Looking to purchase an extended warranty-->
10-05-2000, 07:47 AM
#1
AudiWorld Senior Member
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Looking to purchase an extended warranty-->
I've gotten a few quotes for extended warranties, and I'm wondering if it's worth it.
For $1100, I've found a bumper-to-bumper warranty that covers virtually everything except fluids and refrigerant and regular maintenance items. Just wondering if it's worth it for up to 100,000 miles of coverage.
For $1100, I've found a bumper-to-bumper warranty that covers virtually everything except fluids and refrigerant and regular maintenance items. Just wondering if it's worth it for up to 100,000 miles of coverage.
10-05-2000, 08:29 AM
#3
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Re: Looking to purchase an extended warranty-->
Sounds like a good deal if the insurer is good. I got mine from Heritage and it cost me $1,550, but that includes a surcharge for AWD, a surcharge for a money back guarantee if I never use it, and a surcharge for zero deductible.
What deductible are they talking?
What deductible are they talking?
10-05-2000, 08:47 AM
#4
AudiWorld Senior Member
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Re: Looking to purchase an extended warranty-->
this is from warrantybynet, backed by a reputable re-insurer.
The warranty has a $50 deductible.
Do you have a website for Heritage? I'd like to check them out.
The warranty has a $50 deductible.
Do you have a website for Heritage? I'd like to check them out.
10-05-2000, 09:17 AM
#5
AudiWorld Senior Member
Concur... I too will get an extended warranty on my '01 A62.7
and I rebuild cars as a hobby (55-66 T'birds). But these new cars are too sophisticated for me to work on and for $1100 to 1500 bucks, it is worth the no hassel, drop it off and get it fixed attitude...
10-05-2000, 09:31 AM
#6
Used to be my business
My company, among other things, is in the extended service contract (actually against the law in some states to call it a warranty) business.
Some key points:
- Will your local dealer honor the agreement?
- If not, find out who's product they will honor.
- Who is the insurer of the agreement. All service contracts are insurance products and as such are underwritten by a insurance carrier.
- What is the coverage. There are 2 types of contracts:
1-Stated coverage which means the policy only covers those items which are expressly stated on the contract.
2- Exclusionary coverage which covers everything except that which is stated on the contract. This is typically what dealers will call "bumper to bumper."
- What is the "wear and tear" clause. Some contracts will imply that if the rings wear out at 95,000 miles such that you are using 1 quart of oil every 400 miles, that is normal wear and tear for a car of that mileage and won't be covered because it is not a failure.
- Where can repairs be done? If you are on a trip and experience a failure where there is no dealer or "authorized" repair facility, how do repairs get paid for. The better companies will pay any repair facility with a corporate credit card over the phone upon completion of the repair.
- Last, at least for this posting- what is their policy on replacement parts. Especially important for our cars. Will the service contract company want to source used parts or will they allow the dealer to rebuild yours. If your transmission fails, what do you want in your $40k+ car, a used part from who knows where or a factory trained technician rebuilding yours?
Finally, service contracts are a fantastic investment as long as you plan to keep the car that long. We have a contract on my '98 A6Q and the contract on my wife's '93 100CS just expired. On her car, the policy paid for itself with the first transmission repair.
FYI- Heritage, mentioned in tubey's post, is a GE Capital company. Might want to check with local dealers to see who offers the GE policy. It should be less expensive than buying on the web since the GE web site includes a markup and the dealer is free to sell at any price they choose, from dealer cost on up. Any dealer can sell it to you, not just the dealer you purchased from.
Good luck.
Some key points:
- Will your local dealer honor the agreement?
- If not, find out who's product they will honor.
- Who is the insurer of the agreement. All service contracts are insurance products and as such are underwritten by a insurance carrier.
- What is the coverage. There are 2 types of contracts:
1-Stated coverage which means the policy only covers those items which are expressly stated on the contract.
2- Exclusionary coverage which covers everything except that which is stated on the contract. This is typically what dealers will call "bumper to bumper."
- What is the "wear and tear" clause. Some contracts will imply that if the rings wear out at 95,000 miles such that you are using 1 quart of oil every 400 miles, that is normal wear and tear for a car of that mileage and won't be covered because it is not a failure.
- Where can repairs be done? If you are on a trip and experience a failure where there is no dealer or "authorized" repair facility, how do repairs get paid for. The better companies will pay any repair facility with a corporate credit card over the phone upon completion of the repair.
- Last, at least for this posting- what is their policy on replacement parts. Especially important for our cars. Will the service contract company want to source used parts or will they allow the dealer to rebuild yours. If your transmission fails, what do you want in your $40k+ car, a used part from who knows where or a factory trained technician rebuilding yours?
Finally, service contracts are a fantastic investment as long as you plan to keep the car that long. We have a contract on my '98 A6Q and the contract on my wife's '93 100CS just expired. On her car, the policy paid for itself with the first transmission repair.
FYI- Heritage, mentioned in tubey's post, is a GE Capital company. Might want to check with local dealers to see who offers the GE policy. It should be less expensive than buying on the web since the GE web site includes a markup and the dealer is free to sell at any price they choose, from dealer cost on up. Any dealer can sell it to you, not just the dealer you purchased from.
Good luck.
10-05-2000, 09:37 AM
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Re: Looking to purchase an extended warranty-->
Sorry, but I just went over all the literature that I have and don't see a URL anyplace. I bought it through the same broker that got me the car.
The company is in Lincoln, NE, if that's any help.
The company is in Lincoln, NE, if that's any help.
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10-05-2000, 09:54 AM
#8
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Check Out AutoServiceContracts.com
I got a pretty good deal on a 6-year, 100,000-mile warranty on my 2000 A6 2.8Q.
It's a bumper-to-bumper, excluding only stated items, with a $100 deductible for $903. The insurance company is Heritage.
It's a bumper-to-bumper, excluding only stated items, with a $100 deductible for $903. The insurance company is Heritage.
10-05-2000, 11:00 AM
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Check out the Autoweek classifieds
There are usually 2 or 3 companies advertising. Also good to note that you can wait until the factory warranty is about to run out, and then get one for only 2 or 3 years. However, don't let it run out - that raises the rates a lot.
I once bought one from the credit union where I financed the lease buyout. You raise a lot of good points, I'm glad to see that based on your criteria I stumbled onto a good policy! Another point (what, me disorganized), save all your paperwork because the policy is frequently transferable, or in my case where I traded the car in and the dealership didn't want it, I got a pro-rata refund for the remainder of the term.
I once bought one from the credit union where I financed the lease buyout. You raise a lot of good points, I'm glad to see that based on your criteria I stumbled onto a good policy! Another point (what, me disorganized), save all your paperwork because the policy is frequently transferable, or in my case where I traded the car in and the dealership didn't want it, I got a pro-rata refund for the remainder of the term.