Dealer FAQ

Empire State Warranty is built for dealers, not direct sales. We don’t compete with you—we support you. Unlike companies like Empire Auto Protect, that market directly to consumers, we provide private-label, high-margin F&I products and hands-on support to grow your dealership’s revenue. Our commitment is to your success, not cutting you out of the process.

In the event ESW were to go out of business or something was to happen within the company that would impact our administration services empire state warranty is insured through old republic insurance company. What this means is old republic would take over the responsibilities of those claims being paid and the customers being covered. This is required in the state of NY and we have decided to maintain this in other states to protect the dealerships as if we were not insured then the liability of any unpaid claims for a company that were to go out of business would fall under the responsibility of the dealer

Empire State warranty mainly has 5 primary warranty programs with all unique qualities about them. The reason we have decided to do this is to make our programs more aggressive and affordable for dealers and consumers alike. Have you ever price compared other companies to each other? Well essentially that is what you are doing internally within empire’s portal! Our programs compete with each other to give you the best bang for your buck when it comes to coverage and cost. Any additional questions about specifics of each plans and their unique qualities please refer to your roadmap ( I will attach the roadmap to the email I send with this and you can have it as a hyper link on the website )

Typically in the service contract business this is a red flag as the reduced cost of a contract is because those companies save money on their adjudication of claims and finding ways not to pay rather than the customer service the consumer and repair facility deserve. With us that is not the case. Our overhead has a tendency to be much lower then other administrators as well as the youth of our quality risk of our products create an advantageous mix of aggressive pricing to dealers which in turn creates aggressive pricing to provide to consumers. We do not sacrifice customer service quality for pricing its simply a matter of young administrator with low overhead and transferring those savings over to you and your customers. 

Every member of the Empire State Warranty team works directly for the company. From our sales team to the people administering claims and customer service you can rest easy that every representative has an intimate understanding of our products, and services we provide. 

Yes! We have relationships with all major lenders in the states we are actively represented in as well as if you are working with a lender that does not have back end options or the customer is a cash buyer we have a 0% interest free financing program where that warranty can be funded through. Ask your Business development executive for more information as to if you qualify for our indirect program for financing. 

Typically our model is directly through a partnered dealer of empire state warranty. You control the sales process with the consumer. In the event a customer reaches out to us and they stated they purchased a contract through one of our partnered dealers we would simply redirect the customer back to your dealership.

Typically, no. the consumer has to purchase the warranty at time of purchase however exceptions can be made dependent upon the situation. Please reach out to your business development executive for more details if this situation arises. 

Since Empire State Warranty is a small business and want to pay claims and have an elite level of customer service we require a minimum commitment of 5 contracts per month. The reason for this is quality risk control. Our numbers indicate that anything lower on the average of this amount of contracts per month is not in the best interest of our company and loss ratios are never at a healthy amount hence the reason for this requirement. 

No, we go based on a rolling average per month in 3-6 month increments. Every quarter we evaluate our accounts and if minimum requirements are not being met we will send out a “pending deactivation letter” typically there is a 90 day window to rectify the activity issue unless during this window we deem that average is untenable then we will move forward with the deactivation process. 

No, usually if someone wants to come back with us and were originally deactivated due to inactivity if we can agree to hit those commitments we will override the deactivation status and reactivate the account. 

Loss ratio is a calculation of a dealer’s performance in reference to contracts that are sold to claims that are paid. 

A business development executive on the Empire State Warranty Team will typically have a once-a-month account overview of the dealers performance in which case activity, loss ratio, training and other elements are discussed. 

We color code our dealers based on loss ratio:

80% or below you’re in the green

80-90% you’re in the yellow mean its ok but room for improvement

90-100% you are in the orange and there is a level of risk concern

100% or above you are in the red and are at potential risk of deactivation.

We color code our dealers based on loss ratio:

80% or below you’re in the green

80-90% you’re in the yellow mean its ok but room for improvement

90-100% you are in the orange and there is a level of risk concern

100% or above you are in the red and are at potential risk of deactivation.

When in your monthly account overviews with your business development executive they can discuss further how contract maturity and other factors play a role in this as well as how to effectively evaluate strategies to either improve these numbers or if your in really good standing alternative options for the dealers per the numbers being evaluated.

In all honesty we don’t. we have a direct sales model with aggressive pricing that focuses on customer service and quality of the relationship of service department, dealer, and consumer. We have yet to run into another competitor that can effectively elevate themselves at the levels we do. Honestly the only way to find out if this is true is by giving us a shot and coming on board! 

Yes, we have direct integrations with the top data aggregators in the country F & I Express and PEN Exchange Network. If for whatever reason you work with a company that does not use either of these companies for data aggregation we have a dedicated IT Team that can help with any integrations that might be needed in order to do business with us.

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