The Penn Warranty Corporation

February 28,
Dear ***:
I have received the complaint captioned aboveUpon review of our the file, on February 18, *** *** called in a claim pertaining to the transmission in ***’s *** ***On that date, an adjuster
was assigned to this matter and spoke with the repair facility verifying customer/vehicle information, claims procedures, tear down requirementsIn order to proceed with claim tear down to point of failure was then requested and said tear down must be permitted by the owner since tear down is a responsibility of the contract holder per the service contractAs per the contract terms the contract holder is responsible for tear down and diagnosticsThis is needed to determine the complete and necessary repair of the vehicle whether there is a warranty contract on the vehicle or notIt is a standard procedure through out the automotive industry to tear down and diagnosis to determine exactly what repair is needed
The shop wants to replace the valve body however they state that they cannot show how or why it failedPlease note that we have had claims similar to this type of repair and the failures can clearly be detected with the tear downAlso if they wish to replace the valve body then you have to remove it to replace itIt is at that time it could be inspected to determine if it is the failure and why it failed to determine coverage under the contract agreement
This is where the claim standsThere were no verifiable failures shown to the vehicleUntil such time any failures can be verified by the shop the claim will then be further investigated
Sincerely,
THE PENN WARRANTY CORPORATION

Dear *** ***, In response to *** ***'s rejection, on September 28, a check was mailed to *** *** Credit Union. It was returned by them since it did not have their account number on it. We then contacted them, obtained the account number, and the corrected check was mailed to them a few day ago. Gale *M***

[A default letter is provided here which indicates your acceptance of the business's response. If you wish, you may update it before sending it.]
Revdex.com:
I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to me.
Regards,
*** ***

[To assist us in bringing this matter to a close, you must give us a reason why you are rejecting the responseIf no reason is received your complaint will be closed Administratively Resolved]
Complaint: ***
I am rejecting this response because:
Regards,
*** ***
I am rejecting PENN Warranty's responseI took my car in because the coolant level was going downIn inspecting my car, my mechanic found an internal leakMy car did not got in the shop for overheating, but beause the check engine light was onI refuse to accept PENN Warranty's decisionMy mechanic sent them a service bulletin in regards to exactly what was going on with my car which had nothing to do with overheatingHere is the letter that they claimed they never received.
***,
Hello, I just realized that this was on the original estimate given to them. "
** *** ** **
Engine
May 2012
Technical Service
This Service Information bulletin supersedes ** *** ** ** dated June
[NEW] designates changes to this revision
SUBJECT
Head Bolt Threads Stripping Out of Block During Engine Reassembly
MODEL
[NEW] All with aluminum engine block
[NEW] SITUATION
While performing the torque procedure on the cylinder head during engine reassembly, the head bolt threads strip out of the blockTypically this occurs during the repair of an engine
Now, notice that it says typically this occurs during the repair. The block is aluminum, the bolts have pulled threads and one has even broken. The engine is bad. This is a known issue with this engine. All they need is the service bulletin # at the top. They have this and have the capability to look it up.
Let me know how its going
Thanks,
*** ***
*** *** ***
###-###-####
After PENN Warranty received this bulletin, they decided they didn't want to fix it because of how high in cost the repairs wereI refuse to back down and not hold them responsible for what I paid for in advance

Dear *** *** In response to *** ***'s rejection our position remains the same as stated earlier The damage to the vehicle was due to overheating and continued operation This is specifically stated as not covered under the contract agreement Therefore not payment will be made on this claim. Gale *M***

[To assist us in bringing this matter to a close, you must give us a reason why you are rejecting the responseIf no reason is received your complaint will be closed Administratively Resolved]
Complaint: ***
I am rejecting this response because:i took my car to another shop where they took my transmission completely apart and now penn is coming up with excuses trying not to completely fox my carI have complied with them and did everything they askedI was beginning to think it was the repair shops but its themThey are refusing to do the nessesary work to have my car running correctlyIm am about ready to take them to court if yall cant help me resolve this issue
Regards,
*** ***

