Vehicle Service Contracts
and Related Products
Dealer Owned Maximum Equity
- The dealer establishes a separate ‘C’ corporation to operate as the Warranty Administrator Obligor.
- The dealership sells VSC and receives usual front sales commission.
- Additionally, the dealer principal earns 100% of the profit when earned reserves and investment income exceed claims and administrative expenses.
- Turn-key administration and maintenance services are provided for the dealer’s company to include premium processing, claims administration, loss analysis and regulatory compliance.
Designed in partnership with a national accounting firm servicing several hundred auto dealer clients, the program provides the dealer the opportunity to maximize income on the sale of VSC products. Maximum Equity offers the most complete package of profit, cash control and tax advantages available in the industry today.