Is warranty worth it for 2020 Sierra?

[Jao]

I will be picking up my Sierra premium tomorrow and anticipate them trying to sell me on a warranty. My questions are is the warranty worth it and what prices have y’all paid for the warranty?

[Chrisd534]

if you plan on keeping the vehicle for a while its definitely worth it in my opinion.

[oldmann]

Not a chance

[davester]

It depends on you and your tolerance for risk, and what the warranty will actually cover.  In general, these kind of warranties make the dealership and whoever underwrites it a lot of money, and only occasionally result in paying out more than what you pay for it.

 

If you can save that money yourself, and perhaps even wisely invest it, you are likely to be significantly ahead when the warranty runs out, even with paying for repairs from that money (also assumes you pick good repair shops).  And you will likely be WAY ahead if you take the time and effort to repair the truck yourself.

[Rocz3cqg]

Jao

A extended warranty has it's pros and cons. It is important that you find one that numerous dealerships will honor. My dealer sells the Zurich Plan while others will sell the Chevy Protection Plan. The cost can vary somewhat.  You are probably looking at anywhere from 900.00 to 2700.00 depending on # of years and mileage. A 6 year / 72000 mile with 0$ deductible might be 2200.00. If you plan on selling your vehicle down the road within the warranty period, save your money. If you will retire with your vehicle, choose a reputable warranty service to cover your heartaches. With the amount of electronics in these vehicles and the headaches many are experiencing, future warranties would be a blessing. My 2014 Impala experienced the loss of the Cross Traffic Alert modules a couple months apart. The vehicle had 26000 miles but was 4 years old. Out of Warranty costs totaled 1300.00. So at times the Extended Warranty will pay for itself. I have purchased warranties here and there that never came into play. There are warranties that are specific and only pay for certain maintenance items. So the cost is usually high but the benefits are piece of mind if you did your homework and purchased a good plan. So if you are keeping the said vehicle a short time, save the money. If you plan on keeping it and handing it off to a relative, spend some green to keep the vehicle in working condition. Just remember to go over what is and what is not covered by your plan.

Edited December 31, 2019 by Rocz3cqg

[HeySkippyDog]

Given the price tag of the truck, do it. It's peace of mind.

It's only a few payments worth of money to get it. You won't regret having it if you end up needing it.

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[Dunn]

I wouldn't, you can get a cheaper ones elsewhere I believe.....they have been known to make a killing on these things, anything extra the finance dept tries to sell is good for dealer 1st and foremost

 

i passed on it after hearing about it and i will tell you this

 

the finance guy was PISSED, he tried 3 or 4 times (each time a lil cheaper) to sell it to me and when i said i wasn't going to do any extended warranty he got up and walked out without shaking my hand after paperwork was done.....what does that say?.....to me it says alot

 

if my truck starts having issues i will either buy a warranty from third party or dump the truck before intial warranty runs out.....usually seems like trucks/cars that have issues have em right off the bat, i have lot of faith i guess, 5 new trucks and never had big issue with any so idk

 

and check out 3rd party warranty companies to see as well maybe, have heard its much cheaper

Edited December 31, 2019 by Dunn

[davester]

Yeah, that would be something else to do.  After you have worked out the exact price of your truck (and ONLY after this), then if the salestool tries selling you a warranty, negotiate it as well.  They make stupid profit on those things (both the dealer and the underwriter), you don't need to pay full price...

[HeySkippyDog]

I wouldn't, you can get a cheaper ones elsewhere I believe.....they have been known to make a killing on these things, anything extra the finance dept tries to sell is good for dealer 1st and foremost
 
i passed on it after hearing about it and i will tell you this
 
the finance guy was PISSED, he tried 3 or 4 times (each time a lil cheaper) to sell it to me and when i said i wasn't going to do any extended warranty he got up and walked out without shaking my hand after paperwork was done.....what does that say?.....to me it says alot
 
if my truck starts having issues i will either buy a warranty from third party or dump the truck before intial warranty runs out.....usually seems like trucks/cars that have issues have em right off the bat, i have lot of faith i guess, 5 new trucks and never had big issue with any so idk
 
and check out 3rd party warranty companies to see as well maybe, have heard its much cheaper

[emoji23]the first K2 I bought was a 2014, certified preowned from a Chevy dealer. Low mileage, great deal I worked on that one.

I had always done my own stunts - I've pulled engines, done suspension work, the whole 9 yards, and I'm an engineer. This truck wasn't gonna throw me any tricks I couldn't solve.

The manager took me in his office and tried to sell me the warranty that would've raised the final price 20%! I said "No, thank you though. I don't need it."

He got visibly angry and started shouting at me, and I said "Hey wait a minute, we were friendly when I walked in here, what's got you so angry? I don't have to buy this truck. I'd like to, but not with that attitude."

When I traded it for a crew cab in 2017 because I got married and started a family, I did get the warranty. It was cheaper than the first one, and having it just kinda made sense. I wouldn't have the same free time to do my own work on it should an issue come up.

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[Dunn]

its basically an insurance policy and am pretty sure GM uses a 3rd party as well, they just mark it up

 

after seeing this guy fumble around and find " another rebate" to drop the cost of extended warranty time and time again (  found another rebate that wasn't their 5 minutes ago) I knew this was A: a total scam and B: very important to them

 

 they're  are plenty of companies that do extended warranties ( maybe even your own insurance company)or at very least wait it out and watch em discount it 3 or 4 times b4 you purchase it

 

everything Ive researched is they are a total scam and absolutely don't buy it from them!.....

