extended warranty

[diver57]

Hi I bought a new truck 2016 Gmc dually and was wondering if most people buy the
extended warranty or not .AS they are not cheap to buy
thanks

[JohnG3]

Near the end of the factory warranty on our 2010 F250 diesel I received an offer for an extended warranty from the dealer. Added another six years and out to 100k miles.

Fast forward to after I purchased the extended warranty and just before the factory warranty ran out I had a minor issue with the factory TPMS. Our service writer checked and told me the warranty was about to expire. I checked all my paper work said six more years and and about 60K miles. Called the dealer I purchased the warranty from and they said if the extended warranty is purchased by the original purchaser of the vehicle the warranty starts when the vehicle was first put into service by the original buyer. A phone call to my attorney who in turn called the general manager and the factory service rep settled the issue. My warranty is now out to 100k and another 6 years.

[paulcardoza]

Extended Warranties are a highly personal decision. As others have said, they are significant money makers for the dealerships, so odds are, you won't recoup the premium in claims paid.

That being said........ You need to look at your personal situation, both financially and your view on risk avoidance. If a $3k - $4k repair bill will cripple you financially, do you want that dead truck sitting in your driveway, while you continue to make payments on it?

May people will suggest putting the premium in the bank as a "rainy day" fund, but for many people, that's easier said than done.

In my lifetime, I've purchased EW's only twice.

First time was when we bought our used Monaco Executive. We had no previous experience with a big DP, not real knowledge of how well it had really been maintained. I knew a replacement engine or tranny would run 5 figures, so we bought an EW for 1 year. After that year, once we had a better feel for what we had, we did not renew.

Now, I bought my 2015 Jeep Wrangler brand new ~~18months ago. I purchased the Mopar lifetime warranty for it, after much thought. Reasons I jumped at it are:
FCA's poor quality reputation.
Wrangler's excellent reputation for holding value.
My expectation that I'll keep the Jeep long term.
I have coverage forever, until such time as the repair cost outweighs the KBB value of the Jeep. At that time, FCA will cut me a check for the KBB value and the warranty ends. Bumper-to-bumper, $100 deductible. I just could not pass that up.

[Fizz]

I never use to believe in extended warranties but...
Today's vehicles can have dozens of computer enabled systems and switches that cost $1000 to fix or replace. Everything is wired, if one fails most likely it will cripple many crucial systems.

I don't even do oil changes anymore.
I lease my car for the length of the manufacturers warranty only.

[beemerphile1]

I did not get the extended with my 2016. You know, the coverage doesn't start until the factory warranty expires, you can purchase the extended plan at any time.

Dealers push the extended plans because about 50 percent of the price is profit to the dealer, the other half is the plan itself.

[ScottG]

Keep in mind that the extended warranty price is not set in stone. You can negotiate it just like the rest of the deal.
Last time I bought one they started at $2800. I didn't really want it but I offered $1k and stuck to it. They eventually came down to my price and the finance guy told me they pay $600 for it so anything they make above that is gravy.
So if you want it - low ball them. Hard.

[imgoin4it]

I have a 2012 1500 silverado 4x4 that has only needed and had oil changes, tire rotation, and a new set of wipers. I still get offers in mail and on telephone for extended warranty.I keep saying "no" and saving money. Had an extended warranty on a jeep some years ago. Never had, needed anything, or used a penny of the money the warranty cost. I would never have another extended warranty unless I was willing to donate the money.

[Rjdreyer]

I am ahead on my extended warranty. Getting ready to purchase another. Doesn't take much to get your money back now days with all the electronics.

[Mmwtdh]

I keep coming back to the fact that they wouldn't sell them unless they were making money.....

[Dandy_Dan]

Find out for sure that you can wait until the factory warranty expires and then purchase the extended. I was told by a Chevy dealer that I should get the extended prior to the factory one expires. I was about 15 days prior to factory expiring and purchased the extended from a Chevy Dealer and got a 5 year zero deductable. I had purchased a 2014 in October '15 (had been put in service in October 13) and the factory warranty ran out the following August. When I got the truck it had 7200 miles on it.
Good Luck.

[Halmfamily]

I have a 2008, in sig, with 134000 miles and has never seen the inside of a dealership except for tranny fluid changes. I would self insure and make sure you do proper fluid changes and keep a good fuel filter on the truck. Dealers make a ton of money on these warranties and many of the companies who sell them have gone under

[Okie1]

I am thinking of buying too but not until the end of my factory warranty. If you buy it now it starts now so it is a waste until your factory warranty runs out.