Anyone used their extended warranty- how did it go?
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Yes. Saved me thousands on an AC condenser and transmission. I can see not buying them on brand new vehicles but on a used one it make a lot of sense.
Last shop I worked at did a few jobs through those companies. They are miserable to work with they also cap the labor @ around $35-$40 an hour so the customer has to foot the rest of the bill.
One company sent us a box of used parts to install.
One company sent us a box of used parts to install.
It's usually better to buy a vehicle with a good reputation for reliability and set aside cash for occasional repairs. The warranty companies have done the math on the likelihood of serious expensive repairs and have priced their plans accordingly. The house (almost) always wins. Third party service contracts in my experience have been a waste of money.
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When buying my current ride new we opted for the extended warranty which pushed to 8 yrs/120K miles through Zurich. Did rely on it for a minor transfer case leak. Service advisor quoted me $402... I stated that should definitely be covered under that part of the warranty... he was like 'uh, yeah you're correct sir'... then looked into it and got back with me saying my part (deductible) would be around $100. I replied letting him know I checked the paperwork and it shows a $50 deductible... once the work was done I was headed to the service dept to pay my small part and he advised me nothing was owed, not even the deductible. Wasn't expecting that, but I gladly took them up on it.
I briefly considered going with an aftermarket warranty after that factory/Zurich warranty expired back last fall. Looking into what most companies charge just for decent coverage is a bit of a joke. Decided that instead of paying on something monthly that I might never need it's better just to sit that $ aside and have a bit of cushion if something ever does need costly service.
I briefly considered going with an aftermarket warranty after that factory/Zurich warranty expired back last fall. Looking into what most companies charge just for decent coverage is a bit of a joke. Decided that instead of paying on something monthly that I might never need it's better just to sit that $ aside and have a bit of cushion if something ever does need costly service.
I think I broke even on the extended warranties for the vehicles, if not slightly ahead. I purchased the GMAC extended warranties for everything, However, with the TrailBlazer, when the initial factory and GMAC extended warranty expired I went with a AAA Platinum level extended warranty which covered virtually everything and I mean everything (unless it just rusted out like a brake line). The times I took it in for AC work and a list of other things, they paid for everything but my $100 deductible, and the Service Advisor that I used told me that they were the easiest company to deal with and that they did not squawk about the labor charges.
I'll seriously consider another AAA extended warranty the next time we buy a new vehicle. Oh, and, the price was better than I could get from an online dealer that sold the GMAC GMPP plans over the internet at a deep discount.
I'll seriously consider another AAA extended warranty the next time we buy a new vehicle. Oh, and, the price was better than I could get from an online dealer that sold the GMAC GMPP plans over the internet at a deep discount.
Owen Lucas
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100%. If you're getting a Honda, the Hyannis and College Hills dealerships sell official Honda warranties at cost. Definitely dealer shop around for the best warranty price and only get an OEM policy from the manufacturer. There have been stories on this forum how aftermarket warranty companies will find literally any excuse, such as not rotating tires, to void an engine repair. 3rd party warranty companies are cheaper and scummier than the crappiest of auto insurers.
I couldn't find an extended service contract to cover a nissan CVT but I only looked at three companies.
Aren't these contracts over 1700 bucks for a "Gold" level plan?
My Buddy has a halo car 2011 BMW 750li twin turbo v8, paid 12K for the car in VG condition.. He shoped around an bought a contract where he makes monthly payments on the contract and cancel at any time. Ill have to ask him the specifics. He did say the highly advertised carshield was a ripoff, but I never looked into it.
He is also lucky that BMW is on the hook on these ttV8 beasts for 10y/210k IIRC. due to a class action.
Aren't these contracts over 1700 bucks for a "Gold" level plan?
My Buddy has a halo car 2011 BMW 750li twin turbo v8, paid 12K for the car in VG condition.. He shoped around an bought a contract where he makes monthly payments on the contract and cancel at any time. Ill have to ask him the specifics. He did say the highly advertised carshield was a ripoff, but I never looked into it.
