Warranty fraud seems to be a fact of life. If your business is like many electronics companies, you’ve had plenty of customers avoid service charges by having faulty products repaired at no cost without active warranties. You’ve had them obtain products for free by claiming, and sometimes re-selling, replacement parts/products without returning broken ones. So, it shouldn’t be a surprise that fraudulent warranty claims regularly cause businesses to lose about five percent of their annual revenue and account for up to 15% of their warranty costs.
Dynamic Duo: How Data & Visibility Prevent Warranty Fraud, Mitigate Losses
Candyce Plante, August 7, 2017