extended warranty programs for gator/utility vehicles · 2015-12-18 · powergard protection plan...

POWERGARD PROTECTION PLAN DEPT.

Deere & Company, One John Deere Place, Moline, IL 61265-8098 US & Canada HOTLINE 1-866-866-1212 FAX 309-749-0789

E-mail: [email protected]

Extended Warranty Programs for Gator/Utility Vehicles

Table of Contents

PPRROOGGRRAAMM IINNTTRROODDUUCCTTIIOONN

What is PowerGard Protection Plan? Why Market the PowerGard Programs? Why Sell the PowerGard Programs?

GGAATTOORR // UUTTIILLIITTYY VVEEHHIICCLLEE PPRROOGGRRAAMM Program Parameters Coverage Plans Available & Sample Contracts Purchasing Parameters Pricing (Dealer Base Costs and Protection Fees)

PPRROOGGRRAAMM AADDMMIINNIISSTTRRAATTIIOONN How to Market & Sell PowerGard Programs How to Process A PowerGard Contract PowerGard Certificate Cards for Customers How to Submit A PowerGard Claim Dealer Acknowledgement Form

1

PowerGard JD Commercial Equipment Manual DSEW088 (10 01 04) Program Introduction Promotional Tools

WWHHAATT IISS TTHHEE PPOOWWEERRGGAARRDD PPRROOTTEECCTTIIOONN PPLLAANN??

PowerGard is an extended warranty for John Deere Gators/Utility Vehicles, Commercial Mowers, and Golf & Turf Equipment that provides coverage for failures or breakdown due to faulty materials or original workmanship that occur beyond the John Deere Basic Warranty coverage.

PowerGard is not insurance and should never be represented as such.

Contracts can only be sold through:

Authorized John Deere dealerships

Direct Mail Programs approved by Deere & Company

Contracts are only available to your non-residential customers (in US) who purchase any of the eligible equipment under the program.

PowerGard Coverage starts upon expiration of the John Deere basic

warranty. The coverage forms available include:

Engine and Powertrain (Limited) (Specific covered components are listed.) o Available on most Gator Models, but not on TE or RSX Gators (RSX only in

Canada) Full Machine (Comprehensive) (Specific non-covered components are listed.)

o Available on ALL eligible Gators, Commercial Mowers and G&T products

Both coverage forms exclude high wear items, maintenance items, and attachments.

IMPORTANT: Contract requests must be submitted via the Purchase Contract link on the PowerGard Protection Home Page to be valid.

*Details on this are available in the Program Administration section.

PowerGard Protection is only available on equipment with working engine hour meters.

2


WWHHYY MMAARRKKEETT TTHHEE PPOOWWEERRGGAARRDD PPRROOGGRRAAMMSS??

In today’s competitive commercial equipment market, customers are demanding more warranty coverage, guaranteed or known total costs associated with equipment ownership, and quality parts and service support after the sale. The PowerGard Protection Plan extended warranty helps you compete in these areas of customer expectations in the following ways:

Total Cost of Ownership – PowerGard is a great way for your customers to

budget their total cost of ownership. With a one-time fee they can protect themselves from future repair bills for PowerGard covered components.

$0 Deductible – Your customers incur no deductible, which means no out of pocket

expenses on covered repairs when failures occur.

Flexible Coverage Terms to Fit Customer’s Needs – PowerGard offers

many time/hour options to meet the needs of your customers. To determine the time/hour options right for your customers, determine how long the customer plans to keep the equipment as well as the average annual operating hours they typically put on the machine.

Transferable Coverage with No Transfer Fees – When the covered unit is

sold, any remaining PowerGard coverage is transferred to the next owner with no transfer fees. The dealership only needs to enter a current owner delivery receipt to John Deere for proper record updating.

A $100 Transportation Allowance – PowerGard pays up to $100 for

transportation charges (Dec 1, 2014 and after) when the repair performed is covered under the plan during the PowerGard coverage period for all gator/utility vehicles, commercial mowing equipment, and Golf & Turf equipment.

Fast Electronic Claims Processing – Claims are submitted similar to basic

warranty claims. PowerGard reviews most claims within 1 business day of submission and are approved for electronic payment within 2 business days.

3


WWHHYY SSEELLLL TTHHEE PPOOWWEERRGGAARRDD PPRROOGGRRAAMMSS??

Increase Your Profit Margin on Each Unit Sold – Every time your

dealership sells a piece of eligible equipment, have the salesperson include the PowerGard Protection Fee (List) price. It helps protect your customer against future repair bills and increases your profit margin.

Get Ahead of Competitive Programs – PowerGard can put you ahead of

competitors who may or may not have extended warranty programs available for customers. The low cost of the additional protection offered by PowerGard and the additional peace of mind that comes with a longer warranty can be the difference in making the final sale.

Tie Customers to Your Dealership while Increasing Service Revenue

PowerGard allows your dealership to increase future service business from each customer who purchases a plan.

PowerGard contracts include the following benefits to you and your customer:

Only authorized John Deere dealers can service covered equipment under the Plan. PowerGard requires only Genuine John Deere parts to be used in all covered repairs. PowerGard pays full LIST on all covered parts under the program. Covered labor expenses are reimbursed based on published pricing guides and/or

dealership statistical averages.

Transfer All Risk with Extended Warranties to Deere & Company -

Avoid costs associated with dealership-backed extended warranties by selling the John Deere PowerGard Protection Plan contracts. PowerGard provides you profit margin potential with no risk.