Dear *** ***, In reply to *** ***'s rejection we have no record of ever being instructed that the a/c control head we authorized was not available If that were the case we would have authorized another one since they are readily available as per my last response that had sources for this part half of which at a lower price than we authorized Furthermore the shop that called the claim in, *** ***, sent us an estimate for the a/c control head for $ As I stated earlier, once we receive the invoice we will pay $for the part and $for labor This is for the total of $520.79, at no time did I state there will be a second deductible. Gale ** M***

June 5, 2017Dear *** ***,I have received the above captioned complaint and have reviewed the filedOn May 26, 2017, a claim was called in by *** *** *** pertaining to the valve cover gasket leaking oil and fluid leaking from the seals of the front differential of *** ***'s ***
***These items are non covered components and the claim was then closedThe contract covers specific components listed as stated under Section 1:* WHAT THIS SERVICE CONTRACT COVERS Coverage - During the Service Contract Period We will pay a Repair Facility, or at Our option, reimburse You the Cost to remedy any Breakdown of the parts listed below, less Per OccurrenceParts not listed are not covered by this Service Contract." The contract also states at the bottom of page 2: "Only the components listed in the above systems are covered by this Service ContractNo other components, other than those listed above under “Component Coverage” are covered by this Service Contract." The valve cover gasket is not listed; therefore, a non-covered components under the Contract agreementAlso, the contract states under section IIIWHAT THIS SERVICE CONTRACT DOES NOT COVER paragraph #6, FOR FLUID LEAKS OR DAMAGE THAT RESULTS FROM FLUID LEAKS and paragraph “SEALS AND GASKETS ARE NOT COVERED BY THIS SERVICE CONTRACT UNLESS REQUIRED IN CONJUNCTION WITH A COVERED REPAIR OR AS SPECIFIED IN THE COMPONENT COVERAGE SECTION.Upon review if you have any questions or comments please do not hesitate to contact me.Sincerely, THE PENN WARRANTY CORPORATIONGale M.Corporate Attorney

July 12, 2016Dear *** ***I have received the above referenced complaint dated July 8, After a complete review of the facts and documents as they pertain to this claim, the following is a result of my findings.Upon review of your file a claim was called in on June 22, 2016, by ***
*** *** pertaining to the transmission in your vehicleOn that date, the adjuster spoke to the repair Center and went over the claims procedures and teardown requirements for the repairAt that time the shop informed us that they are closing for vacation and we instructed them to reopen the claim when they return and our adjuster did speak with you about this delayWe next heard from the shop on July 6, stating that they had your permission for tear down and should have it done tomorrowThey then contacted us the next day as to the failures to the transmission and we then authorized $for a used transmission repair for your vehicleThis all occurred on July 7, 2016, there was not delay on our part in the authorizing of this claim therefore no car rental payment offeredOur Corporation authorized hours of labor as based upon the *** Labor Guide which is an industry accepted flat rates for the repair of transmission on your vehiclePlease note, under the terms and conditions of the Gold Contract it states under Rental Car, our corporation will reimburse $per eight hours of authorized flat rate time to repair or place a covered component.As to your statement that the transmission we authorized would take a week for delivery, if this transmission was ordered and it took a week please provide the rental invoice for review.Sincerely,THE PENN WARRANTY CORPORATION

[To assist us in bringing this matter to a close, you must give us a reason why you are rejecting the responseIf no reason is received your complaint will be closed Administratively Resolved]
Complaint: ***
I am rejecting this response because: I have looked over the contract, and subsequent paper work, I was given at the time of purchase, no where does it state there is a $per occurrence repair limitI am still seeking either the full repair cost, or at a minimum the cost of just the parts
Regards,
*** ***

