Bob Ulrich

Editor

Bob Ulrich was named Modern Tire Dealer editor in August 2000. He joined the magazine in 1985 as assistant editor, and has been responsible for gathering statistical information for MTD's "Facts Issue" since 1993. He has won numerous awards for editorial and feature writing, including five gold medals from the International Automotive Media Association. Bob earned a B.A. in English literature from Ohio Northern University and has a law degree from the University of Akron.

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Tire manufacturers may be bringing back road hazard warranties

By: Bob Ulrich

MTD Editor Bob Ulrich (center) talks with Al Breese (left), president of the NJSTDA, and Kevin Gilhuly, Northeast regional manager for Continental Tire the Americas. (Photo by Greg Sutliff)

New Jersey tire dealers wanted to know: Are road hazard warranties back, and will they expand?

That was the question asked of me at the recent New Jersey State Tire Dealers Association (NJSTDA) Membership Dealer Meeting in Monroe, N.J. My answer was I didn’t think so to both questions.

We are not talking about a warranty for workmanship and materials, which is standard on all tires coming out of the plant. Or tread wear mileage warranties that take into account Uniform Tire Quality Grading ratings.

Road hazard warranties involve accidental damage sustained while driving. From the manufacturers' point of view, they assume that the tire is unrepairable.

I know of two companies that have road hazard warranties as value added. Continental Tire the Americas LLC has included road hazard coverage on not all but some replacement tires. Here is the policy:

“When an eligible tire… is damaged during the first 2/32nds of an inch (1.6 mm) of tread wear or first 12 months from date of purchase, whichever came first, the tire will be replaced with a comparable Continental brand tire free of charge.”

The tire is free, not any other costs incurred while replacing or mounting it.

Hankook Tire America Corp. has a similar policy on many of its tires, although it applies “during the first 25% of usable tread life.”

I like the idea of a value-added road hazard policy on the part of the manufacturer, particularly with tire prices rising at an alarming rate (see my editorial in the November issue of Modern Tire Dealer). Who doesn’t want to get more for their money?

However, these warranties would hurt dealers who sell their own road hazard warranties, which are more comprehensive. The Tire Rack sells one, for example. And guess who would realistically bear all the responsibility for replacing the tires?

If I knew road hazards were partially covered by the manufacturer, I wouldn't buy more inclusive coverage.

So I understand why the New Jersey dealers are concerned. I wish I could have answered their questions with more than a gut feeling. What do you think?

Related Topics: New Jersey State Tire Dealers Association, Tire Rack, Warranties