Reduce Cost Sharing under Special Allowance Programs/Policies - Selling PowerGard reduces the need for special allowance payments made by your dealership or your customers. Customers who purchase contracts will not need special allowance considerations since coverage is already purchased on the equipment for a given length of time and operating hours.

1

PowerGard JD Commercial Equipment Manual DSEW088 (01 01) Golf & Turf Promotional Tools

PPOOWWEERRGGAARRDD PPRROOGGRRAAMM PPAARRAAMMEETTEERRSS NNEEWW GGAATTOORR // UUTTIILLIITTYY VVEEHHIICCLLEESS

Eligible Models for the Gator/Utility Vehicle program: Only new John Deere Gator/utility vehicles shown below are eligible for the PowerGard Protection Plan extended warranty program:

4 x 2 Gator HPX Series TX Series (Non-Turf) 4 x 2 Trail Gator 6X4 Diesel Gator TS/TH Series 6 x 4 Gator 6X4 Diesel Trail Gator **TE105 / TE145 (Electric) 6 x 4 Trail Gator TH 6X4 Diesel **RSX Gators (Canada only) CS / CX Series *XUV Series

* The XUV Series are priced separately (higher) effective June 1, 2012 for PPP. ** The RSX Gators (Canada only) and TE Gators (US & Canada) are only eligible for Comprehensive Coverage under PowerGard Protection.

PowerGard Protection Plan Coverage Forms – Gator / Utility Vehicles:

Engine and Powertrain (Limited) - (Covered components are specifically listed.)

Full Machine (Comprehensive) - (Only non-covered components are specifically listed.)

Both the Limited and Comprehensive Coverage Forms exclude all high wear, maintenance items, and attachments or after-market options as indicated below: Not Covered:

High wear & maintenance items not covered – Belts fuses filters seats

control cables light bulbs tires windshields

hoses lamps dry brake assemblies exhaust systems

fittings oil or other fluids batteries paint or decals

shock absorbers springs, struts bed liners PTO clutch

spark plugs propulsion clutch on gear transmissions

Parts or components covered under a separate Manufacturer’s Warranty – are not covered, including tires, batteries or replacement parts.

Attachments or Aftermarket options – are not covered.

(See pages 2-7 for sample Gator Limited and Comprehensive standard PPP contracts and additional exclusions). Note: RSX and TE Gators have their own unique Comprehensive coverage form and plan term options due to varying basic warranty terms. See the sample PPP contracts on the TE and RSX Gator contract links on the Gator Home page for details.

2


POWERGARD PROTECTION PLAN

John Deere Gator/Utility Vehicles – Engine & Powertrain (Limited) Coverage (Available for Non-Residential Customers Only)

IMPORTANT NOTICE TO PURCHASER

The PowerGard Protection Plan only applies to covered engine and powertrain components of Covered Equipment, which is specifically described in the Schedule Of Coverage below and is subject to the terms, conditions, and limitations set forth in the PowerGard Protection Plan. Throughout the PowerGard Protection Plan, the terms “you” and “your” refer to the purchaser of the PowerGard Protection Plan. The terms “we,” “us,” and “our” refer to John Deere*. (*With respect to purchasers in Canada, John Deere means John Deere Limited, 295 Hunter Road, P.O. Box 1000, Grimsby, Ontario, L3M 4H5. With respect to purchasers in the United States, except for the specific states identified below**, John Deere means John Deere Warranty Inc., One John Deere Place, Moline, Illinois 61265-8098.) **For purchasers in GA, MN, NC and NY, John Deere means Deere & Company, One John Deere Place, Moline, IL, 61265-8098. Read the PowerGard Protection Plan carefully. Your rights and remedies under the PowerGard Protection Plan are limited as indicated below. The Coverage Term selected below may be terminated prior to expiration under the provisions of Paragraph G. of the PowerGard Protection Plan. Where permitted by law, JOHN DEERE products carry no implied warranty of merchantability or fitness.

SCHEDULE OF COVERAGE

PURCHASER’S INFORMATION DEALERSHIP INFORMATION Name

Name

Address

Branch # Dealer #

Address

City, State, Zip or City, Province, Postal Code


COVERED EQUIPMENT INFORMATION

PLAN INFORMATION

Model #

Deductible $ 0

PowerGard Protection Fee $

PIN #

Delivery Date ________ /________ /________ Basic Warranty Start Date ________ / ________ / _______

COVERAGE SELECTED AND TERM

(Only the coverage indicated by “X” below applies to the Covered Equipment)

PowerGard Protection Plan – Gator/Utility Vehicles

Engine & Powertrain Coverage Term- (Limited)

18 total months/ 250 total hours


24 total months/300 total hours






36 total months/1200 total hours Coverage will begin upon expiration of the John Deere Basic Warranty and end the earlier of the total time (from the Basic Warranty Start Date indicated above) or total operating hours selected above. This has no effect on the John Deere Basic Warranty.

The standard John Deere Basic Warranty for Gator Utility Vehicles is 12 total months/1000 total hours.

________________________________________ _________________________________________ Customer Signature Date Authorized Signature Date

DSEW072 (12 01 15)

3


POWERGARD PROTECTION PLAN – Gator/Utility Vehicles – (Limited)

A. COVERAGE: Subject to the terms and conditions of this PowerGard Protection Plan, we will repair or replace, at our option, Covered Components (as defined below) of Covered Equipment described in the Schedule of Coverage that are defective in material or original workmanship. For the PowerGard Protection Plan to apply, the repair or replacement of covered components must be performed by an authorized John Deere dealer using genuine John Deere parts. Such repair or replacement will be made without charge to you except as described in paragraph I. DEDUCTIBLE.

