Extended warranty, good or bad idea?

DiegoYJ · April 3, 2006

My truck is 2500hd's warranty is going to expire in about 5k miles. Do you think an extended warranty(4 years, 100k total miles) is a good idea or a waste of $1500?

pwall · April 3, 2006

Well, for me it was worth it.

My truck now has 110K kms (approximately 65K miles) and I purchased an extended warrenty. Since the 'factory' warrenty has expired, I had the intake manifold gasket replaced and an electrical relay that controls the headlines replaced. Just the electrical relay alone was a $350 part and is located in the sterring column.

total so far was just under $1500.

My warrenty won't expire until 160K kms so I'm expecting more repairs as time goes on.

dewfpo · April 4, 2006

My truck is 2500hd's warranty is going to expire in about 5k miles. Do you think an extended warranty(4 years, 100k total miles) is a good idea or a waste of $1500?

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Run a search....this topic has been discussed numerous times.

DEWFPO

Daubs · April 4, 2006

Yea, do a search and run some numbers. Wife's Burban was getting to end of factory warranty and we opted to get extended. Dealerman (good guy), suggested we get $0 deductable for extra money. Said if we had Burb in twice it would pay for it.

Burban is 03 with 53k miles on it. It's been in two times, once for cat converter and another time for 4x4 transfer case electronic switch / activator, or something like that. Bottom, I've about broken even on the cost of warranty vs. cost of repairs. And this thing is covered until 100k.

My Crew cab is about 10k from factory being up. I'll probably get ext warranty.

Another plus is that our warranty travels with the vehicle after we sell it! Nice.

JRHDCrew · April 5, 2006

My truck is 2500hd's warranty is going to expire in about 5k miles. Do you think an extended warranty(4 years, 100k total miles) is a good idea or a waste of $1500?

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Where did you get that price ? It's not GMPP Right ???

I am about 7k away from running out of the factory warranty, not sure what I really want to do.

But for $1500, If its a decent company I would consider it.

John

Daubs · April 5, 2006

My truck is 2500hd's warranty is going to expire in about 5k miles. Do you think an extended warranty(4 years, 100k total miles) is a good idea or a waste of $1500?

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Where did you get that price ? It's not GMPP Right ???

I am about 7k away from running out of the factory warranty, not sure what I really want to do.

But for $1500, If its a decent company I would consider it.

John

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Shop around. Buddy of mine used to sell ext warranty's to dealers. There are lots of different coverages out there. You want something that will cover the entire vehicle, bumper-to-bumper. And one that you can take to any service dept / dealer / anywhere in the country!

Basically, if my wife's Burb breaks down in town or in BFE, I can take it anywhere and get it serviced...and not pay a dime! Love it! I'm pretty sure the $250 deductable for her Burb was ~$1,500 and the $0 deductable was ~$1,850. Remember, you have to add tax to that price also.

Hope this helps.

6Burgh · April 5, 2006

Yea, do a search and run some numbers. Wife's Burban was getting to end of factory warranty and we opted to get extended. Dealerman (good guy), suggested we get $0 deductable for extra money. Said if we had Burb in twice it would pay for it.

Burban is 03 with 53k miles on it. It's been in two times, once for cat converter and another time for 4x4 transfer case electronic switch / activator, or something like that. Bottom, I've about broken even on the cost of warranty vs. cost of repairs. And this thing is covered until 100k.

My Crew cab is about 10k from factory being up. I'll probably get ext warranty.

Another plus is that our warranty travels with the vehicle after we sell it! Nice.

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cat is covered for 8 years/80,000 I believe.

Daubs · April 6, 2006

cat is covered for 8 years/80,000 I believe.

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Yep, all I know is I wasn't paying for it

April 6, 2006

I have a 2001 2500 Suburban that now has 120,000 miles on it. I bought it new in December, 2000. I purchased the 100,000 mile/5 year zero deductable extended warranty when new. It cost me $2500. I turned 100,000 miles in 4 years and 5 months. The final tally was that I got $2200 in covered repairs (beyond the 3/36). So, I came out a little bit up-side-down.

JRHDCrew · April 6, 2006

I have a 2001 2500 Suburban that now has 120,000 miles on it. I bought it new in December, 2000. I purchased the 100,000 mile/5 year zero deductable extended warranty when new. It cost me $2500. I turned 100,000 miles in 4 years and 5 months. The final tally was that I got $2200 in covered repairs (beyond the 3/36). So, I came out a little bit up-side-down.

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It's such a hard descision when you hear stuff like this ! I know on my last truck 97 GMC Z71 Xcab I didn't have any issues until after the 100k mark. Actually right after, intake manifold gasket was leaking. But after that nothing at all. Sold it at 160k without any more problems.

My 04 HD is at the 28k mark right now, I keep going back and forth about it.

Only thing it's been back for is the steering shaft and had to replace my planetary gear assembly because of excessive noise, at 18k.

John

whitesnake01 · April 7, 2006

Just remember that there is a reason why those offering the plans make a profit..

For every car/truck you buy, pretend you are getting a good extended service plan, but put the dollars in a jar. Each time you have an issue, dip into the jar. You obviously have to be just as much of an a-hole with yourself as the dealer is, claiming the repairs are not needed, you modified it, etc. Give your personal information to only one complete stranger in the shopping mall for each car/truck you buy. On the average, you should be ahead.

I've only bought two plans in the past and, looking back, it was not a good deal for me. Since then, I dip into my pocket, and I am well ahead.

DiegoYJ · April 7, 2006

Where did you get that price ? It's not GMPP Right ???
I am about 7k away from running out of the factory warranty, not sure what I really want to do.

But for $1500, If its a decent company I would consider it.

John

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That quote was from Warranty Direct with a $100 deductible.

sonjaab · April 8, 2006

MIKE............Beware of those 3rd party companies.

Check http://www.edmunds.com in the forums look in the

Smart Shopper thread.......................

I got screwed once with the old denile not covered or the use

of used parts. Then they went out of business !!!!!!!!!!!!!!

Check out http://www.gmoutlet.com for a great price on

a GMPP warranty !............geo

Daubs · April 8, 2006

MIKE............Beware of those 3rd party companies.
Check http://www.edmunds.com in the forums look in the

Smart Shopper thread.......................

I got screwed once with the old denile not covered or the use

of used parts. Then they went out of business !!!!!!!!!!!!!!

Check out http://www.gmoutlet.com for a great price on

a GMPP warranty !............geo

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I've got a great relationship with they guy who is part owner of the dealership. I've purchased or leased four vehicles from him since 2000 and he even recognizes my voice on the phone before I identify myself. Really takes care of me...and should since I'm a return / good customer.

I feel pretty confident that if my ext warranty company shoots crap, he will cover me. He already said if GM doesn't extend warranty on my 8.1 CSK, that he will make it right if the engine gives me any problems, regardless of miles. So I got that going for me...