Buying An Extended Warranty

[azgooch]

Good Evening all,

I am new to the Chevy thing, I have been driving Fords for the last 20 years and decided it was time for something new! To make a long story longer, I bought a 2004 Silverado and am looking to buy an extended warranty. It only has 38k on it and have called a couple of dealers with mixed results-as in different prices for what seems to be the same warranty. Just thought someone out there might have a suggestion or link to where I should be going.

[unit731]

You had better do some research. Most are not worth the paper they are printed on. Your money is good. The warranty is not.

 

Read on:

 

"Back in June 2003, it was the collapse of the National Warranty Insurance Risk Retention Group that brought unwanted publicity to the auto extended warranty industry. It turned out that although the business was nominally based in Lincoln, Nebraska, it was actually incorporated in the Cayman Islands, where the company and its assets remained largely beyond the reach of American regulators. That group's liquidation in turn caused the collapse of Warranty Gold Ltd., Triad Marketing Group LLC, SC&E Administrative Services Inc., and American Prime Asset Inc., sellers of the Smart Choice and Encore brands of extended warranties, among others.

 

Auto Services Company Inc. , another member of National Warranty's liquidation committee, remains operational today because only a small part of its business relied upon the Cayman-based underwriter. According to bankruptcy court filings and people familiar with the proceedings, Auto Services continued to honor claims even after others such as Warranty Gold and SC&E stopped. Auto Services therefore is not a party to the class action lawsuit the others are now moving towards settling in Nevada, essentially because all of its claims were paid out of its own pocket."

 

 

www.warrantyweek.com

[dsmazz]

If you do buy an extended warranty, I would only consider one offered by General Motors, not some third party that's here today and gone tomorrow.

[Spoonman]

I would call your local dealers service departments and ask them which companies that offer extended warranties work best and with the dealership. I think it says alot if the actual service department recommends them.

 

Then if it were me (and the vehicle had a good history report) , I would save the money and just pay for any expenses (if any) out of pocket as they occur. Most EW's have deductables anyway.

 

I would bet that a high percentage of EW's never actually pay off.

[cmoore74]

There's a double post on this... Here's what I posted in the other one...

 

Because it is past the factory warranty of 36k I think it may limit the type of warranties you can purchase, but I could be wrong.

 

I don't really have a good source for you, but I will say I have purchased extended warranties on 4 of my past vehicles and I have never had one pay for itself. I opted not to get one on the new truck.

 

There is a post on this which may offer some interesting reading. Here it is:

 

http://www.gm-trucks.com/forums/index.php?...tended+warranty

 

One other thing the prices of these extended warranties are negotiable. In fact I got my last one for 1/2 price and it still didn't pay for itself.

[akfireman]

I purchased an extended warranty/extended service contract through my Credit Union on my 04 silverado, the warranty company is Intercontinental warranty (i believe), it was cheaper than the dealerships extended warranty and had the option of 0 (zero) deductible.

[cerbomark]

Take the money you would spend on the warrenty andput it in the bank. A good bet would be you will spend less than that on repairs for the lenght of the warrenty.

[hotwheels57]

It's a gamble either way...now, as a gambler would you rather have to pay for the cost of expensive repairs out of pocket (or bank account) or have the extended warranty cover it, minus your deductible, no matter what the cost?

[unit731]

I purchased an extended warranty/extended service contract through my Credit Union on my 04 silverado, the warranty company is Intercontinental warranty (i believe), it was cheaper than the dealerships extended warranty and had the option of 0 (zero) deductible.

 

I am absolutely positive you got a good warranty.

 

But I suggest that all READ the warranty and see what it really covers no matter if zero deductible or whatever.

 

I had a relative, who did purchase an extended warranty from a Chevrolet dealer. One week later the oil pump went/stopped. Towing not covered. Oil pump not covered. You see, "wear items" are not covered on this particular extended warranty. Anything that can wear out is not covered.

 

So my question to all is: What is not a wear item?

 

But anyway, READ the document and see what it actually does cover. And read the fine print.

 

Good Luck.

[hotwheels57]

Wear items are covered by extended warranties...rear axles, transmissions, engines...a clutch may not be warranted by the extended warranty, nor a power window switch.

Good advice to read the extended warranty though. Compare companies for their provided coverage/cost/exemptions.

This is the GMPP warranty website. It should detail everything that their warranty covers.

http://www.gmprotectionplan.com/

[akfireman]

I purchased an extended warranty/extended service contract through my Credit Union on my 04 silverado, the warranty company is Intercontinental warranty (i believe), it was cheaper than the dealerships extended warranty and had the option of 0 (zero) deductible.

 

I am absolutely positive you got a good warranty.

 

But I suggest that all READ the warranty and see what it really covers no matter if zero deductible or whatever.

 

I had a relative, who did purchase an extended warranty from a Chevrolet dealer. One week later the oil pump went/stopped. Towing not covered. Oil pump not covered. You see, "wear items" are not covered on this particular extended warranty. Anything that can wear out is not covered.

 

So my question to all is: What is not a wear item?

 

But anyway, READ the document and see what it actually does cover. And read the fine print.

 

Good Luck.

 

 

you absolutely want to look at what wear items are covered and what aren't. My point of the post was that you should look around at nontraditional sources for EW's. I get great customer service from my Credit Union and this is one of the benefits they offer, maybe yours/theirs offer the same.