[rrucker]

All,

Have any of you been offered or have bought the extended warranty offered by Chrysler?

I know extended warranties are generally a waste of money, but I do intend to keep this car until I'm no more. Not only that, but I average 25K miles/year, so I'm going to burn through the standard warranty in no time.

Considering this is a lifetime warranty to the original owner, I'm considering buying it. Any thoughts?

Ryan

 

[Rossonero3]

All,

Have any of you been offered or have bought the extended warranty offered by Chrysler?

I know extended warranties are generally a waste of money, but I do intend to keep this car until I'm no more. Not only that, but I average 25K miles/year, so I'm going to burn through the standard warranty in no time.

Considering this is a lifetime warranty to the original owner, I'm considering buying it. Any thoughts?

Ryan

I was offered at the time of purchase 2 or 3 additional extended warranties. I think there was a 6 year, a 7 year, and then the "lifetime" warranty. I was shocked that a company would offer a lifetime warranty. I seriously considered it but didn't go for it, i only put less than 10 k a year as it is. However, it was only additional $3K, which i thought would definitely be worth it. I have no doubt we will be spending that in no time after the original warranty runs out. I have an '06 BMW X5 and its been in the shop way too much, luckily everything has been covered so far under the CPO warranty, but has easily exceeded 10K so far in coverage costs. I'm scared when that warranty will expire this year!
Anyway, if you don't want to shell out the $3K for the lifetime, then go with one of the other options.

Mark

 

[Umbrianissimo]

interesting question, especially as you drive a lot of miles and you plan on keeping the car for a long time. I've never come across a 6 or 7 year warranty, let alone a lifetime warranty.

I look at it this way; on balance, the company expects to collect more from buyers, overall, than they will pay for in repairs. Just like gambling, the odds are slightly against you. Remember also that Fiat / Chrysler may be paying a much lower rate for parts and labour than you will.

However, a good warranty can be very comforting, but it is critical that you understand all the possible exceptions to the coverage. I would expect that sticking to the scheduled maintenance routine will be required to keep the warranty in force, and they will likely demand evidence. Maybe that's an issue for you, maybe not, but paperwork will be expected.

Are wear items included? Likely not. Wear items typicallyinclude brake disks and pads, clutch disks, various rubber bushings and linikages, and camshaft or serpentine/ multi-item belts. With care, many car engines go for 200,000 km, or some similar number of miles. It does depend on how you drive; 60k miles of 5 mile trips is different wear on a car overall than 60k miles of highway driving (agreed, a generalization).

Power window motors and regulators- very expensive. Starter motors, alternators also wear items that can take $300.00 - $500.00 to replace. Perhaps wander by a Fiat shop and talk to the service department. See what brake pad and rotor replacement costs. See what it takes to replace dashboard bulbs. Find out about the timing belt replacement.

Not sure what shop labour is in your zone; here, in Vancouver Canada, VW charges $115.00 per hour. At least there are lots of independent VW mechanics. Although the Fiat is a normal (though I think excellent) car, I suspect that you do not have the independent mechanic option except for oil changes.

This has turned out to be more than 2 cents worth, but since you asked.....

Let us know what you find out and what you decide.

 

[andyandrews]

My question was whether these "warranties" are actually Chrysler products, or are structured for sale by third parties, and the Chrysler dealer gets a commission if you buy them.

The tire warranty was the most spoofy. I rejected it and the other ones out of hand. I didn't want to get them started, so I didn't ask for more information. I thought it was suspicious that they offered no brochure materials about these plans.

I'm sure there is plenty of printed material for the "live ones" that accept the products, similar to the contracts that come with credit cards. Who needs all the complication?

 

[rrucker]

Hi,

I got a load of info on it when I picked up my car. It's through Chrysler Group Service Contractors -- I don't know if that's a third-party, subsidary, or what. The slogan is, "If it's mechanical, it's covered."

It's too lengthy to list it all here, but it looks like it covers anything except wear-and-tear items.

The other thing I failed to mention -- they'll let me pay it out over a year at no interest. That also makes it a bit more enticing.

