Ally Pros And Cons
Ally Financial offers a range of products, including the extended warranty Ally Premier Protection. But how does an Ally extended warranty compare to contracts from other top warranty providers? We’ll review what the vehicle protection plans cover and review what customers are saying.
Our experts have reviewed a number of the best extended car warranty companies to help drivers make sense of the market. There are many options, so it’s important to compare free quotes from providers to find the best rate.
About Ally Premier Protection
Ally began as the General Motors Acceptance Corporation (GMAC) in the 1920s with financial services in the auto industry. It added general banking products and services in 2008 and changed its name to Ally Financial in 2010.
Today, the company partners with over 18,000 dealers to provide financing and vehicle protection products in addition to offering other services like banking and home loans. The company has a C rating from the Better Business Bureau (BBB) and a 1.3-star rating on Trustpilot.
Ally Premier Protection is a vehicle service contract available from participating dealers in most states. The coverage plans are administered by Universal Warranty Corporation, which is a subsidiary of Ally. The plans are insured by MIC Property and Casualty Insurance Corporation.
Ally Extended Warranty Cost
What you pay for an extended warranty depends on your car. Different makes and models are prone to higher or lower repair costs, and higher mileage also means higher repair costs. For example, the same Value Guard plan would cost more for a BMW with 100,000 miles than a Toyota with 30,000 miles.
While prices for an Ally extended warranty vary, our 2021 survey which polled 1,000 respondents found that 45 percent paid between $1,500 and $2,500 in total for an extended car warranty.
Ally extended warranty plans come with deductible options of $0, $50, $100, and $200. The company allows drivers to finance the cost of a plan along with a vehicle loan in one monthly payment.
Ally Extended Car Warranty Coverage
The Ally extended warranty gives drivers a choice of three main protection plans: Major Guard®, Value Guard®, and Basic Guard®. All Ally Premier Protection plans can cover vehicles up to 13 years old with up to 150,000 miles. Coverage is capped at 200,000 miles. Here’s an overview of the three plans:
This is an exclusionary policy and it covers over 7,500 components on the vehicle. Comparable to a bumper-to-bumper plan, it covers all major systems including the powertrain, electrical, high-tech components, the suspension, and air conditioning.
This option is better for drivers with older vehicles who still want comprehensive coverage. It covers nine systems including the powertrain, fuel delivery, suspension, and braking system.
This plan covers the powertrain (engine, transmission, and drive axle) plus fuel delivery.
Ally also offers other protection services including prepaid maintenance, guaranteed asset protection, and cosmetic protection plans.
Ally Flex Coverage
Ally Flex plans are month-to-month extended warranty contracts. These plans are available for vehicles from 2015 or later with up to 75,000 miles. Coverage starts at $32 per month, and drivers have three coverage options:
- Ultra: This plan is comparable to Major Guard and is an exclusionary contract. It covers any component besides excluded items.
- Core: This mid-tier plan covers the engine, transmission, drive axle, fuel delivery, brakes, electrical, and air conditioning.
- Tech: This option covers high-tech components only. It could be a good plan to have alongside a factory powertrain warranty.
Ally Premier Protection plans come with the following perks:
- Roadside assistance: Covers towing, jump-starts, spare tire installation, fuel delivery, and locksmith services (locksmiths not covered in Kansas)
- Rental car coverage: Reimburses up to $40 per day ($240 maximum) in the case of a covered repair (not available with Basic Guard)
- Trip interruption: Reimburses up to $150 per day ($750 maximum) if you experience a breakdown more than 100 miles from home
Ally Extended Warranty Exclusions
Ally Premier Protection covers mechanical breakdowns and failures. It doesn’t cover normal wear and tear, and it doesn’t replace wear items like brake pads. It also doesn’t cover scheduled maintenance.
Ally’s extended warranty doesn’t cover any of the following:
- Damage from misuse or lack of maintenance
- Unauthorized repairs
- Damage from the environment or from accidents
How Ally Premier Protection Works
There are two ways you can get a quote for an Ally Premier Protection plan. You can either call the company directly, or you can visit a participating dealership. The website has a dealer locator tool, but not every state has a participating dealership.
