Extended Warranties

rayainsw · December 2009

"Is buying the factory backed warranty GMPP online a good way to go? Has anyone had experience with them they could share? Would they sell me an extended warranty if my original one expired and the car has 68K miles."

No, GMPP cannot be purchased past the orig wty period.

tacomaguy · December 2009

I'm in the same boat as you. Trying to make sense of the different coverages is hard. It comes down to how good is the company at paying claims and what do they cover/not cover? In two years, you will be at 100,000 miles. The policies that I have seen are 5 yr/60,000; 6 yr/75,000, etc. Even if you buy a four year contract, you will hit the mileage limit before the years run out. 30,000 and 60,000 miles seem to be where things start to go wrong. You are right, "wear and tear", "over-heating" and "gaskets and seals" clauses are important to get from what I have learned. My 2005 only has 22,800 miles after almost 5 years so even after 5 more years, I will still be under 50,000 miles. Insurance is insurance. If we want to sleep at night, we have to decide if we need the coverage based on how hard it would be to get the car repaired if (when) it breaks down. Would you probably be around town or out in the desert somewhere? Also, "pre-existing" conditions are usually never covered. Good luck trying to get a claim paid within the first six months. These companies have seen it all so they know how to spot a bogus claim. ALL insurance companies are in the business of just collecting our money and never wanting to pay claims, aren't they. I checked Oregon's AAA and they were the most expensive. A good source would be your Credit Union or
your dealer's third party insurer. It may cost you a bit more than getting coverage through the internet but how much is peace of mind worth to you?
I would try to get the most miles I could and go with the most deductible that you feel comfortable with. Myself, I'm shopping for years, not miles.

admiral21 · December 2009

The manufacturer warranty just expired on my Ram truck. I would really like to have a warranty in place for peace of mind. I called a local Dodge dealer and they quoted me $2,000 for a warranty! Too much for me. But reading this forum says that third-party warranty companies are terrible. So what do I do?

I did find this website online. Is this a genuine Dodge website?

https://www.chryslerwarrantys.com/index.cfm

Advice would be greatly appreciated.

wlbrown9 · December 2009

Down in the fine print on that web site it shows they are Topor Dodge in Mass. http://www.topormotors.com/ so I would say they are a legit Dodge dealer and could sell the Chrysler/Dodge factory warranty. I bought one from a different dealer in the Midwest and that worked out to be quite a saving off suggested retail (about 30%) less, plu usually don't have to pay sales tax either if you are out of state. But IIRC most factory warranties require that you purchase before your original (usually 36 month/36K mile) warranty expires. Not sure about Chrysler warranties these days.

Found this under their FAQ section

Can I buy an extended warranty for my vehicle if I didn't purchase it from you?
Yes, ChryslerWarrantys.com can provide a policy for almost any vehicle that is less than 4 years old and has less than 48,000 miles, regardless of where you purchased the vehicle.

http://www.chryslerwarrantys.com/frequently_asked_questions.cfm

raa1 · December 2009

It depends on the terms of the warranty such as deductable, duration and components it covers. You should consider shopping around via the internet. contact half a dozen dealers tell then what you want and watch the difference in price. When I got the ext warranty for my escape the price of a 7 year 100k Warranty ranged from $895 to $1695 for the exact same warranty by Ford. Hope this helps.

tacomaguy · December 2009

I'll bet the difference in price is due to how comprehensive the coverage is. Some may not cover "Seals and Gaskets", "Wear and Tear", or repair of covered parts due to the failure of a non-covered part, etc. Just be sure you are comparing apples to apples.

jhill84 · December 2009

So I bought a 06' Jeep Grand Cherokee with 37,053 miles at the time. Now has 40,900. Considering buying an extended warranty for 5 years/70,000. This dealership quoted me at $2800 which is really high if you ask me. I shopped around and all the dealership warranties online are for 7 years/100,000 from the date the car was made which would be 2006, so it would be basically be about 3 years/60,000 miles and the cheapist I found for that is $1760.

