Question on Extended Service Plan Exclusions

[Hiker_01]

DW and I are getting ready to purchase a new motorhome. Dealer talked to us about adding an extended service plan. I realize there are those on both sides as to whether or not they are worth the dollars. Personally, for most appliances I buy, I skip the service plan. The quote for this one was $3,500 for 7 year, so seemed reasonable amount. But my question, which the dealer was not able to answer, is: would modifications (i.e. adding an extra batteries and an inverter, adding sway bars and Safe-T-Plus steering assist) void the service plan?

I know the devil is in the details. I did receive a copy of the service plan contract and found the following paragraphs which discuss modifications (and what the service plan does not cover).

a) Vehicles that have been modified beyond manufacturer's specifications that affect the breakdown, including, but not limited to: engine enhancements, suspension/lifts, tires/wheels, or that may increase the likelihood of a breakdown.

b) Aftermarket accessories or non-original equipment, components and systems not installed by the vehicle manufacturer, including, without limitation, anti-theft systems, radio/speaker equipment, telephones, cruise control, and sunroof.

c) In addition, this contract provides no benefits or coverage and the administrator has no obligation under this contract if your vehicle is modified from the vehicle manufacturers original specifications.


Paragraph b) above is rather obvious. If I add something, it isn't covered, but it does not appear to void the rest of the contract. Paragraph a) is less obvious and paragraph c) makes it sound as though if I do anything I could void the contract.

So, bottom line question, for those of you with experience in these matters: Before I plunk down a tidy sum of dollars, based on your experience and what you read above, if I add the mods I am thinking about, am I likely to void the service contract and end up wasting all my money?

Thanks

Don

[Atlee]

After I bought my new 2014 F150 w/ ecoboost, I decided to get the Ford extended warranty plan.

Got it via the internet from a Ford dealer in Michigan. They sell nationwide and at a fairly decent price. After getting their quote, I went back to my local dealer to see if they would match it. He wouldn't come close.

I've never gotten a car extended warranty before, but since the twin turbo engine was relatively new, I felt a little better with the extended warranty. I'm now good through 100,000 miles or 7 years. By that time, I may be out of the RV game for good.

[dodge_guy]

Hiker_01 wrote:
Thanks everyone for your feedback. Based on everything, I will probably follow my gut and not plunk down the money for the contract.

Good call! auto manuf. warranties are much better because they are backed by the manuf. and they have their name riding on it. aftermarket are a waste. save the money for camping or for that first failure that you can more than likely pay less for out of pocket!

[Hiker_01]

Thanks everyone for your feedback. Based on everything, I will probably follow my gut and not plunk down the money for the contract.

[DownTheAvenue]

beemerphile1 wrote:
Read up on the Magnusson-Moss warranty act. In order to void the contract they have to prove the modification caused the issue.

That Act does not apply to third party warranty suppliers. The Act specifically applies only to manufacturers original warranty.

[monkey44]

I'm no fan of after-market warranties anyway, as soon as you file a claim, the warranty company spends lots of time figuring out a way NOT to pay it, but this one even has a 'get out of pay card' in that last paragraph.

AND, many of the companies got belly up for a lot of different reasons, like paying the administrators salary instead of paying claims. Then, bankruptcy court takes over. Remember, these warranties are more like insurance policies, and insurance companies are in business to make money. So, continue to do your homework before you decide ... some are good, some are not so good, and it's on the buyer to figure out the difference, not the salesman.

Correct above, for sure -- if you do decide on one, make it begin AFTER the Mfgr warranty ends.

[beemerphile1]

Read up on the Magnusson-Moss warranty act. In order to void the contract they have to prove the modification caused the issue.

[dodge_guy]

First off, how would they know what was added. The manuf adds quite a bit of aftermarket stuff! Things like airbags, stabilizers and other things sometimes come standard. I think it would be very difficult to tell what was added after the fact.

Either way I would pass!

[DownTheAvenue]

Paragraph (c) would be a deal killer for me, as it would allow the plan to not pay if you added an aftermarket radio and the transmission failed. Absurd.

But the reality is you should not consider the extended warranty until after the manufacturer's warranty expires. As previously stated, buying now means you are paying for the extended plan while the manufacturer's warranty is in effect. Also, if you find your coach to be trouble free, after the manufacturer's warranty expires you may consider the extended plan pointless. You can find plans available from many third party sellers when and if you decide to purchase.

You should also consider that many of those plans are great at taking your money, but very poor about paying claims. They are unregulated, and many are more of a scam and after collecting lots of money, they just go out of business leaving you with a worthless piece of paper. Even legitimate companies often make you jump through ridiculous hoops to get a claim paid.

Remember, these warranties are huge profit centers for the dealer, maybe even making more on them than the sale of a RV, so expect extreme pressure from the dealer to get you to buy.

[Rollnhome]

starcraft69 wrote:
One thing we looked at was that they would only let us put it into financing not pay for it up front. So I would be paying more than $3200 for ours. Also our Jayco came with a 2 year warranty so I was paying $3200 + interest for a five year extended not seven years because it was covered by Jayco the first 2 years. We passed on it and I was able to find a one for 7 years coverage $2100 and It will start after our 2 year with Jayco. So I ended up with 9 years of full warranty for $2100. Hope this helps

Ding,ding,ding,ding......we have a winner!!!!

[starcraft69]

One thing we looked at was that they would only let us put it into financing not pay for it up front. So I would be paying more than $3200 for ours. Also our Jayco came with a 2 year warranty so I was paying $3200 + interest for a five year extended not seven years because it was covered by Jayco the first 2 years. We passed on it and I was able to find a one for 7 years coverage $2100 and It will start after our 2 year with Jayco. So I ended up with 9 years of full warranty for $2100. Hope this helps

[phillyg]

Congratulations for doing your homework. Based on the contract language (and I'm not a lawyer but have years of contract-related experience), the service plan provider has written a lot of weasel words into the contract. Without dissecting each sub-paragraph, I would say generally (weasel word) the provider could deny coverage if it determines any modification was done to the vehicle that was even remotely connected to the breakdown/failure. That's not to say they would deny coverage, but they could and you'd be left holding the bag for repairs. I'm not a fan of service contracts for the above reasons, but my DW made us buy one for our current FW.

[gbopp]

Hiker_01 wrote:

c) In addition, this contract provides no benefits or coverage and the administrator has no obligation under this contract if your vehicle is modified from the vehicle manufacturers original specifications.

To me, this paragraph answers the question.

[midnightsadie]

just my opinion, IF you alter something its a void on the warrenty.find a private warrenty company the price will be cheaper than the dealer. he,s getting about half your $3500. for selling it.