He is also lucky that BMW is on the hook on these ttV8 beasts for 10y/210k IIRC. due to a class action.
I’ve had Ford ESP for vehicles I purchased in the past. The premiumcare is really good but kinda pricey. It was a mistake to buy on our Edge as we never never needed to use it but with the cost of an infotainment system or HID projector headlight issue it makes sense to have. My F150 on the other hand buying the warranty was a good choice.
The last dealership I was at sold a contract through Portfolio. I’ve used it on my Explorer to cover the keyless entry pad on the door. I was surprised it wasn’t classified as a trim piece and denied but it was indeed a covered component.
My personal recommendation is to use a manufacturer service contract if possible. If not I’d plan on using the plan at the selling dealership. If you have your work done at an independent shop I’d talk to an advisor or the manager of the shop to see who they have a working relationship with. It is usually a giant clusterfudge when the shop and company issuing the contract don’t really want to work together.
Beware of the “budget” service contract companies. I’ve dealt with ones that would not pay for any fasteners, fluids or gaskets. Some that try to dictate the shops labor rate and ones that try to use salvage yard parts.
The last dealership I was at sold a contract through Portfolio. I’ve used it on my Explorer to cover the keyless entry pad on the door. I was surprised it wasn’t classified as a trim piece and denied but it was indeed a covered component.
My personal recommendation is to use a manufacturer service contract if possible. If not I’d plan on using the plan at the selling dealership. If you have your work done at an independent shop I’d talk to an advisor or the manager of the shop to see who they have a working relationship with. It is usually a giant clusterfudge when the shop and company issuing the contract don’t really want to work together.
Beware of the “budget” service contract companies. I’ve dealt with ones that would not pay for any fasteners, fluids or gaskets. Some that try to dictate the shops labor rate and ones that try to use salvage yard parts.
In my experience if it has shield in the name avoid them. Carshield and American Auto Shield come to mind.
I had one third party warranty years ago, I didn't buy it but the seller ending up throwing it in to keep me from walking away from the deal entirely. That one saved my behind for sure, they paid out thousands before that vehicle was squared away. Something with a "1" in it, Service 1 maybe? Been too long. Shop said they were great to work with.
Other than that I don't buy warranties, however on a luxury Euro car I think they are probably a good idea unless you have an especially deep pocket or high tolerance for pain.
Other than that I don't buy warranties, however on a luxury Euro car I think they are probably a good idea unless you have an especially deep pocket or high tolerance for pain.
Our Mazda extended warranty was great on our 2012 Mazda3. Around 90,000 miles the transmission would occasionally (and very violently) downshift itself into 2nd or 3rd gear at highway speeds. After having the car for a week or so, Mazda diagnosed a bad transmission. My toilet time research diagnosed it as a bad TCU module, I saw a few similar reports on various forums, and the Mazda tech working my car admitted when they were driving it around, their computer demonstrated that the transmission was doing exactly what it was commanded to do by the TCU and all of the applicable sensors that talk to the TCU were checked and were OK. Naw... warranty rep says its a bad transmission. I said that makes no sense, the computer is actually telling it downshift.
I even went so far as to volunteer to supply a junkyard TCU that they could program to work with my VIN, and I would drive it around for a few weeks to see if the problem reoccurred, because this was a dumb waste of money on their end. Nope, they wanted the new transmission in there, to the tune of almost $5,000. Warranty company told Mazda to put it in, it will be done in the next 3-4 days after they get the new one ordered. Ok, whatever.
Ten miles later after we drove it home, it started happening again. Drove it right back to the dealer and politely but firmly demanded a TCU change. Nope, we'll diagnose it some more. Since I already had their loaner CX-5 key in my hand, I smiled and said call me when its fixed. About a week later the service manager called me, said they caved and put a new TCU in as an experiment and put almost 200 miles on it without a single occurrence. My bill, $100 for the deductible. Total bill was over $6000...…. $5200 for the new transmission and $800 for the TCU.
