Extended Warranties

dumbgirl

So this isn't considered a third party carrier? This is a great site - much cheaper than the dealer quote. So do you think I'd be okay purchasing a warranty through them - is this actually through Toyota? One more question... I noticed that they have a clause that states:

"What are your obligations under this plan?
Perform all recommended maintenance procedures outlined in your vehicle's Scheduled Maintenance Log (specific to year and model of your vehicle), such as lube and oil changes, maintaining proper fluid levels, replacing belts, etc. Having your vehicle serviced at your nearest Toyota dealership is smart — they use Genuine Toyota Parts and have certified technicians factory-trained by Toyota. Be sure to keep careful maintenance records with receipts for parts, labor, etc."

Does that mean if you go to a private repair person for all your servicing, oil changes, etc - then this warranty would not be honored? I live in a small rural community, who's closet Toyota Serving Dept is approx 30 miles away. Looking forward to your reply.

CarMan@Edmunds

Hi dumbgirl. Yes, the site that I mentioned earlier is a Toyota dealer that sells official Toyota extended warranties. Consumers are free to purchase their Toyota extended warranty from any Toyota dealer in the country. That's why it pays to shop around on the internet before purchasing one. You can always get a quote from the web and give the dealer that you plan to use for service the option to match it if you would rather buy locally. I don't believe that Toyota's extended warranty requires owners to use Toyota dealerships for all of their service, just that they maintain their vehicles properly and keep receipts that prove they have done so.

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mitzij

A service contract covers repairs after the warranty expires. Each contract is different. Some cover listed components, others give a list of what is not covered, these are called 'exclusionary' plans. Exclusionary is the kind that will cover the most components.
I don't care for service contracts, they have too much wiggle room for a company to deny coverage. You have to maintain your vehicle per manufacturer recommendations, and be able to PROVE that you kept it maintained. It slows down the repair process. If your car breaks down, you leave it at the shop, they look at it, call the service contract company, wait for authorization, then fix your car. If the company wants to inspect your car before authorizing repairs, you can be out of a car for a week or
more. The rental coverage on these contracts is a joke. Most will pay 1 day rental ($35) for every 8 billable labor hours. 8 hours labor will just about replace an engine. They won't pay for a rental while you're waiting for parts or authorization. Parts is another funsy thing. They can require a shop to install used or rebuilt parts, they can also say 'we'll send you a part'. That can take an additional couple of days.

The majority of people who buy service contracts do not see a return of their money. You spend $1000 on a contract and get $300 in repairs paid for. It's not mathematically sound. There are a few posters around here who claim to have had thousands paid by their service contract companies, but only a fraction of them listed information to prove it.

hcars

I was wondering if people thought it was useful to buy the Honda Care extended warranty. Also I found a site on-line curryhondacare.com that has a good price. Does anyone know if this is a reputable company? Are there any other places people have gotten good deals from that are from legit companies?

sky23213

See Post 1348

mikefm58

To me, the Honda Care ext. warranty is not worth it, but to some folks, the peace of mind it gives justifies the cost. I'd never buy one on a Honda or Toyota, but would always buy the ext. warranty on a GM, Ford, or Chrysler and would shop internet sites for the best price.

liferules

Or post 1172! :shades:

1172

freshwater

Does Anyone knows of good warranty companies.
2002 and 30K on the vehicle.
I need to decide in next few days.

amixam

Anyone got any experience with this? I am buying an 03 Bmer from a Nissan dealer (other car is a nissan) and they offered me this...I read online and it looks pretty good...anyone got firsthand experience?

jj67

This board has been a great source of information. It seems clear to me that, for the most part, self insuring is the way to go. But does that logic apply for cars that may have very high maintainence / repair costs? I'm looking at buying a 2002 911 and don't want the risk of multiple problems each potentially costing thousands of $$$. Any thoughts (other than save more each month and self insure)? Thanks.

mikefm58

" Let's hear more from those of you who have dealt with these non-factory extended warranty companies ... good and bad. "

Warranty Gold burned me, they stopped processing claims in June 2003, didn't tell anyone, continued to sell policies and accept payments until they were forced to send emails to all policy holders in Sept. 2003, and they filed for bankruptcy in Nov 2003, policy holders got zilch.

