11-00-89-005X
Service Bulletin Details
Public Details for: 11-00-89-005X
This warranty administration bulletin provides information on dealer empowerment for goodwill, customer enthusiasm and policy (u.S. Only).
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Service Bulletin Bulletin No.: Date: 11-00-89-005X March, 2024 WARRANTY ADMINISTRATION Subject: Warranty Administration – Dealer Empowerment for Goodwill, Customer Enthusiasm and Policy (U.S. Only) Models: 2024 and Prior GM Passenger Cars and Trucks Attention: This Service Bulletin does not apply to ‘GM of Canada’ dealers. This bulletin has been revised to update eligibility and parameters. Please discard Corporate Bulletin Number 11-00-89-005W. As a dealer partner, General Motors empowers you with the ability to utilize policy and goodwill tools as deemed appropriate to satisfy and retain GM customers that are loyal to their vehicle brand and your dealership. This bulletin provides guidelines to further assist dealer managers in the utilization of these tools to resolve customer issues while spending GM resources in an effective and responsible manner. Ineligible for the Goodwill, Customer Enthusiasm or Policy provisions outlined in this Bulletin: • • • • • • Hummer H1 Saab BrightDrop (refer to BrightDrop Policies and Procedures) Non-GM vehicles, including those covered by CarBravo Any vehicle being offered for sale as a used/ pre-owned vehicle, or any other dealer-owned vehicle Vehicles with active Branded Titles or Warranty Blocks showing in Investigate Vehicle History (see your DVM for any exceptions regarding Warranty Blocks) Copyright 2024 General Motors LLC. All Rights Reserved. Page 2 March, 2024 Bulletin No.: 11-00-89-005X Organizational Terms The following chart should clarify the terms used to describe various empowerment categories used to satisfy customer requests for assistance. Resource Definition Customer Enthusiasm Vehicle repairs within the time and mileage limitations of the New Vehicle Limited Warranty Bumper to Bumper coverage that ARE NOT the result of a covered defect in materials or workmanship. • Example: Repair of a damaged front air deflector due to customer not realizing how low it is. Policy Goodwill Vehicle repairs outside of the applicable time and mileage limitations of the applicable warranty coverage. • Example: Wiper motor fails at 52,000 miles and GM pays for any portion of the repair cost. Assistance expenditures made to satisfy the customer. • The term “Goodwill” does not refer to a vehicle repair. (Refer to definitions for Customer Enthusiasm and Policy for vehicle repairs provisions outside of the terms of the New Vehicle Warranty) • Goodwill is the term for the tools that are used to offset customer inconvenience or dissatisfaction caused by their GM vehicle. • Example: Customer has had to return to the dealership for a repeat connectivity issue with OnStar and based on this customer’s unique situation, the service manager deems it appropriate to offer an extension to the customer’s OnStar subscription. Customer Enthusiasm Guidelines A Customer Enthusiasm Repair is a vehicle repair performed with GM participation, within the New Vehicle Bumper to Bumper warranty period, where the product issue is NOT the result of a defect in material or workmanship. This expense would normally be customer responsibility and in this unique instance, the dealer is requesting GM assist in the repair cost to ensure customer loyalty. A ZREG transaction must be submitted using the published repair operation with the “Customer Enthusiasm-Non-Warrantable Repair” indicator selected. All other Transaction Types including ZPTI/ZPTC are not eligible. Dealers are reimbursed at warranty rates as outlined in the Service Policies and Procedures Manual and on your Service Agent Detail page in GWM. Note: These type of repairs are not covered by the New Vehicle Limited Warranty Bumper-to-Bumper coverage; a 50% Customer/Dealer Participation is recommended. • Example: Customer’s vehicle has a cut in the rear seat back at 8,000 miles. This is clearly not a defect in material or workmanship and therefore would not be a warranty repair. Based on the facts and circumstances and the customer’s history with the dealership, the service manager would like to fix the customer's issue and submit this to GM for reimbursement of 50 % even though it is a non-warrantable repair. The transaction would be entered as a ZREG using the rear seat back labor operation with the Customer Enthusiasm-Non-Warranty Repair indicator box checked, the full amount of parts and labor input and the Customer participation amount input into the Customer/Service Agent Participation field. The Complaint, Cause, and Correction fields must document the situation including the substantive reasons for the decision. Bulletin No.: 11-00-89-005X March, 2024 The following are NOT considered Customer Enthusiasm and dealers must not check the “Customer Enthusiasm – Non-Warrantable Repair” indicator on these types of transactions: • When a warranty defect caused the customer’s concern • Assembly replacements instead of repair for customer satisfaction • Example: Customer’s vehicle has no reverse at 2,000 miles. 