I probably would not even consider a warranty except the transmission light came on within the first week and I felt it slip. Took it to the dealership where I bought it, they gave me the brush off. One week later, light came back on, took it back...all they did was a transmission flush. Two months later, light came back on and the car would not go in gear as I was on the highway! Almost had to pull over but it went in gear thank god. Anyway, took it BACK to the dealership, now all they did was change the transmission filter even after I took it to a transmission place and gave them the codes and what not. Sorry for the long post. Any thoughts would be appreciated!!!!!

tacomaguy · December 2009

I believe that "New Car" warranties start at zero miles. "Used Car" warranties
start at your current mileage. Since yours is an '06 with over 35k miles, you would probably only be offered a Used Car Warranty. Since you did not buy a warranty at the time of your purchase and now have had a possible transmission problem looked at by the dealer, that visit is in their computer. If you buy a warranty now and then try to file a claim, the warranty company may say that it was a pre-existing condition and wont pay for the repair.

kevin4mph · December 2009

Do you know if I have the premium care covers the regular maintenance on the Audi?

pauleye · December 2009

Someone posted somewhere the name of an online broker that negotiates prices on factory (ie, not third party) warranties. I can't find it. Anyone here know who that is?

mitzij · December 2009

A maintenance contract and a service contract are two different things. One pays for oil changes/tire rotations, that sort of thing, while the other pays for mechanical repairs.

Read your contract to find out what it covers.

cioj · December 2009

Just purchased a new '09 Dodge Ram 1500 P/U. I'm looking for quotes on Maximum Care Lifetime Warranty by Chrysler. Any dealers out there reading this?

nortsr1 · December 2009

Go to Google.com Type in "Chrysler OEM extended warranties". I purchased the Chrysler extended warranty for my PT Cruiser from a dealer in (I believe Iowa) and got it for a lot less than the what my dealership wanted.

vanbasten · January 2010

When purchasing my EX35 I also got the following

1. Elite Maintenance Plan - Deluxe 5/75K for $1,148 (oil and filter change, tire rotation, and inspection)
2. ECP (Entire Car Protection) Total Care Protection Plan for $1,245. This includes Dent Protection, Tire & Wheel (if you get a flat tire), Key replacement, Paint proection (a seal will be applied) and interior protection (a seal will be applied and punctures can be repaired).

Are they worth it?

deltheking · January 2010

1.Is this an Infiniti manufacturer plan or a 3rd party aftermarket one?? If it`s a 3rd party one--then it`s useless-These companies fly by night,dont pay claims and have too many restrictions.. Buy only an Infiniti plan from any Infiniti dealer in person or online..Search Infiniti forums online and they have dealers listing these warranties.

2. ECP (Entire Car Protection) Total Care Protection Plan--- This is total crap...Way way too overpriced junk..Reject this at all costs. They have so many clauses and restrictions that it`s a total waste of money...And $1245 for that...Jeez!! I would avoid it.! :shades:

vanbasten · January 2010

Thanks for the advice. Eventually I cancelled both today.

1. It is a infiniti plan, kind of prepaid maintanence plan. Under normal driving conditions I found it is cheaper to pay every time and more flexible.

dragon48 · February 2010

Does Subaru's Extended Maintenance Gold Plus Plan require only Subaru dealers to do scheduled maintenance during the warranty or does Magnuson-Moss Act allow certified shops to do the scheduled maintenance?

deltheking · February 2010

Yes,only at Subaru dealers. Here`s the info from Subaru`s website :
http://www.subaru.com/finance-center/added-security-plans.html

valsblondies · March 2010

I bought a 2007 honda odyssey from a used car dealer. It has 59k on it so from what I understand, I cant buy an extended warranty from Honda. (If I can- let me know!!) The dealer is selling a third party warranty by Warranty Solutions. The company looks legit- is a part of Wachovia/Wells Fargo. Has anyone ever dealt with them?? I cant find any reviews online (They are not "Automotive Warranty Solutions" or "Genuine Warranty Solutions"). I know the general opinion is anti-third party but dont know what other options I have.

tejpalrai · March 2010

I am also in a similar situation with my purchase as the dealer is offering Wachovia Warranty Solutions extended service contract. My vehicle has around 41k on it and not possible to get a coverage from the Subaru dealer for a 2007 suv since the basic coverage ended at 36k...

let me know if Warranty Solutions is a reliable source for the VSC and if anyone has dealt with them in past?

