Built upon a resolute commitment to improve the image of the independent automobile dealer and deliver outstanding customer service, Preferred Warranties, Inc. (PWI), was established in 1992. In the decades that followed, the company’s dealer base grew steadily as its product line expanded. In 2013, PWI joined the KAR Auction Services family of companies and currently provides a full line of extended protection plans for pre-owned vehicles, available through quality dealers in a growing number of states.
The story began in the 1990s when Wayne Herring owned and operated an independent used car dealership near Pottsville, Pennsylvania. He prided himself on the quality of his vehicles and customer service, but he couldn’t find an extended service contract company that was as good.
He wasn’t alone. There was a serious demand among car dealers for reputable extended service contracts backed by good customer service and professional claims handling. So Wayne decided to start his own company. In 1992, Preferred Warranties, Inc. opened with three extended service plans and a commitment to provide the most responsive, courteous, professional customer service that the industry had ever seen. Within a year, enthusiastic dealers in three states carried Preferred Warranties plans.
The company grew quickly and steadily, adding new plans and dealerships in more states. In 1998, Preferred Warranties was:
- Ranked by the Northeast Pennsylvania Business Journal as “the region’s #1 fastest growing company”
- Ranked #179 on the Inc. 500 list of fastest growing U.S. companies
- Honored with the Northeastern Pennsylvania Better Business Bureau’s “Torch Award for Marketplace Ethics”
In 2013 PWI joined the KAR family of companies and continues to grow. The founder retired in 2014 and our new president, Brian Cosgrove, took the helm with nearly 30 years of experience in leadership, management, business development, sales and marketing.
Today PWI is expanding faster than ever, but the good things haven’t changed. Like our commitment to quality plans, outstanding customer service and professional handling of claims. Preferred Warranties supports voluntary certification of claims adjusters through the National Institute for Automotive Service Excellence (ASE), the most valuable credential available to automotive technicians. Claims are handled by experienced professionals, not a third party administrator. Just as in 1992, dealers and customers who call Preferred Warranties’ toll-free hotline are still greeted by friendly service representatives–never a recording or automated phone system.
Preferred Warranties’ parent company, KAR Auction Services, Inc., is the holding company for ADESA, Inc. ("ADESA"), Insurance Auto Auctions, Inc. ("IAA") and Automotive Finance Corporation ("AFC"). ADESA is a leading provider of wholesale used vehicle auctions with more than 66 North American locations and its subsidiary OPENLANE provides a leading Internet automotive auction platform. IAA is a leading salvage vehicle auction company with more than 171 sites across North America. AFC is a leading provider of inventory financing to independent and franchise used vehicle dealers with more than 112 sites across North America. Together, the company provides a unique, comprehensive, end-to-end solution for its customers' remarketing needs.