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Aftermarket Warranty - Yes or No?

RevRichmond

Full Member
Joined
Jul 1, 2013
Messages
136
Location
Tri-Cities WA
Have a quote here from Interstate National Dealer's Services (BBB rating of A+, btw) for $2,200 for my '08 4x4 LTZ with 104k miles. Almost half as much as another quote from another company. Covers pretty much everything but steering components (weird, but whatever) and wear-and-tear items like brake pads, tires, etc. Does include road-side assistance, lock-out service, rental coverage, all power-train, all electrical & switches and on and on, for 5 years or 100K miles, whichever first.

Just wondering if you guys have had that much, more or less expenses than that for your similar AV, either from 100k miles till 200k miles....or how much $$ spent within a 5 year period of another 5-ish year old AV. If you've had substantial repairs, about how much did it cost? Rear-end, engine, trans, electrical, HVAC, dash crack...wait... disregard that last one... :rolleyes:

What are your thoughts? I know peace of mind is great, but considering that this truck seems to be in TOP condition, taken great care of inside and out, I'd rather not waste $2,200. Think it's worth the +/- $115 per month? (have it paid off in 18 months - still covered till 5 yrs or 100k mi)

:B:Thanks. You guys rock.  :B:
Here's some pics of her, just for fun :)






 
I generally do not purchase extended warranties for most items I purchase.

Some will report that they certainly made the correct move in doing so.

I can, however, tell you that a transmission rebuild/replacement will often run you between $1500 to $2500 depending upon the circumstances.

If your truck has between 80,000 and 120,000 miles on it and the transmission has never been repaired, odds are, you will be a good candidate for some type of repair within the next 100,000 miles.

Some report they have gone hundreds of thousands of miles without ever having a transmission failure, but I consider those to be the few lucky ones.

The stock transmissions in these trucks are not exactly known for being bullet proof.

If you opt to have your fuel pump replaced instead of doing it yourself, be prepared to cough up somewhere north of $700 at most repair shops.

Before I bought any extended warranty, I would do some research and make sure I understood how their claims are handled.

Ask your preferred repair shop how they deal with the extended warranty you are planning to buy, or will you just have to pay out of your pocket and later have to try to get your money back from the policy on your own.

Not all repair shops will except payment from these policies so you will have to go the reimbursement route and understand how that works.

Verify how that is handled.

See if they have a pre-approval process for a repair so you are not surprised when they deny your claim.

Some swear by these policies, others don't.

Me, I may have purchased a few a long time ago, but nowadays, not so much.  
 
I just picked one up from Discount Auto Protection,LLC.  The Administrator is Interstate National Dealer Services.  I thought it would be a good idea because I have over 108K.  I pay $100 deductable for each visit no matter how many things they work on.  Best is, the administrator pays the repair shop directly. Cost is $2300



And Firestone is one of the direct billing repair shops and if you use them, no deductible is needed...at least that?s what I think I read
 
I had one also until I got confident with the AV, I only had it for a year.
 
i had one on mine i got lucky and had most of my problems within that timeframe (transmission and entire front end went out on it, wheel bearings, axle seals, and a couple other problems) so i made my moneys worth but what they count on is when people don't.
 
What is a good reputable company to get a warranty from?
 
Since my truck has 193,000 miles on it when I purchased it I mentioned I was leery of buying a truck with so many miles on it. The truck was in like new condition so I expected it was used by a sales person but they offered a 12,000mile/1 year warranty to me for free and I took it. I ended up using it to replace the wheel bearings and some other stuff. About $2000 at the dealer. I had to pay a $100 deductable and they only paid $55 per hour labor and the dealer charged $70 so I paid the difference. I ended up spending about $200 for over $2000 in repairs on my truck.

I thought it was a good deal for me but they told me the package I had would have cost $700 if I had bought it. Personally I would never actually BUY the coverage unless you expect the vehicle to fail. Even then you might be better off taking that money and putting it on a CD in the bank or other short term investment you can cash in.

