Here are automobile warranty terms. These car warranty terms and their definitions are found in both the car manufacturers warranties and also in extended auto warranties…

:: Automobile Warranty Terms: A to C – D to L – M to U – R to Z

A-Rated: A rating by the independent insurance evaluator A.M. Best. An A-rating (A-, A, A+) is the highest ranking an insurance company can receive. It means the company is absolutely stable.

Administrator: The company that is responsible for authorizing the repair, and for paying the claim. The administrator ensures that your vehicle is repaired correctly and in compliance with your contract.

A.M. Best & Co: A.M. Best Company is the premier insurance analyst. It offers evaluations for more than 7,000 insurance companies. A.M. Best & Co. is more than a century old, and many players in the financial community, and consumers, rely on Best’s ratings system understand an insurance company’s stability.

Authorization: The approval provided by the auto warranty administrator to permit repairs to be performed.

Auto Warranty: An extended service contract that agrees to pay claims for mechanical failures and breakdowns. Also know as a Vehicle Service Agreement, Extended Service Agreement, Mechanical Breakdown Agreement, or Extended Warranty. This type of policy is intended to protect a consumer from paying for unexpected vehicle expenses.

Better Business Bureau: The BBB is a consumer organization that monitors a company’s record of addressing customer complaints. A company affiliated with the BBB Online Reliability Program agrees to confirm to the BBB Code of Online Business Practices and agrees to cooperate with the BBB to resolve disputes. Most companies who participate in this program value their reputation and tend to have an excellent record of addressing customer concerns. Investigating a BBB record is important.

Bumper to Bumper: Also known as an “exclusionary” policy. This is the most complete extended auto warranty in existence. A bumper-to-bumper contract lists only parts excluded from coverage, since there are too many covered parts to list. Unless a specific part is not listed on the contract, then it is covered by a bumper to bumper plan.

Cancellation: A cancellation provision permits the extended  warranty holder to cancel the contract and to obtain a refund. Most extended auto warranties allow a 30 day money-back guarantee, providing there has been no claims. Cancellation refunds are normally prorated based on the remaining time and miles in the plan.

Corrosion Warranty: A corrosion warranty is a manufacturer’s warranty that covers claims for rust and perforation on the metal body of the vehicle. Such an automobile warranty plan can also be purchased on an aftermarket basis.

:: See More Automobile Warranty Terms: A to C, D to L, M to U, R to Z