Is CarShield really reliable?

The cons of CarShield are its poor coverage quality, high prices, questionable business practices, and history of customer allegations for false advertising. While some customers have good experiences with CarShield, many complain that CarShield refuses to pay for things that should be covered.

CarShield is a privately owned company that sells third-party vehicle service contracts, also known as ... read full answerextended warranties. These vehicle service contracts are meant to cover vehicle repair costs stemming from mechanical issues.

Cons of CarShield

• High prices. CarShield offers six levels of protection plans, and their cheapest plan costs around $99 per month. In comparison, extended warranties from major insurance companies can cost as little as $25 per month.

• Poor ratings. The Better Business Bureau has given CarShield an “F” for how well they respond to consumer complaints, their transparency about their pricing and policies, and how truthfully they advertise their products. The BBB has also issued a consumer warning for CarShield after receiving a high volume of complaints.

• Limited coverage. CarShield plans will never cover repairs performed without prior authorization, issues caused by lack of maintenance, regular maintenance items like brake pads or filters, damage caused by natural events, damage resulting from misuse, or any restraint system failures. Some consumers also say that CarShield only paid for a portion of their repairs because their vehicle had depreciated.

Pros of CarShield

• Online claim filing. Customers do not have to call customer service to file a claim with CarShield. You can easily file your claims and check the status of existing claims at any time through CarShield’s online portal.

• WalletHub and TrustPilot reviews. Although the Better Business Bureau gave CarShield a poor letter grade, many users on WalletHub and TrustPilot have given CarShield great reviews and say they have had good experiences.

• Number of plans. CarShield offers more plans than competitors such as Carchex and autopom!, giving drivers options in terms of cost and coverage. CarShield offers six plans, including a plan that covers motorcycles and ATVs.

To learn more, check out WalletHub’s complete review of CarShield.

Yes, CarShield really pays for covered repairs to your vehicle, as long as you have an active CarShield vehicle service contract. The exact kinds of repairs CarShield will pay for depend on the specific service contract you choose.

Why Some People Wonder Whether CarShield Really Pays

CarShield has an F rating with the Better Business Bureau (BBB) for allegedly failing to pay claims and resolve complaints. In 2020, CarShield filed a ... read full answerpetition against the BBB alleging bias against CarShield after the BBB shifted to an A-F grading system. CarShield claimed that the new system was designed to drive BBB website traffic and to encourage businesses to buy BBB memberships. CarShield does not pay for a BBB membership and alleges that the BBB enforces a moving standard, making a better grade impossible.

Why You Might Still Consider CarShield

The total number of BBB complaints filed against CarShield represent a relatively small portion of the 1 million contracts they claim to have sold. Whether or not there is a bias against CarShield, it is a well-known, affordable company with a 4/5 average user rating on WalletHub. Thus, you should just make sure to understand everything a CarShield plan does and does not cover before purchasing one.

For more information about CarShield and its competitors, check out WalletHub’s guide to the best extended car warranties.

Yes, CarShield is a defendant in a class action lawsuit. The main ongoing class action lawsuit against CarShield began in May 2017 and was filed due to mail advertisements that are accused of being misleading and in violation of the Driver’s Privacy Protection Act of 1994.

CarShield has also recently filed their ... read full answerown lawsuit against the Better Business Bureau (BBB), claiming the BBB has been unfair in their rating of CarShield. CarShield currently has an “F” rating from the BBB.

To learn more about CarShield, check out their profile and read WalletHub’s full review.