Is extended warranty worth it?

mr_z4mc1m_oz · 06-10-2009, 04:50 AM

Sorry to post in this section but the hatchback section is very quiet ;-)

I'm just about to purchase a 5 door 130i, and I'm in a position to get 3 years extended warranty for parts and labour for $1700AUS, do you think its worth getting?

Cheers

TP 135i · 06-10-2009, 05:39 AM

Yes...I do. As long as it is thru BMW and not a third party.
These cars can be expensive to fix and the more miles and time that is on them the more likely that something could go wrong.
I look at it as an insurance policy.....if nothing goes wrong then you may have wasted your money, but if something big fails your good.\
It's peace of mind...and to me it's worth it.

My135 · 06-10-2009, 10:02 AM

I would say no to all extended warranties. Based on my personel experience, all my 8 previous vehicles (including a BMW 325e) did not have any significant problem even at 150k miles.

andrew9223 · 06-10-2009, 10:09 AM

Picking up the extended warranty with a new purchase is a waste of money. A lot can happen in 5 years. The odds are you're not going to have the car when it hits 100k. Even if you do that doesn't mean its going to instantly fall apart. Save your money.

Tom K. · 06-10-2009, 10:34 AM

Quote:

Originally Posted by mr_130i_oz

Sorry to post in this section but the hatchback section is very quiet ;-)

I'm just about to purchase a 5 door 130i, and I'm in a position to get 3 years extended warranty for parts and labour for $1700AUS, do you think its worth getting?

Cheers

No. Put the money in a safe investment and self-insure.

Tom

JimBeemer · 06-10-2009, 10:52 AM

Extended warranties offer people who worry a lot a way to waste money.

Dave · 06-10-2009, 11:01 AM

no

ZedClever · 06-10-2009, 11:49 AM

No! Extended warranties are a rip off. You're much better off saving your money.

Dave · 06-10-2009, 11:57 AM

Quote:

Originally Posted by ZedClever

No! Extended warranties are a rip off. You're much better off saving your money.

this

vividracing · 06-10-2009, 12:25 PM

Like everyone's said - just say no.
Not only that, but there are third party extended warranties that you can add down the road, some of those are actually better then the one through BMW.

Add1ct · 06-10-2009, 12:26 PM

warranty- maybe, extended free maintenance- definitely

TMR013 · 06-10-2009, 01:04 PM

Quote:

Originally Posted by Add1ct

warranty- maybe, extended free maintenance- definitely

Was thinking about that. What is the price for the standard maintenance (I know they vary, but average)? Would need to figure out if it really is a good deal.

Add1ct · 06-10-2009, 01:16 PM

Quote:

Originally Posted by TMR013

Was thinking about that. What is the price for the standard maintenance (I know they vary, but average)? Would need to figure out if it really is a good deal.

oil changes aren't bad, it's coolant flushes and brake jobs that will kill you if you don't have the upgrade, which I think is around $1500- one dealer brake job and I think that's covered

Tom K. · 06-10-2009, 01:35 PM

Quote:

Originally Posted by Add1ct

oil changes aren't bad, it's coolant flushes and brake jobs that will kill you if you don't have the upgrade, which I think is around $1500- one dealer brake job and I think that's covered

You might check out this thread:
http://www.1addicts.com/forums/showthread.php?t=263301

Don't forget that the $1,595 extended maintenance only covers two years, so if you normally need brakes in the 4th year of the original maintenance, it's doubtful that the extended policy would pay for a 2nd brake job.
(I've never had to pay more than $550 per axle for BMW brakes from a dealer - including rotors.)

And BMW considers coolant to be "lifetime", so flushes are not covered under any maintenance plan.
Tom

Robert · 06-10-2009, 01:48 PM

Not if your extended warranty is free from BMW then its worth it

sunking420 · 06-10-2009, 03:44 PM

I didn't buy one. I figured the current warranty covers 50,000 miles or 4 years, and extended was only two more years. I seem to remember the extended was around $2,500. That two year period, if I still have the car, I don't think anything will cost $2,500. I'm taking a chance and keeping my money. Years ago, I bought a lifetime warranty for a transmission for $500. I traded six months later. I learned from that mistake. These days, when buying something like a TV, they offer me a warranty, and I just look at them and say, "Why, does this brand break a lot?" They leave me alone quickly after that.....I say keep your money....My two cents.....