The PowerGard Protection Plan is only available through John Deere dealerships. The PowerGard Protection Plan is not effective unless and until (1) a properly completed copy of this form is submitted to us either in paper or electronic format by the John Deere dealer, (2) the fee for the coverage has been paid, and (3) you receive written confirmation from John Deere.

B. COVERED COMPONENTS: The PowerGard Protection Plan only applies to covered engine and

powertrain components of Covered Equipment. Covered Components will include factory installed or genuine John Deere replacements listed below as well as components that perform a similar function:

1. Engine Components include cylinder block, cylinder head, rocker arm cover, oil pan, timing gear

cover, and all parts contained inside any one of these components. Covered engine components will also include the mechanically driven fuel pump, injection pump and injectors, carburetor, flywheel, recoil starter, water pump, and intake and exhaust manifolds attached to the cylinder head.

2. Powertrain Components include primary and secondary variable propulsion clutches, transaxle

housing, differential, rear axle shaft and housing, electric drive motor, drive motor controller, hydraulic pumps, hydraulic control valves, drive shaft, universal joints, hydrostatic transmission, charge pump, transfer case and any parts contained inside any one of these components.

C. COMPONENTS NOT COVERED: Covered engine and powertrain components shall not include:

1. Engine Components Not Covered include pipes, hoses and fittings, (such as but not limited to oil lines, injector pump lines, and air intake hoses and clamps), thermostat, engine oil filter, oil coolers, alternators, spark plugs, glow plugs, ignition coil, charging circuit components, fan or accessory drive belts, and accessory mounting brackets.

2. Powertrain Components Not Covered include drive belts, sprockets and chains not operating in an

oil bath, linkages, cables, wheels, tires, dry brake assemblies, PTO clutch, propulsion clutch on gear transmissions, hoses, fittings, electric motor brushes and components mounted to but not functionally part of the drivetrain, such as but not limited to mounting brackets, shock absorbers, shocks and springs.

D. TRANSPORTATION ALLOWANCE: We will pay for transportation charges assessed to you by the

servicing dealership, subject to a maximum of $100 per dealership repair visit, if these conditions are met:

1. The repair performed by the dealer is a covered repair during the PowerGard coverage period, and

2. At least one covered repair event exceeds the deductible as described in paragraph I. DEDUCTIBLE.

E. COVERAGE LIMITATIONS:

1. The following are not included in and not covered by the PowerGard Protection Plan unless required to be covered by law: (a) Overtime labor charged in excess of the dealer’s normal labor rate; (b) Charges for storage of the Covered Equipment; (c) Depreciation, damage or failure caused by normal wear, lack of reasonable and proper maintenance, failure to follow operating instructions, misuse, or lack of proper protection during storage; (d) Loss or damage due to theft, vandalism or riot, the elements, fire, explosion, chemicals or salt, or collision or other accidents; (e) Normal maintenance and replacement of maintenance items, wear items, or consumables; and (f) Any defect in a noncovered component or damage to or failure of a Covered Component caused by a defect in a noncovered component.

DSEW072 (12 01 15)

4


POWERGARD PROTECTION PLAN – Gator/Utility Vehicles – (Limited)

2. The following are not included in and are not covered by the PowerGard Protection Plan: (a) Failures covered under any other warranty, product improvement program or product recall, other service agreement, or insurance; (b) Failures occurring while Covered Equipment is being used for any illegal purpose; (c) Costs incurred for discretionary retrofitting of current design components on older Covered Equipment or reconditioning of Covered Equipment or its components; (d) Expenses associated with any repair required or provided for by any regulation or order of a court or regulatory agency, or by consent decree or settlement; (e) Damage to other property or injury to any person; (f) Any indirect or consequential damage or injuries, including but not limited to loss of crops or profits, rental charges for substitute equipment, or other loss of income, or loss of use; (g) Failure of Covered Equipment to meet any federal, state, provincial, or local emission requirements unless this failure is the result of the failure of a Covered Component; and (h) The cost of cleanup or damages for any liability resulting from the escape, release, or discharge of any pollutants or waste.

F. WHEN COVERAGE APPLIES: The PowerGard Protection Plan will apply during the Coverage Term indicated in the Schedule of Coverage for the coverage selected unless one of the events described in paragraph G. below occurs, in which case, plan coverage will terminate immediately.

G. TERMINATION OF COVERAGE: The PowerGard Protection Plan will terminate immediately when any of the following occur: (1) The time or engine hour coverage option indicated in the Schedule of Coverage has expired; (2) The Covered Equipment’s engine hour meter stops working or has been tampered with, or is otherwise rendered inaccurate or inoperative (we may waive this provision, in writing, upon repair or replacement of the engine hour meter if actual hours can be verified); (3) The Covered Equipment is modified or altered in ways not approved by us or not in accordance or compliance with John Deere factory specifications; (4) Service or repair, other than normal maintenance and/or replacement of service items, if performed by someone other than an authorized John Deere dealer or approved repair facility; or (5) The Covered Equipment is moved to a location outside the United States or Canada.

