AA Warranties Reject Claims as “Wear and Tear” While Increasing Premiums

I am extremely disappointed with my experience with AA Warranties. My policy premiums have been increased over time, yet when it comes to submitting a claim, every issue is conveniently labelled as “wear and tear” and rejected.

Most recently, my vehicle was inspected at the dealership and it was confirmed that both lower ball joints need to be replaced. I submitted a claim, only for it to be rejected on the basis that it is “wear and tear”. This is extremely frustrating because these components are listed as covered items in my policy.

This is not the first time this has happened. I previously had a claim relating to the transfer case, which required repairs, and that was also rejected using the exact same explanation.

It raises serious concerns about the value of this warranty. If every mechanical component failure is simply classified as wear and tear, even when those components are listed as covered, then what exactly is the purpose of paying for the warranty?

What makes this situation even more frustrating is that AA Warranties has increased the premiums I have been paying, yet when it comes time for them to honour the policy, the claims are declined.

Customers take out these warranties in good faith, expecting that the policy wording will be honoured. Unfortunately, my experience has been the opposite. It feels like customers are paying monthly premiums for cover that becomes meaningless when a claim is actually submitted.

I would strongly encourage AA Warranties to review their claims assessment process and honour the policy coverage they advertise to customers.