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Anyway, I thoght I'd pass this along as an option worth investigating. :shades:
Here's GEICO's spiel from their website:
"Mechanical Breakdown Insurance:
Multi-Risk is a package of coverages that includes Comprehensive,
Collision and Mechanical Breakdown (MBI). This coverage protects you from expensive auto repair bills when your car experiences a mechanical failure. Multi-Risk is usually much more affordable than the Extended Warranty offered by your car dealership and in some instances covers more.
Varying deductibles are available for the Comprehensive and Collision portions of the package; a $250 deductible applies to the Mechanical Breakdown.
You should add Multi-Risk protection to your policy as soon after the car is purchased as possible. GEICO Multi-Risk can only be added if it is a current model year vehicle, the vehicle is less than 15 months old and the odometer reading is less than 15,000 miles, and you are the first title holder.
Multi-Risk coverage expires once the vehicle is 7 years old or reaches 100,000 miles."
They may not have the budget to advertise here, since they make so little on every plan they sell
Dennis
You have up to 6,000 miles to purchase extended care at the "new car" rates. After that, the rate scale and time and distance option change to used car rates.
Every Honda dealer in the country will honor your Honda Care. It goes into their computer system attached to your VIN number. It automatically pops up, you don't have to do anything extra.
No it does not, only if you want to include it in your finance package does it have to be purchased at point of sale. But with Honda if you buy it after 6 months or 6000 miles from the in service date then you have to pay an additional surcharge.
Also, is it true that if your purchase a HondaCare policy say from a dealer in Ohio because it has better pricing, the dealer where I purchased the car has to honor it?
Yes regardless of where you purchase the warranty it is honored at all dealers.
You can also call any Honda dealer (or the HC toll free) after you have purchased the contract and received the booklet and have them pull up your VIN to confirm.
I have NEVER been asked to confirm a mileage on any that I have purchased, but I suppose if you made some unusual claim (5,000 miles 2 years from new or something) they might ask you to certify it. If you cancel, they do ask for a copy of your ODO statement where you traded/sold the car so they can figured your pro-rated refund.
Dennis
The cards contain the number to call to get your free roadside assistance.
Is it the same thing if I buy from http://www.myhondawarranty.com. Why are they so cheap ? Any caveats ? Is it also from Honda Will the dealers in Ga will accept them?
Can some one please tell the difference ?
I purchased my Honda Care ESC from them in September. Very easy to deal with and have had no issues. Got all my paperwork promptly and the ESC cards from Honda. I bought a 6 yr/120k for $960 through Saccucci vs the $2000 my local Honda dealer wanted. Its the same EXACT Honda Care Plan!!!
It is good that I had to wait 3 days to get my color. Otherwise I would have paid $1750. Their trick is they tell you about the ext. warranty right before signing the papers ( not the sales guys) So people will not have chance to shop around for the warranty prices.
It is up to you to decide if you need HC or not, but if you do then buy from a discount dealer - or give your dealer a chance to match the online price. Just don't overpay if you decide you need the coverage
Dennis
Thank you Guys. Really helped to save $1000. The dealer was asking me $1725 for 72 monts/80K
........it's nice to have resources/choices, isn't it? When picking up my 6M coupe from the dealer CarsDirect used, I got almost identical pricing on a 6year/80k HC EW......they went from $2800 to $1800 actually.
Online it was $584 from a Honda dealer in New York.
Let's keep those cards and letters (ie: information) coming
..best, ez....
Thanks
Bernardi is $1,230.00
Hyannis Honda is $1,170.00 (with $25 off that expires 01/31/08)
That is $175 less than your dealer's price.
Dennis
my '05 Pilot is nearing 36k miles and the bids I'm getting through the help of this forum are very close to what people pay 3 years before they can actually use it.
Bernardi quotes my Pilot for an extended warranty (prior to 36,000 miles) at $1,290 for 5 years or 60,000 miles with a zero deductible.
Is it really worth a $100 to put your $1,200 down 3 years before it will benefit you?
my advice is to hold on to your hard earned cash and wait till you actually need it.
with that said, I do appreciate the advice on where to go to get a competitive quote.
