View Poll Results: Have you purchased an extended warrantee (NOT referring to the TCH)?
Yes, I purchased it on most cars and they always pay for themselves in repair savings.
7
23.33%
Yes, I purchased it on most cars and sometimes they pay for themselves in repair savings.
2
6.67%
Yes, I purchased it on most cars and they rarely pay for themselves in repair savings.
1
3.33%
Yes, I purchased it on most cars and they never pay for themselves in repair savings.
0
0%
Yes, I purchased it only once and it paid for itself in repair savings.
5
16.67%
Yes, I purchased it only once but it didn't paid for itself in repair savings.
3
10.00%
I never purchased a warrantee but think it would have paid for itself in repair savings.
1
3.33%
I never purchased a warrantee and feel it wouldn't have paid for itself in repair savings.
11
36.67%
This TCH is the first car I purchased
0
0%
Voters: 30. You may not vote on this poll
Have you ever purchase an extended warranty (on another car) before buying the TCH?
#1
04-20-2008, 04:31 AM
Join Date: Nov 2007
Location: New Jersey
Posts: 2,051
Have you ever purchase an extended warranty (on another car) before buying the TCH?
One of the most common questions asked is about extended warranties. In general, for most consumer products, these warranties are bad bets (see Washington Post, Consumer Affairs, and Smart Money), but automobiles are not typical consumer product purchases.
Replacing a cell phone, computer, television or refrigerator is easier, in many instances, than repairing the product.
Automobiles are a bit more expensive, repairing is usually easier to afford than replacing.
In any event, I don't wish to rehash the old discussion of whether one should or shouldn't purchase an extended warranty, since plenty of threads have discussed it, ad nauseam.
Rather I want to find our if members have purchased these warranties on OTHER cars, that is, BEFORE you purchased the TCH had you ever purchased an extended warranty?
I guess, the goal here is to find out, in general, how people fared with their investment decisions, prior to the TCH. Yes, the survey, like most, is flawed, since these cars are a lot different from prior auto purchases, but this is the best I can do.
Thanks!
Often confused...
One other point to consider (from the Consumer Affairs website)
Replacing a cell phone, computer, television or refrigerator is easier, in many instances, than repairing the product.
Automobiles are a bit more expensive, repairing is usually easier to afford than replacing.
In any event, I don't wish to rehash the old discussion of whether one should or shouldn't purchase an extended warranty, since plenty of threads have discussed it, ad nauseam.
Rather I want to find our if members have purchased these warranties on OTHER cars, that is, BEFORE you purchased the TCH had you ever purchased an extended warranty?
I guess, the goal here is to find out, in general, how people fared with their investment decisions, prior to the TCH. Yes, the survey, like most, is flawed, since these cars are a lot different from prior auto purchases, but this is the best I can do.
Thanks!
Often confused...
- A warranty (-y not -ee) is the thing you purchase.
- If you purchase more than one you are buying warranties (-ies not -ees).
- The person offering the warranty is the warrantor.
- The purhaser of the warranty is the warrantee (-ee not -y)
- A few people who purchase warranties (-ies not -ees) are called warrantees (-ees not -ies)
One other point to consider (from the Consumer Affairs website)
...4. Warranty Underwriter May Go Out Of Business
When considering the purchase of an extended warranty, an important question is just who is guaranteeing this product? Is it the merchant who is selling the product or someone else? Will the entity providing the guarantee be around if you ever file a claim?
In August 2003 hundreds of thousands of American motorists found they were holding worthless extended warranty policies following the bankruptcy of National Warranty Insurance Co. Offering Smart Choice extended warranties through 5,000 car dealers nationwide, the company had about a million active contracts when it went under.
Though Smart Choice has been out of business over two years, some consumers are only now finding out they have a problem.
"I bought a 1999 Saturn in August 2002 and, at the same time, bought the Smart Choice extended car warranty for $1500.00. All of my routine service and repairs were done at the Saturn dealership; however, none of the repairs seemed to be covered under this extended warranty," Donna, of Cortland, Illinois told ConsumerAffairs.Com.
"In late 2004, I began looking into this matter and learned that SmartChoice went bankrupt, though I was never notified or received any compensation for the warranty. I have had to spend out of pocket dollars getting my car repaired. I have a car loan on this vehicle which also includes the $1500.00 for the extended warranty."
SmartChoice is not the only warranty company to have solvency problems. Toni, of Allen, Texas got a nasty surprise from Platinum Warranty Corp.