They were not licensed in several states to sell these policy yet continued to market and sell them their.

Last I heard, the original owner is back in the same business doing the same thing.

liferules

Honda Care or Geico are the ones that come to my mind. I haven't yet purchased one for my Audi. When I do, I will discuss this with my SA to make sure they deal nicely with them as this is the most important factor...

mitzij

I can't think of any service contract company that will pay for a glove box latch-that would be an interior trim piece, interior trim is rarely covered.

There aren't many people on this forum who have experience with service contracts. I deal with them as part of my job in the service department of a small dealership. I've not dealt with 5 star or WarrantyDirect. Most aftermarket companies I've dealt with lately have a fairly streamlined claims process (including the requisite 10 minute wait on hold when I call), and pay by credit card within a week.

On high-dollar parts, most companies want to send me a part from 'their warehouse', rentals aren't paid for unless the job is a really big one, if my labor rate wasn't only $48 per hour, there would be negotiation on labor rate.

Remember, with a service contract:
They decide how much they will pay for a repair-you pay the rest.
They decide what parts will be used.
They decide when your claims limit has been reached. (It's real close to the $$ you paid for your contract.
They decide if your maintenance records are complete enough for them to cover that exploded engine.

sandman46

Where can I go to price a factory warranty from Nissan? My car will be 3 years old come May and I think I need to check out a Nissan Extended Warranty. Any help would be greatly appreciated.
I live in South Florida. Should I just start e-mailing local Nissan dealers or their internet departments? I've heard rumours that Floridians can't buy warranties from out of state dealers. Any validity to this?
Car_man, any help you could provide would be very useful. I tried a google search and no manufacturer backed warranties came up...only warranty "companies" which I want to steer clear of. I only want a Nissan backed warranty.
Thanks y'all.

The Sandman :confuse:

forkus

I consider myself a little bit of an expert on third party warranty companies, because I used to deal with them when I managed a transmission shop. Even though they had pre-negotiated discounts, which hurt our profit margin I used to love telling customers that their transmission was going to be fixed for the amount of their deductible.

I also dealt with sleazy companies, who would find any excuse to deny a claim. But I recently bought a third party mechanical breakdown policy, because while my 4 1/2 year old Hyundai still has a bumper-to-bumper warranty, Hyundai didn't want to extend it for me.

So here is how I shopped:
I made sure the broker was licensed in my state.
I made sure the insurer was licensed in my state.
I checked with the insurance commissioner for complaints against the broker and insurer.
I checked the financials of the insurer (Moodys).
I bought an exclusionary policy, NOT a listed parts policy. Trust me, the parts that break are never listed.
I read every word of the contract.
I determined that the contracts are directly insured, rather than covered by a risk retention group..
I stopped into a branch of a nationwide repair shop, and asked the manager how reliably the insurer came through on legitimate claims.
I purchased before my factory bumper-to-bumper ran out.

So for less than $600 (it's an inexpensive car), I'm pretty well covered for the next three years. And during the last three months of the warranty, I'll probably get the car checked out about three times, to look for incipient problems. And if I dispose to the car early, I'll be entitled to a pro-rated refund.

One caveat. Since I live in California, if I am denied a claim, I will overnight a complaint about the broker and the insurer to the Insurance Commissioner. That will most likely result in an approval within a few days. However, if you live in a state with weak consumer protection laws, good luck. If you get turned down, don't just blame the warranty company. Bad laws hurt people.

CarMan@Edmunds

Hey Sandman. I have never purchased an extended warranty in Florida, but I have heard that your state considers extended warranties to be a form of insurance and it does not allow the negotiation of their prices. If this is indeed the case, there's not much point in shopping around. However, you might want to confirm this fact by e-mailing or calling several local Nissan dealers for price quotes on the level of coverage that you are interested in.

