Consumer Reports' story on Vehicle Service Contracts

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Well, it's that time of year again and the headlines are filled with stories about Consumer Reports and their position regarding Vehicle Service Contracts.

Most headlines indicate that Service Contracts are a poor value and recommend that they not be purchased.

Consumer Reports indicates that 65% of their respondents spent more for the Service Contract than they received in repairs. 22% reported that they received more in repairs than they spent on the contract.

Vehicle quality plays a roll - Toyota owners were most likely to pay more for coverage versus the amount of repairs received.

Here's a link to a news report: http://www.consumeraffairs.com/news0...arranties.html

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One interesting portion of the Consumer Reports article is their finding that 42% of the Service Contracts were never used.

Does anyone use a 100% Money Back Program to help increase the sales of Service Contracts? It would seem like this offer would appeal to a number of customers.