H. MAXIMUM RECOVERY: Our cumulative liability during the Coverage Term for covered repairs shall not exceed the manufacturer’s suggested list price of the Covered Equipment excluding any transportation charges, license fees, taxes, the cost of the PowerGard Protection Plan, the cost of options or attachments not covered by the PowerGard Protection Plan, and insurance premiums.

I. DEDUCTIBLE: For each covered repair event under the PowerGard Protection Plan, you must first pay the Deductible, indicated in the Schedule of Coverage for the parts and labor charges for that repair. Once a deductible has been paid for a covered repair event, subsequent work, performed under the PowerGard Protection Plan, required due to failure of the original repair, will not be subject to additional deductibles. A covered repair event will include all work required due to a single failure or breakdown.

J. MAINTENANCE OF COVERED EQUIPMENT AND RECORDS: You must properly maintain Covered Equipment and, at your expense, perform scheduled maintenance in accordance with the Operators Manual for the Covered Equipment. You must maintain records of all scheduled maintenance, repair, or service work completed and must present these records to us, upon our request, to verify compliance with this condition.

K. ASSIGNMENT: The PowerGard Protection Plan will apply only to the Covered Equipment indicated in the Schedule of Coverage of the PowerGard Protection Plan. If you sell the Covered Equipment to a new owner, any remaining coverage under the PowerGard Protection Plan will apply to the subsequent purchaser. You must request an authorized John Deere Dealer to forward a Current Owner Delivery Receipt to us to document such a transfer.

L. COSTS: The cost of the PowerGard Protection Plan must be fully paid at the time of purchase and refunds will not be made for any reason. If you sell the Covered Equipment prior to the expiration of the PowerGard Protection Plan, any remaining coverage, subject to Condition K. above, can be transferred to the new owner at no additional cost or transfer fees.

M. CHANGES: This PowerGard Protection Plan contains all of your rights and responsibilities for coverage to apply. No John Deere dealer or any other person may amend or change the terms, conditions, or limitations of this PowerGard Protection Plan in any way.

DSEW072 (12 01 15)

5


POWERGARD PROTECTION PLAN

John Deere Gator/Utility Vehicles – Comprehensive Coverage (Available for Non-residential Customers Only)


The PowerGard Protection Plan only applies to covered components of Covered Equipment, which is specifically described in the Schedule Of Coverage below and is subject to the terms, conditions, and limitations set forth in the PowerGard Protection Plan. Throughout the PowerGard Protection Plan, the terms “you” and “your” refer to the purchaser of the PowerGard Protection Plan. The terms “we,” “us,” and “our” refer to John Deere*. (*With respect to purchasers in Canada, John Deere means John Deere Limited, 295 Hunter Road, P.O. Box 1000, Grimsby, Ontario, L3M 4H5. With respect to purchasers in the United States, except for the specific states identified below**, John Deere means John Deere Warranty Inc., One John Deere Place, Moline, Illinois 61265-8098.) **For purchasers in GA, MN, NC and NY, John Deere means Deere & Company, One John Deere Place, Moline, IL, 61265-8098. Read the PowerGard Protection Plan carefully. Your rights and remedies under the PowerGard Protection Plan are limited as indicated below. The Coverage Term selected below may be terminated prior to expiration under the provisions of Paragraph G. of the PowerGard Protection Plan. Where permitted by law, JOHN DEERE products carry no implied warranty of merchantability or fitness.

SCHEDULE OF COVERAGE

PURCHASER’S INFORMATION DEALERSHIP INFORMATION Name

Name

Address

Branch # Dealer #

Address



COVERED EQUIPMENT INFORMATION

PLAN INFORMATION

Model #

Deductible $ 0

PowerGard Protection Fee $

PIN #

Delivery Date ________ /________ /________ Basic Warranty Start Date ________ / ________ / _______

COVERAGE SELECTED AND TERM

(Only the coverage indicated by “X” below applies to the Covered Equipment)

PowerGard Protection Plan – Gator/Utility Vehicles

Full Machine Coverage Term- (Comprehensive)










Coverage will begin upon expiration of the John Deere Basic Warranty and end the earlier of the total time (from the Delivery Date indicated above) or total operating hours selected above. This has no effect on the John Deere Basic Warranty.

The standard John Deere Basic Warranty for Gator Utility Vehicles is 12 total months/1000 total hours.

________________________________________ _________________________________________ Customer Signature Date Authorized Signature Date

DSEW073 (12 01 15)

6


POWERGARD PROTECTION PLAN – Gator/Utility Vehicles – (Comprehensive)

A. COVERAGE: Subject to the terms and conditions of this PowerGard Protection Plan, we will repair or

replace, at our option, Covered Components (as defined below) of Covered Equipment described in the Schedule of Coverage that are defective in material or original workmanship. For the PowerGard Protection Plan to apply, the repair or replacement of covered components must be performed by an authorized John Deere dealer using genuine John Deere parts. Such repair or replacement will be made without charge to you except as described in paragraph I. DEDUCTIBLE.

The PowerGard Protection Plan is only available through John Deere dealerships. The PowerGard Protection Plan is not effective unless and until (1) a properly completed copy of this form is submitted to us either in paper or electronic format by the John Deere dealer, (2) the fee for the coverage has been paid, and (3) you receive written confirmation from John Deere.

