Thursday, 31 March 2016

Vehicle Service Contracts Remain a Popular Choice Thanks To Their Flexibility

Having a vehicle service contract (VSC) gives you added peace of mind while taking away the risk of an expensive and unexpected repair bill. But as vehicle design starts to evolve even further, the appeal of a VSC continues to change as well. 

More dealerships are finding that consumers are less worried about mechanical failure and are more focused on in-vehicle technology. That’s not to say that there’s not a need for component coverage on items such as the transmission and engine — far from it. It’s just that as cars are being built with more electronics and connectivity features, items like navigation systems and Bluetooth technology are becoming more of a focus for customers interested in a VSC.    

In a 2014 study by the Consumer Electronics Association (CEA), in-vehicle technology was cited as an important factor when purchasing a new vehicle for more than half (59 percent) of U.S. drivers. The same study also found that two in five consumers (42 percent) stated that they intended to buy an in-vehicle technology device or accessory within a year.

Fast forwarding to the present day, another study was just released that helps provide even further insight into VSC/automotive purchasing habits. According to a recent DealerRater survey question supplied by Automotive News, 30 percent of consumers said that they bought a service contract on their most recent vehicle purchase. Taking a deeper dive, here are some additional findings from the survey:

• 26 percent of new-vehicle buyers purchased service contracts
• 40 percent of used-vehicle buyers purchased service contracts
• 33 percent of consumers who visited a dealership for service bought a service contract
• 21 percent of all respondents purchased GAP protection, which was the next best-selling F&I product
• 12 percent or less of all respondents purchased F&I products such as tire and wheel, prepaid maintenance, paint protection and coverage for alarm systems

Advanced features and safety systems cost more to replace if they malfunction, so a VSC makes good sense if your vehicle features the latest state-of-the-art technology. And even if it doesn’t, a service contract is still a great option for covering the major components of your vehicle. Plus, a VSC gives your vehicle greater resale value. If you plan on selling your car or truck after a few years, keep in mind that you can get a higher price for it if it’s backed by a VSC.

So, yes, car design has evolved and will continue to do so. But on the flipside, so have VSCs. Service plans have become more flexible, which allows every consumer to find the perfect fit for their budget and the way they drive. And this key advantage in how VSCs are designed allows consumers to stay out of the red and on the road a lot longer.


Sunday, 28 February 2016

Top 10 Ways To Improve ESP Attachment Rates On The Retail Floor

AMT Warranty excels at understanding and responding to the needs of businesses in our target markets, and we offer a variety of programs to serve those needs. In the world of extended service plans (ESPs), extended warranties, or service and parts replacement programs, many consumers have become immune to the common tactics used to sell these programs. In fact, if your sales team is still selling the “what if” scenario to today’s ultra educated consumers, your store is losing out on valuable sales that help drive high-margin growth and revenue.

According to NBC News, extended warranties help fuel a booming $15 billion-a-year business; therefore, it’s imperative that retail sales personnel hone their sales approaches for “add on” sales such as ESPs. Through ongoing training and education, sales teams are better able to overcome “new” objections to these profitable plans and figure out which plan best suits the consumer’s need.

The below selling strategies are simple, but effective ways to help your sales team illustrate the value of ESPs and therefore convert more consumers:

           Get consumers’ attention: - By stating the obvious such as, “This product is covered under the manufacturer’s warranty for only one year,” you may pique the consumer’s interest enough to have him/her asking more about warranty coverage.
 
      Listen to consumers’ answers: -It seems simple, but often sales representatives get so busy pushing sales out the door, they don’t hear what consumers really want to know more about. If a representative addresses some of the comments consumers share during the sales process, then consumers may be more inclined to listen to sales talk about protection plans. Remember, always address consumers’ objections and point out how ESPs overcome the objection.
 
