Since the 1980s, Warranty Processing Co. has had a saying around the office: All Gain, No Pain.
"We process manufacturers warranties for dealerships including Honda, Honda manufacturers, and Toyota," Wendy Tucker, production manager at the Houston offices of Warranty Processing Co. told Mega Dealer News. "We do all of their car lines."
The company has grown rapidly since being an in-house business in the suburbs of Denver. Now, the company has offices around the country and is continually expanding.
For the dealership owners, Warranty Processing Co. saves them a lot of money because they replace the services of an in-house warranty administrator. Any skeptical dealership can use the "Savings Calculator" on the company website to see how much money Warranty Processing Co. can save them. They also provide a no obligation, confidential service quote for customers.
"Dealerships don't have to pay vacations, payroll taxes, payroll costs, or insurance because we're there," Tucker said. "Whenever someone is sick, we do fill-ins as well."
Typically, this means shedding between 10 and 15 people from a dealership staff, which in turn makes the dealership itself more profitable. By centralizing warranty processing, automotive groups and dealerships become more efficient. They also have the flexibility to take a proactive approach to addressing manufacturer's policies.
Each of the warranty administrators for Warranty Processing Co. can work for up to seven dealerships at a time.
"I personally have a dealership in Michigan that I've worked with for 13 years," Tucker said. "We have some pretty long-term customers. Once they come around, they stay."
Large auto groups such as Seoca Auto Group out of Pennsylvania and Sanderson Ford Auto Group in Arizona are taking advantage of services from Warranty Processing Co., which is constantly looking to grow.