3-5R clutch housing damaged. Transmission replaced versus repaired due to low mileage. Even though the cost comparison shows it is more cost effective to repair the unit, it is being replaced for customer satisfaction. • Repeat repairs resulting from a warrantable failure • Divisional maintenance programs • Reimbursements • Non-repair issues (Accessories, sales incentives, etc.) • Repairs outside of the New Vehicle Limited Warranty Bumper to Bumper coverage • Goodwill Labor Operations Policy Guidelines - Incorporating the Policy Evaluation Tool Dealers are required to use the Policy Evaluation Tool once a determination has been made that a policy decision is appropriate for a customer’s out-of-warranty repair, or whenever the customer has requested policy consideration for an out-of-warranty repair. Consider these factors in your decision making: Supporting Factors for Offering Policy Assistance include but are not limited to: • Vehicle is recently out of warranty • Loyal GM new vehicle customer and/or loyal service customer (purchase of a protection plan, number of vehicles purchased, level of service business as shown in Service Workbench, etc.) • Original owner • Previous history/repairs related to current vehicle issue • Type of repair • High incurred customer expense to repair the “out of warranty” issues Limiting Factors for Offering Policy Assistance include but are not limited to: • Purchased as a used vehicle • Well beyond vehicle or component’s warranty expiration • Cause is not normally covered by warranty (misuse, abuse, neglect, accidental damage, lack of maintenance) • Overall lack of vehicle maintenance or care • Repair expenses incurred due to damage from an accident that insurance will not cover Page 3 • It is evident that Policy assistance will have no positive affect on the customer’s satisfaction, loyalty and repurchase intent • 12V batteries or tires (ineligible for Policy) • Maintenance items (ineligible for Policy. This includes all items categorized as maintenance per the Limited Warranty booklet, including brake pads/linings, wheel alignment/balance, wipers, etc.) • Component(s) installed per the Bolt EV/EUV High Voltage Battery Safety Recall that fail beyond the 8-year/100,000-mile Bolt EV Battery Limited Part Warranty (ineligible for Policy) Important: Dealers must not restrict Policy use solely because the customer did not purchase or service their vehicle at your store. Requirements and Process: • The Policy Evaluation Tool is located in the Dealer Aftersales Empowerment app in GlobalConnect. • Enter all required information. The Total Repair Cost must be entered at warranty rates on the Policy Evaluation Tool form. • The Policy Evaluation Tool will provide the recommended GM Policy assistance amount based on the days and miles the vehicle is beyond warranty for the defective component. • When seeking assistance for more than one repair on the job card, the Policy Evaluation Tool must be run separately for each line. • If charging the customer in excess of warranty rates, a 10% minimum dealer discount off the total repair cost is required when applying GM Policy assistance. In cases where dealer is charging the customer warranty rates, a dealer discount is recommended to achieve maximum customer satisfaction and retention, but not required. • If necessary for accounting purposes, the dealer may use two (2) job cards (one for the customer pay job card, and one for the warranty transaction). Dealer must cross reference job card numbers on each R.O. • The customer job card must fully itemize the amount of participation in the repair cost from GM, the dealer (if applicable), and the customer. • The print version of the Policy Evaluation Tool must be attached to the hard copy of the job card. • A copy of the Policy Evaluation Tool result and signed customer pay job card showing itemized billing must be attached to the transaction in GWM. • The service manager must authorize the GM Policy assistance prior to initial transaction submission. This authorization must be in the form of an explanation, signature/initials, time, and date (reference GM Service Policies & Procedures Manual). The reasons supporting GM assistance should be clear to an objective