Extended Warranty Questions / Are they worth it?

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Sep 23rd, 2021 6:17 pm

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Sep 21st, 2021 5:17 pm

justinrenaud [OP]: Newbie; Sep 20, 2021; 1 posts

Sep 21st, 2021 5:17 pm

Extended Warranty Questions / Are they worth it?

Hey guys, looking to buy a used 2018 BMW 430i, or 2019 Mazda CX5. Either way, both will be under 50,000km, but factory warranties will be expired. I will be purchasing through a dealership- either a Used car dealership, or BMW or Mazda dealership. I am curious your guys' opinions on dealer extended warranties, or purchasing separate ones like Lubrico, CoverageOne, AutoPair, or Ensurall, or buying from an online-only dealership with their own extended warranties like Clutch, or Canada Drives.

Are there some warranties better than others? I've heard horror stories where people buy the highest-end warranty, only for it not to cover the issue. I also know some only cover up to a certain dollar amount per claim. That being said, I don't want to risk it and not have a warranty, especially with the BMW as repair costs are expensive.

Thanks for any insight and recommendations!

11 replies

Sep 22nd, 2021 8:49 am

Toolatecrew: Deal Addict; Oct 5, 2009; 1170 posts; 439 upvotes; Dartmouth

Sep 22nd, 2021 8:49 am

All warranties are a gamble. The gamble is set up so more than 50% of the time the “house” wins. That’s how these companies make money by rigging the game so they pay out less than they take in. An OEM one is less of a gamble but still a gamble. Question is “do you feel lucky?”

Or you could take the cost of the warranty and put it in a TSFA maybe maybe some interest. If the car breaks and you need the $ withdraw it. If you don’t need it it’s still yours.

Sep 22nd, 2021 11:25 am

Bayan: Member; Apr 18, 2011; 452 posts; 206 upvotes; Toronto

Sep 22nd, 2021 11:25 am

Once I have had a lubrico warranty for 6 months (included in the purchase price) from the used car dealer I bought a vehicle. I opted out of the warranty because there was $35 activation fee.

Sep 22nd, 2021 11:30 am

restartRFD: Member; Mar 27, 2021; 389 posts; 474 upvotes

Sep 22nd, 2021 11:30 am

It's just a piece of mind and ultimately depends how long you plan on keeping the car.

Set aside a budget for car repairs/maintenance and keep your money. If you realy want piece of mind, manufacturer extended warranty over third party.

Long Time RFDer / restarting life

Sep 22nd, 2021 9:01 pm

Electrah: Deal Addict; Jun 18, 2018; 1559 posts; 986 upvotes; Toronto

Sep 22nd, 2021 9:01 pm

Same concept as insurance, don't need it until you do.

Sep 22nd, 2021 9:16 pm

Brianbakers: Jr. Member; Sep 15, 2020; 153 posts; 157 upvotes

Sep 22nd, 2021 9:16 pm

Electrah wrote: ↑ Same concept as insurance, don't need it until you do.

The problem is, when you do need it, it either doesn't cover what you thought was covered or there are hoops to jump through to prove it is not your fault (i.e. engine blowing up due to design defect, not running out of oil).

IMO only manufacturer's extended warranty are worth it on cars that are known to be expensive to repair and common to breakdown, or both. And even then, I'd still choose to save the money and deal with the problem on a per-case basis.

Sep 23rd, 2021 4:52 am

ronthan: Jr. Member; Feb 6, 2018; 122 posts; 36 upvotes

Sep 23rd, 2021 4:52 am

I would save the money for future repairs or mods.

Sep 23rd, 2021 8:04 am

100Pacer: Deal Addict; Sep 13, 2012; 2452 posts; 1962 upvotes; Vaughan, ON

Sep 23rd, 2021 8:04 am

Brianbakers wrote: ↑ The problem is, when you do need it, it either doesn't cover what you thought was covered or there are hoops to jump through to prove it is not your fault (i.e. engine blowing up due to design defect, not running out of oil).

IMO only manufacturer's extended warranty are worth it on cars that are known to be expensive to repair and common to breakdown, or both. And even then, I'd still choose to save the money and deal with the problem on a per-case basis.

Good advice. If you’re purchasing the CX-5 from the dealer I wouldn’t bother with extended warranty. Declined extended warranty on my wife’s 2014 CX-5 and it hasn’t required a thing to date @ 90,000KM. These are pretty basic builds and well put together. If you’re purchasing the 430 from the dealer ask for a quote on extended warranty - your sales advisor may even reduce further. Ask to see complete service history and verify no carfax repairs.

Sep 23rd, 2021 10:01 am

sickcars: Deal Guru; Mar 13, 2004; 13228 posts; 4835 upvotes; Ontario

Sep 23rd, 2021 10:01 am

I would only buy OEM warranty form the manufacturer so in this case only buy from the BMW Dealer or Mazda, dont go with any other company because they will try to give you the run around and you may need to fight to get something covered under warranty.
For the BMW I would buy extra warranty because they are known to have more expensive parts/labor etc so bills can get pretty expensive. For the mazda I don't think it would be as bad but depending on the cost for the warranty you may consider it also.

0_o
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>_>
New Furnace/AC Time?

Sep 23rd, 2021 10:08 am

nielboy: Deal Addict; Jun 12, 2008; 3375 posts; 953 upvotes; Ancaster

Sep 23rd, 2021 10:08 am

sickcars wrote: ↑ I would only buy OEM warranty form the manufacturer so in this case only buy from the BMW Dealer or Mazda, dont go with any other company because they will try to give you the run around and you may need to fight to get something covered under warranty.
For the BMW I would buy extra warranty because they are known to have more expensive parts/labor etc so bills can get pretty expensive. For the mazda I don't think it would be as bad but depending on the cost for the warranty you may consider it also.

+1.....I have heard nothing good about these aftermarket warranties.....there always seems to be some loophole that leaves you skewered.

If you want the security you're best spending the extra for the OEM warranty.

+1

Sep 23rd, 2021 12:06 pm

cellsell: Sr. Member; Aug 4, 2004; 646 posts; 501 upvotes

Sep 23rd, 2021 12:06 pm

you may only need to consider warranty for the BMW (don't go aftermarket, get the extended warranty from dealership)..

for Mazda, you just need a good and honest body shop, they do not have much to fix and not as many crazy sensors. the price you paying for warranty will able to cover for few years services you need.

Sep 23rd, 2021 6:17 pm

r1lee: Deal Fanatic; Jan 17, 2003; 8953 posts; 1437 upvotes

Sep 23rd, 2021 6:17 pm

I bought extended warranty for my 2016 pilot when I had it. Put on 190km in 4yrs and it was worth every penny. Had my injectors, cat and slew of other things go.

By the time the warranty expired, the car had very little issues left. Then it got stolen.

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