Add1ct · 06-10-2009, 03:50 PM

I think it all depends on the product and what the life of that product is and how long you think you'll keep it, I am so glad I have applecare seeing as my battery already once slowly exploded on my macbook pro

mr_z4mc1m_oz · 06-10-2009, 06:59 PM

The warranty is through Allianz, I just checked the fine print and you can claim up to $2000 per claim and take it to the repairer of your choice. Pretty much covers everything except things like tyres, brakes, hoses etc. General wear and tear I guess.

I'm just finding out if there is an excess, limit of claims per year, and if its transferable to someone else should I sell it within the extended 3 year period.

Sounds pretty good.

I'm just selling a 2004 VW R32 which I've had for 2yrs and I know I've spent around $1500 on repairs in that period and the car only has 53,000kms.

Your thoughts?

jeremyc74 · 06-10-2009, 07:06 PM

Quote:

Originally Posted by mr_130i_oz

The warranty is through Allianz, I just checked the fine print and you can claim up to $2000 per claim and take it to the repairer of your choice. Pretty much covers everything except things like tyres, brakes, hoses etc. General wear and tear I guess.

I'm just finding out if there is an excess, limit of claims per year, and if its transferable to someone else should I sell it within the extended 3 year period.

Sounds pretty good.

I'm just selling a 2004 VW R32 which I've had for 2yrs and I know I've spent around $1500 on repairs in that period and the car only has 53,000kms.

Your thoughts?

It won't cover most of the things that break, and you'll be lucky if you get your money's worth out of it. If everyone who bought these warranties did, the companies wouldn't be able to stay in business.

The problem with your previous car was that it was a MkIV VW.

(I'm only half joking. I owned one and it was hands down the worst vehicle I've ever owned)

mr_z4mc1m_oz · 06-10-2009, 07:23 PM

Fair enough. I tending to lean that way.

I must say the MkIV R32 has been an absolute pleasure. Not a great deal to spend in 2.5yrs on an almost 6yr old car

kosmoHR · 06-11-2009, 01:44 PM

Why not decide when the standard warranty is almost up? At least in the US, I don't think there is any cost advantage over buying the ext.war when you purchase the car, or when you get to 49,000 miles, and I believe the same applies for the extended service contract.

Angry3 · 06-11-2009, 02:05 PM

A couple things to keep in mind if you're thinking about this. Third party warranties are often littered with coverage exclusions, plus you have to consider that when you make a claim it may have to be approved before the repair work can be done. If you have a major repair, you can count on the warranty company scrutinizing the claim, and possibly denying it if they have a sound argument that they aren't obligated to cover it. Some policies, including BMWs own CPO warranty, also have a "deductible" of sorts ($50 on the BMW plan) that must be paid every time there's a claim. This can eat into the "savings" that the warranty gives you.

Also, a number of these companies have failed over the years. If that happens, your money is gone.

Finally, there are limits on transferability. Many of these warranties can only be transferred one time, and they charge you a fee to do it.

I'm not saying that extended warranties aren't a good thing, on a BMW there's certainly value in the policy and in the piece of mind that comes from having protection against a catastrophic repair bill. I believe in self-insuring where it makes sense, but if you're going to buy one of these policies take the times to read the terms carefully. Also, there's a lot of margin in these contracts, and the price on the 3rd party warranties can often be negotiated much lower.

Good luck with the decision.

06-10-2009, 04:50 AM	#1
mr_z4mc1m_oz Captain 274 Rep 662 Posts Drives: BMW Z4 M Coupe & 1M Join Date: May 2009 Location: Sydney Australia iTrader: (0)	Is extended warranty worth it? Sorry to post in this section but the hatchback section is very quiet ;-) I'm just about to purchase a 5 door 130i, and I'm in a position to get 3 years extended warranty for parts and labour for $1700AUS, do you think its worth getting? Cheers
	Appreciate 0 Tweet Quote