My $1200 warranty saved me $6000. Not only that, when the car was totaled by a moron at an intersection a few months later, I used the new $6000 in transmission work as leverage and the moron's nice to work with insurance company upped the payout an additional $4000 when I sent them the warranty repair paperwork.
Not a typical story, but in this case I'd say I got my money's worth.
I even went so far as to volunteer to supply a junkyard TCU that they could program to work with my VIN, and I would drive it around for a few weeks to see if the problem reoccurred, because this was a dumb waste of money on their end. Nope, they wanted the new transmission in there, to the tune of almost $5,000. Warranty company told Mazda to put it in, it will be done in the next 3-4 days after they get the new one ordered. Ok, whatever.
Ten miles later after we drove it home, it started happening again. Drove it right back to the dealer and politely but firmly demanded a TCU change. Nope, we'll diagnose it some more. Since I already had their loaner CX-5 key in my hand, I smiled and said call me when its fixed. About a week later the service manager called me, said they caved and put a new TCU in as an experiment and put almost 200 miles on it without a single occurrence. My bill, $100 for the deductible. Total bill was over $6000...…. $5200 for the new transmission and $800 for the TCU.
My $1200 warranty saved me $6000. Not only that, when the car was totaled by a moron at an intersection a few months later, I used the new $6000 in transmission work as leverage and the moron's nice to work with insurance company upped the payout an additional $4000 when I sent them the warranty repair paperwork.
Not a typical story, but in this case I'd say I got my money's worth.
Yep. It was the automakers (BMW) extended warranty. No different then getting warranty work completed under the original factory warranty.
It saved my butt. Head gasket blew warped the head and the engine block. Paid $100 for brand new engine from Mazda.
I'm struggling to recall the details but it seems I purchased one many years ago and it was either a waste of money or claims were too difficult to get paid, too restrictive, etc. Overall it left me with a very bad experience and I swore them off. I did consider one a few years ago, but did my research and concluded the same; waste of money, too restrictive. Fine print includes little loopholes of the major things they will NOT cover, or caps on coverage, or using THEIR authorized mechanic shops (which are either too far away, inconvenient, etc.) or they use remanufactured parts, used parts, non-OEM parts, and so forth. And big deductibles for each category, so you might have 3 deductibles for 1 repair, and so forth.
I would pass on it. I'd either spend the additional $$$ on a better car (better condition, newer, less miles, travel to a rust-free state to get it, etc.) or just save the $$$ in a different account dedicated for repairs. That money won't expire, no forms to fill out, no warranty to be denied, and it's free money if never needed for a repair. It's always yours.
This, and other "insurance" or "warranties" like pet insurance, are generally scams. At best you might break even over the long haul. But you generally lose a lot of money.
I would pass on it. I'd either spend the additional $$$ on a better car (better condition, newer, less miles, travel to a rust-free state to get it, etc.) or just save the $$$ in a different account dedicated for repairs. That money won't expire, no forms to fill out, no warranty to be denied, and it's free money if never needed for a repair. It's always yours.
This, and other "insurance" or "warranties" like pet insurance, are generally scams. At best you might break even over the long haul. But you generally lose a lot of money.
It's like medical care. Shop rips off insurance (warranty) co, insurance co rips off consumer.
I purchased a third party warranty for a Dodge Caravan that we purchased new. When the transmission went out, we discovered that the warranty company had gone out also-bankrupt. We received about 10 % of what we purchased it for from the bankruptcy court. I have a 2016 Ford Focus with the dual clutch transmission and given the transmissions reliability I purchased a Ford extended warranty online. It's cheaper to buy online after you buy the vehicle. That warranty has paid for itself and I've had no problems with getting repairs made under warranty.
Nick1994
$100 site donor 2024
I had a Hyundai extended warranty on my 2015 Genesis that I sold last year. Within a year they paid out over $11k in repairs. No complaints, they were awesome.
Can't speak on 3rd party warranties though.
Can't speak on 3rd party warranties though.
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