Buying New Car - Tell me about Extended Warranties

Are they worth it?

The car comes with a 36K warranty, but for $1,400 we could extend to 75K (I think).

Sounds like not a bad deal - considering all of the things that could go after 3 yrs (36k)(including radio, dvd, Nav, etc, etc)

So what caveats or contingencies should I be cautious of, or looking into?

Re: Buying New Car - Tell me about Extended Warranties

we bought the warranty on ours so we are covered 100K miles.

We called my FIL to ask him his thoughts before we decided...

If I remember correctly (it was 1.5years ago now) He said, you need to check, where the car can be serviced under the warranty(say if you are out of state can you take it to any dealer etc) and the deductible. Those are the 2 things I remember.
Also we got a tire coverage as well (it was the end of the month so we got some great deals!) it covered road hazards and that coverage for us has already paid for itself as we had to replace 2 tires!

GL!

Re: Buying New Car - Tell me about Extended Warranties

dh purchased one for his car. he needed to use it a few months ago. it would have cost him way more than he paid for the cost of it if he had to pay for the repair that was done.

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

I just bought a new Hyundai and paid extra to be covered on everything for 10 yrs. All the electronic stuff and ac would have dropped after 3 yrs. So now for an extra $10 a month, I have piece of mind for 10 yrs. As long as you plan on keeping the car, it's worth it.

Re: Buying New Car - Tell me about Extended Warranties

i got the extended warranty on my car and have already put it to good use! def got my monies worth

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

We did only because it was the same warranty as 36 months. Same as original warranty! A lot of extended warranties have so many exclusions otherwise.

Re: Buying New Car - Tell me about Extended Warranties

Is the warranty through the car company or some thrid party vendor? Warranties through say Honda are much easier to deal with and get service then outside company warranties.
Also check if there is a deductible, what the hourly labor rate covered is (most 3rd party companies do not cover the full hourly labor-rate dealerships charge). Are things like moldings covered (a lot of extended warranties don't cover everything). Also check if you have to pay out of pocket and then get reimbursed for repairs.

Re: Buying New Car - Tell me about Extended Warranties

I think consumer reports usually says that they are not a good deal.

You should- find out who the warranty it with. Who underwrites it (if it isn't through the automaker) b/c what will you do if the company goes out of business?

What is the deductible?

What exactly does it cover?

Where do you have to take the car to get it fixed? Do you have to do your services with the dealers only or can you go elsewhere? What happens if you move is it transferable? (as in are the service places are only in NY? what happens if you are with the car on vacation or your move?)

Be careful a lot of times it says it includes the electronics but they might say it broke from normal wear and tear and might not want to fix.

Additionally - you might want to make sure - a lot of extended warranties don't start when the manufacturer's warranty expires they run concurrent. So say you have a 10 year extended - some start immediately not after the 3 year warranty (so you would only be covered for 10 years instead of having 13 years warranties)

Re: Buying New Car - Tell me about Extended Warranties

I called and it is a Honda warranty - no third party. Supposedly, it is the same coverage as the original 36K mile warranty.

They say no deductible. Maintenance could be anywhere.

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

We bought the Honda extended warranty, and have had to use it once. (broken wiper pump) Never a problem, but then again we always bring it back to the dealer for repairs.

We didnt even realize it went thru extended warranty until we got the paperwork afterwards.

Re: Buying New Car - Tell me about Extended Warranties

We've never had a problem with our extended warranty through Honda either.
However, DH bought his online. There are several dealers who sell them for cost. I think he paid $800 for 6 years/120k miles.
It might be worth it to do a little research online. I've had friends/family who got the dealer to match the prices they found online.

Re: Buying New Car - Tell me about Extended Warranties

I didn't get one, mainly because I didn't want to have to take it to the dealer for repairs, which was one of the conditions of the warrantee. My car is 5 years old and so far, I have had no problems, other than routine maintenance and repairs caused by wear and tear (brakes).

If I had a navigation system, I might consider it, though. The electronics always seem more unpredictable. My friend who does get the extended warrantee on her cars says she has used them for stereo system/CD player repairs.

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

Thanks all!

I (unlike my husband) am not a "car person" and would be fine getting a pre-owned.

The main thing about a new car for me IS the warranty.

So the fact that I could double it for a little extra seems good to me.

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties

Re: Buying New Car - Tell me about Extended Warranties