Kirstie_H · March 2010

This is a really tough question, since most of the third-party warranty outfits don't get very good reviews. Most people here will advise you to instead start a savings account for repairs, and put away (right away) the money you would've spent on an extended warranty. Then just add a few bucks to it every month.

I've never dealt with this company, but it seems that are at least solid, financially.

What you want to do is to read the service contract CAREFULLY. Don't let anyone pressure you into buying it before you read what is offered at the different coverage levels, where you can get service, and whether the warranty company pays the service center directly, or makes you beg for reimbursement.

carnetguy · March 2010

I used to be an agent for GE Warranty which was purchased by Wachovia. Claims were never an issue as they paid full retail price for parts and labor as well as establishing job time using Motors or Chiltons. Basically they paid almost 30% more than the manufacturers do for the same work. GE was a 700 billion dollar company and Wells Fargo/Wachovia is close to that size. Pretty safe bet they'll pay claims - just make sure you don't overpay for the contract and know what it covers (5 Star is exclusionary - same coverage as manufacturer - 3 star and 4 star are various levels of stated coverage and you should read the contract to see exactly what components are included)

rpejsa · March 2010

Warr. Sol. is part of a new trend where lenders (Americredit, Wachovia et al) start warranty companies (or buy them or partner with them) to make the warranty part of their lending operations. More money for them. It is borderline illegal to force a service contract on you as a part of the loan, but the lenders seem to be willing to walk right up to the edge of the cliff on this one. They seem to be able to require the dealers to use their product to do business with them, but have to stop short of requiring the coverage. I would ask the dealer if they offer an in house or manufacturers warranty product that is better, and ask if using a particular warranty company is being required as a condition of the loan approval. When it come to Service Contracts the only rule I have ever sworn by is that if the company offering the contract is the same as the name on the grill of the vehicle, there are fewer problems later.

biker77 · May 2010

biker77 · May 2010

I just bought a '05 Lexus and have quotes for Fidelity Platinum and also Lexus Financial extended warranty. Does anyone know the differences in coverage and which one is better. I can get a better deal on price for the Lexus but don't know if it's as good as Fidelity.
Has anyone compared these 2?

emcguire · May 2010

who are the insurers on the fidelity platinum and lexus financial? the contract for your review should state this info. as well as who the administration is.

gapvendor · May 2010

Please read this post with an open mind. I am a dealer rep for an extended service contract provider and am a gap insurance general agent. Boo, hiss, throw rotten fruit. I'm not here to sell my products and will not name my company or trash any of my competitors. I simply wish to provide some info that may be of value the next time you purchase an automobile.
First of all, if you buy a car from an independent used car dealer, you probably will not have the option of buying a manufacturer's warranty. If the car you choose is still in factory warranty you should contact the manufacturer to determine if they offer extended warranty plans for the year and mileage of your potential new-to-you car. Most dealers, new and used, offer third party extended service plans. These are not warranties since only the manufacturer can "warranty" the vehicle.
Extended service contracts (ESC) come in two basic forms, named coverage and exclusionary coverage. Named coverage will cover everything listed on the contract (not the brochure), and exclusionary, sometimes referred to as "bumper to bumper" or "factory-type" coverage, covers everything but the excluded items named in the contract. Like all manufacturers warranties, all ESC state that you must have proof of required maintenance (oil changes, timing belt replacement, etc.) or the warranty can be voided. Really. Even the manufacturer.
All of the twenty or so extended service companies that have gone out of business in the past seven years were backed by risk retention groups (RRG). These RRG are not insurance companies and are often woefully underfunded or re-insured. The safest ESC are those backed by a Contractual Liability Insurance Policy (CLIP) which covers the total amount of potential liability for all agreements issued by the company. Let's all have a laugh at CLIP, as in "clip joint". Being bonded or re-insured is not the same as being fully covered by a CLIP. Find out if the ESC administrates their own claims or farms them out to a third party administrator.
If you have questions about coverages and companies, find out for yourself, don't just ask the salesman or finance manager. Some companies may be found on www.ripoffreport.com and other sites that allow consumers to vent about a bad experience. Hope this helps.