I'm stopping in on Friday to grab the actual contract, I want to read what the restrictions are as listed on that (the notorious "fine print").

So far, though, I'm leaning that way.

Ryan

 

[so cal mark]

for the most part, those extended warranties are a bad investment. Definitely read the fine print, most will exclude any parts that wear out and only cover failures. If it were me, I'd take the cost of the contract and stick that amount in a savings account. You'll be money ahead in the long run. Most of those contracts are worded so that the most benefits that will be paid is equal to the amount of the contract so the best you can do is get your money back

 

[Umbrianissimo]

Ryan,

Andy's point is a good one; third-party warranties have several levels of profit built in, and you pay for all of that. However, I did get and extended warranty, from a third-party warranty company on a used car that I bought years ago. It saved me about $1,000.00 in repairs, so it was a great thing to have. Which brings up one more point: is the warranty transferable to a new owner? You may not intend to sell, but life doesn't always go the way we intend it to.

I think we're all curious (or suspicious) about the list of 'wear items' but please do let us know what the fine print on your warranty option is. I'd be curious about things like HVAC controls, or the radio/ CD/ bluetooth system. Inexpensive options when you buy, but likely expensive to repair three or four years down the road.

 

[rrucker]

Yes, the warranty is transferrable, but when transferred, it doesn't last for the lifetime of the new owner. It reverts to a time-period. I don't know what that is at the moment.

 

[LucieMewes]

Glad to find this site! I'm inclined to get the 100,000 k warranty for $1800...it's a brand new car model with no track record of failings yet. ALL COMPUTER CONTROLLED. Seems like a good precaution but I like the recommendation that I simply put the $$$ into a savings account!

Who knows of parts/mechanical issues later on?

I bought mine 2/3/12 and just passed 7,650 miles yesterday.

 

[Pinecone]

I have had Chrysler Extended Warranties on 3 vehicles. They are Chrysler products and you take your car to any Chrysler dealer and it works like the new car warranty.

I did have a couple of times the dealer thought something was not covered, but they used to have a 800 number to call, and a quick call got things straightened out.

I will NOT buy a 3rd party warranty, but I WILL buy a manufacturers extended warranty. In every case, it paid for itself.

BTW, the warranty price is negotiable. The $3K lifetime has been reportedly bought for as low as $2300.

 

[panther76]

Ryan,

Andy's point is a good one; third-party warranties have several levels of profit built in, and you pay for all of that. However, I did get and extended warranty, from a third-party warranty company on a used car that I bought years ago. It saved me about $1,000.00 in repairs, so it was a great thing to have. Which brings up one more point: is the warranty transferable to a new owner? You may not intend to sell, but life doesn't always go the way we intend it to.

.

i actually chose a third party extended warranty over the fiat extended warranty. i was at the dealer all day so had time to read the warranties completely.

the third party warranty simply had better coverage. there were less exclusions. it is tranferrable for whatever is left on it. it is easier to go to places other than a fiat studio. right now id stick to a studio anyway. down the road, there will be more places who will be competent working on this car.

 

[alittle1]

...and when you sell your car, what do you get for the un-used portion of the warranty, NOTHING!....and if you should have an accident and it is written off, NOTHING! .....and if there is nothing wrong with the car throughout the warranty period, do you get any re-imbursement? NO.

The third party warranty that you pay for, only comes into play after the OEM warranty is exhausted by date or mileage.

 

[panther76]

...and when you sell your car, what do you get for the un-used portion of the warranty, NOTHING!....and if you should have an accident and it is written off, NOTHING! .....and if there is nothing wrong with the car throughout the warranty period, do you get any re-imbursement? NO.

The third party warranty that you pay for, only comes into play after the OEM warranty is exhausted by date or mileage.

that is why it is so much cheaper. you only really need extra coverage after the factory coverage. i got a better extended warranty than the fiat warranty and it only costs $684.

when selling a used car you can easily get more than a similar car when the buyer is getting the remainder of the warranty vs no warranty/as is/buyer beware. which used car would you buy? so, you do get some return for having that warranty.

also, some warranties will return a prorated amount if you cancel it, and an insurance write off does allow me to cancel my warranty and get a prorated portion back.

so, two of the three things you are proposing arent quite accurate.