Keep in mind you have to buy before you cross either 3 years or 36k, so if you hit 36k after 2 1/2 years then your total coverage would be 7 1/2 years and 96k.
You also get car rental and roadside assistance from the day you purchase, which if used adds to the value.
So if you can live with the 96k limit and don't mind not having the rental and roadside then you are probably better off to wait and pay the extra money. If you drive a lot of miles and need the maximum miles allowed then you need to buy when new.
Also, HC prices go up just about every year it seems, so while the difference is $150 now it could be $200 or more in 3 years.
One other advantage of waiting is that your refund is pro-rated based on the miles/months used since purchase. So if you traded your Honda or it was totalled after for years of service, you would get back a lot more of your money if you have waiting until just before you hit the 3 yr/36k mark.
There is no right answer as to when is the best time to buy, it all depends on the term, miles, and needs of the buyer. But it is a good thing to bring up so everyone can decide which option is best for them.
Dennis
Here it is: 0 deductible, 60month/84K miles for $1235.
Just from my calling around, and internet research I think this is as good as it gets.
Opinion, feedback....better deal out there?
Dennis
For reasons I can't figure out, my husband really wanted to do business with that dealership. We did eventually buy from them, but only because they had (were willing to get) the color we wanted most (and fortunately for us, they also delivered it to our door, an hour away). We had slightly better prices from other dealerships, but none had either of the two colors we preferred.
Anyway, I'll be buying a warranty from Saccucci.
when you can wait another year and get the same terms for the same price.
The only thing it buys you, according to a post here, is the use of a car rental should your car need to be repaired.
I assume if you take them up on the "free" rental, that it makes your extended warranty non-refundable.
It doesn't seem right to me to be buying a warranty on top of your factory warranty merely for the sanctity of a free car rental should your car break down.
The only HondaCare plans that are refundable at the END of the term are those purchased through dealers that offer this "feature". Normally they charge more for the HC plan and then an extra fee on top of it for the "refundable" part of the deal. To me it does not seem "right" to buy a warranty at any time and then not use it if you need it, as would be the case if you got a plan from a refundable dealer. Also you pay a good bit more and must keep your car until the miles or years expire AND have never used roadside, rental, or any repairs.
All HC plans are PRO-RATED refundable based on miles and months used less a $25 processing fee. The refund amount is not changed no matter how much or how little you use the benefits.
In the first 60 days all HC plans are 100% refunded if cancelled with no $25 fee if you never used them. if you did use the roadside or rental, then those charges are deducted from the refund.
Dennis
You also get free roadside assistance during the length of the coverage. Some people pay AAA $65 a year for that.
As for the road side assistance - doesn't honda offer that anyway under the mfg. warranty? If not, it costs $35 a year if you buy a AAA membership. And again, if you use the roadside assistance through your extended warranty then you're locked in and will lose the option to cash in on your extended warranty. I'm sure they love it when people do that!
Buying the warranty before you hit 6,000 miles may save you $100 or $150 as opposed to waiting untill you reach 35,000+, but you'll easily make that back by keeping your $1,200 in the bank for 3 years at 4% interest.
Plus if you should decide to sell your car before you hit 36,000 miles, an extended warranty is going to depreciate like anything sold second hand. In fact I think the added cost of the extended warranty will handicap you when advertising your vehicle due to the higher asking price (assuming the mfg warranty is still valid).
As for the road side assistance - doesn't honda offer that anyway under the mfg. warranty? If not, it costs $35 a year if you buy a AAA membership. And again, if you use the roadside assistance through your extended warranty then you're locked in and will lose the option to cash in on your extended warranty. I'm sure they love it when people do that!
Buying the warranty before you hit 6,000 miles may save you $100 or $150 as opposed to waiting untill you reach 35,000+, but you'll easily make that back by keeping your $1,200 in the bank for 3 years at 4% interest.
Plus if you should decide to sell your car before you hit 36,000 miles, an extended warranty is going to depreciate like anything sold second hand. In fact I think the added cost of the extended warranty will handicap you when advertising your vehicle due to the higher asking price (assuming the mfg warranty is still valid).