asilver · May 2010

I have a Volvo 2001 S60 wtih 65K miles and need a solid extended warranty company. Any suggestions?
Thanks

mapram1 · May 2010

Does anyone have any information on an extended warranty for a Hyundai ? I am purchasing a 2002 Sante Fe with 62000 miles this week and I definitely want to purchase an ext. warranty. After paying $7K for the vehicle, I can't afford any major repairs. Do all companies offer "exclusionary plans"? I know many of you don't believe in them but, inasmuch as I am adamant about purchasing one, I need a reliable, reputable and solid company to deal with. I've checked the "extended warranties" forum but I didn't find any mention of Hyundais.

Thank you in advance.

qbrozen · May 2010

Just want to post thanks for your post. I give you credit for not trying to sell anything and giving what seems to be solid advice.

Oddly enough, I notice you've been a member here for about 6 months and that is your first post. I hope this opens the door for you to join in more.

gapvendor · May 2010

There are plans available for both these vehicles. Drivetrain aka powertrain coverage usually includes the engine, transmission and drive axle assembly (front wheel, rear wheel and all wheel). Comprehensive coverage normally covers AC, brakes, cooling system, fuel delivery (fuel injection), electrical, front suspension and steering components. The best plans, exclusionary or named component coverage, are typically only available for cars five or six years old. Many companies offer roadside assistance and a rental car. Plans range from real good to almost useless depending on the company. For the two low mileage cars both drivetrain and comprehensive plans are available from several companies. The Volvo will cost more due to higher labor costs and/or parts expense. Pricing for thirty-six month/thirty-six thousand miles, including average dealer markup, may range from around $1,000 for Hyundai drivetrain to $2,000 or more for comprehensive on the Volvo. Since I believe forum rules prevent me naming my company and I'm not comfortable recommending others, I'll stop here. I hope this info is helpful.

gapvendor · May 2010

Thanks for the post ... I've been a member for several months but just recently started following the posts. Believe it or not there are a few good extended service companies. I've been a vendor for gap and credit life for many years but declined several offers to represent esc providers until a couple of years ago when the best I've ever seen called.

jipster · June 2010

Since I believe forum rules prevent me naming my company

Well, how bout naming the top three then? If your company is in the top 3 we'll never know.

Kirstie_H · June 2010

Let's not tread close to that line, please.

jipster · June 2010

That's no fair for him to tease us like that!

mapram1 · June 2010

After hours of researching online, I'm back and still thoroughly confused. I was quoted $1609 w/a $100 deductible for 5yrs/100,000 miles plus $190 for "basic" electrical and a/c components. I'm skeptical about the word "basic". The Co. provided a sample contract including exclusionary items. Of course, this too confused me. I'll have to have my mechanic review it. I will also have to learn if my mechanic is authorized to work on my vehicle so as not to void the contract. I haven't purchased the Hyundai yet but it's in the works.

I agree that gapvender should, at least, submit the names of a few reputable companies. I understand it is against forum rules to post one's email address but I would really like to communicate with him. I just don't know what company to trust. After paying thousands of dollars for a vehicle, I don't want to pay an additional $2000 for a worthless warranty plan.