Rodney
 
Aftermarket Warranty on a new vehicle no, on one with 104,000 miles yes. My next door neighbor works for Toyota and trains the dealerships on selling the extended warrenties, they are a moneymaker for them on new cars on used cars not so much. Yours is used but the difference is it's your truck and you now the service history assuming you bought it new.


But like EXT4ME pointed out your in the mileage range of trans, fuel pump, wheel bearings etc. failure/problems. Any one of those could be $1,000 repair bill with a new trans two or three times more. This is your truck and if your going to keep it might be worth it, but like any insurance policy it's peace of mind or a roll of the dice..


Randy

 
EXT4ME said:
I can, however, tell you that a transmission rebuild/replacement will often run you between $1500 to $2500 depending upon the circumstances.
That's always been my deciding factor.  The tranny is probably the weakest link in the 1500 AV's. That said, I'm at 145K on my truck with zero issues. However, I've been sure to take care of the tranny.

If you pay for the warranty, the company MAY decide to cover it. If they do (and that's a big IF), then you will be told what to get.  If I were to need a tranny replacement, I'm paying for something of my choice.

I last bought an extended warranty on my '95 GMC Jimmy. Four years later, the fuel injector spider went out on the truck at around 75,000 miles. The extended warranty said this was wear-and-tear and initially refused to cover the costs, which were about $2000. Eventually, they settled on parts ($800) and I got labor (which was less than estimated at around $450).    Came to find out later that GM extended the warranty on that fuel injector for 120,000 miles.

HTH!
 
PerfectReign said:
That's always been my deciding factor.  The tranny is probably the weakest link in the 1500 AV's. That said, I'm at 145K on my truck with zero issues. However, I've been sure to take care of the tranny.

If you pay for the warranty, the company MAY decide to cover it. If they do (and that's a big IF), then you will be told what to get.  If I were to need a tranny replacement, I'm paying for something of my choice.

I last bought an extended warranty on my '95 GMC Jimmy. Four years later, the fuel injector spider went out on the truck at around 75,000 miles. The extended warranty said this was wear-and-tear and initially refused to cover the costs, which were about $2000. Eventually, they settled on parts ($800) and I got labor (which was less than estimated at around $450).    Came to find out later that GM extended the warranty on that fuel injector for 120,000 miles.

HTH!
when my tranny went the warranty company tried to say i was abusing it when 3rd gear was gone so i told them i wanted my warranty money back so they fixed it  >:D
 
I just got my 2010 with 36,000 miles on it from the local Toyota dealership. There is still 2 years left on the GM drive train warranty but there is an awful lot of electronic gear on these. I went ahead and paid $3,000 for the Toyota brand 3yr/36,000 mile extended warranty. Like most, it covers everything accept consumables like tires and brake pads. 

Being deployed half the year means I need a warranty for my wife so it's peace of mind for me.
 
Seems like there's a lot of "if's" in regard to what they will or won't cover.
They told me that the entire drivetrain was covered. Now my question is, did they tell you that, too, and THEN try to NOT COVER the tranny?
If so, what was their reasoning? i.e., "you abused it, etc"

Also, what's up with the non-coverage of the steering components? Anyone else have that omitted? Do they view that as a consumable or what??? Sounds crazy to me.

Thanks so much.
 
the only thing in mine that was in the for sure not covered was shocks and brakes other than that i had to take it to the selling dealer and then have them "diagnose what caused the problem" then the warranty decided if they were going to cover or not which most of the time they did
 
I did buy one time on a new 1985 GMC S15 4x4 with a 2.8L, But at that time it was reasonable 5yr unlimited mileage for $500.00 with a $25.00 deductible. I would tow my boat it with and would have the motor redlined on every hill, if it blew, it blew, it was covered, never did but at three years I was checking the oil and found gooey mess of water and oil.

I took it in and they found a leaky head gasket, while I was there I looked at the new 1988 trucks on the lot saw one I liked and traded in that one for a new full size with more power. I did not get an extended warranty on that one the cost had gone way up and they did not offer the unlimited mileage anymore...


Randy
 
Getting an aftermarket warranty company to actually cover something is like pulling teeth in many cases. These guys are known for using fine print and even making up stuff to deny claims.  Put the money aside in a rainy day fund to pay for repairs. Do a Google search on aftermarket warranties.
 
