Warranty - Critical Parts Freight Reimbursement: Overview

90toyota06
Date: 09/28/90 No: 90-50
SUBJECT: CRITICAL WARRANTY PARTS FREIGHT REIMBURSEMENT PROGRAM


Toyota developed the Critical Warranty Parts Freight Reimbursement Program to aide dealers in enhancing customer satisfaction by minimizing customer delay due to unavailability of required parts for warranty repairs. TMS Warranty would like to remind dealers of the following guidelines for submission of warranty claims for reimbursement of critical freight charges incurred under the program:

^ Only critical freight charges for parts not available in the dealership to make the warranty repair are considered critical freight charges for the purpose of the program. Do NOT include warranty parts return freight charges.

^ Reimbursement for critical freight and the related warranty repairs must be requested on the same warranty claim. The critical freight amount should be included in the sublet using sublet type "FR".

^ Dealers are required to file and retain the freight bill along with the warranty repair order for 5 years. Failure to maintain proper documentation will result in a debit of the corresponding critical freight amount. Document retention requirements are explained in the Policy and Procedures Manual.

^ Dealer reimbursement is based on actual critical freight charges that apply only to warranty related repairs. In response to questions regarding calculation of the critical freight amount for each claim, examples (Attachments A and B) have been provided to aid in calculation of critical freight amounts under various conditions. NOTE: TMS recognizes that some parts will be over or under charged depending on the weight of the parts, but in the long run, these costs will balance out.

NOTE: Do not confuse Critical Parts Freight with Parts Return Freight. For information on the reimbursement of freight charges incurred under the Warranty Parts Return Program please refer to Warranty Bulletin 90-51.

Should you have any question please contact the Dealer "800" Warranty Assistance Line.