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RE Extended Warranty Admin Fees
Just took the survey on charging an admin fee on extended warranty jobs. Frankly, had never heard of this, and figure the warranty company won’t pay it, so it must be being charged to the consumer? Anyway, don’t have an admin fee, but I do have a seperate (higher) labor rate for warranty companies that factors in such things as a longer authorization process, lower diagnostic reimbursement, and the inability to use my parts pricing matrix and preferred labor guide. Remember, you don’t have to have just one labor rate, and if the insurance companies want to play pricing games, well I can play that too!
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2 Replies
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this is what we do! we have found other shops though that their pricing is already outside of what the warranty company will allow. we were told that if we charged that fee we could be kicked from the program. to offset like the op said we have raised the labor rate
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