Maximum Service Protection (MSP) Program Overview Module 1 v.1 – May 2019

Agenda Program Overview Introduction to MSP Why is Extended Protection Important? Plan Highlights   Program Benefits Dealership Benefits Customer Benefits Processes Declaration Page Completion Cancellations and Transfers Resource Information Program Marketing Materials Resources Contact Information Questions?

Program Overview

Introduction to MSP MSP covers a new or pre-owned vehicle in the event of mechanical breakdown   The program is marketed by MDA Services Ltd. and administered and underwritten by American Bankers Insurance Company of Florida Two plan options available: Powertrain Plan: Coverage for three essential mechanical parts Maximum Plan: Bumper to Bumper coverage Important Note: Although the Maximum Plan is marketed as “Bumper to Bumper” it’s important to understand the items that are excluded under the policy. Please refer to either the MSP Policy Booklet or section 1.5 in the MSP Operations Manual for detailed exclusions for both the Maximum and Powertrain Plans Road side assistance benefits included with the Maximum Plan and most Powertrain Plans If selected & paid for at time of enrollment, the Disappearing Deductible option waives the standard $100 deductible when the repair is performed at the selling dealership Refer to the MSP Operations Manual (pages 3-6) for further details regarding coverage.   Exclusions outlined on: Pages 10-11

Why is Extended Protection Important? When a mechanical breakdown occurs, the cost for repairs or replacement add up: 2010 2013 2016 2021 Engine $3,316 $5,215 $6,186 ? Transmission $2,981 $3,677 $4,634 Antilock Brake System $1,505 $2,368 $2,828 Air Conditioning $1,463 $1,600 $1,841 Steering Gear $1,219 $1,670 $1,767 Starter $590 $647 $683 Fuel Pump $927 $997 $1,857 MSP is designed to cover unexpected repair/replacement costs and protects against rapidly rising repair bills.

Plan Highlights Covered Items Maximum Plan Powertrain Engine Transmission Drive Axle Key Fob & Remote Engine Cooling Brake Suspension Fuel System Steering Electrical Ignition/Charging Audio Centre Air Conditioning Plan Coverages Powertrain Plan covers: Engine Assembly, Transmission Assembly and Drive Axle Assembly Includes Key Fob & Remote protection on terms 12 months or greater Maximum Plan covers: Powertrain coverage and all components other than those listed under exclusions Customer Assistance Plan Roadside assistance benefits on terms 12 months or greater Available to the customer 24/7 Please refer to the MSP Operations Manual specifically to the pages/topics outlined below:   MSP Operations Manual Pages: Plan Coverages: 4 Customer Assistance Plan: 5-6 Exclusions: 10-11

Plan Highlights Term Options New Vehicles: Terms range from 3 to 7 years and 70,000 kms to 175,000 kms (Term/kilometre eligibility determined by existing kilometres) Pre-Owned Vehicles: Terms range from 1 to 5 years and 10,000 kms to 100,000 kms Vehicle Eligibility New or Pre-Owned vehicles up to 10 model years old from the current model year   Retail Pricing Dealer net cost is driven by the vehicle class, starting odometer, vehicle make, plan chosen (Maximum or Powertrain), new vs pre-owned and term selection Customer retail price set by dealer – rate calculator offers profit margins from $0 - $2500 Please refer to the MSP Operations Manual specifically to the pages/topics outlined below: Term Options: 7 Vehicle Eligibility: 8 Rates: 12

Program Benefits

Dealership Benefits Provides additional revenue stream in the business office Online rate calculator with flexible profit margins Only new or remanufactured parts are installed for an authorized repair MSP pays the service department full retail door rate Approved repairs paid via credit card Repairs are completed by selling dealer to increase customer loyalty

Customer Benefits Helps alleviate the financial strain of rapidly rising vehicle repair costs Exclusionary policy Provides longer and more comprehensive coverage than the manufacturer’s warranty Budget protection: easier than paying a large repair bill 30-day money back guarantee Coverage starts on the day the customer purchases the MSP policy and not retroactively to the in-service date Customer Assistance Plan is available 24 hours a day The MSP program only uses new or remanufactured parts for repairs Covers mechanical failure – even if the part experiences multiple failures If a customer moves or travels, MSP covers repairs in Canada or the continental United States Repair facilities are reimbursed through streamlined claims settlement Transferable

Processes 11

Declaration Page Completion All information must be accurately filled out prior to customer signing off If information is missing or incomplete, the administrator will send the form back to dealership to make corrections The image outlines requirements for specific fields that require updates   Red – Requires both customer and dealership initials on updates made Yellow – Requires dealership initials only on updates made Refer to section 2.3 (page 17) within MSP Operations Manual. Once section 2.3 is reviewed, please skip ahead in the manual to pages 29 & 30 to review the process for enrollment accuracy and rejected contracts.

Cancellations and Transfers Cancellations and Refunds Cancel with full refund within 30 days (with no claims) With claims - The refund will be calculated pro-rata, less any claims paid and a cancellation fee of $75.00 charged to the customer Pro-rated refund if cancelled after 30 days, less any claims paid and cancellation fee of $75.00   Transfers Fully transferable to the next private owner - $75.00 transfer fee will apply Please refer to pages 21 through 24 of the MSP Operations Manual for more details on the cancellation policy and how to fill out cancel form. More details on transfer process is outlined on page 25.

Resource Information 14

Program Marketing Materials Sample MSP Brochure Sample MSP Countermat Sample forms and form codes can be found in the appendix section of the MSP Operations Manual (pages 38-46) To re-order brochures, please contact your MDA Services Ltd. District Manager

Resources MSP Operations Manual A comprehensive document providing detailed coverage information for the MSP product as well as the associated administrative processes MDA Services Ltd. Website www.mdaservicesltd.com - key documents including: Rate Calculator Forms  Cancellation, Remittance, Transfer, Waiver MDA District Manager Your assigned MDA District Manager is available to answer your questions, provide access to the MDA website and assist with certain DMS concerns

Contact Information MDA Services Ltd. 1-800-661-6926 M-F 8:00am-4:30pm MT American Bankers Insurance Company of Florida 1-888-266-4010 M-F 6:00am – 6:00pm MT   Refer to page 37 of the MSP Operations Manual for further contact information details

Questions?