 

[markp]

...and when you sell your car, what do you get for the un-used portion of the warranty, NOTHING!....and if you should have an accident and it is written off, NOTHING! .....and if there is nothing wrong with the car throughout the warranty period, do you get any re-imbursement? NO.

The third party warranty that you pay for, only comes into play after the OEM warranty is exhausted by date or mileage.

And when your A/C and temp control unit goes out and you live in Hawaii.....what do you get...a repaired A/C system for a $100.00 dollar deductable, and a rental car allowance. What would "you"(alittle1) get.....probably a repair bill for over $2,000.00 plus a rental car bill for a week at about $200.00. I'll take the warranty thank you! Just having some fun alittle, please dont take offense. Cheers.

 

[deja vous]

Keep in mind that you can purchase the extended warranty up to the end of the manufacturer warranty at which time you have had a chance to see how the car is mech wise. Just a thought.

 

[Pinecone]

ALL warranties are gambling. You are gambling on needing the warranty, the seller is gambling that you won't.

But too many horror stories about 3rd party warranty issues. Company goes out of business, you have no warranty. Company doesn't do what it says, company doesn't reimburse in a timely manner, shops won't accept that company's warranty.

Factory extended warranty avoids these.

Your choice.

 

[panther76]

ALL warranties are gambling. You are gambling on needing the warranty, the seller is gambling that you won't.

But too many horror stories about 3rd party warranty issues. Company goes out of business, you have no warranty. Company doesn't do what it says, company doesn't reimburse in a timely manner, shops won't accept that company's warranty.

Factory extended warranty avoids these.

Your choice.

im not worried about any of those isuues. not one bit. id say the chances of Zurich, for example, going under are less than Fiat/chrysler. besides, i can go to any fiat dealer as they all honor the warranty.

think about it. who was just filed for bankruptcy in the last 3 years? while warranty issues were honored, that isnt guaranteed to always be the case. had fiat not come to the rescue, who knows how well future warranty issues would have been handled.

id be just as well to trust a strongly rated insurance company.

a majority of the larger dealers use Zurich(Universal Underwriters), Fidelity Warranty Services(JM&A Marketing) and Southwest Dealer Services. Those companies are great because the dealer actually owns a percent of the claim process as well as the profits generated by the sale of the coverage. Because they own them they are more likely to cover questionable claims because the state insurance commision office enforces the policies very stricty.

ive used zurich for warranties before and they have worked harder at bending over to get the right things covered than any manufacturer warranty ive ever had.

also, my liability was smaller than it would have been with the manufacturer warranty (1/2 to 1/3) of what folks are paying for the same or worse coverage).

sre their unreputable 3rd party warranties out there? you bet there are. however, most new car dealers will not touch them with a ten foot pole.

 

[LucieMewes]

When I bought my POP I didn't get the extended. I have until 7/3 to get the 100,000 mile one for $1800. I'm pretty nervous about the computer stuff and don't see anyone with enough miles for stuff to break yet. $1800 seemed worth it. But I will read the 3rd party v chrysler stuff too.

Thanks for the discussion.

 

[LucieMewes]

that is why it is so much cheaper. you only really need extra coverage after the factory coverage. i got a better extended warranty than the fiat warranty and it only costs $684.

when selling a used car you can easily get more than a similar car when the buyer is getting the remainder of the warranty vs no warranty/as is/buyer beware. which used car would you buy? so, you do get some return for having that warranty.

also, some warranties will return a prorated amount if you cancel it, and an insurance write off does allow me to cancel my warranty and get a prorated portion back.

so, two of the three things you are proposing arent quite accurate.

So whose did you get through whom?

 

[panther76]

So whose did you get through whom?

zurich. there are quite a few chrysler(read fiat) dealers who use them. make sure you know as many details as you can get, whether its the manufacturers, zurich, or whoever. ask for a copy, yake it home, and take the time to know it inside and out.