"I paid $2,200 for an extended warranty for my car from Platinum Warranty Corp. I found out, when I put my car in the shop for $4,000 worth of work, the company is under investigation for fraud by the Attorney Generals office for the state of Ohio. I'm out the cost of the warranty plus car repairs and rental car charges."
Stacey, of Hanover, Pennsylvania had a similar experience after purchasing a two year, 24,000 mile warranty from Platinum.
"Now that my car needs repairs, I call to get information on how to get the car fixed. None of telephone numbers are good, I get a recording saying this number is no longer in use!!! I cannot get in contact with them. And my car needs repairs. I have never even filed a claim with them. I purchased the warranty back in December 2004. What do I do? Where are they? Are they out of business?"
In fact, they are. Platinum Warranty Corp ceased operations September 30 after being sued by the state of Ohio last year and filing for Chapter 11 bankruptcy in May. A Cleveland bankruptcy court converted the Chapter 11 filing to Chapter 7 on October 12.
5. The Extended Warranty May Overlap Manufacturer's Warranty
The whole idea behind an extended warranty is that it will "extend" coverage after the manufacturers' warranty expires. So, before considering any extended service plan, you should always review the manufacturer's warranty to determine what it covers and how long it lasts.
If the manufacturer's warranty is for one year, for example, and you purchase a two-year extended warranty that runs concurrently, half the cost is wasted, assuming both warranties have equal coverage.
"I purchased a Microsoft Xbox with a 2-year warranty at Best Buy. I was not told the warranty ran concurrently with the manufacture's warranty when I purchased it at the counter. Most additional warranties start after the manufacture's warranty. I think this practice is very deceptive," Jerry, of Palm Springs, California, told ConsumerAffairs.Com...
When considering the purchase of an extended warranty, an important question is just who is guaranteeing this product? Is it the merchant who is selling the product or someone else? Will the entity providing the guarantee be around if you ever file a claim?
In August 2003 hundreds of thousands of American motorists found they were holding worthless extended warranty policies following the bankruptcy of National Warranty Insurance Co. Offering Smart Choice extended warranties through 5,000 car dealers nationwide, the company had about a million active contracts when it went under.
Though Smart Choice has been out of business over two years, some consumers are only now finding out they have a problem.
"I bought a 1999 Saturn in August 2002 and, at the same time, bought the Smart Choice extended car warranty for $1500.00. All of my routine service and repairs were done at the Saturn dealership; however, none of the repairs seemed to be covered under this extended warranty," Donna, of Cortland, Illinois told ConsumerAffairs.Com.
"In late 2004, I began looking into this matter and learned that SmartChoice went bankrupt, though I was never notified or received any compensation for the warranty. I have had to spend out of pocket dollars getting my car repaired. I have a car loan on this vehicle which also includes the $1500.00 for the extended warranty."
SmartChoice is not the only warranty company to have solvency problems. Toni, of Allen, Texas got a nasty surprise from Platinum Warranty Corp.
"I paid $2,200 for an extended warranty for my car from Platinum Warranty Corp. I found out, when I put my car in the shop for $4,000 worth of work, the company is under investigation for fraud by the Attorney Generals office for the state of Ohio. I'm out the cost of the warranty plus car repairs and rental car charges."
Stacey, of Hanover, Pennsylvania had a similar experience after purchasing a two year, 24,000 mile warranty from Platinum.
"Now that my car needs repairs, I call to get information on how to get the car fixed. None of telephone numbers are good, I get a recording saying this number is no longer in use!!! I cannot get in contact with them. And my car needs repairs. I have never even filed a claim with them. I purchased the warranty back in December 2004. What do I do? Where are they? Are they out of business?"
In fact, they are. Platinum Warranty Corp ceased operations September 30 after being sued by the state of Ohio last year and filing for Chapter 11 bankruptcy in May. A Cleveland bankruptcy court converted the Chapter 11 filing to Chapter 7 on October 12.
5. The Extended Warranty May Overlap Manufacturer's Warranty
The whole idea behind an extended warranty is that it will "extend" coverage after the manufacturers' warranty expires. So, before considering any extended service plan, you should always review the manufacturer's warranty to determine what it covers and how long it lasts.
If the manufacturer's warranty is for one year, for example, and you purchase a two-year extended warranty that runs concurrently, half the cost is wasted, assuming both warranties have equal coverage.
"I purchased a Microsoft Xbox with a 2-year warranty at Best Buy. I was not told the warranty ran concurrently with the manufacture's warranty when I purchased it at the counter. Most additional warranties start after the manufacture's warranty. I think this practice is very deceptive," Jerry, of Palm Springs, California, told ConsumerAffairs.Com...
