I recently left my position as an operations supervisor for a company that provides customer support services on behalf of certain organizations that issue roadside assistance and/or towing insurance plans. Simply put, my facility was tasked with helping stranded motorists get un-stranded and the people that I managed are the folks who answer the phone when you call because your car won’t start or you locked yourself out of your vehicle. It was an interesting experience, and while I’m very happy to be moving on at this point, I did learn some very valuable information about the industries and processes involved in emergency roadside assistance.
Having your vehicle break down is a unpleasant and stressful experience and depending on the circumstances, it can also be rather expensive, even before accounting for vehicle repairs. Unfortunately, roadside assistance coverage is an afterthought for most people and they don’t bother to investigate their plans and memberships. Even many people that are aware of their claim limits and coverage amounts have limited understanding of what specific services are covered, and that can be a set-up for a very expensive surprise. Follow me below for a summary of roadside services and some tips/advice on how to best protect yourself and avoid many of the common mistakes I saw people make.
Roadside assistance plans are intended to help motorists when they have a roadside emergency. Examples of a roadside emergency would be a car that has stalled out and won’t restart, a flat tire, or a dead battery, though there a number of other scenarios that also qualify. When an emergency occurs, the individual(s) covered under the plan call in to report the situation and request assistance. The companies that run these plans will then dispatch a qualified service provider (tow truck, locksmith etc) to help. The plan covers the cost of the service up to a defined amount, while any overage cost is usually the responsibility of the motorist. There’s a wide variety of individual plans available but most fall into one of three categories.
The most common plan is roadside coverage that’s included through your regular car insurance policy. The coverage offered varies but all the major auto insurers offer some kind of plan. Another type of plan is the motor club membership, where you generally pay an annual fee to join and get a set a number of roadside claims, as well as travel discounts and some other goodies. The third type of roadside plan is automatically included as a added service when making a major purchase, usually a new or certified pre-owned vehicle. Having any roadside coverage is better than having no coverage, but the different categories of plans offer very different coverage, and those differences are further exacerbated by the policies of the individual companies.
Many people get confused about the differences in coverage and less-than-honest agents and salespeople can make the problem worse. But there are really just SIX BASIC QUESTIONS you need to ask when investigating any new or existing coverage.
- What are the exact services covered?
- How many roadside assistance claims am I covered for?
- What is the exact dollar amount/mileage covered for each individual claim?
- Am I required to pay upfront for services and then seek reimbursement Or does the policy apply to the cost at the point of service?
- Does the plan cover the listed driver, the vehicle, or both?
- Are there any services that are explicitly excluded by the plan?
Answering these questions will give you a much better idea of how much coverage you actually have in a real life emergency and what you can expect when utilizing your roadside assistance. These plans are often sold as “AAA/GM/BetterWorld have your back in an emergency”, but that’s just marketing. The terms of your coverage are very specific and it’s up to you to catch any holes or exemptions. Are you covered in a rented vehicle? What about if you’re involved in accident? You may have $200 of towing coverage, but will that follow you if you carpool to work? Your new Toyota may have an excellent roadside assistance package, but your daughter’s 15-year old Neon is far more likely to break down, and if that happens when she’s headed back from college during break, you’re likely going to be coughing up some serious cash.
In addition to asking the necessary questions listed above, I think it is also important to understand some very basic facts about roadside assistance specifically and the towing industry more broadly. Just as asking the right questions about your coverage can help you plan for the unforeseen, an appreciation for the realities of a roadside emergency can help you make better decisions. Here’s a list of not always pleasant but important facts.
1. You probably won’t be able to pick your own service provider unless they have an existing contract with your plan’s company, and maybe not even then. Contract terms between companies and providers are usually very specific. Most plans will cover services scheduled by members and performed by non-contract providers, but you will have to pay them directly upfront and get reimbursed. If a plan contracted provider is not available, most non-network providers will charge full retail, perhaps even more because they think a large organization like Allstate or AARP will pay it.
2. The market for towing services varies wildly between different locations, both in terms of cost and customer service. Some individual neighborhoods in large cities will have several quality tow companies, while in more rural locations there may be only one tow company that services the area. Not surprisingly, less competition usually means a higher price. And there are some real bottom feeders out there who will do everything to nickle and dime you, including impounding your car.
3. Tow companies usually operate on a “First Call, First Serve” basis. The main exception is companies that handle police calls. These companies are contractually obligated to respond to priority calls, which means that a wreck on the highway that’s interfering with traffic is going to take precedent over whatever your emergency happens to be, so be prepared to wait. Additionally, requesting service during heavy travel periods such as evening rush hour or holiday weekends is naturally going to require a longer wait. Same goes for severe weather situations.
4. Roadside assistance providers will virtually always require that someone be either with the vehicle when serviced or when the vehicle is dropped off for safety and liability purposes. The few providers that will do unattended services will usually require a liability waiver and if something does go wrong, it be can difficult to establish fault.
5. All companies (except those who specialize in large commercial vehicles) can service light duty vehicles, but the larger the vehicle, the fewer providers who have the needed equipment, and the more the service is going to cost. Medium duty trucks, large passenger vans, and similar vehicles (especially if they’re modified) are going to be relatively expensive to service. I’ve seen companies charge upwards up of $250 (though that’s admittedly on the very high end) just to pick up the vehicle, without accounting for mileage or additional equipment or labor. If you own a larger vehicle, you should take this into account when purchasing a roadside plan. And a special warning for RV owners: While most RV plans cover towing and other services in full (at least to the nearest service station or dealership), it can be incredibly difficult to find someone to service an RV in certain areas, so you could be in for a very long wait.
6. Try to avoid calling on a Sunday, particularly in the evening, if at all possible. If you are not completely stranded and without any options, I would make alternate arrangements. Practically all auto repair shops and dealerships are closed and the few companies providing roadside help are well aware that they have all the leverage. Leave it till Monday morning if at all possible.
7. If your car completely jumped a ditch and is now in a field, or is completely snowed in in your driveway, or is stuck off road in the desert because you went rock hunting...I hate to break it to you, but your roadside isn’t going to cover that. If your vehicle is more than, say, 20 yards off a paved surface, you’re probably going to have to make your own arrangements. In some cases, your car insurance policy might cover vehicle recovery. If you are in an unsafe situation, please call the police.
8. Don’t assume roadside assistance is automatically included when a new driver or vehicle is added to your insurance policy, even if you have previously enrolled a vehicle/driver in a plan. Some insurers and agents are more thorough than others. Make sure you double check that the coverage is included in your official policy documents/payment receipts.
9. If you are planning on attempting a long distance drive, please make certain you confirm your coverage and bring any relevant documents (proof of insurance, membership cards, car warranties etc) with you. The customer service reps can probably look you up without these but computers aren’t without their glitches and cell phone batteries don’t last forever. A workable spare tire, a gas can, and a utility shovel, among other items, can also mitigate problems.
10. If you do happen to have an incident that requires roadside assistance, stay calm. Someone will becoming to assist, maybe not right away, but eventually. You are not going to be left to die. If you’re in immediate danger, please call 911. In not, try and evaluate the situation and gather as much relevant information as possible (Type of problem, location, nearby intersection or major road,make, model and color etc) and then place your call.
I hope this information helps some fellow Kossacks make informed choices and avoid problems in the future. I excluded some minor points hoping to keep the diary to a reasonable length, but I’m more than happy to answer any questions, provided I know the answer of course. I apologize in advance if this was at all tedious or a bit obvious in spots, but I wanted to make sure I covered the basics and didn’t assume facts not in evidence.
Thanks for reading.