third party reviewing the job card that has not been involved Page 4 • • March, 2024 in the customer decision-making process. Short general comments such as “good customer” or “out of warranty” are not sufficient. If the Online Policy Evaluation Tool is not available due to a system issue, we are relying on our dealer service management personnel to engage with the customer and to make the best, balanced business decision possible. If the component's coverage is not listed in the Component Warranty Coverage field dropdown list on the Policy Tool form (e.g., replacement parts warranty), select the closest option related to the repair. Enter the time and mileage end dates of the coverage selected to determine the starting level of participation. You will need to use your judgment to determine if this level of participation is appropriate. Dealer Empowerment Beyond Policy Evaluation Tool Results for Extenuating Circumstances Dealers are required to use the Policy Evaluation Tool and are encouraged to follow the recommended amount of GM participation towards the repair cost. If extenuating circumstances merit more GM participation than suggested by the Policy Evaluation Tool, the dealership is empowered to deviate from the tool result amount up to $500. GM pre-approval is NOT required. A copy of the signed customer pay job card and Policy Evaluation Tool result must still be attached to the transaction. These situations should be rare and supported by a good business case. In instances where the tool result is $0 GM participation, dealers can still use their empowerment up to $500 if the business case merits it. The total amount of GM Policy Assistance cannot exceed total repair cost at Warranty Rates. Dealers should also consider that use of a Goodwill Tool or Owner Loyalty Certificate may be more appropriate, and in cases, even preferred by the customer compared to Policy assistance on a vehicle repair. The dealership should consider all factors such as the cost of the repair, the age of the vehicle, and if partial repair assistance will satisfy and retain a customer. Example: A nine-year-old vehicle requires an engine replacement, and the calculated GM assistance still leaves the customer with a substantial repair expense. In this case, it may be more appropriate to offer the customer an Owner Loyalty Certificate Bulletin No.: 11-00-89-005X Pre-Approval Process for Policy Assistance Beyond Dealer’s $500 Empowerment Range Deviating GM Policy assistance more than $500 from the Policy Evaluation Tool result must be PRE-APPROVED by GM through the Dealer Aftersales Empowerment application in GlobalConnect. The total amount of GM Policy Assistance cannot exceed total repair cost at Warranty Rates. • Complete the “Claim Pre-Approval Request” form in the Dealer Aftersales Empowerment application. Select box for “Policy Adjustment – Request to deviate from Policy Evaluation Tool results.” • A copy of the approved Pre-Approval Form must be attached to the job card and retained in the vehicle history folder. A copy of the approved Pre-Approval Form is not required to be attached to the submitted transaction. • A copy of the signed customer pay job card and Policy Evaluation Tool result must still be attached to the transaction. Processing Policy Assistance in Global Warranty Management When submitting the transaction, enter the labor, parts, and net items (if any) at warranty rates as if GM was going to cover the repair under warranty. To adjust the total pay amount so that it is equal to the amount of GM participation, enter the difference between the total repair cost at warranty rates and GM participation in the “Customer/Service Agent Participation Amount” field as a positive number. The transaction will be reduced by this amount and pay the dealer net (total less “Customer/Service Agent Participation”) amount. Important: In cases where dealer charges the customer in excess of warranty rates on the customer job card, the actual customer and dealer participation towards the total repair cost will not be equal to the “Customer/Service Agent Participation Amount” entered on the transaction. Example with dealer charging customer warranty rates: The dealer enters the repair cost at warranty rates into the Policy Evaluation Tool. The tool calculates $427.97 GM participation towards the out-of-warranty repair. The customer is satisfied with this amount. When submitting the transaction in GWM, the dealer submits for the full expense of parts and labor at warranty rates for a total transaction amount of $611.38. The dealer then inputs $183.41 ($611.38– $427.97) in the “Customer/Service Agent Participation Amount” field. The dealer will receive $427.97 through