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arcnspark

let me know what you come up with.
i just bought a '00 996 w/13k mi.
am looking for a long term warranty also.
you can e-mail me directly=gem1@porsche259.com

x1630s

Would anyone have any thoughts on buying an extended warranty for a new Ford 500? Dealer was selling EASYCARE vehicle service contracts?

Thanks

sandman46

Has anyone heard of this company? They're trying to sell me a policy. Need help soon.
Thanks all.

The Sandman

xstigmatax

Don't deal with Easycare, it's a 3rd party company made to look like a real Ford ESP. If you are interested in getting a deal on a real Ford ESP call their ESP sales office and they should be able to get you a good deal.

jb_turner

Can anyone tell me what the Toyota backed warranty is called and suggest any websites that has competitive prices for the various versions of the factory backed warranty?

audia8q

Don't deal with Easycare, it's a 3rd party company made to look like a real Ford ESP

Do you realize that Easy care is fully owned and backed by Ford Motor Company?

myjamaje3

I am looking at a 2001 Sebring LX1 for my daughter. The price is very low considering I have been looking at other dealers and their prices are at least $4,000 higher, for the same year and close to the same mileage, which is 75k.I told them that I won't do the deal unless I get an extended warranty from them (12 month 12k) ,at no cost to us. They excepted but since we haven't signed on the deal I don't know who the warranty company is. I will know more in the next couple of days but before that I was hoping that you could give me an idea of what to look for and to stay away from. I did a carfax on the vehicle and it came out clean but I have a feeling about this car which is why I insisted on the extended warranty. I also am planning on taking it to a mechanic to have it check out during the 3 day period if we go ahead with the deal just for piece of mind.
I live in North Carolina if that is any help. I would appreciate any information that would help guide me in making the right decision.

CarMan@Edmunds

Hi jb_turner. I believe that Toyota's official extended warranty is called Toyota Care. It is a very good program. It basically acts as an extension of Toyota's original warranty. In the past, several community members have gotten attractive price quotes on official Toyota Warranties from the following site: Toyota Warranty.com. Of course, when one purchases a reliable vehicle like a Toyota, the likelihood of getting your money out of your extended warranty is not very high. Still some consumers enjoy the peace of mind that having an extended warranty provides.

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sandman46

Car_man, will this work also for a Nissan Extended Warranty to? The Great American Insurance company that called me last week was downright scary. They handed me over to a closer and got really nasty when I said I need a copy to show my ASE mechanic and the service writer at my Nissan shop. They threatened me that this would be a 2nd denial on this car and I could "never ever" get any kind of warranty on my Sentra! It sounded real bogus to me...am I right here? And has anyone else heard of this company? Could really use some help here, as I need to make a decision by May about an extended warranty.
T I A guys.

The Sandman :confuse:

CarMan@Edmunds

Hi myjamaje3. In my opinion, the only type of extended warranty one should purchase is an official manufacturer-backed policy. I have heard too many horror stories from consumers with third party warranties to recommend them. Third party warranties often take forever to approve repairs, try to force policy holders to use used parts, deny repairs for no apparent reason, or even go bankrupt. You can find out more information on official DaimlerChrysler extended warranties by visiting the following site: DaimlerChrysler Service Contracts. Always remember that in most states the selling prices of extended warranties are negotiable. Furthermore, you do not have to purchase your vehicle's warranty from the dealership that you purchase your car from or the one that you plan on using for service. You are free to buy from any dealer that sells Chrysler, Dodge, or Jeep vehicles. Shop around, either in person, over the phone, or via e-mail for the level of coverage that you want. Then give the dealer that you plan on using for service the option to match your best price quote. While you do not necessarily have to purchase your policy from them, it never hurts.

