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Vehicle Service Contracts Industry Applauds Federal Actions Against Robo-Dialers

While most firms followed rules, company that disregarded them will be punished.

Selbyville, DE, December 20, 2010 -- The Vehicle Protection Association (VPA), an association formed to protect purchasers of automotive service contracts, today announced that it commends federal prosecutors for securing guilty pleas from a Florida company that used misleading, recorded telemarketing calls, know commonly as "robo-dialing," to market vehicle service contracts to consumers.

"This industry has zero tolerance for firms that use illegal marketing tactics such as robo-dialing," said Larry Hecker, executive director of the VPA. "While most of the firms in our industry have diligently played by the rules, a few bad actors blatantly disregarded applicable laws and standards of conduct. In the process, they tarnished the entire industry. "

Today, the VPA's self-regulation process, coupled with the actions of outside consumer protection entities, has ensured that consumers are now appropriately protected when they purchase vehicle service contracts.

Through the VPA's Certification-Audit Program, consumers that want to purchase vehicle service contracts can find vehicle service contract vendors that have gone through a rigorous third-party audit and certification process that ensures that they are adhering to the VPA's Standards of Conduct. Firms that receive VPA certification have demonstrated that they operate in accordance with applicable laws and regulations and do not engage in deceptive marketing practices.

A list of VPA-certified vehicle service contract providers can be found on the VPA's website at http://www.vpainfo.org/Certified-Companies. Consumers who purchase vehicle service contracts from certified VPA members gain peace of mind and several other benefits. Most notably, unexpected vehicle repair costs are minimized because of vehicle service contract coverage - making it more affordable to own and maintain a vehicle.

About the Vehicle Protection Association

The Vehicle Protection Association (VPA) is a not-for-profit trade association representing firms that are active in the automotive service contract industry. Members include service contract finance companies, marketers, administrators, insurers, and software providers. VPA currently has more than 50 members. The organization is committed to ensuring regulatory compliance among members, educating consumers on their rights, protecting consumers, and otherwise ensuring the integrity of the automotive service contract industry. For more information, visit www.vpainfo.org.

For more information:

Chris Carenza, Executive Director
Vehicle Protection Association (VPA)
Phone: (314) 667-5654
info@vpainfo.org

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