Quote:
Originally Posted by beerme1  ... That taught us all a lesson in that we will buy extended warranties only from the factory. No third parties ... |
Hate to break this to everybody, but GMPP is NOT a factory warranty. It IS a third party warranty (actually, these are not warranties, but insurance policies).
From gmprotectionplan.com: "The GM Protection Plan is fully insured by member companies of GMAC Insurance Holdings, Inc. When you buy a service contract, you transfer the risk of future repair costs to a company, trusting them to pay your covered repairs sometime in the future."
GMAC used to be a wholly owned subsidiary of General Motors. However, on November 30, 2006 GM sold 51% of GMAC to a consortium of investors.
Like any insurance policy, a GMPP "extended warranty" it is only as good as the company behind it. Insurance companies are rated by services like A.M. Best.
I'm not trying to warn people to avoid GMPP, I just everybody to really know what it is they are buying and how to determine the ratings of the company behind the policies.