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CarMan@Edmunds

Hi myjamaje3. In my opinion, the only type of extended warranty one should purchase is an official manufacturer-backed policy. I have heard too many horror stories from consumers with third party warranties to recommend them. Third party warranties often take forever to approve repairs, try to force policy holders to use used parts, deny repairs for no apparent reason, or even go bankrupt. You can find out more information on official DaimlerChrysler extended warranties by visiting the following site: DaimlerChrysler Service Contracts. Always remember that in most states the selling prices of extended warranties are negotiable. Furthermore, you do not have to purchase your vehicle's warranty from the dealership that you purchase your car from or the one that you plan on using for service. You are free to buy from any dealer that sells Chrysler, Dodge, or Jeep vehicles. Shop around, either in person, over the phone, or via e-mail for the level of coverage that you want. Then give the dealer that you plan on using for service the option to match your best price quote. While you do not necessarily have to purchase your policy from them, it never hurts.

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mikefm58

If something sounds too good to be true, it usually is. $4K cheaper than other dealers? Hmmmm...... I wouldn't touch it even if I did get a warranty.

My guess? The vehicle has been in an accident or possibly it's a flood car from New Orleans with a washed title. When you ran the carfax, has it ever been titled in one of the Gulf states during last year's storms? It could have been through the flood, then have the titled "washed" through a different state and carfax still wouldn't indicate flood damage.

But anything that was titled in the Gulf states last year and now is on the market at a super low price is a huge red flag, so check carfax real careful. And if you do buy it, have the BEST mechanic in your area check it out.

jb_turner

Car_man,

Thank You for your response about Toyota Care. I guess I am one of those who would perfer peace of mind at a resonable cost. Toyotawarranty.com is a very good site indeed for warranties. I will just do the gamble thing and purchase the Toyota Care warranty.

CarMan@Edmunds

You're very welcome, jb_turner.

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sandman46

Any help with a Nissan Warranty?

the Sandman :confuse:

CarMan@Edmunds

Hi sandman46. I haven't seen anyone recommend any specific web sites for official Nissan extended warranties. Your best bet is to shop around with local dealers, either in person, over the phone, or via e-mail for the level of coverage that you want and give the dealer that you plan on using for service the option to match your best price.

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sandman46

Did just that earlier and found what I needed on a google search. Where I bought the car, they want me to "come in and talk to the F&I guy". Been there, done that.
I just want a quote online the cost for the protection I might want...plain & simple.
The search continues.

The Sandman :confuse:

(Why do they make it soooo difficult to get a $ quote?)

CarMan@Edmunds

You're welcome, sandman46. Sorry that I didn't have any specific sites for you. I'm sure that there are tons of Nissan dealers out there that will gladly e-mail price quoted for extended warranties to consumers. I guess that your local dealer doesn't want to give out a price quote over the telephone because they are afraid that you will shop it around. If they get you into the dealership to give you a quote they have a captive audience that they can sell to.

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andygish

For all those poor people who were taken by Warranty Gold's evilness -- I have a good story.

I got a 100K/7 year warranty from them for $1200 with no deductible (if you can believe that)for graduation and I used the (blank) out of it.

They paid for my AC, or sensors, starter 2 times, etc. I am sure they paid at least $3500 in repairs. I am so glad that they went out of business after my car hit 7 years.

I count myself lucky. I am about to get a new used care and warranty -- thanks for all the info on the GMPP!

bam3

Your comment that the Extended Service "Warranty" contract was unenforceable even if it deemed to be "in breach" is of interest to me.

Doesn't normal state contract law apply? In other words doesn't a reasonable level of the promised service need to be provided or the situation is fraudulent?

What if the company routinely is "in breach" with it contracts? Doesn't that border on racketeering?

I am currently facing a seized engine that has not been repaired in 21 days and counting. The company has not progressed to an estimate and authorization for repair. Why is the contract unenforceable?

I understand I can send a complaint to the Indian Attorney General and they could follow the larger issues.

mikefm58

I too bought Warranty Gold based on recommendations of co-workers who also had many claims covered by Warranty Gold. So at one time, they were a good company.

flack

Hey all,

I'm buying a new car, and wasn't sure if now is the time to buy extended warranty, or if I should wait till standard warranty is up? When is the best time to buy?

Also, anyone know a good Mazda extended warranty company? Or maybe I should rephrase... how would one go about getting factory Mazda extended warranty w/o going to a dealer?