     Give options: -Often consumers may be more inclined to purchase extended coverage if they know they have options. This puts them in the driver’s seat to select the coverage that best suits their needs. For example, offer extended or standard warranty coverage and let them ask questions about the difference, which will lead to the sale of a plan that they believe in.
 
    Stay positive: -Much like in life, if you focus on the positives, you’ll more likely receive favorable feedback. Focusing on the strong features and benefits of the ESP, consumers may find the up front fee is well worth the investment.
 
      Expert source: -Provide consumers with sales representatives’ credentials or the training they receive prior to selling on the floor. (This is most effective if the store posts signs on the floor about the quality of its staff.) In doing so, when a sales member states, “In my experience, ESPs are essential,” the consumer has a frame of reference for why this is a quantifiable statement. Testimonials are another great way to communicate value and benefits (leverage your personal experiences, your customer, your store’s customer, etc.).
 
   Brands that matter: -We’ve all fallen victim to the brand game at one point in our lives and consumers are no different. Consumers generally buy the brands they think represent quality or status and frown upon unknown brands. But while some brands make a great washing machine, they may not make a great TV and it shows in the manufacturer warranty details (especially parts and labor). Your staff needs to know the details of the manufacturer warranties just as well as the ESP to help drive home the value extended coverage offers.
 
     Explain the fine print: -Helping consumers better understand what’s covered, what’s not and why makes your sales staff their ally. This type of dialogue not only builds trust, but also gives sales staff an opportunity to reveal some of the holes in the manufacturer’s warranty.

     Think about it: -Once consumers have all the facts about the warranties or ESPs, it’s okay to let them think about their options. Have them walk around the store, talk to their spouse/significant other or speak with customer service representatives about the items they see coming back or how much it costs to repair various products. Often, a different source can be a welcomed change of pace for consumers who don’t want to fall victim to “sales hype.”
 
  Recommend it: -If you believe in it, your customers will too. Familiarize yourself with the features and benefits and remind customers how costly repairs or replacements can be if they’re not backed by an ESP. 
 
  Ask “why not” an ESP: -Sometimes the most obvious questions go unasked such as “Why wouldn’t you want to protect your purchase?” or, “What’s holding you back?” Once your sales staff knows the answer to why, they may be able to employ any number of sales tactics to sell or attach an ESP.

ESPs add significantly to a retail organization’s bottom line because they don’t require inventory space or carrying costs and they offer high margins. Many consumers are receptive to buying ESPs, but they do need to be convinced to add a plan to their basket and are looking to your sales staff to communicate the features and benefits of the plans, as well as your organization’s commitment behind the plans. Sharpening your sales strategies — on and off the sales floor — is a critical step to increasing ESP sales and enhancing the value these plans bring to consumers.

For more information about AMT Warranty Corp feel free to visit:–https://amtrustgroup.com/warranty-special-risk/extended-warranty-administration

Saturday, 16 January 2016

Top 10 Reasons To Select AmTrust

Warrantech is a subsidiary of AmTrust Financial Services, Inc., one of the strongest and most financially stable companies in the industry. AmTrust brings this financial strength to Warrantech, which allows us to offer customizable plans and benefits that most competitors simply cannot provide. Extended warranty administration is provided by AMT Warranty, a holding company for third party administrators, including Warrantech.  AMT Warranty also serves as the obligor for extended warranty coverage.


1.  Financial Strength and Stability – Publicly traded on the NASDAQ (AFSI) with more than $6.1 billion in gross written premium and over $15 billion in assets, with an A.M. Best rating of "A" (Excellent), Financial Size “XIII.”

2.    Multi-State Capability – Workers’ comp written in over 40 states, and all lines of insurance written in more than 30 states.

3.    Flexible Payment Plans – Installment plans, AmTrust Auto Pay (direct debit) and Pay-As-You-Owe® (PAYO®) provide seamless premium payments, saving time and money.


4.   Superior Claims Handling – 24/7 claims reporting with live assistance, and seasoned claims professionals with assigned case loads well below the industry average.

