What Is a Dealer Owned Warranty Company? A dealer-owned warranty company is created when a dealer forms a completely separate c-corporation structure. It is made away from the dealership, for the purpose of writing service contracts. Being owned by the dealership, it becomes the obligated provider.
An auto warranty is a contract to fix certain defects or malfunctions for specific amount of time after you buy a car. A manufacturer’s warranty typically is included in the purchase price when you buy a new car, but used cars might come with some type of warranty coverage, too.