Extended Warranty for my '03 Z71 Ext Cab

[TedHam]

I received a quote for a 7 year/100,000 mile extended warranty for my '03 Silverado Z71 Ext Cab. The quote: $1,216 includes all parts and labor for the drivetrain, electronics, accessories, computer, etc. Essentially everything but the wear items (tires, brakes, shocks). It includes a $100 co-pay for each visit. I have 30 days to review the policy (I signed up last week and am still waiting on the paperwork) and cancel if I choose to; without penalty.

 

Any experience with this outfit?

[PewterC3]

Get a GM plan through a dealer. Warranty companies have been known to deny claims and/or go out of business.

[TedHam]

At this time, spending in excess of $2500 for a warranty plan provided by a dealer is not an option.

 

My understanding is that the extended warranty plan offered by a dealership can be 3rd party also. Truth or myth? I recall 'Cross Country Motorclub' has been popular.

[sonjaab]

Ted.......Be VERY careful of aftermarket warranties. I got screwed once !

Check out the smart shopper forums over to http://www.edmunds.com

Read all the horror stories over there BEFORE you lay out you hard earned cash!

Many companies don't cover internally lubricated parts, gaskets, struts,

yada, yada......READ fine print carefully.

Remember you have almost untill the END of mfrs. warranty to qualify for a great priced ext. warranty................geo

 

For discounted GMPP waranties check out: http://www.gmoutlet.com

[bigdogs]

I'll second that... I had an aftermarket warranty on a Blazer I had and they walked away from it when my valve guides were shot. Years ago I also had an extended warranty on a VCR I bought and when it came time to fix it they were long gone... I plan to go with the GMPP myself as I know they will be around to fix it. Plus the dealer will use factory parts not something that that could be from a boneyard with a fresh coat of paint on it.

[ness5575]

i have the gmpp and it has been totally hassle free everytime i needed to use it. There were too many horror stories about other aftermarket warranty places out there for me to go with one of them.

Call other dealerships regarding the gmpp - different dealerships have WAY different prices on the gmpp.

also, consider a $0 ded warranty. at $100/visit, you may make up the difference in cost from a $0 ded to a $100 ded pretty quick...

[JimG]

Ted,

 

You may want to call Blake Huddleston at Classic Chevy in Grapevine, TX.

I purchased an extended warranty through him 2 weeks ago. Got a slightly better deal than the gmoutlet.com site.

Their toll free number is 1-800-259-1200

 

Also, did you check out an extended warranty with AAA?

Personally, I agree with all who have posted in that GMPP is the best way to go, but AAA is also a very good second option.

[Charlie in TX]

IMO extended warrenties are a waste of money. Look at it from the warrenty providers side. They MUST take in more money than they pay out. For every dollor they take in they can pay out no more than about 60 cent. (I don't remember were I saw that number but it sticks in my head for some reason). The rest must go to administration cost. It is spreading out the risk of damage from a manufactures defect in one auto over many people. If you are the one in 10 with a covered defect you make out ok.

[ness5575]

charlie makes some good points - the warranty company (no matter who you go thru) is in the business of making money, so the chances are that you will not exceed the cost of the warranty in repair bills.

 

but, there are so many parts that could go wrong on these vechicles that are big money items. if an abs regulator, or tranny, or whatever goes you have just paid for the waranty.

 

on my truck, i didnt use my 5/100k gmpp at all till 82k. since then it has more than paid for it as i have had the fuel pump, fuel pressure regulator, u-joints, sun shield, 4wd switch, 2 ses lights (emissions parts replaced each time), and a transfer case seal replaced.

[TedHam]

I checked Google and found references to Continental Warranty dating back to 1988. So, they have been around a while. Once I get the pkg from them, I have 60 days to cancel without penalty.

 

BTW, I checked the discount on the GMPP and it appears to offer some good prices (in neighborhood of $2100 for 60mo/60k plan beginning from the date the coverage starts vs 'in service') but when comparing to the 7yr/100k coverage offered by Continental, GMPP increases to over $4500 (vs. $1217).

 

I'll read the documentation and investigate further before I sign...

 

Thx for all of the good feedback!

[JimG]

Given the amount of times my truck has been at the dealer's during the 36,000 mi factory warranty period, I'm darn sure my extended warranty will pay for itself.

 

So far I've had the following done in the 16-17 months I've owned the truck:

- Replace rearview mirror ass'y

- Replace A/C accumulator seal

- Replace 6 CD changer radio

- Intermediate steering shaft lube

- Fix front seat cloth pulling away from seatbelt trim

- Resurfaced rear brakes due to rotor scoring

- Emissions (2 times now, and it's sitting there as I type this for the 2nd time)

- Fix front bumper rusting

[sonjaab]

While a lot of folks say a extended warranty is a waste of money..........

 

I say different..............I don't own a driveway queen !

I snowplow, HEAVY tow and haul with my rig.................

 

I don't cry about "piddly stuff" after warranty is up!

I worry about that $2800+ blown tranny or that $2000+ transfer case etc.........

that usually poops out after the 3/36 warranty !

 

Snowplowing beats up ANY truck........................

 

My Caddies.... I NEVER buy a ex-warranty and run them 5-6 yrs. , 100k plus

miles and NEVER a major $$$ problem (knock on wood). After 5-6 years if

anything is about to go its BYE-BYE time anyway !........................geo

[dukbludvl]

If you look at it from an economics point of view (sorry, I was an econ major in college), taking an extended warranty is ALWAYS a "bad bet." What I mean by that is that for every decision involving money, you can calculate an expected value. The expected value is essentially the value (or in a case like this, cost of repair) times the likelihood of the problem occurring. Unless you have some specific knowledge that your vehicle is more likely than all other GM vehicles of your type to have problems, then it is a bad decision to buy an extended warranty, because you have to assume that the warranty company has calculated the price of the warranties it offers for these vehicles to include enough of a margin to 1.) cover all its expenses and 2.) make a profit.

 

So, the bottom line is that buying an extended warranty is almost always a bad bet (unless, as I said, you have some knowledge that your vehicle is more likely to have problems than the average vehicle).

 

This is the same argument that applies to gambling. Yes, you COULD win tons of money, but in the long run, MOST people lose and the casinos ALWAYS make money. It's a mathematic fact.

 

Sorry for long, rambling econ crap. Hopefully, my arguments make sense.

[dukbludvl]

Sonjaab -- in your case, with your work trucks, they are more likely than the average truck to have problems, so the ext. warranty probably makes good sense. With your caddies, it does not. That makes sense to me.

 

I baby my Yukon -- I hope to keep it running for a LONG time. I still love getting in to it every time I drive it -- even after almost 4 years.

[99silveradoz71]

As others have noted, the warranty providers are in the business of making money. Now they likely figure that their safer today with the technology in terms of claims...it may also be likely as we can see from the comments on the board, that those who consider an extended warranty want to keep their trucks and tend to be sure that they are regularly serviced(read: less claims).

 

I have an AAA warranty on my ride and it's paid off several times and still has plenty of time left with it. Though for the routine stuff, I tend to do it myself to be sure Blue is running strong and well cared for.