06-10-2009, 05:39 AM	#2
TP 135i Major 29 Rep 1,340 Posts Drives: 2008 135i SGM MT Join Date: Nov 2007 Location: Finksburg, Maryland iTrader: (0) Garage List 1995 Acura Integra SE [0.00] 2008 BMW 135i [0.00] 2006 Porsche Cayman S [0.00] 1999 Toyota 4-Runner [0.00]	Yes...I do. As long as it is thru BMW and not a third party. These cars can be expensive to fix and the more miles and time that is on them the more likely that something could go wrong. I look at it as an insurance policy.....if nothing goes wrong then you may have wasted your money, but if something big fails your good.\ It's peace of mind...and to me it's worth it. __________________ 2008 135i SGM
	Appreciate 0 Quote

06-10-2009, 10:02 AM	#3
My135 Lieutenant Colonel 87 Rep 1,609 Posts Drives: Join Date: Mar 2008 iTrader: (0)	I would say no to all extended warranties. Based on my personel experience, all my 8 previous vehicles (including a BMW 325e) did not have any significant problem even at 150k miles. __________________ 7/08 135 Coupe, Crimson Red, 6 SP, Sport, Taupe Lette/Aluminum. Performance Mods: JB4 on Map 5, BMS DP Fix V3, Injen polished intake, AR Catless DP, Maddad resonated mid-pipes, aFe exhaust polished tips, ST Suspension Coil Over and Hotchkis front sway bar. Others: BMS OCC, BT Scanner, Mud Flap. Next Mods: AA Front Strut Brace.
	Appreciate 0 Quote

06-10-2009, 10:09 AM	#4
andrew9223 Enlisted Member 1 Rep 39 Posts Drives: 135 Join Date: Mar 2009 Location: space iTrader: (0)	Picking up the extended warranty with a new purchase is a waste of money. A lot can happen in 5 years. The odds are you're not going to have the car when it hits 100k. Even if you do that doesn't mean its going to instantly fall apart. Save your money.
	Appreciate 0 Quote

06-10-2009, 10:52 AM	#6
JimBeemer Private 1 Rep 99 Posts Drives: Join Date: Aug 2008 iTrader: (0)	Extended warranties offer people who worry a lot a way to waste money.
	Appreciate 0 Quote

06-10-2009, 11:01 AM	#7
Dave formerly izzo/comeback 289 Rep 3,382 Posts Drives: 2016 RC 350 F Sport Join Date: Dec 2007 Location: NJ iTrader: (3) Garage List 2008 135i [6.80]	no __________________ BMW CCA # 418268
	Appreciate 0 Quote

06-10-2009, 11:49 AM	#8
ZedClever Private First Class 4 Rep 109 Posts Drives: 09 135i space grey/black Join Date: Mar 2009 Location: Charlotte, NC iTrader: (0)	No! Extended warranties are a rip off. You're much better off saving your money.
	Appreciate 0 Quote

06-10-2009, 12:25 PM	#10
vividracing 689 Rep 6,854 Posts Drives: E90 M3, F30 335i, F80 M3 Join Date: Aug 2006 Location: Arizona iTrader: (14)	Like everyone's said - just say no. Not only that, but there are third party extended warranties that you can add down the road, some of those are actually better then the one through BMW. __________________ Travis Williams Shop ALL BMW G80 \| G82 Parts Here! 480.966.3040 ext 318 Travisw@vividracing.com PM, Email, or Call Directly for aggressive BMW Member Pricing
	Appreciate 0 Quote

06-10-2009, 12:26 PM	#11
Add1ct Lieutenant Colonel 61 Rep 1,859 Posts Drives: 135i, 335i Join Date: Sep 2008 Location: Palos Verdes Estates (SoCal) iTrader: (3)	warranty- maybe, extended free maintenance- definitely __________________ E82 N54 6MT 6FL 668 KASW turned in E92 Crimson/Cream N54 6MT, ZSP, ZPP, ZCW, Nav, Sat radio, HD Radio, Logic7, PDC, Active Steering, Active Cruise, 6FL, CA
	Appreciate 0 Quote

06-10-2009, 01:48 PM	#15
Robert Major General 419 Rep 6,968 Posts Drives: 135i -> is350 -> Tesla M3 perf Join Date: Aug 2005 Location: Socal iTrader: (1)	Not if your extended warranty is free from BMW then its worth it
	Appreciate 0 Quote

