Extended Warranty ? - Again....
Hi Team, WE own a 2015 37 foot Evergreen Amped Toyhauler. Pretty loaded (5500 Watt Generator, dual A/C, dual awinings, rear deck, etc...). I have a price on a 7 year (actually 6 years as it sta...
Forum Discussion
Issue is not about affording repairs, it is minimizing the cost of repairs.
1) Yes Extended Warranty companies make money. They make it by, on average, paying out less than they take in.
2) When averaged across all users, I would think that a retired user, who spends 6 or more months in their RV is at a higher probability to recoup the warranty cost.
3) Someone who still works full time, and uses the RV a few weeks a year, is less likely to get more back than they pay in.
So, IMHO, it is just a risk assessment. In the broad pool of extended warranty users, are you more or less likely to get your money back.
As an aside. Last winter we stayed near a gent who had just purchased a $500K Motorhome. He was very wealthy. He was an insurance industry executive, now retired. He purchased the extended warranty. Understanding the insurance business and risk/reward. He felt that, as a full timer, he was one of those likely to get their money back. If he were a casual user, I suspect he would not have purchased it.
...and Jayco-noslide, he could easily afford to pay the repair bills...
1) Yes Extended Warranty companies make money. They make it by, on average, paying out less than they take in.
2) When averaged across all users, I would think that a retired user, who spends 6 or more months in their RV is at a higher probability to recoup the warranty cost.
3) Someone who still works full time, and uses the RV a few weeks a year, is less likely to get more back than they pay in.
So, IMHO, it is just a risk assessment. In the broad pool of extended warranty users, are you more or less likely to get your money back.
As an aside. Last winter we stayed near a gent who had just purchased a $500K Motorhome. He was very wealthy. He was an insurance industry executive, now retired. He purchased the extended warranty. Understanding the insurance business and risk/reward. He felt that, as a full timer, he was one of those likely to get their money back. If he were a casual user, I suspect he would not have purchased it.
...and Jayco-noslide, he could easily afford to pay the repair bills...