5.   Exceptional Loss Control – Representatives located nationwide to conduct safety inspections, site evaluations and loss prevention training.

6.   User-Friendly Submission System – Easy-to-use, web-based system provides policy, endorsement and loss history at your fingertips, and allows you to submit and chat online with your underwriter about a submitted risk.

7.   Competitive LCM Rate Structure – We are continuously evaluating and adjusting our LCMs to reflect our loss experience and competitive environment.

8.  Competitive Agency Commission – Our commission rates generally range from 9%-20% based upon the product written.

9.   Expanding P&C Product Offering – We are continuously evaluating the market and our agents’ needs to deliver new coverages from Workers’ Comp to Commercial Package and a wide variety of niche products.

. .   Satisfying Customer Service – Exceptional service is the mantra at AmTrust, delivered by our field marketing representatives, regional underwriters and centralized customer service professionals.

For more information about AMT Warranty Corp feel free to visit:– https://amtrustgroup.com/warranty-special-risk/extended-warranty-administration

Tuesday, 12 January 2016

Sym-Tech Dealer Services & AMT Warranty, a Subsidiary of AmTrust Financial Services, Announce Partnership that Provides the Canadian Market with Enhanced Services and Product Offerings

Sym‐Tech Dealer Services (the “Company” or “Sym‐Tech”) announced today that AmTrust Financial Services, Inc. (NASDAQ: AFSI), through its subsidiary AMT Warranty, has partnered with Sym‐Tech through a minority investment in the Company.

“We are very pleased that AMT Warranty chose to partner with Sym‐Tech,” said Brad Wells, CEO of Sym‐Tech Dealer Services. “AMT Warranty’s automotive expertise as well as their underwriting, OEM, insurance and reinsurance knowledge and experience will allow for an expanded offering of F&I products and services for clients in Canada.”
Sym‐Tech drives improved business office performance. A full suite of F&I products, industry‐proven training and in‐dealership development, as well as F&I menu and proprietary technology, combine to drive dealer performance and profitability.

Sym‐Tech’s 40 year history of serving Canadian dealers, combined with AMT Warranty’s extensive insurance services and solid financial backing, create a unique partnership that provides Canadian OEMs, auto dealers and automotive dealer groups with one of the most comprehensive offerings available. The full suite of solutions includes:
• A complete line of F&I products and programs
• Training and in‐dealership development
• Proprietary F&I technology
• Expertise in underwriting, actuary, insurance and re‐insurance services

“AMT Warranty has experienced tremendous success in the United States and we look forward to extending our success to the Canadian marketplace through a long‐term relationship with Sym‐Tech,” said Sean Stapleton, President and CEO of AMT Warranty. “Sym‐Tech has a solid reputation, one of the best F&I software platforms in the industry, extensive knowledge of the market and significant experience. Importantly, Sym‐Tech’s vision, values and strengths are strongly aligned with AmTrust.”

About AMT Warranty
AMT Warranty Corporation, a wholly owned subsidiary of AmTrust Financial Services, Inc. (NASDAQ: AFSI), provides finance and insurance products to automobile, RV/trailer, marine and power sports retailers, manufacturers and financial institutions. AMT Warranty offers innovative F&I products, program development and customer support. With over 25 million active contracts, AMT Warranty has a reputation for providing highly scalable and financially successful programs. By incorporating extensive industry knowledge, customized program options and a customer centric approach to service, AMT Warranty has become the leading provider of F&I products in the aftermarket industry.

