Extended Warranty Sticker Shock

[hockeybuff]

In 2 months the extended warranty that I purchased in June, 2007 (along with my new 29' class C) will expire.  For many reasons I've decided to buy another extended warranty but get a load on what is now being quoted.  My orig. 7-year policy cost $2,000  ($0.78 per day).  The closest policy (comparable in coverage) is quoted at $4,500 for 4 years  ($3.11 per day).  Granted, coverage should be higher on a used model, but not 4x. 

Would welcome any price comparisons and whether anyone had run into the same sticker shock!!
hb

 

[Bill N]

The previous owner showed me his Exemded Warranty premium for the last year he held it (2012) and it was $882.  The coach sat idle in 2013.  I bought it in January and the premium I was quoted for one year was $1800 plus $2000 for some nice to have extras (tires, sidewall leaks, etc).  I decided to just self-insure by putting away a set amount of cash each month for a rainy day fund.  Others will sing  praises for extended warranties but in my 74 years I have never collected a single dime on one.

 

[Gary RV_Wizard]

My renewal quotes were similar to yours, so we are now self-insuring.

A couple of reasons for the much higher rates:
1. The original (new) coach had a year of coach warranty, 3-5 years of engine and transmission warranty, and 2-3 years of appliance warranties. None of which the policy would have to cover.
2. Everything has had 7 years of wear & tear now.
3. RV shop rates have increased dramatically in the past 7 years: $100+/hour is a common labor rate
4. Quite a few warranty insurers went belly up - they under-estimated repair costs in the past

 

[Jeff]

Many dealers will discount extended warranty to make a deal but the standalone quote includes up to a 50% sales commission.

 

[WILDEBILL308]

Take the money that you would spend on an extended warranty and self insure. I did and after a couple of years you have some money for upgrades or down payment on a new coach.
Bill

 

[thomasamski]

Extended warranties are consumer ripoffs. Take care of your rig, change the oil regularly and keep up with preventive maintenance and save the thousands of dollars the extended warranty people demand.

 

[Mopar1973Man]

Even with my tow vehicle after about 50k miles I was self-warranty station and dumped the dealer warranty because I wasn't happy with the parts nor the service and knew I could do a much better job. As a matter of fact I have 228k miles and still rolling a few minor problems but still going strong.

I think the thought of warranty packages or insurance packages tends to make people relax about over all maintenance of there vehicles so they tend to lean on these and have more failures. I've been driving for 28 years now I've never experienced a sudden tire blow out. My current truck has never seen a tow truck to this day.

 

[hockeybuff]

I had a suspicion that sentiment would favor being self-insured but not quite so persuasive as 5/5.  In partial defense, I should point out that my big ticket repairs in the last two years alone (slide module, 1 leveling jack replacement, ABS module) more than paid for the original EW.  However, now it may very well be time to try self-insuring.


______________________
Howard & Patti
2008 Winnebago Outlook 29B, 2012 Ford Fiesta (toad), Buffalo, NY 

 

[Tom Hoffman]

I normally wouldn't buy them either, but in the past 2 years, I have purchased 3  1 for a starter for my pick up from AutoZone,  1 doe an Alternator, and one for an Dometic Ice Maker from Camping World. 

The starter frize up and welded it self (wire) anf the alternator just stopped working.  The Ice maker is on the fritz now and making dieing noises it is 7 months old and I just have to ship back or drop off and pickup a new one.

Granted in the scheme of things you guys are talking about, these are minor.  Was I glad I had them?  Yes... 

The first two came with lifetime warranty because I purchased it included in the price.  The Ice Maker was an additional $19 for 24 months.