GWM. On the customer job card, the dealer will reflect $427.07 GM assistance towards the repair. Bulletin No.: 11-00-89-005X March, 2024 Required Disclosure of Amounts Due on Job card: Total Repair Cost 611.38 GM Assistance -427.07 Amount Due from Customer 182.41 Example with dealer charging customer in excess of warranty rate: Same as above example: The dealer enters the repair cost at warranty rates into the Policy Evaluation Tool. The tool calculates $427.97 GM participation towards the out-of-warranty repair. The customer is satisfied with this amount. When submitting the transaction in GWM, the dealer submits for the full expense of parts and labor at warranty rates for a total transaction amount of $611.38. The dealer then inputs $183.41 ($611.38–$427.97) in the “Customer/Service Agent Participation Amount” field. The dealer will receive $427.97 through GWM. On the customer job card, the dealer will reflect $427.07 GM assistance towards the repair. Additional to above example: The customer job card must also reflect the actual amount of dealer discount (minimum 10% required off the total repair cost). Required Disclosure of Amounts Due on Job card: Total Repair Cost 756.88 Dealer Discount -75.69 GM Assistance -427.07 Amount Due from Customer 254.12 This procedure will give full transparency to the amount of participation from all parties (GM, Dealer, Customer), and will minimize unnecessary transaction processing issues due to miscalculations. Vehicles with Aftermarket Service Contracts If a vehicle has an active service contract, all transactions submitted outside of the terms of the new vehicle warranty will require authorization to ensure that the customer first uses the benefits of the service contract they purchased. To request approval, the dealer must document the current contract status (expired, component not included, owner not party to the contract, etc.). This information must be submitted in the comments section and documented in the vehicle’s service file. Goodwill Tool Guidelines A variety of Goodwill Tools (listed below) are available to dealer management for resolving customer issues and maintaining customer satisfaction. Goodwill Tools are NOT to be used as a means to circumvent an existing policy or process. Examples include using Goodwill to cover or compensate for: • Worn tire replacement (utilize process outlined in Bulletin 20-NA-159 if seeking to provide GM participation towards tire replacement within the warranty period) • Battery or tire replacement beyond warranty, or tire pro-ration charges • • • • Page 5 Component replacement denied through the PRA program (utilize Customer Enthusiasm per 18-NA-306) Repair/Replacement of items identified under “What is Not Covered” in the Limited Warranty and Owner Assistance Information booklet Repairs where GM Policy assistance can be utilized (see DVM for exceptions) Issues with My GM Rewards or GM Card. Dealers should reach out to [email protected] or the applicable helpdesk to assist a customer with concerns in these areas. In addition, Goodwill Tools are Ineligible for: • Excluded vehicles listed at the top of this bulletin • Fleet/commercial owned vehicles that have been delivered with Delivery Type 014, 020, 035, 036, 038, 040 (see IVH Vehicle Delivery Information page to view vehicle Delivery Type) • In conjunction with GM Trade/Repurchase cases, or when customers are involved in product allegations, BBB, legal, or 3rd party intervention • Fuel economy, DEF consumption, or EV range concerns • The sole purpose of trying to close a sale • After 10 days from new vehicle delivery to resolve a sales-related issue • For APR/lease dealer cash adjustments • For modifying vehicle content or adding non-GM approved parts/accessories • When the cause of customer dissatisfaction is due to dealer negligence Goodwill Tools Available via the Dealer Aftersales Empowerment Application Important: Please note that some tools are not available in certain states. Please review all Guidelines posted on the Dealer Aftersales Empowerment Application for additional eligibility requirements. All Goodwill Tool requests must be submitted by Dealer Management and include valid Business Justification comments. • My GM Rewards Points – Up to 50,000 points. Customer must be enrolled in My GM Rewards prior to submitting request. Have Member Number available prior to submitting Goodwill request. • OnStar® – Plan upgrades or extension; past subscriber activation. • Component Coverage Letter (Not available in CA, NH, or VT) – Letter issued extending coverage of certain components/systems for a specific time frame. • Chevrolet, Buick, GMC, and Cadillac Protection Plan (Only available in CA, NH, VT) – A service