Service Policies & Procedures Recent Updates

The Service Policies and Procedures manual had several updates late last year. Here are some of the significant changes:

1.5 - Voided Warranties and Branded Titles: Through state vehicle registration records, GM receives branded title listings periodically, which in turn are used to update IVH. A vehicle with a branded title and warranty block is still eligible for emissions warranty repairs, recalls, and special coverage repairs, but only if the system being covered is repairable. These policies have been in place for some time now. The update in this section was to also add that any maintenance program listed in the applicable warranties section is still valid and should be honored under the terms of the individual maintenance program guidelines. Service Agents will need to route the transaction for wholesale authorization since the system will have blocked the ZREG transaction type. Depending on the reason for the warranty block, ZFAT, for recalls, may be blocked as well.

2.2.1 - Transaction Submission Filing Time Limits: This may be good news to some: GM has changed the transaction submission filing time limit from 60 days to 180 days. Back in September of 2010, GM changed from 180 days to 60 days. In the five years since this change, a claim over 60 days had to go through a review process that required the Service Agent to provide a business case explaining what has been done to correct the processes in the dealership that caused the claim to go over 60 days. With the longer filing time limits, service agents won't find themselves in this situation again, however, we feel 99% of warranty claims should be filed and paid within thirty days. Warranty claims should just not get that old. Claims over 180 days absolutely will not be paid. 

3.2.2 - Job Card Write Up: The warranty job card must include the date, odometer reading, delivery date (as applicable), customer name, and the service advisor ID. The update to this section is to add the word "complete" to VIN. No last eight; the complete VIN. Also added was, "customer authorization to perform repairs," instead of just signature. 

Job cards on service agent owned vehicles (new or used) must clearly indicate in the owner information section that the vehicle is service agent owned with a stock number, or other service agent identification, such as the name and address of the dealership. 

Early bird envelopes or other drop-off forms must be completely filled out with the date, complete VIN, odometer reading, customer name, service requests/customer concerns, and a signature to authorize repairs for the customer signature to be a valid alternate signature on the job card. In other words, if all of the above information is not on the early bird envelope, the service manager must sign the job card once it has been created, and provide the date, time, and note that the envelope was not completely filled out. This must be done before repair work begins and the time noted must reflect that.

If pre-write up forms are used, they must be completely filled out as well.
 
3.2.8 - Details of Concern, Cause, and Correction: This section gave us a reminder that the Midtronics GR8 is to be attached to the job card and the statement that all technician documentation must be traceable back to the technician performing the repair on the associated job card. Another reminder: when repairs involve removal of the transmission from the vehicle to perform an internal repair or torque converter replacement, technicians MUST document the seven (or eight) digit alpha/numeric code on the shop copy of the job card, i.e. A10DFB2, from the Transmission Cooling System Service Tool (J-45096).

When replacing an engine, transmission, or transfer case, a cost comparison must be performed. There is a worksheet found in Service Forms, and when used, must be completed in its entirety. The worksheet must be filled out even if an approval was obtained from a DMA for customer satisfaction and when a situation arises where there is a failure of a non-serviced sub-component. An explanation should be fully documented on the worksheet. If a Technical Service Bulletin is released by GM stating a specific component is not serviceable and must be replaced, the bulletin can be attached to the job card in lieu of the Cost Comparison Form.

A cost comparison (price quote) from the parts department can be used instead of the Cost Comparison Estimate Form, if the following information is generated as part of the form:
  • The customer's name and address.
  • An itemization of the parts for the repair estimate (including part numbers), cost (including the handling allowance), and the quantity. Handwritten information is not compliant.
  • Itemization of parts for assembly replacement, including the cost plus handling allowance, and any applicable core charge. Handwritten information is not compliant.
  • Labor estimate for the repairs or the replacement. This can be handwritten on the price quote printout
3.2.11 - Labor Time/Hours: The confusion as to whether or not variable diagnostic add time requires both service manager approval and a separate time recording has been clarified. Neither does. The explanation for claiming this time states that the actual amount of variable time claimed must be submitted in the diagnosis time labor field and substantiated by technician comments with steps taken to facilitate the repair. Service management is simply responsible for assuring complete technician documentation and the reasonableness of diagnostic time claimed.

Straight time is mentioned in this section. Straight Time is time not published in the Labor Time Guide. The technician must document all steps taken to support the repair. Management is responsible for the reasonableness of the request. The request needs to be authorized by service management prior to claim submission. Straight time is to be submitted in the base labor field of the transaction and a separate time recorded for the repair is required.

4.1.2.3 - Core Return Policies: A warranty core part (except electronic exchange center parts) must now be retained for 72 hours (instead of 24 hours) from the payment credit date before being shipped to the Core Return Center. Cores must be shipped within 21 days for credit. 
6.1.2 - Regional Product Field Actions: At one point in time, a recall could be performed on a vehicle that was experiencing the same condition as a known field action, even when the vehicle didn't have that open recall assigned to it. To get the recall paid, the transaction required wholesale authorization. This reject can no longer be corrected, so if the service agent chooses to make the repair, they must use a labor operation from the Labor Time Guide. If the vehicle is out of warranty, standard dealership empowerment applies. 

We noticed that the written information for submitting a closest-to labor operation has been eliminated from the Service Policy manual. The policy used to state that when using a closest-to labor operation, a separate time recording was required and the time clocked was submitted as OLH. With this policy now gone from the P&P, we aren't sure the correct procedures when using a closest-to labor operation but are working on getting an explanation.

© jlwarranty

Article from jlwarranty's Warranty Newsletter

Warranty Newsletter The most updated warranty information available is delivered to your door and/or inbox each month. jlwarranty summarizes important warranty information from General Motors, combines it with our warranty claims processing experience, and puts it into easy-to-understand articles. Find answers to the latest, most pressing GM warranty topics, strategies to increase warranty reimbursements, tips on protecting your dealership from debits and more! Only available with a monthly subscription to the Warranty Administration Program.
Learn moreTry a 1 Month Trial
Like What You See? Try 1-Month Test Drive