Since 1992, Coffeen Management has been offering Vehicle Service Contracts through multiple A+ rated by A.M. Best insurance companies.
The majority of our Service Contracts provide five (5) coverage options for new cars. New vehicle contracts can be offered to any customer still under the manufacturer's full basic new car warranty. There are also four (4) coverage options available for used cars based on the mileage and age of the vehicle. All coverage options have been condensed into one contract. Simply select the coverage option that best suits the customer's needs. All of our contracts come with a clear and easy-to-understand Coverage Booklet, indicating the coverage options purchased.
These contracts also offers customized programs to match dealer client needs, including market-driven options such as Rental Only coverage and Pre-Paid Maintenance (oil and filter changes) coverage. Additionally, these Service Contracts provides coverage options that compliment manufacturers' programs, such as Diesel Wraps, Extended Power Train Wraps and Certified Wraps, to meet individual dealer client needs. Coffeen Management has also developed a High Mileage Program that is available on any vehicle with less than 120,000 miles.
Through the use of a one-part contract, dealership personnel have the ability to offer their customers a combination of coverages and terms that best suit the customer's driving habits.
In addition, all Coffeen Management contracts, with the exception of High Mileage, include Roadside Assistance, rental benefits and trip interruption for the full term of the contract. MAP also offers an awards program for F&I and dealership personnel.
Dealer Participation Programs - Reinsurance Plans
Coffeen Management is a leader in assisting with the formation and management of producer-owned reinsurance companies. Ownership of a reinsurance company allows the dealer the opportunity to increase the income opportunities from the sale of credit insurance, service contracts, and other related products through participation in the underwriting profit and investment income. Coffeen Management currently has reinsurance positions with domiciles in Nevis, Turks & Caicos and Texas. The high level of expertise given by Coffeen Management, with its team of seasoned reinsurance professionals, and investment counselors provide the dealer with proven consulting information to make confident and profitable decisions. In addition, Coffeen Management’s comprehensive reporting includes risk analysis, detailed financial statements and performance reviews for all producer-owned reinsurance programs.
Controlled Foreign Corporation (CFC)
For the dealer seeking underwriting investment return as well as flexibility through control, reinsuring the vehicle service contracts, credit insurance, and other related products through an offshore Controlled Foreign Corporation (CFC) is a very good investment option. This option enables the dealer to earn a commission from the sale of the product(s) and still participate in the underwriting experience. The distinct advantages to this method are: the ownership and control of the company, and the investment income generated by the company's assets, which reside with the dealer client/agent company.
Non-Controlled Foreign Corporation (NCFC)
For the dealer producing significant volumes of credit insurance premium and/or vehicle service contracts, participation in a Non-Controlled Foreign Corporation (NCFC) offers another means of generating underwriting profit. In a NCFC, the dealer owns stock in a reinsurance company with many other dealer/agent participants; however the dealer’s position is protected. The advantage in utilizing this type of underwriting vehicle is the capacity to produce better long-term economic benefits. In addition, the NCFC offers a monthly ceding methodology that accelerates investment potential.