B. COVERED COMPONENTS: The PowerGard Protection Plan applies to all parts and components of the

Covered Equipment except those parts and components which are excluded below in Section C. C. COMPONENTS NOT COVERED: Covered Components shall not include: (1) High wear or maintenance

items such as but not limited to belts, control cables, hoses, fittings, fuses, spark plugs, light bulbs or lamps, oil or other fluids, filters, tires, dry brake assemblies, batteries, seats, windshields, exhaust systems, paint or decals, bed liners, shock absorbers, struts, springs, PTO or propulsion clutches; (2) Parts or components covered under a separate manufacturer’s warranty such as but not limited to tires, batteries, or replacement parts; and (3) Attachments or aftermarket options.

D. TRANSPORTATION ALLOWANCE: We will pay for transportation charges assessed to you by the

servicing dealership, subject to a maximum of $100 per dealership repair visit, if the following conditions are met:

1. The repair performed by the dealer is a covered repair during the PowerGard coverage period, and

2. At least one covered repair event exceeds the deductible as described in paragraph I. DEDUCTIBLE.

E. COVERAGE LIMITATIONS:

1. The following are not included in and not covered by the PowerGard Protection Plan unless required to be covered by law: (a) Overtime labor charged in excess of the dealer’s normal labor rate; (b) Charges for storage of the Covered Equipment; (c) Depreciation, damage or failure caused by normal wear, lack of reasonable and proper maintenance, failure to follow operating instructions, misuse, or lack of proper protection during storage; (d) Loss or damage due to theft, vandalism or riot, the elements, fire, explosion, chemicals or salt, or collision or other accidents; (e) Normal maintenance and replacement of maintenance items, wear items, or consumables; and (f) Any defect in a noncovered component or damage to or failure of a Covered Component caused by a defect in a noncovered component.

2. The following are not included in and are not covered by the PowerGard Protection Plan: (a) Failures covered under any other warranty, product improvement program or product recall, other service agreement, or insurance; (b) Failures occurring while Covered Equipment is being used for any illegal purpose; (c) Costs incurred for discretionary retrofitting of current design components on older Covered Equipment or reconditioning of Covered Equipment or its components; (d) Expenses associated with any repair required or provided for by any regulation or order of a court or regulatory agency, or by consent decree or settlement; (e) Damage to other property or injury to any person; (f) Any indirect or consequential damage or injuries, including but not limited to loss of crops or profits, rental charges for substitute equipment, or other loss of income, or loss of use; (g) Failure of Covered Equipment to meet any federal, state, provincial, or local emission requirements unless this failure is the result of the failure of a Covered Component; and (h) The cost of cleanup or damages for any liability resulting from the escape, release, or discharge of any pollutants or waste.

DSEW073 (12 01 15)

7


POWERGARD PROTECTION PLAN – Gator/Utility Vehicles – (Comprehensive)

F. WHEN COVERAGE APPLIES: The PowerGard Protection Plan will apply during the Coverage Term indicated in the Schedule of Coverage for the coverage selected unless one of the events described in paragraph G. below occurs, in which case, plan coverage will terminate immediately.

G. TERMINATION OF COVERAGE: The PowerGard Protection Plan will terminate immediately when any of the following occur: (1) The time or engine hour coverage option indicated in the Schedule of Coverage has expired; (2) The Covered Equipment’s engine hour meter stops working or has been tampered with, or is otherwise rendered inaccurate or inoperative (we may waive this provision, in writing, upon repair or replacement of the engine hour meter if actual hours can be verified); (3) The Covered Equipment is modified or altered in ways not approved by us or not in accordance or compliance with John Deere factory specifications; (4) Service or repair, other than normal maintenance and/or replacement of service items, if performed by someone other than an authorized John Deere dealer or approved repair facility; or (5) The Covered Equipment is moved to a location outside the United States or Canada.

H. MAXIMUM RECOVERY: Our cumulative liability during the Coverage Term for covered repairs shall not exceed the manufacturer’s suggested list price of the Covered Equipment excluding any transportation charges, license fees, taxes, the cost of the PowerGard Protection Plan, the cost of options or attachments not covered by the PowerGard Protection Plan, and insurance premiums.

I. DEDUCTIBLE: For each covered repair event under the PowerGard Protection Plan, you must first pay the Deductible, indicated in the Schedule of Coverage for the parts and labor charges for that repair. Once a deductible has been paid for a covered repair event, subsequent work, performed under the PowerGard Protection Plan, required due to failure of the original repair, will not be subject to additional deductibles. A covered repair event will include all work required due to a single failure or breakdown.

J. MAINTENANCE OF COVERED EQUIPMENT AND RECORDS: You must properly maintain Covered Equipment and, at your expense, perform scheduled maintenance in accordance with the Operators Manual for the Covered Equipment. You must maintain records of all scheduled maintenance, repair, or service work completed and must present these records to us, upon our request, to verify compliance with this condition.

K. ASSIGNMENT: The PowerGard Protection Plan will apply only to the Covered Equipment indicated in the Schedule of Coverage of the PowerGard Protection Plan. If you sell the Covered Equipment to a new owner, any remaining coverage under the PowerGard Protection Plan will apply to the subsequent purchaser. You must request an authorized John Deere Dealer to forward a Current Owner Delivery Receipt to us to document such a transfer.

L. COSTS: The cost of the PowerGard Protection Plan must be fully paid at the time of purchase and refunds will not be made for any reason. If you sell the Covered Equipment prior to the expiration of the PowerGard Protection Plan, any remaining coverage, subject to Condition K. above, can be transferred to the new owner at no additional cost or transfer fees.

M. CHANGES: This PowerGard Protection Plan contains all of your rights and responsibilities for coverage to apply. No John Deere dealer or any other person may amend or change the terms, conditions, or limitations of this PowerGard Protection Plan in any way.

