Extended car warranties are B.S.

[Motorboatin]

I extended my bumper to bumper warranty to 120,000 miles for the last three trucks I have owned and it paid for itself on the first two trucks. The 3rd only has 2,400 miles on it

I used to think they were BS but when I started putting 30,000 miles on every year I thought it might be worth the cost. I only keep them for 4 years

 

[dnw64]

I recently had the reverse (to my mind).

My tranny was leaking fluid, so I had a local shop fix it. Apparently the gasket is integral to the pan, so they had to replace the whole thing. Cost me almost $500.

A few weeks later I was talking to someone about it and realized it would have (should have?) been covered under the factory drivetrain warranty (it was well within the miles/time).

I'm a little torqued the local shop didn't suggest that to me. Especially since I'm related...

 

[5030]

Factory backed is very different from third party... however the third party is often more money for the seller...

EXACTLY. I always get an extended FACTORY AUTHORIZED warranty written and serviced by the manufacturer, not some third party fly by night rip off.

 

[PILOON]

I had an early AUDI 3000 that back then had a 100% factory warranty. (oil, tires, wipers etc, ---a real 100%)
When it ran out I was strongly urged to purchase the extended for $600. which I did.
During the following year they replaced the Turbo, front wheel bearing, alternator and battery, and radiator core (that due to damage they caused) and the transmission.

I'll add that I never beat the car either and while I had purchased used I knew the previous owner mostly drove highway.
He was the dealer's son and would always trade at 1/2 factory warranty life.

I always say it was the best $600 I've spent.
Now other than that one warranty I have never purchased another.

I now drive a Kia (bought used off lease) that came with a mere 30k on it and that over 3 years but with remaining 5 yr factory warranty.
Never needed to make a claim and still drive it with normal maintenance, like brakes tires shocks and battery, but that's normal.

 

[ovrszd]

Extended warranty is exactly like placing a bet on the Crap Table. You think it's an educated bet. It's not. It's pure gamble.

The lights aren't on at the Casino because most patrons win. The Warranty (insurance) companies lights aren't on because most buyers win.

 

[ultrarunner]

Insurance let's one manage unforeseen events...

 

[ovrszd]

Insurance let's one manage unforeseen events...

As does Extended Warranties.

 

[Oaktree]

Extended warranty is exactly like placing a bet on the Crap Table. You think it's an educated bet. It's not. It's pure gamble.

The lights aren't on at the Casino because most patrons win. The Warranty (insurance) companies lights aren't on because most buyers win.

Of course, the same thing can be said about any type of insurance. How much do you spend annually on home and/or auto insurance? Most peoples' houses don't burn down, nor do most people total their cars but it's generally considered wise to have insurance on both.

 

[ultrarunner]

My Grandfather explained people buy insurance to make the unbearable bearable...

 

[ovrszd]

Of course, the same thing can be said about any type of insurance. Most peoples' houses don't burn down, nor do most people total their cars but it's generally considered wise to have insurance on both.

Yep. My shop burned nine years ago. $193,000 claim. I gladly pay my insurance premiums.

Had an Insurance Agent tell me this several years ago. "If you can afford the loss, don't insure it. If you cannot afford the loss, insure it."

 

[ovrszd]

My Grandfather explained people buy insurance to make the unbearable bearable...

Substitute "affordable".

 

[CobyRupert]

Of course, the same thing can be said about any type of insurance. How much do you spend annually on home and/or auto insurance? Most peoples' houses don't burn down, nor do most people total their cars but it's generally considered wise to have insurance on both.

Most people lose on the insurance gamble...they have to!

..so why is it considered wise when most will lose money in the long run?
I don't suppose billions of dollars of advertising has anything to do with it does it?...hmmm..naw....advertising doesn't work! (<---Sarcasm. That's why they keep spending billions. And it's why we are all familiar with a little green talking geico lizard, Cavemen, Flo, Sheila's burning she shed, the Mayhem Guy, the Liberty Biberty bad actor, etc...)

Sort of like it's generally considered acceptable practice to spend 2 months salary on an engagement ring. Were did that come from?
...but they keep changing it, I saw an add a couple days ago that said it's an "old tradition" to spend 3 months salary!
:2cents:

 

[Fuddy1952]

Dad was always hounded by life insurance salesmen. He said he wanted it to be a tragedy when he died.

 

[5030]

Confucious says... Insurance is only good when you need it....:laughing:

 

[bunyip]

Wife got a new Toyota Starlet in 1997, we took out the factory extended warranty which took it out to 8 years, cost about $500 back then, about 3 months before it expired the car blew a rear seal which was a major repair as the engine/gearbox had to be removed and dismantled, under the terms of the warranty we had to pay for the new oil but not the $2000 repair.
We now haqve Hyundais which come with 7 year unlimited warranties.
I think the difference is a manufacturers extended warranty vs an aftermarket warranty which we have all sorts of horror stories about.

 

[5030]

Wife got a new Toyota Starlet in 1997, we took out the factory extended warranty which took it out to 8 years, cost about $500 back then, about 3 months before it expired the car blew a rear seal which was a major repair as the engine/gearbox had to be removed and dismantled, under the terms of the warranty we had to pay for the new oil but not the $2000 repair.
We now haqve Hyundais which come with 7 year unlimited warranties.
I think the difference is a manufacturers extended warranty vs an aftermarket warranty which we have all sorts of horror stories about.

You don't drive a Holden? How unpatriotic of you.....

 

[dragoneggs]

You don't drive a Holden? How unpatriotic of you.....

My good buddy... I mean, mate in Melbourne sure loves his Monaro!

 

[Fuddy1952]

I just thought of a funny one, really car insurance not extended warranty so a little off topic. Years ago I had this agent (rip) who said one day this lady walks into his office wanting coverage on her car as she had no insurance. Agent said she was very nice and calm, had her registration card so her filled out all the paperwork and she paid her first months premium. He shook her hand saying "you're all set!". She asked if it would be effective today, he said yes, your insurance would be effective as of this morning. She said "that's good because I just had a wreck right down the street, saw your sign and walked in!".

Years ago I had a '66 Nova...going to see my girlfriend (now wife), I'm looking in mirror combing my hair (which I had back then) when "WHAM!", I rear-ended a '69 Barracuda stopped for a light...clearly my fault. I hit I'm guessing 30 mph, busted my radiator, bent both fenders & hood. Her trunk smashed in, broke back glass.
This middle aged lady gets out and she's hammered drunk. She says "let's roll your car over into this parking lot... I'm sure mine'll still run...see you later! And she drove off!

 

[bunyip]

You don't drive a Holden? How unpatriotic of you.....

A. They no longer exist
b. We wanted something reliable

 

[PILOON]

Talking of insurance-----
A friend who drives a 2019 Chrysler AWD only had one way insurance, eg self insured for damage. (he figures he is a good driver and won't damage his car)

Well he hits a deer, leave his flashers on and headlights and stands in front to wave down any oncoming cars.
On comes a lady and she does not stop, hits the deer and smashes his Chrysler so badly it is declared a total loss!
Friend has to jump clear into the ditch.

For 2 reasons he had luck on his side, one for his life and secondly her insurance had to pay for his damages since she failed to stop.
Downside is it took 45 days* to settle and he had to rent a car.
Again his luck came in as he has located a low mileage still under warrantee replacement for the settlement price, exact same model (and color)

*mainly due to her insurance waiting for the official police report.

LOL, since he operates a car rental he simply 'borrowed' one as needed plus her insurance had pick up the rental tab.