I would also like to hear from people who have had bad experiences with specific companies. I've checked out www.ripoffreport.com and learned of bad experiences with Auto Save, AA Warranty, CarCare, Continental Warranty, Wynn Extended Warranty, Smart Choice and Warranty Gold. (Being new to the forum, I hope these names are not deleted by our hosts.)

Thanks in advance.

jimbres · June 2010

Here's a thought: instead of paying a 3rd party to assume this risk, build up your savings so that you can handle any repair costs yourself. I was burned back in the 70s when I bought an EW from a company that went belly up a year later. After that, I decided to self insure, & I've never regretted it.

I maintain an online FDIC-insured savings account dedicated specifically to car & home repairs to which I add funds at least twice monthly. This approach has 2 enormous advantages: (1) I'm in control & (2) I get to keep the interest earned by this money.

You'll hear people give "peace of mind" as a reason for buying EWs. But for real peace of mind, you can't beat a fat insured savings account in your own name. There isn't an EW on the market that can touch that.

fushigi · June 2010

While I've no problem with an EW that provides good coverage for a fair price, in this case I don't think either is being offered.

jimbres is correct; set the money aside in a liquid investment. While they aren't paying any interest of consequence, savings accounts have the advantage of being accessible online and at ATM machines and don't generally have fees for transactions (unlike some investment accounts).

Then, if you need the money it's there. And it'd take a pretty major repair to tap the entire amount. FTM you could use the funds for non-warrantied maintenance like timing belt replacement, major brake jobs, etc.

Not to mention if you have a life changing event during those 100K miles - loss of job, major medical bills, etc. - you have a fund to draw on to cover the gap. Car repair would likely take a financial back seat in those cases.

After 100K miles if you've funds left over you're ahead of the game.

mapram1 · June 2010

Reply to jimbres & fushigi: Thank you for your replies. Not to get into anything too personal, I am unable to make any sort of deposit into a savings account, ever, due to my life style - unless I hit the lottery. Therefore, your suggestion, altho a great idea, will not work for me. I have just enough $$$ to purchase the vehicle and an E/Warr. I need that "peace of mind".

On another note, the dealer will change the timing belt and water pump. My mechanic told him that the power steering needed to be flushed (there may be a leak). He also agreed to replace the cam seals and valve cover gaskets.

Am I within my rights to demand that the 60,000 mile maintenance, if not previously done, be done before I pick up the vehicle? Is the dealer liable for this even if he didn't have the vehicle on his lot at the time the maintenance was due?

I am still looking for a reputable & honest extended warranty company, if one exists.

Thanks.

jipster · June 2010

I agree that gapvender should, at least, submit the names of a few reputable companies

No kidding, that's why people come to this discussion. I would think it would be okay for gapvender to name 3 reputable companies... excluding his own of course.

mikefm58 · June 2010

I am still looking for a reputable & honest extended warranty company, if one exists.

You came to the wrong place if you're looking for a recommendation for an honest after market warranty company. Too many of us here have been burned in the past by these companies. The only extended warranty worth anything is the one backed by the original manufacturer IMO.

You're buying an 8 yr old vehicle that needs tons of maintenance, and you "need" the ext. warranty??? You can't put away some bucks each month due to your "lifestyle"??? Something doesn't make sense here.

mapram1 · June 2010

Yes, mikefm58....my "lifestyle". I hear the annoyance and frustration in your post. I didn't want to get into anything too personal but I find I must, in order that you don't think I'm frivolous. I'm a widow on Social Security, I work 15 hours a week at minimum wage and have tremendous expenses. This is why I can't put a few bucks a month away each month. That's my lifestyle.

I had a great running '96 Maxima with 150,000 miles when it was recently totaled - through no fault of mine. I've been searching and researching since the accident in late April for a used vehicle and the 8 yr. old vehicle is the only one I could find within my budget. I think you would agree, I do "need" an extended warranty. This is why I joined this forum.

