Extended Warranty Companies

Nick1994

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I know, I know, extended warranties are evil. Aside from that...

Thinking of getting one for the Genesis before I hit 60k miles. Found Concord Auto Protect, talked to a guy and the Platinum coverage for 5 additional years and 100k additional miles is $1,930. No deductible.

Wondering what you guys thought? Not sure how legit the company is.

Any legit companies you guys recommend I look into?
 
I would never consider a contract with a third party. Only the manufacturer, if it is too late, I would do nothing before going with a fly by night company.
 
I think COSTCO use to partner with a third party warranty firm, but if I recall, COSTCO removed itself from the partnership. If true- must be a reason that the third parties don't deliver on what they are insuring. Putting $75 per month is a major auto repair savings account might be a alternate course of action.
 
3rd party warranty providers have a history of going out of business. Their web site says nothing about their financial stability or financial ratings. Stay away!
 
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Interestingly, the Ford Extended Service warranty was a very good plan to buy for many used vehicles, even if they weren't a Ford. Link below to one of the major sellers of the plan, plus a screen shot showing the 2015 Genesis as being eligible

[Linked Image]



Zeigler Ford Extended Service Contract Information
 
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There was one in St. Charles County that tied itself to a church so it wouldn't pay taxes, then a oil additive scam so they were selling that with the insurance thrown in free as long as you bought the additive. Both were put out of business but another one has lifted it's (I assume) ugly head. Even bought naming rights to the local ballpark.

The best ones keep half the money and pay off. The worst ones are total scams and never pay off. You can do better self insuring. IMHO always a horrible deal.
 
Why not buy from the manufacturer online? Third party auto warranties are a mistake. Might as well throw that money in a pile and burn it.

Then again, if you don't have enough confidence in the car, it might be time to go with another manufacturer.
 
The main problem with extended warranty companies is that they tend to go out of business so you have a worthless warranty. Even the ones that are decent have a lot of exclusions, either they want an inspection or will deny claims that should be covered or have a limit on coverage. Say you blow the engine and instead of paying for a new engine, they just give you some lump sum which is the max they pay and then terminate your warranty but it's still not enough to cover a new engine. You don't have those issues when the warranty is through the manufacturer.

If you really must get a warranty get one from a reputable company that's been around a while and that people have actually heard about. The ones the dealers push aren't necessarily the best because the ones they push the most have the best profit margins and no guarantee that they will be around. There are actually a few of them out there. As others said, the manufacturer's warranty is the best, usually no deductible and they don't play games with inspections and warranty denials.

Both my Mercedes didn't qualify for a warranty so I didn't bother getting any kind of aftermarket. From what I've read of people who have used a warranty and saved thousands, it would have been a wash if they took it to an indy mechanic instead of the dealer. My repairs have basically been standard maintenance stuff that probably wouldn't have been covered by a warranty.
 
Originally Posted by Nick1994
I know, I know, extended warranties are evil. Aside from that...

Thinking of getting one for the Genesis before I hit 60k miles. Found Concord Auto Protect, talked to a guy and the Platinum coverage for 5 additional years and 100k additional miles is $1,930. No deductible.

Wondering what you guys thought? Not sure how legit the company is.

Any legit companies you guys recommend I look into?


I have read to always get one from the manufacturer if you want one. But that is only what I have heard. No experience.
 
Well, $1,930 for 5 years of bumper to bumper coverage really isn't a lot, especially for such a fancy car.

So $32 a month.
 
Look at there reviews on there Facebook. Denial after denial and offered cash back + policy money as settlement. According to reviews if you take down negative rating then they will give you 250 to remove. I looked at consumer affairs and every review was bragging on just 2 people in company so that is a red flag. It has complaints on BBB that company didn't put pay they pointed to exclusions such as a bulletin on the problem so it is known defect. Just be careful
 
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Originally Posted by Nick1994
Well, $1,930 for 5 years of bumper to bumper coverage really isn't a lot, especially for such a fancy car.

So $32 a month.


$1930 is a lot if you don't actually get the coverage. It's why most aftermarket warranty companies are scams and why you get so many telemarketers and advertisements in the mail.

You were warned.
 
Originally Posted by Wolf359
Originally Posted by Nick1994
Well, $1,930 for 5 years of bumper to bumper coverage really isn't a lot, especially for such a fancy car.

So $32 a month.


$1930 is a lot if you don't actually get the coverage. It's why most aftermarket warranty companies are scams and why you get so many telemarketers and advertisements in the mail.

You were warned.

Buy it from the dealership. Ive had no problems getting my VWs fixed and the CR-V fixed under them. They both will probably pay for themselves.
 
Some dealers sell third party warranties and the dealer isn't responsible to cover the warranty when the warranty company goes bankrupt.
 
Originally Posted by Nick1994
Well, $1,930 for 5 years of bumper to bumper coverage really isn't a lot, especially for such a fancy car.

So $32 a month.



It's not a lot of money. But if the company packs up 2 years from now or if they deny your coverage because of a silly fine print/loop hole. Then its money down the drain.

extended warranties are a tough call. I've asked a few dealership service advisors and see what companies they have contacted and what the likely payouts were. Most decline everything the first pass and its a uphill battle.

THey did say a company named Fidelity, is not horrible and likely the best of the group.
 
If your engine blew at 100k and a junkyard told you they could fix your car for $1900, would you go for it right then and there? Probably not. And you KNOW the engine was what was going to go, because it just did.

But then paying $1900 to maybe use it? No thanks.

PS the warranty company would use some shady mechanic shop and junkyard parts anyway.
 
Originally Posted by eljefino
If your engine blew at 100k and a junkyard told you they could fix your car for $1900, would you go for it right then and there? Probably not. And you KNOW the engine was what was going to go, because it just did.

But then paying $1900 to maybe use it? No thanks.

PS the warranty company would use some shady mechanic shop and junkyard parts anyway.


Yes, some warranty companies limit how much they pay for labor and will use aftermarket/used parts. So you might not be able to get the work done at the dealer.
 
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