I think I got gouged on the extended warranty

[mikey_photo]

I think the value of the extended warranty is dependent on the driver. I’ll be putting 18-20k miles per year, so I’ll be through my factory warranty pretty quickly and the extra coverage is nice to have. Plus it doesn’t take much to pay for itself. I also like the first day rental coverage as well.

I also paid $0 for my ESP by using my ford points (got about $1300 worth from buying the bronco) and would prefer the warranty to overpriced accessories that can be purchased for way less elsewhere.

Sponsored

 

[Bigwheelin]

It was very late Monday when i picked up my bronco. The finance guy came in and didn't really show me the options, basically just said lets cut to the chase.. this one is the best one and i need it, etc...I felt very pressured, but also know it's a good idea to get the extended warranty. However, after reading through here I am feeling like I got screwed over. $3900 for the premium care. I haven't bought a new car in many years (i have always leased) so i forgot that they would come at me with this. Is this way too much?
Extended warranties are the biggest waist of money on anything. I will save all the money I would have waisted and spend it when I need repairs and that’s if .

 

[mmd1350]

that sounds like a maintenance plan, not an extended warranty,

was definitely the premium care plan

 

[MOBroncoSTL]

I don't know why I feel the need to chime. I think I would like to help justify the purchase for those like me who feel that it is insurance worth the price. Here is just my personal experience. I have had many, many cars. I bought mostly Honda, Mazda and other brands I considered to be reliable. At 60,000 miles I had a Civic Si engine go bad, Pilot - transmission go bad, MDX engine go bad, plus many other expensive repairs. The last car I bought for myself was about 8 years ago, Mazda MX-5 used with 16,000 miles on it (my daily driver). I paid $9000 for the car from a dealership with a $900 7yr, 100000mi warranty. At the very end of the 7 yrs was the only issue I have ever had with my car and recovered around $400 of the $900 warranty to replace the stereo. My point is, after several 4k-5k repairs year after year it put a real financial stress on my finances. My wife then decided she needed a VW slightly used from a deaer. This was my nightmare coming to life, lol. Well, we did it and bought a warranty (basically bumper to bumper) for 10yrs 150000 no deductible for something outrageous like $3000. We already recouped almost $1000 on wheel bearings or such which I thought they might claim was a wear and tear item. Anyway the point has been made that blanket statements don't work and each case is different. 10 years ago I would have said it is the dumbest investment you could make to get an extended warranty. Now, $3900 later minus what I have recouped, it has been worth every penny to me. I can't afford expensive unplanned repairs. And I think of how I used to listen for every little noise and wonder what was going to go wrong next. For my mental health it has been worth every penny. Not to mention I will be extremely surprised if I don't get my money out of the VW warranty in the end and the Bronco warranty I will probably buy as well. On the contrary I was surprised to have to use the Miata warranty at all but man I could drive the crap out of it and just never worry about what might happen. Peace of mind - priceless (for me).

 

[Murraydog11]

First year model, many fits and starts throughout manufacturing process, many documented vehicle issues (this forum alone). I got the Flood Premium Care $0 Deductible, 96/100000 for $2100. Worth the piece of mind. I plan on keeping this truck.

 

[gryphon1231]

that sounds like a maintenance plan, not an extended warranty,

Are you taliing

was definitely the premium care plan

Are you talking about Ford's premium protect plan?

 

[LSU Jonno]

I showed my dealer the granger deal and they matched it. Depending on what your time/mileage/deductible was you probably paid double what you needed to.

 

[Tornado_735]

As a Ford Warranty administrator, I can tell you.....I've seen ESP save customers THOUSANDS and THOUSANDS of dollars in repairs. Given the state and quality of some of the stuff Ford is rolling out, I would definitely second guess canceling it.

I've seen a bunch of 10-speeds burnt up at 65-70K, radios non-functional, brake systems failed, you name it.

I don't have any skin in your financial decisions, but ESP is seriously a good investment.

 

[jubangas]

Could've never seen this statement coming. All you day traders got the time value of money pegged. Congrats. Quit your day job now.

I have no idea what "day trading" has to do with anything. Just literally put the money in the bank if worried about the losses. That way the bank pays you for this money, as opposed to you paying interest for a repair bill that may never come.

