FlexCare Money-Back Guarantee

[ADDventure JL]

Just want to give a warning to anyone buying FlexCare. One of their selling points is the Money-Back Guarantee. They'll tell you can get the full cost of the plan refunded if you don't use it... What they don't tell you is you have to let your plan fully expire for them to honor it.

So be warned you likely won't get that money back. Don't pay cash up front for the whole warranty. Pay monthly. Maybe don't opt for high miles/term durration if you're banking on their money back. Attached page from my service contract, which they send to you after you start service.

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[jadmt]

maybe I am not clear what you are saying but yea I would think under normal situations you would need to have the plan go the full length without using it to get your money back...I think you can cancel before it expires for a prorated refund if you have not used it ie if you trade in or sell your rig and do not transfer it to the new owner...or if your rig is totaled out before using the plan. I know when my buddy traded his before his original warranty was up he got a refund for his maxcare...

 

[ADDventure JL]

maybe I am not clear what you are saying but yea I would think under normal situations you would need to have the plan go the full length without using it to get your money back...I think you can cancel before it expires for a prorated refund if you have not used it ie if you trade in or sell your rig and do not transfer it to the new owner...or if your rig is totaled out before using the plan. I know when my buddy traded his before his original warranty was up he got a refund for his maxcare...

Nope no prorated refund. I would have got FlexCare either way for peace of mind. But wanted to post here in case someone else is also sold on the moneyback guarantee.

 

[jadmt]

that must have changed then..maybe when it changed from maxcare to flexcare.... @Zach@Granger care to comment?

 

[Zach@Granger]

that must have changed then..maybe when it changed from maxcare to flexcare.... @Zach@Granger care to comment?

It does not matter what Plan you purchase, if you cancel your ESP, you will receive your prorated amount back.

 

[jadmt]

It does not matter what Plan you purchase, if you cancel your ESP, you will receive your prorated amount back.

@ADDventure JL appears you might have been misinformed...

 

[James Westfall]

Yeah I was going to just chime in - Tom Winkels also confirmed that you do in fact still get a pro-rated refund for plan not used.

I was also under the impression if you let the plan expire, you get nothing.

 

[ADDventure JL]

@ADDventure JL appears you might have been misinformed...

Idk, I literally attached the page from my contract and put a red dot next to the section they referred to. Maybe they changed policy recently?

Just saying to everyone be careful. They're not refunding me because the term hasn't expired (mileage or years) and I don't really have a leg to stand on because of the verbiage.

 

[jadmt]

Idk, I literally attached the page from my contract and put a red dot next to the section they referred to. Maybe they changed policy recently?

Just saying to everyone be careful. They're not refunding me because the term hasn't expired (mileage or years) and I don't really have a leg to stand on because of the verbiage.

I think you are reading it wrong...what you marked does not say anything of cancelling the policy early or if you sell your vehicle and cancel before the police is up etc.. it is talking about getting your money back if you run the policy to the end of the term...and have not used it. ie the only way to get your full amount back is to run it to the end of the plan without using it...otherwise if you do not run it to the end of the plan before cancelling you will get a prorated refund....

 

[alphawolff]

Maxcare is pro-rated. If you cancel the plan the dealership that sold you the plan automatically gets refunded the pro-rated amount. The dealership is then to send you a refund check.

Source:
Had to cancel my 124 spider contract 2 months after purchase and got almost all my money pack

 

[mixdup]

The ability to get a pro-rated refund mid-contract is guaranteed by law. Not sure if the contract is being misread, but it actually doesn't matter, in every state in the country they have to let you cancel and get your money back

 

[James Westfall]

Maxcare is pro-rated. If you cancel the plan the dealership that sold you the plan automatically gets refunded the pro-rated amount. The dealership is then to send you a refund check.

Source:
Had to cancel my 124 spider contract 2 months after purchase and got almost all my money pack

I think the question came up because of the rebranding from "MaxCare" to "FlexCare". Many of us know about the refund for MaxCare because we've actually gone through the process...but the rebrand is only a few months old so no one's going to have first-hand experience with this. We assume they changed some things - else why re-brand? I do know that the cost has gone up and the terms have become more limited. I can't get as long a term with FlexCare as I could with MaxCare.

 

[AndySpill]

Ok, let me get my arms around this.

If you use the policy in any way, which statistically is more likely to involve a payout that is less than monies you've paid for coverage, particularly when all these in- or outlays are adjusted for the value of those monies on day 1 of the policy (which of course is less because those monies have had an opportunity to earn interest) you forfeit any claims to getting your money back at the end of the policy....but

if you have a clean no-claims record, paying your premiums like clockwork, you get your money back minus of course the interest you lost on it those monies that the insurer made....?

Well, I guess that's better than no refund warranties, but either way, money back for a repairless record or not, guess whose making money on the whole to the loss of those insured? That's right, the warranty company.

See my tagline.

 

[mixdup]

Ok, let me get my arms around this.

If you use the policy in any way, which statistically is more likely to involve a payout that is less than monies you've paid for coverage, particularly when all these in- or outlays are adjusted for the value of those monies on day 1 of the policy (which of course is less because those monies have had an opportunity to earn interest) you forfeit any claims to getting your money back at the end of the policy....but

if you have a clean no-claims record, paying your premiums like clockwork, you get your money back minus of course the interest you lost on it those monies that the insurer made....?

Well, I guess that's better than no refund warranties, but either way, money back for a repairless record or not, guess whose making money on the whole to the loss of those insured? That's right, the warranty company.

See my tagline.

Yes, companies in the US are in the business of making money. It's crazy that the fact the warranty company, who is providing a service, makes money! Imagine that!

 

[AndySpill]

Yes, companies in the US are in the business of making money. It's crazy that the fact the warranty company, who is providing a service, makes money! Imagine that!

Should there be any doubt, I am a firm believer in capitalism. No economic system has created more worth in the history of man. Still more, extended warranty companies make their terms clear: they're not snake oil salesman, and nobody is forced to purchase a policy.

But that doesn't mean that they should get bucketed with all the other law abiding profit seeking goods and services companies out there. A simple example.

I buy Oreo cookies at the supermarket. Nabisco charges me more than it costs for them to make them, but for me, that cost is less than than to try to make them myself, or buy some knockoff brand from a competitor. And that cost is less than the worth of my enjoyment of them, for after all, in a free market economy I wouldn't buy them I didn't think them worth the price I voluntarily paid for them.

Let's contrast that with non-essential insurance. That's the kind of insurance that warranties products etc. and is not to be confused with essential insurance (of which I'm a huge proponent) that prevents catastrophic loss or is required by law like life, medical, disability, and liability policies.

Such non-essential warranty companies (e.g. extended warranty insurers) cost people money. Statistically, if you put the money you were paying in premiums into interest bearing accounts, (just like the insurers do) at the end of the warranty period you would come out ahead over purchasing coverage (i.e. this is self-insuring.)

True: a small minority of extended warranty policy holders need all sorts of expensive and covered repairs, thankful they got that warranty, which saved them money over self-insuring. But they are the vast minority.

Unlike in the Oreo cookie example, the very fact that non-essential insurers make tons of money is statistical proof that self-insuring is a more lucrative option on the whole.

And so why does this anomalous situation arise? People buy these policies to assuage fear, something that makes the best of us behave irrationally. That extended warranty vehicle repair company, that toaster manufacturer, their offers to buy their extended care products aren't some exclusive insiders benefit to purchasers of certain products as a perk of membership like some American Express Black Card, they're ways of them making money at statistical expense to their policy holders.

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