December 2022 Edition

A Holiday Message From Kristen Gruber

Season’s Greetings!

As we wrap up another year, I'd like to thank you for the privilege of serving you and your business in 2022.

Since our company’s founding, our number one goal has been to deliver superior client experiences every single time. It's our North Star, and absolutely integral to who we are as a company. This year, next year, and all the years thereafter, you have my personal assurance that iA American will always be the gold standard for customer service in our industry.

Thank you, again! Happy Holidays and Happy New Year to you all!

President of iA American Warranty Group

Please note: Our offices will be closed on Monday, December 26th. We will resume normal business hours on Tuesday, December 27th.

Please Click Below to Enjoy a Holiday Message From Rob Humble and John Lutman!

iA American FTC Safeguards Rule Update

The deadline for companies to comply with the amendments to the FTC's Safeguards Rule was originally December 9. In mid-November, the FTC announced an extension of the deadline to June 9, 2023.

With this in mind, we wanted to provide you with an update on our approach to ensure compliance with the Safeguards Rule. Our phased approach includes:

1. We encourage you to obtain a signed iA Safeguards Rule Service Provider Agreement and Safeguards Rule Certification letter at this link. Any signed Agreements and Safeguards Rule Certification letters remain valid. You may continue to access them at this link.

2. Move forward with Multi-Factor Authentication (MFA) in January 2023:

Okta, our trusted third-party provider of Multi-Factor Authentication (MFA) and the world’s #1 identity platform, provides the benefits of enhanced security and a better user experience, especially for those clients using multiple applications.
MFA registration emails will be sent in January. While the original plan was to send registration emails in December, this approach will be less disruptive to the holiday season and the important selling period from now through the beginning of the year.

3. Require email encryption of Personally Identifiable Information (PII) early next year:

Given the postponed deadline, we will provide more information regarding email encryption in early 2023 – well ahead of the June 2023 compliance requirement. Based on feedback, we believe this approach will better serve our clients by minimizing disruption during year-end.
As a reminder, the FTC recently revised its standards for safeguarding customer PII and what constitutes PII. As part of PII, the new Safeguards Rule extends protection to certain information otherwise viewed as less sensitive information such as name, address, or email address when that information indicates a customer relationship to a financial institution.

4. Required encryption for data at rest and all other requirements of the FTC Safeguards Rule are already in place.

Please watch for the Okta registration emails in January. In the meantime, please contact your iA American Sales Representative with additional questions.  

For information regarding the Safeguards Rule from NADA, click here.

Save the Date! The iA American LIVE! Agent Conference is Coming to Fort Lauderdale in 2023!

When: March 8-10, 2023. Where: The luxurious Four Seasons Fort Lauderdale Hotel. Complete details will be shared very soon. In the meantime, please save the date on your calendar for this very important event!

Please Tell Us About the Topics YOU Want to Hear About!

Please complete this very short survey and tell us which topics you would like to see included in our next iA American LIVE! agenda. Thank you!

Global Chip Shortage Finally Coming to an End

By Melinda O'Connell, Senior Content Editor

Experts are predicting that after almost three years, the end of the chip shortage is finally in sight. In the short-term, automakers have seen fewer inventory cuts for the month of December, resulting in a lower year-end inventory shortage than originally predicted. In 2023, chip production levels are expected to be back on track, meaning more vehicles—and more customers—in the dealership.

Despite the general sigh of relief from the auto industry as a whole, this could present new challenges.

“Cars are coming back, dealerships are already getting aggressive with pricing, and you have a sales force that basically hasn’t had to sell cars for the last three years,” said Eric “Frenchy” Mélon, Senior Vice President of Sales and Head of Training & Development for iA American.

“The past three years, dealerships have seen more customers than vehicles,” Melon said. “But now, they’ll have to learn how to sell cars again. That’s going to be challenging for both sales teams and managers, and it is going to be critical to train your leadership and your salespeople.”

Some suppliers and automakers are also concerned that there may even be too many chips: As the economy and a looming recession continue to be concerns for consumers, the chip shortage may be ending just in time for demand to bottom out.

However, that doesn’t necessarily spell disaster for vehicle sales, as manufacturers are likely to draw customers back to dealerships by employing tried-and-true promotional tools that were largely halted due to the advent of the pandemic and the resulting chip shortage.

“In Q1, to help spur car sales and combat higher interest rates, I expect manufacturers to be bringing back rebates and/or incentivized rates for the first time in almost three years,” said Tony Dupaquier, iA American’s North American Training Director.

Although time will tell how long it will take to get back to business as usual, the business as unusual our industry has endured for the past three years appears to be finally coming to an end.

iA American agents and dealership personnel who wish to take advantage of iA American Training Institute’s training opportunities in 2023 can do so at no cost by using the code IAAWG2023. See the Training section of this newsletter for details.

iA American’s Agent Spotlight Year in Review

Thank You for Your Participation Throughout the Year!

Although we will not have an Agent Spotlight in December, we thought it might be helpful to recap some of the great products and services we covered throughout 2022. If you missed any of these topics when we first discussed them, please reach out to your Sales Rep for more information:

Classic Care
iA American Maintenance Direct Program
PowerRev Powersports
Legacy SouthwestRe Ancillary Products
Training by iA American Training Institute
Super CFC Wealth-Building Program
iA American Claims Review

As an added bonus, here is a list of topics we spotlighted in 2021. Again, if you would like information about any of them, simply ask your Sales Rep:

Crystal Fusion Windshield Repair/Replace Options
Xtended Care High-Mileage VSC
Standard VSC
ProTrek RV Product Suite
Enhanced Care VSC
Dealer Loans

If you have another topic different from those above that you would like us to explore in 2023, please be sure to let us know.

We really appreciate the opportunity to serve you and your agency, and we’ll see you again for more Agent Spotlights next year!

Glenn Nielsen | Vice President of Enterprise Sales

[email protected] | 512.799.8697

Matt Romanowski | National Sales Director
[email protected] | 443.880.0918

Start the New Year Off Right With iA American Training Institute (iAATI) Training Opportunities!

iA American Training Institute has the F&I training and processes to ensure the best customer experience, increase in profitability, and compliance best practices for your dealerships.

Important Note: iA American agents and dealership personnel who wish to take advantage of iA American Training Institute’s training opportunities in 2023 can do so at no cost by using the code IAAWG2023. Please contact Tony or Mike if you have any questions or need more information.

T.U.S.K. F&I School

Course description: T.U.S.K. F&I School introduces a progressive and innovative curriculum that is designed for business managers at every level. It teaches our customer-centric 15 Minute F&I Turn process, intended for today’s more informed, better educated customers.

Topics covered include:

F&I process
Primary functions of the business manager
Working with today’s internet-educated customer
Primary emotions, commitment, and ownership
Legal compliance
Effective menu presentation using Y.E.S. method
RISC disclosure, A.B.C. objection technique, and much more

January T.U.S.K F&I School in Las Vegas

Course Start Date: 1/9/2023

Course End Date: 1/12/2023