There's a reason dealers make the most money on warranties. And it's because it's almost never advantageous for the consumer to buy these warranties.

Not to mention that the extended warranty overlaps with the manufacturer warranty. Meaning that for the first 3 years or 36k, you're paying for a warranty that will never get used. So you're paying upfront for repair costs that you won't even know if you will have until 3 years after you buy your car.

So you wrap thousands into your loan, pay interest on that, and all for something that certainly won't happen for 3 years and may never happen. Okay, guy. Yes. We're all "Day traders". Also, this isn't some reddit forum where you're dealing with some stupid kids. This is a forum with people shelling out premium dollars on a highly sought after car. Many of us likely are professionally successful and know what we're talking about.

 

[jubangas]

As a Ford Warranty administrator, I can tell you.....I've seen ESP save customers THOUSANDS and THOUSANDS of dollars in repairs. Given the state and quality of some of the stuff Ford is rolling out, I would definitely second guess canceling it.

I've seen a bunch of 10-speeds burnt up at 65-70K, radios non-functional, brake systems failed, you name it.

I don't have any skin in your financial decisions, but ESP is seriously a good investment.

"As the guy who makes money by people buying these..."

Tell me this, what is the profit rate for these extended warranties? Isn't it right at 79% once you account for the interest gained on the warranty buy while it remains held in a reserve account? Weird I pegged that number, eh? Almost like I know the industry as well. Also weird that I know most extended warranties offered by dealers are with companies based out of Turks & Caico, eh?

 

[Mr. Nice]

I have been out a bit, did I miss a post where Granger is no longer offering the extended warranty deal? Why is buying from them a bad idea?

Well first of all they convinced 1200 or so folks that signing up with them for a Bronco was a good idea. Now they want to sell warranties?

As a Ford Warranty administrator, I can tell you.....I've seen ESP save customers THOUSANDS and THOUSANDS of dollars in repairs. Given the state and quality of some of the stuff Ford is rolling out, I would definitely second guess canceling it.

I've seen a bunch of 10-speeds burnt up at 65-70K, radios non-functional, brake systems failed, you name it.

I don't have any skin in your financial decisions, but ESP is seriously a good investment.

You bet. They are selling them to lose money.
No they make money. YOU lose money...

 

[Bender]

that sounds like a maintenance plan, not an extended warranty,

PremiumCARE is the name of one of the levels in their Extended Service Plan warranty, which is different from the Premium Maintenance Plan

 

[Lilj4425]

I definitely didn’t and still don’t mind paying a little over $1200 for having a six year/100,000 mile premium extended warranty through Granger. Nice having a piece of mind and not having to worry about potentially paying thousands upon thousands of dollars for a new transmission, 12 inch screen, or something else down the road. With the inflation and supply chain shortages currently going on with no sign of letting up anytime soon, the warranty deal Granger is offering makes buying it a no brainer in my opinion.

 

[mikey_photo]

I have been out a bit, did I miss a post where Granger is no longer offering the extended warranty deal? Why is buying from them a bad idea?

It’s a great deal and ends up $50 below the flood ford prices. I was able to use my FordPass points and everything was handled quickly and efficiently through email. Nothing but good things to say about the transaction with Granger.

 

[HeliPilot]

I've never bought an extended warranty because (a) I can repair my own vehicles, (b) most don't cover what really breaks in modern cars, which is computer hardware. I keep vehicles a very long time; average of the four in my current fleet is 17 years old and 204,000 miles. So, most extended warranties do cover out that far.

Yet I get offers to buy extended warranties and on occasion research just for kicks. None of my cars have required a repair that was near $3,000 - $5,000, where the warranties cost. And any repairs I've had related to computer modules was after 10 years and it cost just $400 at a dealer (GM fuel pump module).

Now if a company offered a $2,500 warranty for 15 years and 250,000 miles for frame/body rust damage, that I would seriously consider. To my knowledge no company does.

The Prices you’re quoting are if you wait till the end of your factory warranty to purchase. Bought mine up front for $1530 for 8 years 100k miles. After replacing one transmission that failed at 38,000 miles on a vehicle that was warrantied until 35,000 miles, I learned. That trans cost was $4,000. I’ll be happy to lose my $1500 if I never use it over the next 8 years.

Sponsored