in them!!! Sad that you enjoy seeing people get ripped off that were just trying to be responsible.

InterstateNational
to NYDB #1380453
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience.

We adjudicate claims based on the terms and conditions of the coverage you purchased.

Since every claim is different, please give us the opportunity to discuss your concerns further. Kindly visit http://www.interstatenational.com/pissedconsumer/ and provide us with your contact information, and our Member Services manager will call you directly.

Anonymous
#761162

Don't you know they have our money and they do not intend on following thru with their commitment. I purchased their insurance in 2010 and when I have a claim, I contact my lawyer and threaten with a law suit.

Believe me, I will take them to court. If anyone else knows of a class action suit, let me know and I'm in.

Anonymous
to FoolNumber28325246 #783963

Hi my name is celeste this company is out of control. they owe me $4956.00 I wanted to know if you took andy further action and if you found a class action suit. you can email me celeste22webb@yahoo.com please with any information

InterstateNational
to celeste #1380455
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience. Please give us the opportunity to discuss your concerns further by visiting http://www.interstatenational.com/pissedconsumer/ and providing your contact information, and our Member Services manager will call you directly.

InterstateNational
to FoolNumber28325246 #1380454
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience. Please give us the opportunity to discuss your concerns further by visiting http://www.interstatenational.com/pissedconsumer/ and providing your contact information, and our Member Services manager will call you directly.

Anonymous
Round Rock, Texas, United States #729103

I am going through the same song and dance from this company, they are basically a scam artist, they do not pay out money to fix cars, they find a reason to deny your claim and a consumer has no avenue to appeal their decision I say it again they are a scam artist....Juan Gonzalez, Round Rock Texas

InterstateNational
to Anonymous #1380456
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience. Please give us the opportunity to discuss your concerns further by visiting http://www.interstatenational.com/pissedconsumer/ and providing your contact information, and our Member Services manager will call you directly.

InterstateNational
to Anonymous #1380457
Interstate National Dealer Services Verified Representative

Thank you for your feedback. Interstate has been an industry leader for 37 years, and constantly strives to provide a high quality customer experience.

We adjudicate claims based on the terms and conditions of the coverage you purchased.

Since every claim is different, please give us the opportunity to discuss your concerns further. Kindly visit http://www.interstatenational.com/pissedconsumer/ and provide us with your contact information, and our Member Services manager will call you directly.

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