CUSTOMER COPY

DSEW073 (12 01 15)

8


PPOOWWEERRGGAARRDD PPUURRCCHHAASSIINNGG PPAARRAAMMEETTEERRSS

NNEEWW GGAATTOORR // UUTTIILLIITTYY VVEEHHIICCLLEESS

John Deere Basic Warranty:

Most Gator/utility vehicles have a standard basic warranty of 12 months / 1000 hours. Note: Pro Gators and TX Series Gators have a 24 month basic warranty, and are not eligible for PowerGard Protection at this time. TE Gators (electric) have a 24 month/1500 hour basic warranty, thus have their own unique contract (Comprehensive Only), and plan term options and pricing under PPP. RSX Gators (available in Canada only) have a 12 month basic warranty, thus have their own unique contract (Comprehensive Only), eligibility period (see below), plan term options & pricing under PPP.

PowerGard Protection Plan:

The PowerGard Protection Plan is available for new John Deere Gator/Utility vehicles. To be eligible for PowerGard Protection Plan contracts, the Gator/Utility vehicle must be within the first year of the John Deere Basic Warranty and have less than 300 total hours.

PowerGard Purchasing Eligibility Chart – Gator/Utility Vehicles

“Grace Period”

“Delayed Purchase Period”

2nd Year

Lowest Price Possible

50% Surcharge Applies

PowerGard Not

Available

“Grace Period”: PowerGard Protection Plan can be purchased any time from the Deere Basic Warranty start date and up to 95 days or 100 hours to get the lowest price.

“Delayed Purchase Period”: PowerGard Protection Plan can be purchased after 95 days or 100 hours and up to 12 months or 300 hours with a 50% surcharge applied to the pricing.

Gator UV - Time/Hour Options Available Options listed include the underlying John Deere Basic warranty for Gator/Utility Vehicles.

Total Months 18 18 24 24 24 30 30 36 36

Total Hours 250 500 300 600 800 500 1000 600 1200

Options listed include the underlying John Deere Basic warranty for TE Gators.

Total Months 36 36 48 48

Total Hours 1000 1500 1000 1500

RSX Gators (Canada) have plan term options of 24 total months/600 hours (only) - Comprehensive

Basic Warranty Start Date

95 Days / 100 Hours *12 Months / 300 Hours

9


PPOOWWEERRGGAARRDD PPRRIICCIINNGG –– GGAATTOORRSS // UUTTIILLIITTYY VVEEHHIICCLLEESS

Pricing for all options and coverage forms (Limited – Engine and Powertrain, and Comprehensive – Full Machine) are listed in the tables below. All coverage terms have a $0 customer deductible.

Engine & Powertrain (Limited) Coverage – Dealer Base Costs-US$

Total Months* Total Hours*

18 250

18 500

24 300

24 600

24 800

30 500

30 1000

36 600

36 1200

Models

Non-XUV Series: 4X2, 6X4 Gas, CS, CX, HPX series TS/TH Series, TH 6X4 Diesel, 6X4 Diesel TX Series (non-Turf)

81

157

104

195

341

173

487

231

751

Models

All XUV Series

122

237

156

292

512

258

731

347

1,127

If coverage is purchased during the Delayed Purchase Period, multiply applicable rate above by 1.5. The Delayed Purchase Period is beyond the first 95 days or 100 hours of use in basic warranty. *All coverage terms (shown above) include the John Deere Basic Warranty of 12 months / 1000 hours.

Prices effective: 08/15/15

10



All coverage terms have a $0 customer deductible.

Engine & Powertrain (Limited) Coverage – Protection Fee (LIST)-US$


18 250

18 500

24 300

24 600

24 800

30 500

30 1000

36 600

36 1200

Models

Non-XUV Series: 4X2, 6X4 Gas, CS, CX, HPX series, TS/TH Series, TH 6X4 Diesel, 6X4 Diesel, TX Series (non-Turf)

101

196

130

244

426

216

609

289

939

Models

All XUV Series

153

296

195

365

640

323

914

434

1,409



11




Full Machine (Comprehensive) Coverage – Dealer Base Costs –US$


18 250

18 500

24 300

24 600

24 800

30 500

30 1000

36 600

36 1200

Models

Non-XUV Series: 4X2, 6X4 Gas, CS, CX, HPX Series, TS/TH Series, TH 6X4 Diesel, 6X4 Diesel, TX Series (non-Turf)

106

221

137

263

475

243

686

326

1,056

Models

All XUV Series

160

331

206

393

712

363

1,029

490

1,585


36 1000

36 1500

48 1000

48 1500

Models

Electric Gators T105E / T145E

955

1,433

1,146

1,720


24 600

Models

RSX Gators - Canada

850i / 860i

899



12




Full Machine (Comprehensive) Coverage – Protection Fee (LIST)-US$


18 250

18 500

24 300

24 600

24 800

30 500

30 1000

36 600

36 1200

Models

Non-XUV Series: 4X2, 6X4 Gas, CS, CX, HPX Series, TS/TH Series, TH 6X4 Diesel, 6X4 Diesel, TX Series (non-Turf)

133

276

171

329

594

304

858

408

1,320

Models

All XUV Series

200

414

258

491

890

454

1,286

613

1,981


36 1000

36 1500

48 1000

48 1500

Models

Electric Gators T105E / T145E

1,194

1,791

1,433

2,150


24 600

Models

RSX Gators - Canada

850i / 860i

1,124



1

PowerGard JD Commercial Equipment Manual DSEW088 (10 01 04) Program Administration Promotional Tools

HHOOWW TTOO MMAARRKKEETT PPOOWWEERRGGAARRDD PPRROOGGRRAAMMSS

Offer Up Front. Always add PowerGard into the deal. Your chances of selling

a contract are much greater at the time of the sale. It also provides the customer with the lowest possible price.

