I just bought a 2017 Honda CR-V. Would you buy extended warranty?
7 year/100,000 mile warranty for $999.
Would you buy it?
How much of a warranty are you getting without it?
No. I would invest the $999 in an interest bearing savings account as my own insurance. Hondas are very reliable indeed so to give the dealer/manufacturer $999 is likely to be money wasted.
I never would have purchased any new vehicle! The moment that one tire left the dealer's lot, the vehicle has lost $ 1000's in value
Its a moneymaker for the seller… Thats why they push it
No, the Manufacturer warrants it.
In all of the things I've purchased, I would have never been able to collect on any extended warranty. If I took all the money that I would have spent on all the extended warranties, I could buy a new replacement.
Extended warranties usually carry an additional fee (a co-pay) that you pay to exercise the warranty. So, that $999 warranty could cost you an additional $100 each time you use it.
Extended warranties do not cover items that are intended to wear out such as brake pads, tires, seals, belts, battery, etc.
Extended warranties do not cover failures due to faulty maintenance - most common excuse to deny coverage. You have to keep meticulous records of everything done to the car and every service performed and dates to protect yourself. If you change your own oil, for example, that might not count because you have no record that the oil change was done on your car.
Extended warranties do not cover "shop supplies" and "waste disposal" fees, etc.
The $999 is like an insurance policy. It represents the risk that the warranty company is willing to take on your car. They know what the likelihood is of having to pay out on a warranty claim (called failure analysis in the game). In all cases, they do make a profit. In many cases, car owners might never have to use their warranty. So those that paid $999 but never use it cover the costs of those who do use their warranty.
Hi without doubt in a heart beat. As you never know what is going to need replacement in those years ahead.
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