You just have to have the right tone  >:D mine said I could cancel at any time with a refund of remaining time ... Throw that you want that out there and they jump through a couple hoops quicker
 
I reluctantly bought one for my then new 03 Avalanche. During the first 4 months of ownership and perusing this forum, Warranty Gold was the topic of angst as they had sold a lot of post market warranties and went bankrupt around August or September of 2003.

I purchased at my selling dealer 4 or 5 months after I originally bought the Avalanche and had the SVC 4WD and a few other oddities pop up, but it was not the GM product and that set off alarms in my head about mark up/dealer profit or them not sticking GM with a bunch of Lemon Claims. By late 2003, we were still discovering a lot of odd things going on with these vehicles.

I got to use it a few times and a week before expiration, I became aware of the transfer case/pump rub issues. My wonderful service guy jumped all over the pump rub, parlayed the instrument cluster, and a whole laundry list of other stuff to push it way over the top for warranty repairs.

I was there when he spoke with the warranty people about the claim and when he hung up he said they did not authorize any work until they sent an adjuster to inspect the claim. He told me not to worry and it could take a few days. As he gave me the keys to a loaner, he said not to worry, I'd probably get a call within an hour and he'd have a green light for the repairs.

I only live 3 miles from the dealer and before I returned home, I had a voicemail from him saying he had the Green Light and would begin immediately. It took 3 days.

I asked what the delay was about and he said they wanted to check and see if I had managed and maintained the service items as indicated in the owners manual, for which I had. I am not judicious about such matters, but I was invested in that vehicle and planned to keep it a very long time.

I sold it 9 months later as I was near the 100K service points and decided to move on.

The Bottom Line, after the 3 year 36K GM Warranty, keep the recommended service items up to date if you have a post warranty insurance plan and do retain the records for your service history validation.

it's still a crap shoot either way, but manage your service regardless.
 
When I was at shops I ran I got to see these warranties all the time. There are good and bad ones out there. Some will sell contracts till they blanket an area and then fold up shop and move somewhere else with another name. Being from the automotive/light truck repair field I always answer this question the same way if someone asks-NO NOT EVER. The odds are in their favor for collections and none paid out. Every now and then there is the story where it pays off for whoever buys one but all in all the odds are always in the warranty company's favor. I would not buy it and save back the money you intend to pay for it for when you need it. That was what I ran in to a lot. People don't save a little money back with each paycheck for vehicle maintenance and repairs and then when the big bill hits they scramble for money. If you drive a vehicle you will need the money at some time. That is my $.02.  :wave:
 
I was also thinking about a warranty. 2nd owner and it just turned 92K on my 2008. I remember trying to look up the GM warr and when I put the vin in it told me I was covered already? I cant even remember where I looked as I got side tracked and didnt follow up on it. I keep hearing about trans issues and the dreaded AFM motors crapping out so im a bit concerned. I dont know which way to go and which warr would be best. Id prefer something from GM but do they even offer something in my or RevRichmonds situation? 5-7K for a motor, 2k for a trans and thats not even thinking about all the electronics in this thing so a grand or 2 for the piece of mind would be a pill I would be willing to swallow. It sounds like Rev and I are in the same situation with well cared for trucks.
 
For your piece of mind then do what you feel is right for yourself but make sure you do the research and double check what is actually covered. There are lots of disclaimers in those warranties. Also, don't know if you know this, the warranty company can tell the tech to wait, after the inspection, and a rep will come out and look at it before approval and sometimes that can take days. Also, if they do not approve coverage you are on the hook for diagnosis. Sometimes the diagnosis is not covered even if it is a covered repair.
 
The after market warranty will not cover items that have not been maintained as described in the owner's manual. The initial hold up for warranty work will be to see if you have maintained the vehicle per GM specifications.

That being said, bring all of the maintenance stuff up to date and keep it close the specified intervals.

Now, the best part is most of the interval items are relatively minor and infrequent. There is a blurb for variance with the transmission. Give the Owner's Manual a good read for service items and intervals.

Enjoy your ride.
 
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