contract covering various vehicle components & systems and issued for various time and mileage intervals. Plans are eligible only for vehicles under 36,000 miles. Page 6 March, 2024 GM may modify available tools at any time. Refer to the Dealer Aftersales Empowerment application in GlobalConnect for current available tools. Goodwill Tools processed via the Global Warranty Management (GWM) System Important: All Goodwill Guidelines apply when utilizing the following Goodwill labor operations. These labor operations have specific applications, and any inappropriate use will result in a credit reversal. Submitting any of these labor operations requires Service Manager approval on the job card per GM Service Policies & Procedures. Transaction must include comments detailing the supporting reasons for providing GM Goodwill. As a reminder, Goodwill is ineligible when the cause of customer dissatisfaction is due to dealer negligence. • Spontaneous Goodwill Maintenance (Labor Op 0600343) – Offer complimentary goodwill maintenance on-the-spot to help immediately resolve a customer frustration with their vehicle. Maintenance must be consistent with GM recommendations contained in the customer’s owner’s manual, There is a $100 maximum for usage of the labor operation. When the customer takes advantage of this offer, the transaction must be submitted with the exact amount of the complimentary maintenance input into the Net/ Miscellaneous field. GM is not to be charged more than what is customary. • Incidental Non-Warranty Expense (Labor Op 0600015) – Compensate a customer who has incurred an incidental expense as a result of a warranty service event. Examples include hotel expenses, meal expenses, flowers, or other appropriate expenses to compensate the customer for inconvenience. This labor operation is NOT to be used for expenses eligible to be claimed on the warranty transaction line such as Towing, Rental, or Customer Reimbursement for emergency repairs. There is a $500 maximum for retail usage and the transaction should be submitted with the exact amount input into the Net/Customer Reimbursement field. Copies of Bulletin No.: 11-00-89-005X any applicable receipts must be attached to the transaction and retained in the vehicle history folder. • Vehicle Payment Expense (Labor Op 0600005) – Reimburse a monthly vehicle payment paid by a customer who has been without their vehicle for an extended period due to a warranty event. Use of this Goodwill Tool should be limited to extreme cases only and should not be offered when GM is providing alternate transportation under the GM Courtesy Transportation Program. When submitting a transaction with this labor operation, the Complaint/Cause/Correction fields must contain a detailed explanation, the exact dollar value of the monthly payment (including method used to determine or calculate the payment amount) and the check number issued to the customer as reimbursement. A copy of the check must be retained in the vehicle history folder. Enter the exact amount reimbursed to the customer in the Net/Customer Reimbursement field of the transaction. Vehicle Payment reimbursement is limited to: • 2021 and newer Chevrolet, Buick, GMC Models - Up to $1,000 • 2021 and newer Cadillac Models - Up to $1500 • Cadillac Moments Cadillac Dealers / Cadillac Customers Only (Labor Op 0600425) – Cadillac dealers may compensate a Cadillac customer who was dissatisfied or inconvenienced as a result of a warranty service event. There is a $500 maximum for retail usage and the transaction should be submitted with the exact amount input into the Net/Miscellaneous field. Consult with your Cadillac Service representative or the GlobalConnect Cadillac brand page resources for further guidance regarding use of this Goodwill Tool. Any amount above your dealer empowerment level listed for the above four labor operations will need to be pre-approved by GM through the Dealer Empowerment Portal Claim Pre-Approval process. These exceptions are for limited use only and must be supported by a strong business case. GM bulletins are intended for use by professional technicians, NOT a "do-it-yourselfer". They are written to inform these technicians of conditions that may occur on some vehicles, or to provide information that could assist in the proper service of a vehicle. Properly trained technicians have the equipment, tools, safety instructions, and know-how to do a job properly and safely. If a condition is described, DO NOT assume that the bulletin applies to your vehicle, or that your vehicle will have that condition. See your GM dealer for information on whether your vehicle may benefit from the information. WE SUPPORT VOLUNTARY TECHNICIAN CERTIFICATION