Thanks!

audia8q

you can only buy a factory backed mazda warranty thru a mazda dealer....If you search the internet there are some mazda dealers selling online at a discount.

mitzij

Service contract companies have different prices, depending on mileage, age, and coverage level. You'll get a cheaper price if your car has lower mileage (say, under 12k miles). There are different coverage levels to service contracts-the so-called bumper-to-bumper contract will cost significantly more than the powertrain contract.

The best time to buy one?
I would say never. Take the $800 you might spend on a contract and put it in a savings account. It will earn interest until you need it to fix your car. A new Mazda has a, what?, 3 year, 36,000 mile warranty. You've got 3 years to save and earn interest in case your window motor croaks at 50k miles.

If you MUST buy a service contract, you are on the right track by wanting a Mazda-backed one. Aftermarket contracts are train-wrecks waiting to happen.

flack

If I buy an extended warranty on the web, that is a MEPP (Mazda Extended Protection Plan), does anyone know if I can go to any Mazda dealer and get it serviced... or would I have to go to the dealer that I bought it from?

Does the dealer have to be local to me? (I'm in NYC, and trying to find Mazda dealers online selling a MEPP, but I'm having a bit of a hard time)

Thanks!

audia8q

does anyone know if I can go to any Mazda dealer and get it serviced...

yes....any Mazda dealer.

dmangubat

hi all,

I'm a first time auto buyer. I just bought a 2006 mitsubishi galant 3weeks ago. To make a long story short, I want to cancel my extended warranty which I got from the dealer for $1,920 for 5yrs. After reading some of the threads here I can buy cheaper warranty's from other companies other than from the dealership.

My question: 1.How can I cancel my extended warranty? 2. Can I still cancel it even though I've signed the service contract already? 3.What steps do I have to to do to get a refund of my money?

Thanks all in advance

mitzij

1. read your contract
2. yes
3. read your contract

All contracts are different. Most refund 100% if cancelled before 30 days, then pro-rate the refund after that.

golic

After reading some of the threads here I can buy cheaper warranty's from other companies other than from the dealership.

Be very careful of buying 3rd party warranty's. You do get what you pay for and you may save intial money but:

1. Find out what you thought was really covered was not.
2. 3rd party will not replace with Genuine parts.
3. 3rd part may be long gone after your initial warranty discovers.

You are more than likely buying a warranty for "piece of mind" Once you make that commitment don't become pound foolish and penny wise.

It may cost you more for a manufacturers warranty, but in the "long-haul" I think they will turn out to be the least expensive option.

sandman46

Never buy a 3rd party warranty. Had a company keep me on the phone for 40 minutes 2 weeks ago and they pretended they were a Nissan Manufacturers Warrantor. Once the 1st guy passed me off to the lady...his boss...and she started the hard sell and then threatened me about what she'd put in her computer to Nissan, I basically told her to "bite me" and hung up. I can't believe I wasted 40 minutes with these clowns. But once the full court press started and telling me I'd have to decide right then, I knew it was a 3rd party warranty company and that was it.
Beware if a company tells you that it's only a good price right then. A manufacturer backed warranty won't say that. You usually can get one while your still in the 3/36 or 4/45 period!

The Sandman :mad:

rroyce10

... **Never buy a 3rd party warranty....**



Bingo................!



Terry.

dmangubat

Thanks guys for the advice. I just want to know if the price I paid ($1920) for 5 years is a good enough price. What I mean is could I get a better deal outside? or should I just stay put with my present insurance company now? The name of the company by the way is Mercury Insurance.

mitzij

Many people on this site say they have found manufacturer-backed service contracts for under $1000. I would say you could find a better price elsewhere.
Is Mercury Insurance the name on top of the contract? Or the name of the company backing the plan?

dmangubat

The name on top of the contract is ISG Service. The company backing the plan is Mercury Insurance. Ever heard of it? What other manufacturer backed service plans can you recommend? I'm still kinda new at this, any advice will really come a long way. My car is a 2006 Mitsubishi Galant, with present mileage of 1300 miles...

My 2nd question is, what is a deductible? How do I find out if I have one?

thanks for all your help