06-10-2009, 03:44 PM	#16
sunking420 First Lieutenant 12 Rep 334 Posts Drives: '08 SGM 135i Join Date: Dec 2007 Location: Flagler Beach, Florida iTrader: (0)	I didn't buy one. I figured the current warranty covers 50,000 miles or 4 years, and extended was only two more years. I seem to remember the extended was around $2,500. That two year period, if I still have the car, I don't think anything will cost $2,500. I'm taking a chance and keeping my money. Years ago, I bought a lifetime warranty for a transmission for $500. I traded six months later. I learned from that mistake. These days, when buying something like a TV, they offer me a warranty, and I just look at them and say, "Why, does this brand break a lot?" They leave me alone quickly after that.....I say keep your money....My two cents.....
	Appreciate 0 Quote

06-10-2009, 03:50 PM	#17
Add1ct Lieutenant Colonel 61 Rep 1,859 Posts Drives: 135i, 335i Join Date: Sep 2008 Location: Palos Verdes Estates (SoCal) iTrader: (3)	I think it all depends on the product and what the life of that product is and how long you think you'll keep it, I am so glad I have applecare seeing as my battery already once slowly exploded on my macbook pro __________________ E82 N54 6MT 6FL 668 KASW turned in E92 Crimson/Cream N54 6MT, ZSP, ZPP, ZCW, Nav, Sat radio, HD Radio, Logic7, PDC, Active Steering, Active Cruise, 6FL, CA
	Appreciate 0 Quote

06-10-2009, 06:59 PM	#18
mr_z4mc1m_oz Captain 274 Rep 662 Posts Drives: BMW Z4 M Coupe & 1M Join Date: May 2009 Location: Sydney Australia iTrader: (0)	The warranty is through Allianz, I just checked the fine print and you can claim up to $2000 per claim and take it to the repairer of your choice. Pretty much covers everything except things like tyres, brakes, hoses etc. General wear and tear I guess. I'm just finding out if there is an excess, limit of claims per year, and if its transferable to someone else should I sell it within the extended 3 year period. Sounds pretty good. I'm just selling a 2004 VW R32 which I've had for 2yrs and I know I've spent around $1500 on repairs in that period and the car only has 53,000kms. Your thoughts?
	Appreciate 0 Quote

06-10-2009, 07:23 PM	#20
mr_z4mc1m_oz Captain 274 Rep 662 Posts Drives: BMW Z4 M Coupe & 1M Join Date: May 2009 Location: Sydney Australia iTrader: (0)	Fair enough. I tending to lean that way. I must say the MkIV R32 has been an absolute pleasure. Not a great deal to spend in 2.5yrs on an almost 6yr old car
	Appreciate 0 Quote

06-11-2009, 01:44 PM	#21
kosmoHR New Member 0 Rep 20 Posts Drives: 128 "nothingburger" coupe Join Date: May 2009 Location: Hood River, Oregon iTrader: (0)	Why not decide when the standard warranty is almost up? At least in the US, I don't think there is any cost advantage over buying the ext.war when you purchase the car, or when you get to 49,000 miles, and I believe the same applies for the extended service contract.
	Appreciate 0 Quote

06-11-2009, 02:05 PM	#22
Angry3 All your 1 are belong to us!!! 20 Rep 658 Posts Drives: '08 135i 'Vert Join Date: Apr 2008 Location: Charlotte, NC iTrader: (0)	A couple things to keep in mind if you're thinking about this. Third party warranties are often littered with coverage exclusions, plus you have to consider that when you make a claim it may have to be approved before the repair work can be done. If you have a major repair, you can count on the warranty company scrutinizing the claim, and possibly denying it if they have a sound argument that they aren't obligated to cover it. Some policies, including BMWs own CPO warranty, also have a "deductible" of sorts ($50 on the BMW plan) that must be paid every time there's a claim. This can eat into the "savings" that the warranty gives you. Also, a number of these companies have failed over the years. If that happens, your money is gone. Finally, there are limits on transferability. Many of these warranties can only be transferred one time, and they charge you a fee to do it. I'm not saying that extended warranties aren't a good thing, on a BMW there's certainly value in the policy and in the piece of mind that comes from having protection against a catastrophic repair bill. I believe in self-insuring where it makes sense, but if you're going to buy one of these policies take the times to read the terms carefully. Also, there's a lot of margin in these contracts, and the price on the 3rd party warranties can often be negotiated much lower. Good luck with the decision.
	Appreciate 0 Quote