Include Costs in Customer’s Payments. Whenever possible, the final

price should be quoted including PowerGard costs. It is more difficult to sell additional products after the customer has agreed to certain payments.

Display Costs To Show Affordability. When presenting the cost of the

Protection Plan, break down the cost to a measure the customer can best relate. (Example: A 24 months/600 hour Comprehensive PowerGard contract on a new 6x4 Diesel Gator is $263 US(LIST).) So for an extra full 12 months of protection and out to 600 total hours, the cost is only $263 to cover the entire unit.

Use Visual Aids in Your Sales Process. Since you are offering an

intangible product, it is important to use the brochures, Proposal Documents and quotes from printed pages or the PowerGard web site located through Pathways. Failure to use visual aids can reduce sales by as much as 50%.

Indicate if the plan was Accepted or Rejected on the Purchase Order. Make sure to check either the “yes” or “no” box on the customer’s

purchase order. This assures that PowerGard Protection Plan will get offered at every sale, plus, you will have documentation that the customer was presented with the product and made a choice.

Utilize the PowerGard Protection Plan Rejection Form. If a customer

declines to purchase the plan, use the Rejection Form. This assures your dealership that you will not absorb repair costs on equipment that were not sold with a contract. (See the following page. Use it to make copies.)

Paid by PowerGard Indicator. For customers who have purchased

PowerGard fill out repair orders showing the work that was completed and list the associated price for each repair. Then, write or stamp “PAID by PowerGard” on it so they can SEE that their purchase was a good decision. You could also use these types of repair orders to show future customers the value of PowerGard.

2


PPOOWWEERRGGAARRDD PPRROOTTEECCTTIIOONN PPLLAANN CCUUSSTTOOMMEERR RREEJJEECCTTIIOONN FFOORRMM

Customer Name: ________________________________________________________________ Customer Address:_______________________________________________________________ Equipment Model: __________________________ Pin#________________________________ Date of Equipment Purchase: ___/___/___ Date PowerGard Rejected: ___/___/___ I have been offered the coverage options available through the PowerGard Protection Plan on the equipment listed above. I understand the general terms and conditions of the protection offered in the PowerGard Protection Plan, and have chosen not to purchase any extension options beyond the protection provided by the John Deere basic warranty. With my signature below, I waive any possible rights or claims on warranty related repairs or items once my equipment (listed above) is beyond the time or operating hours provided by the original John Deere basic warranty. ___________________________________ ____________________________________ Customer Signature Dealership Representative Signature

3


HHOOWW TTOO PPRROOCCEESSSS AA PPOOWWEERRGGAARRDD CCOONNTTRRAACCTT

All PowerGard Protection Plan contracts must be entered on John Deere Pathways when they are sold to be valid. Verbal quotes and handwritten schedules of coverage will not be honored unless entered on Pathways within program parameters.

Any contract, which is not entered on Pathways, will be the selling dealer’s responsibility.

To purchase a PowerGard Protection Plan contract, go to the SALES or SERVICE section of Pathways, then under “Marketing” to find the PowerGard Home Page. Perform the following steps:

Select the Purchase Contract link on the PowerGard Protection Home Page.

Enter the PIN number of the eligible machine.

Enter information and answer basic questions on customer, dealership number hour-meter reading, contract purchase date, etc.

Select the eligible time/hour option and plan desired and simply purchase online.

The screen will then show all of the detailed information on the customer, dealership, PowerGard Protection Plan terms chosen and the dealer base cost (reference number). Check the information on the screen carefully. The question, “Do you wish to purchase this contract?” will appear on the bottom, which will require you to answer yes with a “Y” or no with an “N”.

Adobe Acrobat opens, there is a print icon on the toolbar to print a copy of the schedule of coverage purchased. Close (X) out at the right hand corner of the document. You should receive “Purchase Was Successful”. OK to complete or close to purchase.

Remember any contract, which is not submitted via the Purchase Contract link, is not a valid contract with John Deere and will be the dealer’s responsibility for future covered repairs under the plan.

If you need assistance, please contact the PowerGard Service Processing Center at 1-866-866-1212, Options 1-5

4


PPOOWWEERRGGAARRDD CCEERRTTIIFFIICCAATTEE CCAARRDDSS

The certificate card below will be issued to the customer, along with the PowerGard Protection Plan terms, within approximately 30 days of contract processing.

[ Front of card ]

[ Back of card ]

PowerGard Protection Plan Certificate Machine Data Protection Plan Information

Model

PIN Delivery Date Deductible End Date End Hours Protection Plan Purchased

The John Deere PowerGard Protection Plan is an extended warranty on select covered components providing reimbursement for parts and labor (less any applicable deductible) for failures or breakdowns that occur beyond the John Deere Basic Warranty on John Deere equipment.

Selling Dealer Name and Phone Number:

Customer Information: Important Notices:

All deductibles are applied per covered work order. [For Tractors Only]

JD Value Lease ____ Yes ____ No

Commercial Scraper Applications ____ Yes ____ No

See the reverse side of this certificate for more details, and reference the actual PowerGard Protection contract for all terms, conditions and limitations.