[To assist us in bringing this matter to a close, you must give us a reason why you are rejecting the responseIf no reason is received your complaint will be closed Administratively Resolved]
Complaint: ***
I am rejecting this response because: I don't think this is a fair resolutionThe fact that the warranty was for yrs unlimited mileage there should be no limit on how much is paid out! If we will not get a refund then we want the warranty transferred to the current car that was replacedFair would be a year unlimited mileage for our current car
Regards,
*** ***

December 16, Dear *** ***.I have received the above captioned complaint and have reviewed the filedOn November 22, 2016, *** *** called in a claim for the transmission on *** ***'s *** ***On that date, an adjuster was assigned to this matter who spoke with the
repair facility verifying customer/vehicle information, claims procedures, tear down requirementsAn estimate for overhauling the transmission was received and from review, an inspection by a third party independent inspector was requested to verify failuresThe inspector found metal contamination throughout the transmissionThe residual fluid is dark with brunt smellThe valve body has stuck valves due to metal debrisMetal in the transmission is consistent with an internal torque converter failureThe cause of failure was an internal failure of the torque converter causing contamination to the unitContinued operation resulted in subsequent damage to valve body and solenoidsBase on these findings we then authorized S1,for the torque converter only.Due to continued operation verified by the independent inspector, the additional damages to the transmission were deniedThe terms of the Gold Contract regarding reimbursement for a component failure states: "Other items not covered include...continued operation after the initial failure..." Again, failures to the engine were denied for said condition and only that of the rod bearings were covered per this agreement for it was verified to be defective or worn beyond service limitsThis too is addressed in the terms of the Gold Contract thus stating, "THE PENN WARRANTY CORPORATION will reimburse you, or your repair Center, the amount authorized for the repair or replacement of any Component Covered by this agreement that is found to be defective or worn beyond service limits...." Neither was the case in this matter.Thank you for your time and if you have any questions or comments please do not hesitate to contact me.Sincerely, Gale M.Corporate Attorney

Dear MsStewart, Our position in this matter has been detailed in our earlier responses. As for the refund, the check sent to the dealer had not been cashed and we are issuing a second one for the total refund amount of $payable to *** * *** ***. This amount was pro rated for the seven months remaining on the contract which was purchased on April 11, and the vehicle became a total loss on August 26, 2017. Also there was a 10% cancellation fee. Therefore the refund has been provided as per *** law and no additional monies will be offered. Gale T M***

July 25, Dear *** ***:I have received the above referenced complaintUpon review of our file, on April 19, *** *** purchased a *** *** along with our 24-month/unlimited mileage Standard Contract.On June 5, PTS Automotive called in a claim for
a blown engine on the vehicleWe spoke with the service center and went over the claims procedure of tear down and possible inspectionThe shop needs to have the vehicle torn down to show the necessary and proper repair.This procedure is specifically stated in the Standard Contract, page 2,Section IVYOUR RESPONSIBILITIES BFiling a Claim- If your Vehicle incurs a Breakdown, You must take the following steps to file a claim: " Prior Approval - Prior to any repair being made, have the Repair Facility to contact the Administrator with the estimate of repairs containing both parts and labor, and to obtain an authorization for the claimThe Administrator can be contacted Monday through Friday, 9:a.mto 5:p.mat ###-###-####Emergency repairs, done outside of working hours, may be submitted to Customer Service with a letter of explanation for payment considerationIf it is determined that a covered component has failed and the estimate for the repair is agreed upon by our adjuster, an authorization number will be issued by the AdministratorThe amount authorized by the Administrator is the maximum amount that will be paid for repairs covered under the terms of this ContractNo repairs are to be made on Your Vehicle until an authorization number is issued by the AdministratorAny claim for repairs without prior authorization will not be covered.5. Authorize Tear-Down - Authorize the Repair Facility to perform necessary diagnostic work and provide "teardown” authorization so that the Repair Facility can provide accurate diagnosis and estimate of repairs. 6. Allow the Administrator to inspect Your Vehicle prior to any repairs being made.” This is where the matter now standsThe vehicle has not been torn down nor did we receive any proper diagnostic information showing all steps to verify exactly what has failedAll we are requesting is to have the vehicle torn down to show the complete and necessary repair and why this failure did occur to determine if there is coverage under the contract agreementPlease note to the shop wants to replace the engine and to do so it must be removed and it could then be torn down to show the exact repair necessaryUntil such time this the proper tear down and/or diagnostic information takes place there is nothing further we can do for this claim.Sincerely,THE PENN WARRANTY CORPORATION

