: Warranty...yes or no?



jdelp
09-13-12, 08:14 PM
Just bought a '05 STS AWD with the N* and 83k miles. Still debating the warranty offered by the dealership. It's full coverage 3yr/38k mile with $0 deductible comprehensive coverage and includes the "technology package" which covers all of the computers, chips, sensors, etc. Considering this STS has the navi and all available options ( it seems lol) I am thinking I should go with the warranty. The cost of the warranty is $2200 (+)(-). From research it seems like I can be looking for the MRC struts to be going in the next 10k miles or so (hopefully not) but looking at the cost of replacing those - $1500 or so, that alone would pretty much pay for the warranty cost itself. I hate to think something is going to go wrong and I am normally NOT a warranty guy...but while I LOVE the tech of this car, the potential for $$ fixes scares me.

Should I go with the warranty or roll the dice?

Thanks for any thoughts!

dl72
09-13-12, 08:49 PM
Look at other warranties. You can get longer coverages, more year, zero deductible, for less or the same price.

EChas3
09-13-12, 09:00 PM
For this car, I think most extended warranties will pay for themselves. Mine have.

YMMV

R3TRO
09-14-12, 01:04 AM
I paid $1800 for my warranty and car (05 STS V8) had 88K miles when bought. Currently is has 101K miles (one year later). Now everything worked perfect off the lot. I will now be bringing in the car for the following:

-lumbar went out in both driver and passenger seat (both motors need to be replaced)
-driver side temp control knob doesn't like to turn temp up (entire hvac unit needs to be replaced)
-havac has trouble switching between recirc and outside (servos need to be replaced)
-car will shut off with no warning (possible failing crankcase position sensor)

Service tech gave me a rough estimate off top of head and it was right around the $2500 mark. Obviously in my case the warranty was worth the purchase plus I still have two more years and another 24K miles left on it. I think any luxury car that you are planning to keep well past 100K miles should have some type of coverage. There are just too many electronics and moving parts, something is bound to go wrong.

KRSTS
09-14-12, 08:34 AM
Look at other warranties. You can get longer coverages, more year, zero deductible, for less or the same price.

On a high mileage, eight year old luxury car - I doubt it. Do you have any specific companies in mind and are they reliable?

malatu
09-14-12, 10:12 AM
My 2006 CPO STS recently expired. I looked into a couple, Zurich in particular and Warranty Direct. To get the coverage and term I wanted, both were in and a round $6,000. I believe that was for 3-4 years bumper to bumper. Neither policy covered the nav system.

I still need to do a bit more research. I'd like to cover the car for another 3-4 years.

dkozloski
09-14-12, 11:12 AM
Self insure. Take the warranty premium and invest it in something that will pay some interest instead. If the car needs work, now you can show the shop the color of money and negotiate your own deal. If the car doesn't need work the money goes in your ass pocket.

jdelp
09-14-12, 03:04 PM
[QUOTE=dkozloski;3086246]Self insure. Take the warranty premium and invest it in something that will pay some interest instead. If the car needs work, now you can show the shop the color of money and negotiate your own deal. If the car doesn't need work the money goes in your ass pocket.[/QUOTE

Invest it in something that will pay some interest - HA, that's a good one, got any tips on that?! Seriously though, I appreciate your suggestion.

malatu
09-14-12, 08:41 PM
Self insure. Take the warranty premium and invest it in something that will pay some interest instead. If the car needs work, now you can show the shop the color of money and negotiate your own deal. If the car doesn't need work the money goes in your ass pocket.

Self insuring is definitely an option (though an interest bearing account doesn't really offer much weight to the decision making process) but I suggest it's not that cut-n-dry. Car warranties are a crap shoot. It's about fixing your costs over a period of time as well as gauging your ability to stomach and afford the monetary risks that goes along self insuring.

If one can afford to self insure...... should they self insure? Actuary tables exist for a reason. Armed with that statistical information, that's how the insurance companies set their rates giving them the advantage to make a profit.

I'd be curious to know if their actuary tables are specific to a particular model or based on the average car on the road. I would guess the latter. If so, I suspect they are loosing money on the policies written to cover the "repair-prone" models and making money on the more reliable models.

dkozloski
09-14-12, 10:02 PM
Insurance companies have to charge more than they pay out. The shops charge more and replace more parts when they know they are dealing with deep pockets. The risk of self insuring is not as great as you might think, especially if you have the self discipline to build the fund in the first place.

EChas3
09-15-12, 01:08 AM
For those inclined to DIY and/or use an auto-recycler for some repairs, self-insurance gets more attractive. There's still more risk.

Trapspeed
11-17-12, 02:47 PM
it seems like I can be looking for the MRC struts to be going in the next 10k miles or so (hopefully not) but looking at the cost of replacing those - $1500 or so, that alone would pretty much pay for the warranty cost itself.

