It's a simple warranty many of us buy: a warranty to pay for repairs if your car stops working. In a KOMO 4 Problem Solvers' investigation, we tracked down one of those companies whose warranty promised help, but instead caused unbelievable heartache.

"The truth is," says Karen Garriss, "right now, this family has just been through enough."

Four months ago, Marlin Garriss received a death sentence: terminal brain cancer. His days revolve around radiation and chemotherapy. While Marlin fights for his life, his wife Karen fights a used car lot and a warranty company. "Time is important to us and they are just completely using it up."

It started when they bought a used pick-up from Car City in Tacoma. They also paid the dealer $1,500 for a three year warranty called "Safe Choice." The Garriss's were buying reassurance. "You feel safe," says Karen, "you believe you're going to be taken care of."

Instead, the Garriss's think they just got taken. When their truck's transmission failed - so did the warranty. Garriss says the repair shop, "called me the next day and says we have a big problem, the warranty company has cancelled your warranty."

Not Alone

Garriss asked Car City to make good. "They're telling us it's not their fault, it's not their problem and then they got to the point where they wouldn't even return our phone calls." So, Karen called KOMO 4 News for help. "Every time we've tried dealing with these people it just seems to keep getting worse," she said.

We discovered that what the Garriss's bought is "not" a warranty for their truck. They paid $1,500. They got a "product warranty" for an 8-ounce bottle of radiator additive. We showed the product to State Insurance Commissioner and asked for his reaction - he laughed. And he didn't mince words. "I think it's a license to steal."

Safe Choice tells customers that to activate the warranty, they must use the additive, and change their oil and transmission fluids. The Garriss's did everything. So did another customer Chris Fowler. "I personally think they're a scam," says Fowler.

Fowler and the Garris's kept extensive records. In spite of that, when their trucks broke down, the parent company, Safe Data Management, denied their claims. "I feel like I was taken big-time," says Fowler. "They're hoping that you never have to use it."

State regulators agree some product warranty companies look for reasons "not" to pay. Senior Counsel Doug Walsh with the Attorney General's office says, "they have a laundry list of reasons to deny claims, they're not in the business of paying claims in many cases."

Insurance Commissioner Kreidler says, "I've looked at these guarantees and warranties in general and the vast majority of them aren't worth the paper they're printed on."

But they are profitable. Especially Car City - where the Garriss's bought their truck and warranty. Owner David Leger says it's not his fault and that the problem is the parent company - Safe Data.

But when we asked him why he sold their warranties, Leger told us they don't sell Safe Choice warranties anymore. He acknowledged that they did sell one to the Garriss's. Leger says the profit was, "probably about 685 bucks."

$685 - most of the profit Car City made off the Garriss's came from selling them the Safe Choice warranty. Leger was unhappy with us showing up on his car lot with a camera and said, "these antics right now to make it look like were a bad dealership's not fair."

But Car City did agree to put another transmission in Garris's truck, and either get the warranty reinstated or refund the $1,500 dollars - and they put it in writing. Leger says, "I want the lady helped too and like I said, I'm not rolling over because you guys are the news, but I want you to print it right."

We took the offer to Karen Garriss, who was thrilled. "That sounds awesome," she said. "You kept telling me you hadn't done anything and I told you you gave me hope."

New Law In Place

But what about that warranty company? We tracked them to California - and it turns out - they sell lots of those warranties under half a dozen different names. But they didn't want to talk to us about any of it - they slammed the door on us.

We wondered, why was the supervisor refusing to talk to us? Why is this business, Safe Data Management - locked up tight - even at 9:30 on a Wednesday morning?

Commissioner Kreidler is convinced dozens, if not hundreds of Washington consumers bought product warranties that aren't worth the paper they're printed on. But now a new law gives the state the teeth to go after companies that don't live up to what those warranties promise.

"We're going to make sure that they're a real company," says Kreidler. "And if they're marketing something like this we can shut them down, we can fine them, we have a way of regulating them as a company."

But Safe Data Management sold their contracts before the new law went into effect. Who are they? We found them in Redding, California.

The building is non-descript with no signs anywhere indicating who or what they are. But paperwork left in plain sight shows they sell warranty contracts under half a dozen names: Safe Choice, Direct Care, and Horizon Car Care are just a few.

The contracts we've seen are based on that same 8-ounce bottle of radiator additive - use it, and the warranty is activated. The Garriss's paid $1,500, thinking they bought a warranty. But, Robert from Safe Data told KOMO 4 that they're a manufacturing company.

But the only thing we saw there are desks, computers, phones, and lots and lots of paper contracts.

We arrived at their office at 9:30 and identified ourselves. They didn't let us inside the building and asked us to leave. A supervisor wouldn't tell us her name.

We wanted to know how much they make on these contracts - and why they didn't make good on repairs for the Garriss's and Fowler's. Their answer? "No, we won't be able to give any information for you." They just slammed the door.

Before the new law, Washington Insurance Commissioner couldn't go after Safe Data Management. Now, he can. "If they're out there and they're selling products like this, and they haven't registered... by heaven we have some very heavy financial penalties or we can tell them to shut down," said Kreidler.

But the state's new law couldn't help Karen and Marlin Garriss. After KOMO's Problem Solvers got involved, a neighbhorhood Aamco shop replaced the transmission for free. And the dealership that sold the warranty offered to get it reinstated or refund them the $1,500. And they put the offer in writing.

The Garriss's were resting easier, "And I'm so glad we don't have to deal with this any more, you have no idea how much this means to us," said Karen. And, speaking of her husband Marlin, "it means to him and now he can just relax a little bit."