I have received the complaint captioned above and have reviewed the fileOn April 28, 2016, *** *** called in a claim for Mr***'s *** *** pertaining to the ball joint and a/c compressorOn that date, the adjuster spoke to the repair center and went over the claims
procedures and teardown requirements for the repair and authorized $broken down as follows: $Rock Auto a/c compressor $Rock Auto ball joint $Labor as per the Mitchell Labor Guide of hours @Contract rate of $75.00/hour. -$Per occurrence fee $Total Authorization Please note at the time of the authorization a break down of parts and labor were given to the service center and they in turn would inform you of the information for you to decide how to repair your vehicleAs per supplying parts, the adjuster merely locates a supplier with available parts and in turn relays the information to the repair center that is the party responsible for making arrangements for shipment and availability of said partThe price authorized above for the parts included next business day shippingThe owner of the vehicle you have the final decision as to how to have it repaired and to choose that of new parts is certainly their prerogativeHowever, this decision does not alter the terms of the contract or the amount authorized for the repair and the amount authorized could be used as an allowance toward any repair they chooseThe terms of the Gold Contract agreed to and signed by you regarding the repair of the vehicle states: “At the administrator’s option, replacement parts used in covered repairs may include new, remanufactured, used or non-original equipment manufactured partsAll parts will conform to manufacturer’s specifications.” The parts found by our corporation were non-original equipment manufactured parts, have a warranty from the supplier and are covered by us through out the duration of the contract agreementThe adjuster looks for the most cost-effective repair for the vehicleOnly the owner of the vehicle can make the decision as to how their vehicle can be repairedBy choosing parts at a greater cost the owner would then be responsible for the difference in costs charged by the repair centerPlease note that we have the right to investigate and authorize the claim for coverage, we do not just pay the service center what they want for parts and laborThe authorization listed above repairs the vehicle as pursuant to the contract termsAs to the labor, the terms of the Contract regarding the labor coverage states: IWHAT THIS SERVICE CONTRACT COVERS number LABOR - Labor charges are based on industry accepted flat rate time to repair or replace a covered component up to sixty dollars ($75.00) per hourAgain, as pursuant to the guide it should take hours for this repair Thank you for your time and attention and if you have any questions of comments please do not hesitate to contact me. Sincerely, THE PENN WARRANTY CORPORATION Gale TM*** Corporate Attorney

August 7, 2015 Dear *** ***: I have received the complaint captioned above and have reviewed the fileIn March of we authorized the repair for the steering rack on *** ***’s, *** ***We were then contacted on July 21, again pertaining to the steering rack and
discovered that the earlier repair did not take placeThe vehicle was not at the repair center and we requested it to be returned and the claim reopened for us to investigate the repairsWe were then contacted on July 29, by *** of Merrillville and the vehicle was inspected by an independent inspectorAfter investigation we then authorized $for the steering rack broken down as follows: $Rock Auto steering rack $Labor (hours as pursuant to the *** Labor Guide@ contract rate of $75.00/hour) -$Per occurrence fee$Total Authorization (***) Please note at the time of the authorization a break down of parts and labor were given to the service center and they in turn would inform the owner of the information for him to decide how to repair his vehicleThe owner of the vehicle has the final decision as to how to have it repaired and to choose different types of parts is certainly his prerogativeHowever, this decision does not alter the terms of the contract or the amount authorized for the repair and the amount authorized could be used as an allowance toward any repair the owner may chooseAs per supplying parts, the adjuster merely locates a supplier with available parts and in turn relays the information to the repair center that is the party responsible for making arrangements for shipment and availability of said partThe terms of the Gold Contract regarding the repair of the vehicle states: “At the administrator’s option, replacement parts used in covered repairs may include new, remanufactured, used or non-original equipment manufactured partsAll parts will conform to manufacturer’s specifications.” The adjuster looks for the most cost-effective repair for the vehicleOnly the owner of the vehicle can make the decision as to how their vehicle can be repairedPlease note that we have the right to investigate and authorize the claim for coverage, we do not just pay the service center what they want for parts and laborThe parts we authorized are remanufactured could have been supplied and covered throughout the duration of the contract. Thank you for your time and attention and if you have any questions of comments please do not hesitate to contact me. Sincerely,THE PENN WARRANTY CORPORATIONGale M.Corporate Attorney