Careful. No aftermarket warranty, GMPP or not, will replace shocks. Don't surprise yourself when the claim is denied.

EChas3
11-17-12, 05:20 PM
Forum members report CPO covering MRC struts. If a warranty includes electronic/active suspension, they really should be included. Good luck!

Mullah88
11-17-12, 06:56 PM
My 2006 CPO STS recently expired. I looked into a couple, Zurich in particular and Warranty Direct. To get the coverage and term I wanted, both were in and a round $6,000. I believe that was for 3-4 years bumper to bumper. Neither policy covered the nav system.

I still need to do a bit more research. I'd like to cover the car for another 3-4 years.

stay away from warranty direct....in my case they denied my claim when my timing chains went out...saying it was "wear and tear" not a damage! even though they stated they would cover it on the policy :-(

Ludacrisvp
11-17-12, 07:45 PM
Careful. No aftermarket warranty, GMPP or not, will replace shocks. Don't surprise yourself when the claim is denied.

My aftermarket warranty covers them.

ddalder
11-17-12, 08:04 PM
I have the top level GMPP warranty on my car. The problem you'll have is the age of your car. To get anything with decent coverage on something 8 model years old may be cost prohibitive. I always buy a warranty for my vehicles (rarely on anything else) and to date I haven't been disappointed. The difference being that I only buy vehicles that are 2-3 model years old and I buy the warranty at that time. The longer you wait, the more you'll pay.

GMPP will not cover shocks/struts. I've already had this conversation with them.

curtc
11-17-12, 08:14 PM
My extended service plan through Ford has "Macpherson Struts" listed as a covered suspension component...Wonder if that covers the MRC? Doesn't say anything about it excluding active/electronic systems...

Ludacrisvp
11-17-12, 10:28 PM
My aftermarket warranty covers them.
To clarify, they cover the MRC shocks as they have already replaced one of mine in front.

dl72
11-18-12, 07:14 PM
On a high mileage, eight year old luxury car - I doubt it. Do you have any specific companies in mind and are they reliable?

I had one on my 2006 Trailblazer SS for 6 years, zero deductible. My brother has it now.

Mullah88
11-18-12, 07:33 PM
what COMPANY do you guys use?! lol people are saying they have one but no body mentions what it is

curtc
11-18-12, 07:34 PM
what COMPANY do you guys use?! lol people are saying they have one but no body mentions what it is

I did, FORD.

Mullah88
11-18-12, 09:08 PM
definitely over there 125k mileage (currently sitting at 146k)...next.

if theres a third party warranty that will cover both "wear and tear" and "breakdown" ill sign up, most of the ones i've seen only covers either or. anybody using carchex warranty?

jdelp
11-19-12, 12:30 PM
I ended up going with the third party warranty company (Guidant, GWC or something like that - don't recall exact name now) and it has covered parts/labor on one front & one rear MRC strut (just paid tax on parts) and parts/labor on power steering pump. This has more than paid for itself with these repairs alone. Since the car was + 80k I had to have some type of 'exception' from an area manager of the warranty company...

zapconj
11-19-12, 01:44 PM
I ended up getting the "bumper to bumper" warranty for my wife's 07 STS. I have it on my 04 EXT and have not had any problems with claims. I just got it in April and have used it twice since then. I have had about 4K worth of repairs done and have not had any problems getting my claims paid. The dealer just calls up and takes care of everything. All the parts are factory GM parts. I also got a loaner car from enterprise rental car to use as part of my coverage while the repairs were being done.

the Carchex policy i go covers the Nav all on board computers as well.

Give them a call have them give you a quote and have them email you a copy of the contract so you can see up front what is covered. IF i can get to it today, i'll post a copy of mine so you can see what it's about.

if your car/truck has UNDER 95K miles on it you can get the "bumper to bumper" warranty from carchex. anything over 95K you will have to get the Powertrain Plus.

turnne
11-19-12, 08:50 PM
Forum members report CPO covering MRC struts. If a warranty includes electronic/active suspension, they really should be included. Good luck!

agreed

Not sure where he got the $1500 figure to replace the shocks

I have heard at 2x that amount

Unless there is a way now...as with the older car... to put the non MRC standard shocks on and bypass the computer?


Warren

jdelp
11-20-12, 12:37 PM
agreed

Not sure where he got the $1500 figure to replace the shocks

I have heard at 2x that amount

Unless there is a way now...as with the older car... to put the non MRC standard shocks on and bypass the computer?


Warren

Sorry, $1500 was for one 'set'...front or rear and that was just parts - with labor I think it came to around $2000 (+)(-). Again, I only paid for tax on parts so that repair alone pretty much paid for my warranty.