Last edited by haroldo; 04-20-2008 at 05:11 AM.
#2
04-20-2008, 10:49 AM
Ridiculously Active Enthusiast
Join Date: Jan 2007
Location: Mid Hudson Valley, New York
Posts: 1,389
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
I purchased one other besides the one for the TCH. But, it was very cheap (actually a Toyota Gold) and it was for a used Ford Ranger.
I figured I should get it because the car was used. It did pay for itself as I had the MAF sensor, a number of bushings, and a radial arm replaced. There was one other thing too, but I cannot remember what it was.
I figured I should get it because the car was used. It did pay for itself as I had the MAF sensor, a number of bushings, and a radial arm replaced. There was one other thing too, but I cannot remember what it was.
Last edited by mikieboyblue; 04-22-2008 at 10:11 AM.
#4
04-20-2008, 01:01 PM
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
Another thing to consider is PRECISELY WHAT is covered. There was a person on the Maxima board who had an extended highest level NISSAN warranty and eventualy had a problem with the power driver seat. This was a common defect on the early sixth generation MAX (mine broke as well) and he just assumed it would be covered by this warranty.
Guess what - there was an extensive list of items covered by the various warranties available online and I gave it a close perusal. NO MENTION of power driver's seat. Seemed like everything else was there, but not that.
I don't know about Toyota's "Gold" warranty, but in the case of Nissan, it is NOT merely an extension of the original "bumper-to-bumper" concept, would WOULD have covered that driver's seat.
Shame on Nissan for that.
If the TCH has been around long enough for common "down the road" problems to have surfaced, maybe a list should be compiled to check it against what the Toyota Gold covers.
Guess what - there was an extensive list of items covered by the various warranties available online and I gave it a close perusal. NO MENTION of power driver's seat. Seemed like everything else was there, but not that.
I don't know about Toyota's "Gold" warranty, but in the case of Nissan, it is NOT merely an extension of the original "bumper-to-bumper" concept, would WOULD have covered that driver's seat.
Shame on Nissan for that.
If the TCH has been around long enough for common "down the road" problems to have surfaced, maybe a list should be compiled to check it against what the Toyota Gold covers.
#5
04-21-2008, 03:12 PM
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
I have purchased only one extended warranty (Mitsubishi Galant Sigma) mainly because it (the Sigma) had bells / whistles / computer / etc all over the place.
I had to have the transmission replaced / repaired more than five times (if I remember correctly, it was because a STEEL pin in the modulator valve was striking the ALUMINUM casing and the shift mechanism to "shift" into neutral).
I had several more problems, but ALL was handled under warranty. 
As soon as the warranty expired, I traded it in for another car (non-Mitsu).
I always looked at extended warranties as a type of crap-shoot.
Do you think you'll get your money out of it?
I have another 6 months before I need to get the extended warranty for my '07 TCH. And, I WILL, most likely from Troy(?) through PriusChat forum. Reason: Again, the complexity (computers/electronics/NAV/etc.) of the car. I have ALREADY needed to have the CD/NAV/Radio head replaced three times!
I had to have the transmission replaced / repaired more than five times (if I remember correctly, it was because a STEEL pin in the modulator valve was striking the ALUMINUM casing and the shift mechanism to "shift" into neutral).
I had several more problems, but ALL was handled under warranty. As soon as the warranty expired, I traded it in for another car (non-Mitsu).
I always looked at extended warranties as a type of crap-shoot.
Do you think you'll get your money out of it?I have another 6 months before I need to get the extended warranty for my '07 TCH. And, I WILL, most likely from Troy(?) through PriusChat forum. Reason: Again, the complexity (computers/electronics/NAV/etc.) of the car. I have ALREADY needed to have the CD/NAV/Radio head replaced three times!
#6
04-21-2008, 03:21 PM
Join Date: Nov 2007
Location: New Jersey
Posts: 2,051
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
Five Transmissions and three radios? Are you jinxed...or very rough on the cars?
#7
04-21-2008, 04:33 PM
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
Rules for extended warranties:
1.) It's a gamble, like any insurance. Decide itf it's worth it based on your own calculations and piece of mind.
2.) Only buy OEM warranties - they will be in business and will pay out when needed. Never buy 3rd party ones - they may be out of business, and they are reluctant to pay up.
3.) Repair costs are only going up, they are not getting cheaper.
4.) Always buy them online (from a dealer in a low-cost area) - they are 30-50% cheaper for the exact same thing.
