Used car warranties?

[jeffrefrig]

Does anyone know anything about those warrantees they sell for used cars? Lots of ads on TV for them on those cable channels, but maybe there are some that actually fill your needs without killing your budget. I gave my daughter a 2010 Subaru suv. I've put quite a bit of money into the car the past 4 years I've owned it, like exhaust, batteries, tires, basic wear items for a beater that is one of the best used cars I've ever owned. Until we can go look at new/newer cars, I thought about getting a warranty through one of those companies in case the motor or tranny or whatever big-ticket parts fail. Trying to get together to go car shopping seems to be our biggest issue, but I want her to get her own car, insurance, and payments, as she's only 21 and needs to get her credit built up better. Of course I'll co-sign.
Just wonder if those repair insurance companies are a waste of money, as they seem to be in my mind. Especially on a 2010 vehicle.

 

[Rpg]

You may find that there are age or mileage limits beyond which the won't write a policy.

Keep in mind that the general profit margin on these second warranty policies is about 93%. Premiums can be stout.

 

[jeffrefrig]

Yeah, thanks. That's exactly what I was thinking after weighing everything out. Old car, large premium. I feel after asking the question I actually answered it. The car did its duty and still does well.

 

[Narragansett]

I think I heard or read that the FINE PRINT allows them to use non OEM aftermarket parts. It is just like life insurance. You are betting your car will break down, and they are betting it won't.

Changing your oil more frequently than the recommended service interval is the best insurance you can buy

 

[twodog max]

Saw a video a few weeks ago by a car repair shop. Basically the owner said these companies have a policy of denying claims over very trivial matters that the fine print allows them.
Put the policy premiums money into a savings account to soften the inevitable blow.

 

[max]

If you are going to get one, get if from the manufacturer of the vehicle. It is advantageous to get it before your factory warranty expires.

 

[FLJoe]

A while back I was getting those daily calls telling me I could extend the warranty on my vehicle as mine was expired. One time I was bored, so I started talking to the guy and he asked me the year and mileage on my truck. I said it's a 96 with 510,000 miles. That's actually the truth, I wasn't messing with him. He hung up at that moment. I guess I fell outside their limits... LOL.

 

[K-22]

Fine Print

Does anyone know anything about those warrantees they sell for used cars? Lots of ads on TV for them on those cable channels, but maybe there are some that actually fill your needs without killing your budget. I gave my daughter a 2010 Subaru suv. I've put quite a bit of money into the car the past 4 years I've owned it, like exhaust, batteries, tires, basic wear items for a beater that is one of the best used cars I've ever owned. Until we can go look at new/newer cars, I thought about getting a warranty through one of those companies in case the motor or tranny or whatever big-ticket parts fail. Trying to get together to go car shopping seems to be our biggest issue, but I want her to get her own car, insurance, and payments, as she's only 21 and needs to get her credit built up better. Of course I'll co-sign.
Just wonder if those repair insurance companies are a waste of money, as they seem to be in my mind. Especially on a 2010 vehicle.

Remember, when you read the fine print, you get information.
When you do not read the fine print, you get experience.
Best,
Gary

 

[Narragansett]

A while back I was getting those daily calls telling me I could extend the warranty on my vehicle as mine was expired. One time I was bored, so I started talking to the guy and he asked me the year and mileage on my truck. I said it's a 96 with 510,000 miles. That's actually the truth, I wasn't messing with him. He hung up at that moment. I guess I fell outside their limits... LOL.

That is funny

 

[Pisgah]

If you're thinking about buying an "extended warranty" consider this -- legally, these are not warranties at all but extended service contracts, and in some states it is specifically illegal to call them anything else. How good can they be, if they are using false advertising to sell them, right out of the gate?

You know, go to Vegas and you MIGHT win big -- but probably not. Same with these things ...

 

[JJEH]

Does anyone know anything about those warrantees they sell for used cars?

I posted this is a different "car warranty" thread and hope it helps you in making a desicion.

Okay, now y'all made me go look. The used car warranty we got for our Dart cost $2,995 and runs for 60 months and 60K miles from the time of purchase. It's their "exclusionary complete coverage" and I can claim anything from bumper to bumper minus a few little things! I cannot find the terms right now, but all the major components are covered, incl. roadside, towing, electrical, etc. My deductible is $100 for each claim.

We have had two claims so far, none of them amount to the purchase price, not even combined. But we used it, it was an easy process (at the Dodge dealership) and it's good to have in my opinion. Just like any other kind of insurance.

We bought the same insurance (different terms) with our RAM that we got in 2018. I can give you the company if you want to message me, not sure if I can post it here. I'm not affiliated with them; I just know that so far, we didn't have any issues with them. You can call and ask for their terms or get an offer.

 

[WR Moore]

Oddly enough, the first-and last-extended warranty I ever bought was on a Subaru. The first time I went to use it (windshield wiper/turn signal switch), shortly after the factory warranty expired, I got stiffed on the repair. Haven't bought one since.

Having never got rich enough to have pros perform vehicle service-some specialized stuff excepted-I've learned a lot. Insisting on OEM for stuff like alternators, radiators etc, isn't worth the expense or trouble. Some specialized fluids (CVT, engine coolants) and specialized parts, it's worth the expense.

Late addition: when I bought that first Subaru, they had "new to the brand" owner classes. I attended, figured I might learn something and, a lot of single women bought Subarus. Well, I learned a lot. Specifically that Subaru filters had a lot more filtering material than popular aftermarket brands-definitely worth the price difference. Also, after trying the suggested Castrol motor oil, haven't used another brand.

 

[JJEH]

Insisting on OEM for stuff like alternators, radiators etc, isn't worth the expense or trouble. Some specialized fluids (CVT, engine coolants) and specialized parts, it's worth the expense.

Very true since they are made by a 3rd party manufacturer anyway.

 

[Yaworski]

Way back in 2013, I bought a used car at a little dealership. The CarFax was available and I called the dealership that had serviced it for its life. No problems, all routine service had been done, the software had been updated, etc. Great. The dealership offered a "warranty." I was considering it but the salesman talked me out of it. Seriously, the guy convinced me that I really didn't need or want it.

I wish that I had bought the warranty. Six months in, the heater blower failed. $800+ to repair that.

 

[rockquarry]

"Extended warranties" are borderline scams, like house warranties. You're much better off putting the money you'd spend on these shakedown policies into a savings account. Occasionally, a customer will actually benefit from these, but most of the time the seller of the "warranty" is the only one that come out ahead.

 

[16thVACav]

Think about it: If the typical customer didn't pay more in premiums than the warranties paid out, the companies would have gone out of business years ago.

 

[Laketime]

the problem with most of them are they are not honored at many dealerships. And some require you to pay the bill and wait up to 45 days to get reimbursed.

 

[Yaworski]

Think about it: If the typical customer didn't pay more in premiums than the warranties paid out, the companies would have gone out of business years ago.

That's true for insurance in general.

 

[jeffrefrig]

Yeah, the ones I was questioning aren't warrantees, but service contracts. Big difference. For a 13 year old car I don't think I want to waste my or her money. That could go toward a car payment, which she will be responsible for. My dad co-signed my 1st new car loan when I was 18, so that's the least I can do for her. That's why we work; to make money to pay car loans so we have a vehicle to get to work! (Well, that's part of the reason.)

 

[johngalt]

Seems to be little more than swindles to me.