If you have a breakdown, follow these steps:
- Call roadside assistance to get a tow and protect the vehicle from additional damage
- Have your car sent to your choice of licensed vehicle repair shop in the U.S. or Canada
- Call the contract administrator at 800-631-5590 to authorize a repair
Ally will either reimburse you after you pay for the repair or pay the shop directly. According to one Major Guard brochure, Ally approves 99.7 percent of all claims.
You can transfer an Ally extended warranty for $50. In some situations, secondary buyers appreciate an existing extended warranty, which can add value to your car. If you decide you don’t want the contract for whatever reason, you can cancel within 60 days for a full refund. After that, you’ll get a prorated refund.
Ally Extended Warranty Reviews
Ally has a C rating from the BBB. The company also has about three times as many complaints as reviews on the BBB website. Most of the reviews and complaints are about the company’s banking or auto financing services, so we’ll share a few examples that talk about customer service.
Positive Ally Extended Warranty Reviews
“Customer service reps have been helpful anytime we’ve called with questions.”
– Margo F., BBB
Negative Ally Extended Warranty Reviews
“Terrible customer service. I called three times and went through the same ordeal; I asked a very simple question and the representative asks me multiple personal questions to verify my identity just to tell me, ‘I cannot tell you anything over the phone, its policy.’”
– I., BBB
“Their upper management is very rude, arrogant, very unprofessional, and unwilling to help a long-time customer with multiple accounts.”
– Josefina, BBB
Universal Warranty Company, which handles claims, isn’t rated by the BBB, but it does have one customer review with a rating of five stars:
“First class organization. I had trouble with our car and the dealer did not contact them like they should have before making repairs. They still paid the claim in full.”
– Dave R., BBB
Bottom Line On Ally Premier Protection: 3.0 Stars
Ally has extensive coverage offerings and standard prices. Since Ally is an established financial institution, we don’t doubt the company can handle claims obligations easily. However, the company doesn’t have a great customer service reputation, and you have to purchase an Ally Premier Protection plan through a dealership.
Top Recommendations For Extended Car Warranties
If you only get one extended warranty quote, you won’t really know if it’s the best option out there. To find the coverage at prices that work for you, we recommend getting quotes from reputable extended car warranty companies.
Endurance: Best Coverage
Endurance has been around for 16 years and specializes in extended warranties. The company has a reputation for customer service and a 4.3-star rating from Trustpilot. It’s a direct warranty provider, so you don’t have to work with a third party for claims.
Endurance offers six plans that cover a wide range of options. Additionally, this company offers 1 year free of Elite Benefits. Elite Benefits include roadside assistance, total loss protection, collision discount, key fob replacements, tire repair/replacement, and the Endurance mobile app.
Read our Endurance warranty review to find out more about the provider.
CARCHEX: Best For Used Cars
CARCHEX has been covering vehicles for 23 years. Today, the company can provide warranty coverage for cars with up to 250,000 miles, which is a longer term than most other providers in the industry.
CARCHEX is also known for its customer service. It has a 3.1-star rating on Trustpilot and an A+ rating with accreditation from the BBB. Industry leaders like Kelley Blue Book, Edmunds.com, and CARFAX endorse the company.
Learn more about coverage by reading our CARCHEX review.
Frequently Asked Questions
How We Rate Warranty Providers
Our review process aims to deliver consistent and unbiased assessments of extended auto warranty providers. While there are multiple qualities that make a warranty company successful, our review team focuses on those we believe are the most important for consumers:
- Cost: Cost can be difficult to compare between providers because so many factors impact vehicle service contract pricing. To determine our cost score, we perform a secret shopper analysis for a variety of vehicles and plans and consider available deductibles.
- Coverage: Our team of experts looks at the number of extended warranty plans available, as well as term limits, exclusions, and added benefits like roadside assistance. Ratings also take into account the availability of maintenance coverage.
- Reputation: It’s important that an extended car warranty company is able to meet its claims obligations. Companies with a strong rating from the Better Business Bureau (BBB) score well in this category. Established providers with a long history of reliable service also receive positive marks.
- Customer Experience: We listen to real customer sales calls and comb through reviews on sites like the BBB to learn about customer experiences. Warranty companies with a low volume of complaints score well in this area. We also consider the availability of mobile apps and chat features.
*Data accurate at time of publication