About Sym‐Tech Dealer Services Inc.
Founded in 1971, Sym‐Tech Dealer Services Inc. is a leading Canadian F&I provider to the retail automotive industry. Sym‐Tech is a performance‐driven company with the mandate to help improve business office performance. Sym‐Tech offers F&I products, industry‐proven training and in‐dealership development, as well as F&I menu and a proprietary software platform (d.a.v.e®) which drive dealer performance and profitability.
For more information about AMT Warranty Corp feel free to visit: – https://about.me/amtservicecorp

Monday, 12 October 2015

Top 10 Reasons to Purchase an Extended Service Plan

Extended warranty service plan is AMT Warranty's program that provides customers with the highest level of coverage. They can be set up to protect new electronic products against most, if not all, potential malfunctions or failures, including those that are not covered by the product's original equipment manufacturer (OEM) warranty.

1. Allows customers to prepare for the unexpected and possibly avoid having to pay for any large, unforeseen repair bills. 

2. Convenient, efficient and stress free, it takes away anxiety consumers might have should something go wrong with their purchase. 

3. Affordable and costs a fraction of what one might typically pay for a new replacement. 

4. Saves time as customers no longer have to search for a repair company to fix their damaged merchandise. 

5. If a covered product is not repairable, it could be replaced with a new model. 

6. Consumer products have become more complex and contain more electronics than they did just 10 years ago, which makes an extended service contract even more valuable to have. 

7. As a value-added benefit, numerous service contracts provide toll-free call center support for immediate help with in-home repair and questions about covered products. 

8. Some OEM warranties offer limited protection, which can be supplemented with an extended service contract once the warranty expires.
 

9. Electronic products have become more mobile over the years, which mean that they can be more susceptible to accidental damage from typical everyday use.
 

10. Many service plans offer on-site repair for added convenience. For more consumer tips and information regarding extended warranties and vehicle service contracts, be sure to visit: https://foursquare.com/amtrustwarranty


Tuesday, 18 August 2015

AmTrust Reports A 16% Increase in Operated Earnings For The Second Quarter 2015


AmTrust Financial Services (AFSI), the parent company of Warrantech, recently announced continued growth of operating earnings and strong operating on equity for the second quarter ended June 30, 2015.



Operating earnings were $130.5 million, or $1.55 per diluted share, an increase of 22%, compared to $107.1 million, or $1.34 per diluted share, in the second quarter of 2014. Second quarter 2015 net income attributable to common stockholders was $70.7 million, or $0.84 per diluted share, compared to $106.3 million, or $1.33 per diluted share, in the second quarter 2014. Second quarter 2015 annualized operating return on common equity was 26.3% compared to 28.0% in the second quarter 2014. Annualized return on common equity was 14.3% for the second quarter of 2015 compared to 27.8% for the second quarter of 2014.

Second Quarter 2015 Results

Total revenue was $1.11 billion, an increase of $0.10 billion, or 10%, from $1.01 billion in the second quarter 2014. Gross written premium was $40.3 billion and net written premium was $1.01 billion, an increase of $85.0 million, or 9%, compared to $923.7 million in the second quarter 2014. Net earned premium was $969.0 million, an increase of $94.0 million, or 11%, from $874.9 million in the second quarter 2014. The combined ratio was 90.5% compared to 90.9% in second quarter 2014.

A summary of Q2 results is listed below along with a link to the earnings release.

Financial Highlights

Second Quarter 2015

• Gross written premium of $1.68 billion, up 16% compared to $1.44 billion in the second quarter of 2014
• Net earned premium of $969.0 million, up 11% from $874.9 million in the second quarter 2014
• Operating diluted EPS of $1.55 compared to $1.34 in the second quarter 2014
• Diluted EPS of $0.84 compared with $1.33 in the second quarter 2014
• Annualized operating return on common equity of 26.3% and annualized return on common equity of 14.3%
• Service and fee income of $107.7 million, up 8% from the second quarter 2014
• Operating earnings of $130.5 million, up 22% compared to $107.1 million in the second quarter 2014
• Net income attributable to common stockholders of $70.7 million compared to $106.3 million in the second quarter 2014
• Combined ratio of 90.5% compared to 90.9% in the second quarter 2014

