Arizona Warranty Reimbursement
Arizona Dealers: Your State Law Guarantees Higher Warranty Rates
Ariz. Rev. Stat. § 28-4460 · 12-17% typical uplift
Arizona dealers can still claim higher warranty reimbursement rates. Let us show you how.
Arizona Warranty Reimbursement Law
Arizona has dealer protection statutes that include provisions for warranty reimbursement rate adjustments.
Ariz. Rev. Stat. § 28-4460
State Tier
standard
Submission Deadline
No specific statutory deadline
OEM Response Window
Varies by manufacturer
What This Means for Your Dealership
Arizona's Motor Vehicle Dealer Act includes protections for dealers seeking fair warranty reimbursement. The law establishes that manufacturers must deal fairly with their franchised dealers, which includes adequate compensation for warranty parts and labor.
Arizona's growing dealer market and competitive landscape make warranty reimbursement optimization essential. If your dealership is performing warranty work at rates below your retail customer-pay rates, you're leaving money on the table that Arizona law says should be yours.
Key Provisions
- Motor Vehicle Dealers Advisory Board oversees franchise practices
- Manufacturers must fairly compensate dealers for warranty work
- Dealers protected from retaliatory actions when seeking rate adjustments
- State law prohibits unfair practices in manufacturer-dealer relationships
What's Excluded from Calculations
The following repair types and transactions are typically excluded when calculating your retail warranty reimbursement rate:
- Goodwill and policy repairs
- Internal and employee vehicle repairs
- Wholesale parts transactions
- Manufacturer recall campaigns
Full Statute Text
Ariz. Rev. Stat. § 28-4460 — Arizona Warranty Reimbursement Law
Source: Arizona State Legislature — This text is provided for informational purposes. Always consult the official state legislature website for the most current version.
Example: How Much Could You Recover?
A typical Arizona dealership with 200 warranty ROs per month at $240 average generates $576,000 in annual warranty revenue. A 12-17% uplift means $69,000-$98,000 in additional annual revenue. For a multi-rooftop operation, multiply accordingly.
Pro Tips for Arizona Dealers
Arizona's competitive market means your retail rates are well-documented — use this to your advantage in submissions
Keep detailed records of customer-pay ROs separate from warranty work to clearly demonstrate the rate gap
The Arizona Motor Vehicle Dealers Advisory Board can be a resource if you encounter manufacturer pushback
Arizona Warranty Reimbursement FAQ
What Arizona law covers warranty reimbursement?
Arizona's Motor Vehicle Dealer Act (A.R.S. § 28-4460 et seq.) governs manufacturer-dealer relationships, including warranty reimbursement obligations.
How much can Arizona dealers expect in uplift?
Arizona dealers typically see 12-17% increases in warranty reimbursement rates, translating to $69,000-$98,000 annually for a mid-size dealership.
Can my manufacturer retaliate if I file for a rate increase?
Arizona law prohibits retaliatory actions by manufacturers against dealers exercising their legal rights. Filing for a rate increase is a protected activity.
Estimate Your Annual Uplift
See what your dealership could be earning in additional warranty reimbursement.
Estimated Annual Uplift
Arizona is a standard-tier state for warranty reimbursement. Learn more →
Nearby & Similar States
Frequently Asked Questions
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