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What Is An Ancillary Vehicle Service Contract?

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What is an Ancillary Vehicle Service Contract (VSC)?

Third party warranties (we will use VSC’s for short) are coverages that can help you prevent expensive repairs from eating into your wallet. Having an unexpected bill for your new or used car can be frustrating and difficult to budget for. Your VSC acts as a shield to help cover you and your family from costly repairs. Service contracts come in a wide variety of options, but typically they break down into either bundled coverage for a wide variety of vehicle components, or as coverage plans for more specific repairs/replacements. Ancillary VSC’s are warranty options that can go beyond mechanical protection and ensure peace of mind in a variety of ways. From vehicle theft protection to key replacements, ancillaries can be a great option in adding to your overall coverage.

Examples of Ancillary Vehicle Service Contracts:

Principal Wear Shield– Wear Shield is a warranty that offers protection for parts not typically covered in a manufacturer’s warranty, or in other vehicle service contracts. Examples of items not typically covered include tires, brake pads, and brake rotors. Principal Wear Shield also includes 24/7 Roadside Assistance.

Principal Key Shield– Principal Key Shield is a standalone protection coverage that covers the cost of replacing your key(s) if they are lost, stolen, or damaged. The Principal Key Shield protection plan comes with 24/7 Roadside Assistance.

Principal Connect – Have even more peace of mind with your vehicle by having a professionally installed GPS anti-theft system by Elo. Not only do you have geofencing and advanced security alerts with Elo, you can also easily see vehicle health and monitor for potential mechanical issues using the built in CarRx feature. Read car diagnostics or set security guidelines from the convenience of the CarRx & Elo phone app.

What should I do if I have a third party warranty and my car breaks down?

All covered repairs must be performed at a licensed mechanic. But the very first step depends on where your vehicle is located. If your vehicle is not at home or in an ideal location and your plan offers it, call 24/7 Roadside Assistance to get towed to a mechanic. Once your vehicle is at a licensed mechanic, provide them with your Principal vehicle service contract and ask them to call us to initiate a claim. We will work with your mechanic to move forward with your repairs.

Principal Warranty Corp. is a customer-centric company that takes pride in our automotive and recreational vehicle F&I products and wealth building programs for dealers, agents, and contract holders all over the nation. Our full line of F&I products for auto, RV, and powersports includes exclusive and comprehensive mechanical service contracts, lifetime and limited warranty programs, GAP, ancillary plans, reinsurance programs, dealer development and compliance training. Principal Warranty Corp. has its head office north of Seattle in Burlington, WA. 

To learn more, visit us at 

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