My experience with them has been money well spent. After the initial warranty:
- One car needed 2 CD players replaced ($1,000), a power steering pump ($400), and two sets of shocks and struts. ($1400)
- Another car needed a new transmission and bingo, that was $4000 right there.
- Another car was struts ($400), speaker ($200), ignition compenent (can't recall name) ($300)
So that's close to $8,000 in repairs. Cost of warranties ~ $2,500.
Plus, the free rental due the repairs, which was around three weeks total (inc. a couple weekends)
It has been worth it to be, but YMMV.
1.) It's a gamble, like any insurance. Decide itf it's worth it based on your own calculations and piece of mind.
2.) Only buy OEM warranties - they will be in business and will pay out when needed. Never buy 3rd party ones - they may be out of business, and they are reluctant to pay up.
3.) Repair costs are only going up, they are not getting cheaper.
4.) Always buy them online (from a dealer in a low-cost area) - they are 30-50% cheaper for the exact same thing.
My experience with them has been money well spent. After the initial warranty:
- One car needed 2 CD players replaced ($1,000), a power steering pump ($400), and two sets of shocks and struts. ($1400)
- Another car needed a new transmission and bingo, that was $4000 right there.
- Another car was struts ($400), speaker ($200), ignition compenent (can't recall name) ($300)
So that's close to $8,000 in repairs. Cost of warranties ~ $2,500.
Plus, the free rental due the repairs, which was around three weeks total (inc. a couple weekends)
It has been worth it to be, but YMMV.
#8
04-21-2008, 08:10 PM
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
A break-down for coverage is at: Toyota Financial Services
The Toyota Extra Care Platinum warranty is for 7 years/100,000 miles and is $990 (at least for Prius, I believe TCH is the same) if you purchase it from Troy. Also, when you talk to Troy, if you mention PriusChat and they will receive a small "kick-back".
The PriusChat link is:
http://priuschat.com/forums/sponsore...contracts.html
Here is a quote from Troy (sent through PC forum):
The Toyota Extra Care Platinum warranty is for 7 years/100,000 miles and is $990 (at least for Prius, I believe TCH is the same) if you purchase it from Troy. Also, when you talk to Troy, if you mention PriusChat and they will receive a small "kick-back".
The PriusChat link is:
http://priuschat.com/forums/sponsore...contracts.html
Here is a quote from Troy (sent through PC forum):
The underwriter and administrator is Toyota. Well...Toyota Motor Insurance Services, Inc. to be exact (TMIS) and the contract is written by Toyota Financial Services. Here is a link to the company background. http://www.toyotafinancial.com/about/compa...ound/index.html I don't think there's much risk that they'll be going out of business any time soon.
No matter when you purchase the policy, it starts effective from the vehicles original in-service date and mile 0. So there is nothing to gain in terms of coverage by waiting, it's always as if the policy was purchased on day 1. Think of the 3/36K eligibility window as a long grace period...but by waiting you do put yourself at risk for future price increases since I do have to adjust for them as they occur.
No matter when you purchase the policy, it starts effective from the vehicles original in-service date and mile 0. So there is nothing to gain in terms of coverage by waiting, it's always as if the policy was purchased on day 1. Think of the 3/36K eligibility window as a long grace period...but by waiting you do put yourself at risk for future price increases since I do have to adjust for them as they occur.
Troy __________________
#9
04-21-2008, 08:26 PM
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
The transmissions: It was the first (and only) year Mitsu used that type of transmission. They found that using that particular set-up of having a hardened steel pin hitting a soft aluminum case was a recipe for disaster. As dumb as way back in '72 when a lot of companies (Plymouth -- I know about), used aluminum windings inside the alternator.
The Toyota CD player, I misspoke (really mis-typed)-- I'm on my third CD player: Two of them, after playing CD's for more than 3 hours at a time during trips, the heat from the CD player got hot enough to warp the CDs so they couldn't eject.
Last edited by JHSmith; 04-21-2008 at 08:33 PM. Reason: Typo
#10
04-25-2008, 08:59 PM
Re: Have you ever purchase an extended warranty (on another car) before buying the TC
I'm not a big fan of extended warranties for most things, vacuums to vehicles, but we picked one up on our 2007 TCH, which we bought in May 2006 for these two simple reasons:
1. Never buy a new model car, especially one with a new drive system
2. We wanted a new model car, especially one with a new drive system
We had also picked one up on our 2000 Honda Odessey that paid for itself many times over, which really surprised me.
1. Never buy a new model car, especially one with a new drive system
2. We wanted a new model car, especially one with a new drive system
We had also picked one up on our 2000 Honda Odessey that paid for itself many times over, which really surprised me.