The PowerGard Protection Plan only applies to covered components of Covered Equipment, which is specifically described in the Schedule Of Coverage and is subject to the terms, conditions, and limitations set forth in the PowerGard Protection Plan. Throughout the PowerGard Protection Plan, the terms “you” and “your” refer to the purchaser of the PowerGard Protection Plan. The terms “we,” “us,” and “our” refer to John Deere*. (* With respect to purchasers in Canada, John Deere means John Deere Limited, 295 Hunter Road, P .O. Box 1000, Grimsby, Ontario, L3M 4H5. With respect to purchasers in the United States, except for the specific states identified below**, John Deere means John Deere Warranty Inc, One John Deere Place, Moline, Illinois, 61265-8098.) Read the PowerGard Protection Plan carefully. Your rights and remedies under the PowerGard Protection Plan are limited as indicated below. The coverage term selected below may be terminated prior to expiration under the provisions of Paragraph F. of the PowerGard Protection Plan. Where permitted by law, JOHN DEERE products carry no implied warranty of merchantability or fitness. The PowerGard Protection Plan is not insurance. ** For purchasers in Georgia, Minnesota, New York and North Carolina, John Deere means Deere & Company, One John Deere Place, Moline, Illinois, 61265-8098. This PowerGard Certificate Card serves as your proof of protection for the equipment scheduled on the reverse side. All coverage, terms, and conditions applicable to the covered equipment and components are determined by the actual PowerGard Protection Plan agreement. All repair work covered by the PowerGard Protection Plan must be performed by an authorized John Deere dealership in order for proper coverage determination and reimbursement under this protection plan. PowerGard Protection is transferable to all subsequent owners. All questions and inquiries should be directed to an authorized John Deere dealership, or call toll free 1-866-993-3373.

5


HHOOWW TTOO SSUUBBMMIITT AA PPOOWWEERRGGAARRDD CCLLAAIIMM

PowerGard coverage begins upon the expiration of the John Deere Basic Warranty and ends upon reaching the predetermined time or hour limitations chosen, whichever occurs first. Any authorized John Deere dealer can perform repairs and submit claims under PowerGard. Follow these steps to submit a PowerGard claim:

1. Gather Information For Gator/Utility vehicles, commercial mowing equipment and Golf & Turf equipment, there is a $0 deductible, so separate work orders are not required when multiple failures occur.

2. Submit Claims All PowerGard claims for repairs must be electronically submitted in the JD Warranty System the same as a normal basic warranty claim, and should be submitted within 15 days of failure. Refer to the PowerGard contract for complete terms and details of the plan.

Requests for delay in submitting claims will only be allowed in situations where required repair parts are on backorder (or other similar circumstances).

The “PowerGard Protection Claim Extension” request form must be submitted to the PowerGard Service Processing center for approval in these submission delays.

3. Processing of Claims All claims are reviewed within 1 business day of submission and most are settled within 2 business days. (In some cases it may take longer than 2 business days to settle some claims, due to external factors, or availability of information.)

Claims Phone Number 866-866-1212

4. Reimbursement Once the claim is approved, the credit issued to the dealer electronically will be

the approved amount less any applicable deductible.

Dealers will be credited for parts costs at John Deere’s list price.

Labor will be reimbursed at their retail labor rate times the reasonable number of hours established for the repair. The maximum cumulative reimbursement on any Covered Equipment shall not exceed 100% of the manufacturer’s suggested list price of the covered equipment excluding any license fees, taxes, and insurance premiums. This maximum applies per PowerGard contract purchased.

A maximum of $100 is allowable for transportation reimbursement per covered repair event and must be requested by the servicing dealership. This must be requested by the dealer on all covered claims under “other credits” for reimbursement.

Note: ALL PPP Contracts written after 9/1/07 WILL cover diagnostic time.

If any outside labor and/or materials are used in the completion of a qualified repair, a description of the charges, such as work performed, supplier, and cost incurred must be typed in the Other Credit field of the claim. Reimbursement for outside labor and materials will be at the actual cost figures.

6


PPOOWWEERRGGAARRDD PPRROOTTEECCTTIIOONN PPLLAANN

DDEEAALLEERR AACCKKNNOOWWLLEEDDGGEEMMEENNTT

Fax: 309-749-0789

Marketing Unit #_______________________ Dealer #___________________________ (if more than one, list below) I, __________________________________________ of ____________________________ (Authorized dealer or representative) (Dealership name)

have read the instructions, overviews, terms and conditions of both the PowerGard Protection

Plan contract and the PowerGard Protection Plan Administration Manual, and fully understand

the dealership duties and responsibilities of this program. I also understand that should my

dealership participate in this program and fail to abide by the rules and guidelines pertaining to

the PowerGard Protection Plan as set forth in this and any other administrative manual, this

program can be terminated and made unavailable to my dealership (including those listed below),

by Deere & Company.

Signature:____________________________________ Date:___________________________

_______________________________________________________#_____________________ (Dealership name and dealership number) _______________________________________________________ #_____________________ (Dealership name and dealership number) _______________________________________________________ #_____________________ (Dealership name and dealership number) _______________________________________________________ #_____________________ (Dealership name and dealership number) _______________________________________________________ #_____________________ (Dealership name and dealership number) _______________________________________________________ #_____________________ (Dealership name and dealership number)