A lot of what you say makes no sense.
On a Honda with more than 6k then there is indeed not much rush, except you get the roadside and loaner cars. If you have other cars to drive and are a member already of some group that offers roadside, then those are not plusses. Say you pay $35 for AAA you have to add that cost to the $150 or so extra you have to pay to buy the plan later (if under 6k now) or the interest you are planning on making on the money by not purchasing now.
This insistence you have that using your benefits keeps you from "cashing out" is bogus. There are a FEW HC plans sold by a FEW dealers that do have a "don't use it and get your money back" guarantee, but the majority of all the plans sold do not have such a money back plan. This is offered by an underwriter the dealer is using and NOT Honda or Honda Financial and causes the buyer to pay a good bit more for the plan than they could elsewhere. I am pretty sure HC is not going out of business but "who knows" about this 3rd party underwriter?
Again, all HC is pro-rated refunded as backed by HC. If you pay extra to certain dealers then you can get 100% back but only if you never use and features (roadside, rental car, or service) AND keep the Honda until the plan expires. But this applies only to a FEW plans sold and involves over-paying for the plan up front. In every other case the number of times you get roadside, rental cars, or service has NO EFFECT on your refund if you cancel your plan.
HC prices go up most every year, so you are stuck with whatever the price is when you are ready to buy. It could be that NOW the difference is $150 but that could be more down the road.
That last statement is just plain ludicrous! How can the warranty "handicap" selling your car? If my car has a warranty good until 120k miles that can be transferred for $50 and yours does has no warranty at all, which used car would be easier to sell and could sell for more money? The one with the warranty. Worst case you get a pro-rated refund on the unused portion of the HC you purchased. Even if your car had a little Honda warranty left, the new buyer would have to pay the full going rate if they wanted covered - and they would only be able to buy another 60k miles, where "my car" is covered to 120k.
What is true is that if you are not sure you are keeping the car and DID sell it before the base warranty is up then you should have never purchased HC at all. I would not advise someone to buy it just becuase it may increase resale value (for that reason alone). You ARE much better off to keep the money in the bank and see if you want to keep driving the car past the warranty end or not. But if you are someone who seldom buys a new car and runs it until it drops then you get the cheapest price and longest amount of allowed miles by purchasing HC when the car is new, under 6k on the clock.
I can see advising someone with more than 6k on the clock to just wait if they don't need the other benefits, but the rest of your "logic" is not logical.
Dennis
3yrs or 26k miles?
The last Honda I purchased did (2000 Honda Odyssey). It wasn't a dealer add on, but was provided by the manufacturer.
I don't see how you can make value out of something that is already included in the cost of the vehicle itself.
And your hedge against inflation? Telling people they ought to buy now because prices may go up is questionable. I see people paying less now than they were a couple years ago (on average) simply because this forum is causing the market to be more competitive!
The whole extended warranty can be quite a scam if you don't do your due dilligence first. There are dealers who will rob you blind if you sit there accross the table clueless. :surprise:
I'm sorry I don't make sense to you. Maybe others will make sense of what I'm saying and save a few $$.
IMO; waiting till you reach 35,000+ miles is the best time to consider purchasing an extended warranty. The last thing I need to do when I purchase a new vehicle is to lay out another $1,200 for something that has little or no value for 3 years.
Think about it.
Take two used Hondas that are exactly the same in everyway except one has an extended warranty.
The guy with the EW needs to ask more for his car....right? He's not going to throw it in for free - and if he does he's losing money.
The guy w/o the EW can ask less and attract more buyers.
If the used vehicle is still under the Mfg warranty, they seller without the extended warranty lets the buyer decide if he wants to opt for the EW. The seller who has the EW has less flexibility. I'm not saying the EW doens't provide value, but it can limit your audience.
Seller 'A' says it comes with an EW (no exceptions)
Seller 'B' says it's up to you if you want the added cost?
Not all car buyers want the extended warranty - it cost money! it's a bet the car will break down and exceed the cost of the warranty?
kapisch?
3yrs or 26k miles?
No. I just bought a new Honda two months ago and they don't offer that.