[A default letter is provided here which indicates your acceptance of the business's response. If you wish, you may update it before sending it.]
Revdex.com:
I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to me.
Regards,
*** ***

Dear *** ***,
I have reviewed *** ***'s rejection to our response and our position remains the same However we will off the additional amount of $1,for the claim limit of $2,as stated in the contract agreement Please note that we are not accepting liability for this additional amount but making this offer to see if it can be amicably resolved through your agency If acceptable please have *** *** forward a paid invoice for the repair and the amount of $will be paid through the claims department and the amount of $1,will by paid through my department by separate check Thank you for your time,
Gale ** M***

[To assist us in bringing this matter to a close, you must give us a reason why you are rejecting the responseIf no reason is received your complaint will be closed as Answered]
Complaint: ***
I am rejecting this response because:
When I had my car in the shop to do the repair, the place you quoted said they didn't have any in stockSince the ** dealership had trouble finding one for us, but was finally able to locate one for my specific model, I sent it back to your claims department with the much higher cost they quoted, which you refusedI even had someone from Penn call the parts shop to verify their stock levels, and they were told they didn't have that part in stockNow, in order to get the repair done, I would be required to pay another deductible, since it won't be covered under the original claimAre you going to pay that for me? Please just admit that your warranty is useless crap and won't cover any of the actual mechanical parts on the carI had to pay the difference between your crap water pump and a genuine OE part (which you didn't cover)I wanted the control head fixed on the same claim and the higher cost was denied, even though you couldn't find one in Stock eitherTrust me, after over calls to your 'warranty group', I am well aware of what you WON'T cover
Regards,
*** ***

December 16, Dear *** ***.I have received the above captioned complaint and have reviewed the filedOn November 22, 2016, *** *** called in a claim for the transmission on *** ***'s *** ***On that date, an adjuster was assigned to this matter who spoke with the
repair facility verifying customer/vehicle information, claims procedures, tear down requirementsAn estimate for overhauling the transmission was received and from review, an inspection by a third party independent inspector was requested to verify failuresThe inspector found metal contamination throughout the transmissionThe residual fluid is dark with brunt smellThe valve body has stuck valves due to metal debrisMetal in the transmission is consistent with an internal torque converter failureThe cause of failure was an internal failure of the torque converter causing contamination to the unitContinued operation resulted in subsequent damage to valve body and solenoidsBase on these findings we then authorized S1,for the torque converter only.Due to continued operation verified by the independent inspector, the additional damages to the transmission were deniedThe terms of the Gold Contract regarding reimbursement for a component failure states: "Other items not covered include...continued operation after the initial failure..." Again, failures to the engine were denied for said condition and only that of the rod bearings were covered per this agreement for it was verified to be defective or worn beyond service limitsThis too is addressed in the terms of the Gold Contract thus stating, "THE PENN WARRANTY CORPORATION will reimburse you, or your repair Center, the amount authorized for the repair or replacement of any Component Covered by this agreement that is found to be defective or worn beyond service limits...." Neither was the case in this matter.Thank you for your time and if you have any questions or comments please do not hesitate to contact me.Sincerely, Gale M.Corporate Attorney