YTD 2015

• Gross written premium of $3.41 billion, up 10% compared to $3.11 billion YTD 2014
• Net earned premium of $1.92 billion, up 13% from $1.70 billion YTD 2014
• Operating diluted EPS of $3.01 compared to $2.58 YTD 2014
• Diluted EPS of $2.69 compared with $2.60 in YTD 2014
• Annualized operating return on common equity of 27.1% and annualized return on common equity of 24.2%
• Service and fee income of $220.6 million, up 16% from $190.5 million YTD 2014
• Operating earnings of $251.9 million, up 23% compared to $204.5 million in YTD 2014
• Net income attributable to common stockholders of $225.4 million compared to $206.1 million in YTD 2014
• Combined ratio of 89.8% compared to 90.4% in YTD 2014
• Book value per common share of $24.05, up 8% from $22.34 at December 31, 2014
• AmTrust's stockholders' equity was $2.47 billion as of June 30, 2015 up 21% compared to $2.04 billion as of December 31, 2014

For more consumer tips and information regarding extended warranties and vehicle service contracts, be sure to visit: http://www.onlineprnews.com/news/398475-1373521737-amt-warranty-corp-extendedwarranty-enhancing-programs-and-support-services.html

Wednesday, 12 August 2015

AMT Warranty Corp - Extended-Warranty Enhancing Programs and Support Services

AMT Warranty Corp's extended-warranty providers are rolling out a host of new services and programs for clients and end users to help lower costs and raise attachment rates during the slow economic recovery.



AMT warranty service is placing greater emphasis on extended-service plan (ESP) bundles that provide a value-add for consumers. “You can boost sales by providing extended warranties with a different twist,” said President of the company, such as an identity-theft protection offer included free with the purchase of a plan, or 15 months of coverage for the price of 12. “We are giving the consumer a more robust offering so they feel they are getting more for their money,” he explained.

AMT Service Corp is also maintaining “an intense focus” on account management through enhanced training, point-of-sale material and sales techniques. “Sales people need a different dialogue today,” said, one of the company officials, as hard-pressed consumers question an extra ESP outlay in a tough economy. “Clients welcome a different message for different times.”

For Service Net Warranty, growth has come from multiple channels, including OEM aftermarket programs; subscription-based coverage for notebooks and wireless devices that can be extended from month to month; and an early entry into the burgeoning e-book reader business, which has given it a dominant position in that category.

For manufacturers, Service Net is providing a stepped-up marketing program that reaches out to consumers both during and at the conclusion of their extended-service contracts through email, direct calls, social networking and direct mail pieces. The company is also now offering factory service programs on Amazon.com for a wider array of clients including Panasonic, Sharp and the recently signed LG Electronics.
The company recently began providing factory and aftermarket warranty programs for two of the industry's leading flat-panel TV vendors, and continues to expand its extended-warranty offering with current manufacturer clients.

AMT Warranty Corp has also enjoyed a significant expansion in the fitness category as that business extends into the CE space, and has upped its profile with furniture dealers, where CE is also playing an increasingly significant role.

For NEW Customer Service Companies, the answer is a new suite of interactive plug-and-play Web tools that can help optimize sales of extended-service plans and other premium services for retailers by providing an appealing and convenient online interface for consumers.

“As online retailing has grown, and as services are continually being added to support product offerings such as extended-service plans, NEW identified a need for tools to manage that system and provide a more engaging experience for customers,” said the CEO of the company.

About AMT Warranty Corp
AmTrust Financial Services, Inc. was founded in 1998 to provide workers' compensation insurance to small businesses across the United States. AMT Warranty develops specialized programs to meet your individual business needs. We look forward to the opportunity to demonstrate how extended service plans bring value to you and your customers. Extended Service Plan agreements offer customers the highest level of product protection against potential failures of their new purchase - beyond the product's original OEM warranty.
For more consumer tips and information regarding extended warranties and vehicle service contracts, be sure to visit: https://about.me/amtservicecorp