IMO; waiting till you reach 35,000+ miles is the best time to consider purchasing an extended warranty. The last thing I need to do when I purchase a new vehicle is to lay out another $1,200 for something that has little or no value for 3 years.
Well you should actually do some calculations before making those statements. I went to myhondawarranty.com and ran some different mileage scenarios.
If I have a 24,000 mile Civic I can get a 84,000 mile warranty (total of 108,000 miles) for $910.
If I have a 35,000 mile Civic they only offer a 60,000 mile warranty (total of only 95,000) for $990.
So by waiting until 35,000 miles, I get 13,000 miles less coverage and pay $80 more.
Personally, I think the best deal is to get it new. I can get 120,000 miles of coverage for only $825. Not only do I get 25,000 miles of more total coverage than by waiting until 35,000 miles as you suggest. But I pay $165 less. Even with 5% interest calculated in, I'd only get approx $130 of interest which means your scenario would still cost more. And I wouldn't get three years of roadside coverage which at your rate of $35 per year for AAA, that's $105 more I'd lose.
So your calculations are just not well calculated.
based on post 2074, a Pilot owner is considering purchasing an extended warranty for $1,235. He was quoted that with a 2 year old Pilot with 24k miles.
I can get the same warranty for the same price at 35,000+ miles. Thus my logic and advice to this Pilot owner is to wait a year. Rather than bash my "calculation", why don't you find this owner a better deal?
Maybe he's just getting ripped off by the dealer?
based on post 2074, a Pilot owner is considering purchasing an extended warranty for $1,235. He was quoted that with a 2 year old Pilot with 24k miles.
I can get the same warranty for the same price at 35,000+ miles.
I just went to myhondawarranty.com
For a 2 year old 24,000 mile Pilot, an 84,000 mile warranty (coverage until 108,000) is $1,265.
For a Pilot with 35,000 miles the price was $1,345 and they only offered a 60,000 mile warranty (coverage until 95,000). Again 13,000 miles less and $80 more.
Where can you get a warranty for a 35,000 mile car at $1,235 as you claim?
<Off topic>
Actually, the Italian alphabet does not contain the letter "k." The word you are looking for is capisce (pronounced cah-PEE-shay) which is technically used only in formal settings. The correct familiar form is capisci (pronounced cah-PEE-shee).
</Off topic>
it's a bet the car will break down and exceed the cost of the warranty?
That is true for any kind of insurance. So what makes extended warranties any different?
tidester, host
SUVs and Smart Shopper
If I have a 35,000 mile Civic they only offer a 60,000 mile warranty (total of only 95,000) for $990.
So by waiting until 35,000 miles, I get 13,000 miles less coverage and pay $80 more.
Don't forget that lost opportunity cost, inflation, and devaluation of the dollar when making these calculations.
One can take the $1000 saved at vehicle purchase time (and not pay interest on it if it were financed with the vehicle), invest, and then, 3 years later, when the original warranty is about to expire use the earnings from the investment to buy the warranty, which will come out completly FREE.
Even at the risk free rate of 5% that most banks were offering until the last couple of weeks, one could earn more than $150 in FREE money ($157 exactly). If one invested in a higher earning CD, Money Market, or just hand picked stock(s) one could earn more than 10-15% annually for 3 years. $520 in 3 years at 15% annual rate. It pays for half of the warranty.
Anyway, I am debating whether to purchase an extended warranty. I had purchased Honda Care before, but I ended up trading the car before the bumper to bumper warranty expired. It was in the days before all these online dealers were prevalent. I had bought mine off ebay from a dealer in VT. It was a painless procedure, and when I traded her in, I got most of the $600 I spent on the warranty back.