 

but I know some just don't want to hassle with it and want security and I get that, just easier to be done and few more bucks on payment.....so just depends on what type you are I guess

 

 

 

 

[Bob2C]

Couple of things to note.

1. It’s not an extended warranty. It’s a service contract offered by a third party.

2. Does not need to be purchased at time of vehicle sale. Can be purchased at anytime the vehicle is under the 3/36 warranty. The longer you wait the more it’s going to be, but the time and mileage of the contract bought (many years and mileage options) gets added on from the date of purchase. From what I read the sweet spot is right before 24 months or 24k miles.

3. The protection plans can be purchased from any dealer. Many people purchase online. The corvette forum has numerous posts. There are 2 main sellers. James Black Cadillac and and Dennis Fitchner at Menholt Chevrolet. Both sell the GMEPP. There is also another Knapp Motors. So call around.

4. You can get the plan with $100 deductible or no deductible. If you want to save money you can by the platinum plan with $100 deductible and then transfer your “servicing dealer” to your local place. You get a one time transfer and then if you use them for any work where plan is needed the deductible is waived.

5. There is a list of exclusions so you need to read over carefully.

6. One thing mentioned in the contract is that regular service needs be performed at dealer I believe.

I have thoroughly read and analyzed the service contract for myself and felt it’s a crap shoot. If you want the piece of mind then get it. Don’t be pressured into it the day you buy the vehicle. Don’t fall for the scare tactics the finance guy will say. When I bought my truck I negotiated the price over email and then specifically told them not to sell me a thing more. Don’t waste my time. I drove 6 hours to get my truck. Paperwork was ready and I was out the door in 30 min.

One more thing I have to mention is if you have Geico insurance they have this thing call Mechanical Breakdown Insurance. It needs to be added to your policy within 15 months of purchase or 15k miles. It covers everything except normal wear items. Covers far more than the GM service contract but there is a $250 deductible per occurrence. The nice thing is that you don’t have to pay a lump sum up from it just is tacked onto your policy. It is for 7 years 100k miles. For my Tahoe it cost me $100 a year. From what I read is that since the Gieco one is an insurance product it’s highly regulated and the reviews have been great from people who have used it.




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[AlaskaErik]

I've turned down almost $40,000 worth of extended warranties over the years.  The amount of unanticipated repairs I've had during that time...about $400.  I find them to be a complete waste of money.  To put it in perspective, I've saved more by not buying extended warranties than I paid for my 2016 LTZ, and I bought it brand new.

[Dunn]

there ya go bob2c has better insight

 

and here are these you can call, just quick check so idk how good these are but consumer reporting so

 

https://www.consumerreporting.org/extended-auto-warranty/?msclkid=9e2c0c4d0c0516723c225247f7b8fb0b

[Jao]

8 hours ago, Bob2C said:

Couple of things to note.

1. It’s not an extended warranty. It’s a service contract offered by a third party.

2. Does not need to be purchased at time of vehicle sale. Can be purchased at anytime the vehicle is under the 3/36 warranty. The longer you wait the more it’s going to be, but the time and mileage of the contract bought (many years and mileage options) gets added on from the date of purchase. From what I read the sweet spot is right before 24 months or 24k miles.

3. The protection plans can be purchased from any dealer. Many people purchase online. The corvette forum has numerous posts. There are 2 main sellers. James Black Cadillac and and Dennis Fitchner at Menholt Chevrolet. Both sell the GMEPP. There is also another Knapp Motors. So call around.

4. You can get the plan with $100 deductible or no deductible. If you want to save money you can by the platinum plan with $100 deductible and then transfer your “servicing dealer” to your local place. You get a one time transfer and then if you use them for any work where plan is needed the deductible is waived.

5. There is a list of exclusions so you need to read over carefully.

6. One thing mentioned in the contract is that regular service needs be performed at dealer I believe.

I have thoroughly read and analyzed the service contract for myself and felt it’s a crap shoot. If you want the piece of mind then get it. Don’t be pressured into it the day you buy the vehicle. Don’t fall for the scare tactics the finance guy will say. When I bought my truck I negotiated the price over email and then specifically told them not to sell me a thing more. Don’t waste my time. I drove 6 hours to get my truck. Paperwork was ready and I was out the door in 30 min.

One more thing I have to mention is if you have Geico insurance they have this thing call Mechanical Breakdown Insurance. It needs to be added to your policy within 15 months of purchase or 15k miles. It covers everything except normal wear items. Covers far more than the GM service contract but there is a $250 deductible per occurrence. The nice thing is that you don’t have to pay a lump sum up from it just is tacked onto your policy. It is for 7 years 100k miles. For my Tahoe it cost me $100 a year. From what I read is that since the Gieco one is an insurance product it’s highly regulated and the reviews have been great from people who have used it.




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Bob, thank you for this useful info. I always carry MBI on my cars and forgot about that. I will take your advice into consideration. Thanks again

[Silverado4x4]

An extended warranty wouldn't be bad if it picked up after the factory warranty expired so for the 1st 3 years you have double warranty which you only use the factory warranty during that 3 year time and if you buy a 6 year extended warranty or so your really buying a 3 year warranty at a price of around 850 bucks a year so that 6 year warranty is really only 3 years and not 6. I never buy them.

Edited December 31, 2019 by Silverado4x4