Hyundai only offers warranties on vehicles that have less than 35000 miles, so the manufacturer is out. There are numerous companies out there but I am very skeptical since reading all the negative posts, (as I should be).

I'm still hoping someone could recommend a company that they've had good results with.

Kirstie_H · June 2010

That makes more sense - I think it was the phrases you used that confused people, because yours is more a life situation than a lifestyle. I have to admit that when I read your original post, it kind of came across cryptically, like, "I'm a drug dealer so I can't put money into a bank account or the Feds might find out." While I'm sorry for your adverse financial situation, I *am* glad it's nothing shady, and it makes more sense.

I haven't had experience with extended warranties, but I will tell you that when you're investigating, and as you get recommendations, check out their BBB ratings, and do a web search on each of them for complaints. If you want an extended warranty to give you peace of mind, that is certainly a good option for you, but there are so many bad companies that it will require a lot of research on your part. I'm hoping others have ideas for you.

mitzij · June 2010

As a dealership service advisor, I've had fair luck with Wachovia/GE Capital. Warranty Direct is touch-and-go. One time, it's a hassle, the next time, they act like they're happy to pay for anything that's gone wrong. If the car has already had a couple of claims, they are a royal pain in the you-know-what. EasyCare (related to Ford ) has been pretty good. Today I'll find out how American Guardian does with an older car that they've already paid $800 in claims over the last few years.

Your hyundai is certainly long in the tooth. I doubt you'll find a reliable company willing to sell a service contract for an eight year old car with 60k miles. If you do find a contract, it won't cover much. Be sure to read and understand any contract you're thinking about buying. If you don't understand 'powertrain', 'exclusionary', and other terms, ask for advice from a trusted third party before you fork out your money. You're not buying a warranty, you're buying a contract. Be sure you know what their rules are-because you're agreeing to play by rules the contract company has made up. This is one business where the buyer must really beware. Be aware of what you're signing up for.

Another word of caution: after you buy this car, you will receive 'warranty' notices in the mail. These will be postcards or flyers urging you to 'call now for urgent information about your warranty'. Some will imply they are from Hyundai or your dealer. Some will look like recall notices. These are all junk mail. If you call the numbers provided, you will be pressured into buying a service contract sight unseen. Don't do it. These are predators after your hard-earned money.

mikefm58 · June 2010

Wow, sorry to hear of your situation, and my apologies as well. I know others that have had similar things happen to them, a well running high mileage car is worth much more to the owner than its book value.

And sorry I don't have a suggestion as well.

jimbres · June 2010

If you have a good independent mechanic whose judgment you trust, you might ask him about his experiences with EW providers.

mapram1 · June 2010

My thanks to kirstie_h, mitzij, mikefm58 and jimbres for your replies. It's late and I'm tired. Once I get my sister home from the hospital, I'll respond to your comments and suggestions. So glad to hear from you.

coladuck · June 2010

Just brought CNA extended warranties for my used 2005 Hyundai Elantra for $1200. Not sure it is a good decision or not. Elantra is a very reliable car, according to reviews.
Also, is CNA a good company? The dealer told me the Hyundai extended warranty (OEM) is not back up by Hyundai but by a third party. Is that true?

carnetguy · June 2010

Yes it is true - it is a company called JM&A that is Hyundai's extended warranty. Volkswagen, Suzuki, Mazda and Honda's extended plans are through JM&A, Warranty Solutions (Wells Fargo), And EasyCare or Apco respectively. They are all third party companies. That's why it is so ridiculous when forum members constantly say don't deal with anyone but manufacturer programs. Even GMPP is an outside company called MIP that GM owns. The point is to make sure they are large, well known companies, adequately capitalized and vertically integrated (the insurer and administrator are owned by the same company.)

coladuck · June 2010

Just found the CNA is rated A+ by BBB but it got 41 complaints in the last 36 month! More than 1 complaint per month!! How can I check whether it is "adequately capitalized and vertically integrated"?

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