Delaney Simchuk, Car Insurance Writer
@delaney_simchuk
The cons of CarShield include its price tag of $99+ per month and the Better Business Bureau’s warning to consumers to use caution when doing business with CarShield. The BBB gives CarShield a D rating.
WalletHub editors gave the company 2/5 stars. While some customers on WalletHub and Trustpilot have had good experiences with CarShield, other CarShield customers have made complaints to the BBB about CarShield’s refusal to pay for things that should be covered.
CarShield is a privately owned company that sells third-party vehicle service contracts, also known as extended 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, mechanical breakdown insurance costs about $100 per year and offers more coverage.
- Poor ratings. The Better Business Bureau has given CarShield a D 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 not 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 on the BBB site also say that CarShield only paid for a portion of their repairs.
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.
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