This time, I decided to wait until I was sure I was keeping the vehicle, and now, I am approaching the 3 year mark in March. Even though nothing has gone terribly bad with the car, I am aware of the A/C failures in Gen 2 and 2.5 CR-V. Although, I have faith in Honda, and having owned many many Honda products, I am pretty sure will cover it under the "goodwill" coverage. I am still researching extended warranties. Problem is that I maintain the vehicles myself. I probably do a better job than the dealer (more often than the manal suggests), and only use Honda maintenance items. But, I buy them in bulk, which means I can have one receipt for a years worth of Dual pump, MTF, PS fluids, and filters. I usually buy the engine oil when it is on sale, which again, happens in bursts, rather than throughout the year. So, if there were a claim, I would have hard time proving when exactly I performed the maintenance. I do keep the log, but I am not sure how worthy it is in a warranty dispute case.
Another concern I have is that I have modified the vehicle a little bit to suit my needs and likes, such as:
Reverse glow gauges (like VW)
Heated outside mirrors from CR-V SE with Honda Pilot Switch
JDM knock off fog lights
OEM sub
Air horns
Plus zero tires
Elechtrochromatic mirror from Oldsmobile Bravada
Honda Oddyssey Homelink controller console
Acura TL switchblade key....
Thanks,
Mike
Over your lifetime, you would spend less on repairs than you would spend on paying for Hondacare contracts.
Over 30 or 40 years of car purchases, an individual Honda might need major repairs that total more than the $900-$1000 or so you would have spent on HondaCare for that specific vehicle, but over that period the premiums of all past and future cars will add up to more they would have paid out.
If you are "averaging" more money in payouts than you pay in Hondacare premiums, you are getting a lot of lemons and Honda has lost its reliability benefit. Might as well just get a Malibu if you can't count on significantly better reliability over the long run in a Honda Accord.
I didn't. If you read my post closely, you will see that I include a scenario of buying the warranty when new at a lower price. Even at 5% interest, the cost increase of the warranty plus the extra three years of roadside assistance more than make up for any gains of interest.
Now how do you know that?
Could you please email me the winning Power Ball Numbers?
It doesn't seem like a bad price. Bernardiwarranty.com is selling that same warranty for only $10 less and they don't include the money back for not using it.
However, if you read the fine print, it appears you have to wait the full eight years of the warranty before you can apply to get that money and they charge you a $199 fee off the top. Still for just $10 more, it's probably worth it if you think you're keeping the car the full 8 years.
10, 15, 19, 33, 37, 42
Not necessarily in that order, or all in the same week, though..
However, I believe the original poster meant that, on average, you'll spend less on repairs, than on the warranty.. Not one person, specifically..
Otherwise, the insurance company would be out of business, eventually, on average..
regards,
kyfdx
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I would be moving on to a new car brand if I had that experience with Hondas more than once and the Hondacare rates would go up so they could continue making a profit on the sales of contracts.
Insurance/warranty's are a funny product. it is something the consumer pays for that they hope they never need, but are glad they did when they need it.
BTW thanks for the numbers, they look real lucky because I have something in common with all of them
10, I was 10 once
15, I was 15 once
19, I was 19 once
33, I was 33 once
37, I was 37 once
42, I am 42 now.
So with that logic how can these numbers NOT hit. I will put you in for 50% less the taxes.
You could need extended medical care after a severe accident or cancer or organ transplant and have hundreds of thousands or even over 1 million dollars in hospital bills and the same range of bills if your home burned down.
An A/C compressor or transmission failing at 80,000 miles in a couple of the cars you buy in your lifetime is not the same thing.
I need to figure out whether this is more equivalent to AAA regular service or AAA Plus service. Thanks a lot!
I am thinking about purchasing an extended warranty for my accord.. It is very close to 36000 miles right now.. Talking with the Honda dealer, they have 5 years/60000/0 deductible for $1330.I also check with other 3rd party (example:warranty direct) and they are selling 5/60000 with $50 around 1300.. I would like to know if these are good deals and which is better in terms of coverage ..
Thanks
That's not the best deal. I just checked bernardiwarranty.com and they have 5 years 60K for a V6 Accord for $1,040. (No deductible)
The other aspect that concerns me is the "scheduled maintenance" discussion. I like to change my own oil and other fluids like many people. Does anyone know how to validate these services if I had a warranty claim? I'd personally rather fill my engine with Mobil 1 for $30 compared to paying a dealer close to $100 for the same service. I'm also able to monitor things myself. Interested in what others think. Thanks.