Extended warranty. Buy or not buy?

i agree with the dyno 100%...must have
and like the others said be weary of the dealer sponsored warranty.
i have found that if you wheel and deal you come out ahead...4,000 is alot
to pay on top of the price of a used truck...if i where to step into a dealer and they told me a price on any used truck i would insist on a dyno and a warranty first at that price and then proceed to negotiations.
if they will not work this way then offer what you think the trouble of doing it yourself is worth...good luck

 

bump for new experiences

 

I have a Premium 2000 and have not had to use it yet (knock on wood). When looking at them I learned a couple of things.

1. It was the only warranty any of the shops I talked with would recommend. Some won't even get in the middle of some of the other warranties.
2. Make sure that you tell the shop you have a warranty. The same issue can be explained different ways and can be the difference between an easy cliam and a fight. They gave me an example but can't remember it.
3. Pricing for the same product varries widely. If you call and talk with enough dealers and tell them you are looking at warranties and want the price you can get the cost from one of them. This will help with figuring if you are getting a good deal.

I ended up with 100K/12 months on turbo and injectors; 3 years (upto million on my unit) for all lub parts, tranny and rear ends. Dealer cost was $2800 and paid $3100.

The $4k mentioned at the beginning is high.

 

An extended warranty shouldn't cost more than a couple thousand tops, as was mentioned read the fine print, do a search on the net for any complaints or comments, call your local shop if you have one to make sure they honor that warranty as most likely that is where you will have warranty work done unless it's a major malfunction.

 

Just a tip, I got a $4000 warranty for about $2000 when I bought my truck. The price is negotiable. It just paid for itself and then some last week when my EGR and turbo took a dump in FL. $4500 repair bill cost me about $400 out of pocket. I sold used trucks for a short time a few years ago and the dealers are gonna push it because they make a good profit off add on sales like that. My suggestion is to tell the dealer you want the truck at x price plus y for the warranty. As mentioned, most decent warranty programs are going to require a dyno and inspection before they cover the truck for 200,000 miles so your going to get that in the deal as a gimme - at least I did.

 

You're better off putting $4,000 in the bank and using that to offset problems. Even at a lower price service plans are usually a losing bet. So why not bet against yourself and be a winner after one year or 100,000 miles whether the truck breaks or not.

Also: When you do make a claim, you know the repairs will get done as cheaply as possible and by the low bidder aka the "authorized service center." Is that how you shop your service dealers when you're paying directly out of pocket? If so, a service contract may be for you.

One last thought: Will you be in a hurry to get that warranty repair done? I know first hand that repair shops move a lot slower when you wave a service contract at them instead of a handful of money.

 

Also many of the warranty will cover defects and wear. When it comes to the transmission and rear end they will ALWAYS call it driver abuse no matter what. So scrap the extended warranty for the trans and rears. Also, the engine is the same way. It wont cover wear. Only parts defect!

 

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