Extended Warranty - Turbo?

Avoidin Deer

Zoom Zoom, baby
Contributor
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Central Virginia
:
2019 CX-5 Reserve
The one thing that has held me back is my lack of experience with them.

Can I really go to my local mechanic and expect that he'll mess with pursuing the company for payment, or is this just a dealer thing? And this would apply to whoever has underwritten the policy?

There has been lots of discussion on these threads regarding the economics of this decision, but I've yet to read a lot about the point-of-repair implementation.
 
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Pueblo county CO
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CX-5 Sport 16.5 6M
I have another car that is 11y.o. and I still get junk mail several times a year to sign up 'before it's too late'. ( I've never had to touch anything on it--all OEM brakes, antifreeze, transmission fluid. Just oil and filters and one set of tires).

Cars are way more reliable than they used to be but it's true the electronic gee whiz stuff can cost a fortune to fix.

Not much use for duck tape there.
 
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Ottawa, Ontario
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17 Mazda 6 GT
Well, it's really just an insurance policy when you simplify it.
You insure things (house, cars, appliances, extended warranties, etc.) with the hope that you never have to use it. That's certainly the strategy that insurance companies operate on.
They hate paying claims, and will do everything in their power not to.
Statistically, insurance companies win out in the long run, as the revenue generated from people buying policies is greater than the expenses incurred from settling claims.

Personally, I have house insurance and car insurance, mostly because I have to, and that's it.
I have never in my 50 years of adulthood purchased any extended warranties, maintenance contracts, etc. Ever.
I can honestly say that not buying extra coverage has never bitten me in the ass.
No early furnace failures, or appliance breakdowns, or in the case of my vehicles, any major breakdowns.
Maybe one day I'll be unlucky, but I'll take my chances and keep the money.
Not everyone feels that way. That's fine.
My dad always got suckered in to buying these maintenance contracts and stuff, and he had a drawer full of paperwork just to keep track of what he had.
I don't recall him ever having to call anyone in to actually fix something.
It gave him peace of mind though.

If you're more comfortable sleeping at night having that insurance policy (extended warranty), then by all means, go for it. Negotiate though. Prices are flexible.
 

Avoidin Deer

Zoom Zoom, baby
Contributor
:
Central Virginia
:
2019 CX-5 Reserve
Well, it's really just an insurance policy when you simplify it.
You insure things (house, cars, appliances, extended warranties, etc.) with the hope that you never have to use it. That's certainly the strategy that insurance companies operate on.
They hate paying claims, and will do everything in their power not to.
Statistically, insurance companies win out in the long run, as the revenue generated from people buying policies is greater than the expenses incurred from settling claims.

Personally, I have house insurance and car insurance, mostly because I have to, and that's it.
I have never in my 50 years of adulthood purchased any extended warranties, maintenance contracts, etc. Ever.
I can honestly say that not buying extra coverage has never bitten me in the ass.
No early furnace failures, or appliance breakdowns, or in the case of my vehicles, any major breakdowns.
Maybe one day I'll be unlucky, but I'll take my chances and keep the money.
Not everyone feels that way. That's fine.
My dad always got suckered in to buying these maintenance contracts and stuff, and he had a drawer full of paperwork just to keep track of what he had.
I don't recall him ever having to call anyone in to actually fix something.
It gave him peace of mind though.

If you're more comfortable sleeping at night having that insurance policy (extended warranty), then by all means, go for it. Negotiate though. Prices are flexible.
I understand the concept. I guess I'm asking whether car repair shops trust these repair insurance companies to pay the bill as much as everyone else trusts Allstate to do likewise.

Most contractors will work based upon Allstate's word. Will most repair shops take any of the policies I might buy? (I understand how broad that is, but you know what I'm asking)
 
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Pueblo county CO
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CX-5 Sport 16.5 6M
Right. Or it might be that you are restricted to certain terms, shops, etc. And you will probably agree to arbitration if there is a dispute.
 
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2019 CX-5 Signature
I have a 2019 GTR, and paid $2400 for a 10 year, 150K mile bumper-to-bumper warranty that I bought from my dealer. Already under the 3/36, t hey have done $1500 in work to my CX5, so I appreciate the insurance policy of the warranty offered,

All was covered under the factory warranty. I've said this before, but good luck with your "insurance policy". I hope your CX-5 falls apart and you get to justify what you shelled out for it.

considering the swivelling headlights, turbo, transmission, AWD diffs, NAV unit, air compressor, etc. etc. all this stuff...it can break. ...

You sound just like every vehicle finance manager I've dealt with, trying to push their profit margins. If these vehicles were that unreliable, no one would buy them.

I do understand that some people are not prepared for unexpected costs. So, having "peace of mind" coverage makes them feel better. I was included in that group for many years. Looking back, If I just put what I paid for "peace of mind" in the bank, it would have easily covered our CX-5 purchase last year.
 
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2019 CX-5 GT
As others have said, it rarely makes sense to buy an extended warranty. If they paid out more often then they didn't, the warranty company wouldn't still be around. If you have the $1300 or $2500 or whatever the asking price is, take the funds and put them into a "car service account". Far better investment. The best thing about it is YOU get to use the money no matter if your car breaks, or not. The difference is if you don't get the value out of the extended warranty, you lose everything you invested when the time runs out, or if you sell/trade the car. Seems like a pretty simple decision to me. You always get some folks on the forums who talk about their experience when a $1,500 extended warranty paid for thousands in repairs. This is by far not the typical experience.
 
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East Iowa
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2019 CX-5 GTR
Just as a side note, if you sell/trade a car that has an extended warranty, you can get a pro rated refund for the unused portion of the warranty. You won't get it all back of course but at least you get back the portion you didn't use.
 

sm1ke

Work In Progress..
Moderator
Contributor
:
Canada
:
'18 CX-9 Signature
I was included in that group for many years. Looking back, If I just put what I paid for "peace of mind" in the bank, it would have easily covered our CX-5 purchase last year.

Hindsight is 20/20. It's easy to say that now, knowing that you never ended up using it. It may also be easier to say that now as you might have been in a different situation financially when you opted for the warranty, compared to your most recent purchase when you didn't. In any event, at the time of purchase, you bought it because you thought you might have needed it or because you wanted the peace of mind. IMO, if you got that peace of mind, then you got what you paid for.
 
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2018 CX-5 Sport
I never buy an extended warranty. My thinking is, if one is unlucky and got one of the cars that was made with defective parts or not put together right, the defects would show up under the factory warranty. But it's a gamble. Some defects will take a longer time to show up.
 
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CX5 GT-R
I just look back. I've never owned a vehicle that the extended warranty wouldn't pay for itself for, if I got the 150k mile one.
 
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2019 CX-5 GT
I just look back. I've never owned a vehicle that the extended warranty wouldn't pay for itself for, if I got the 150k mile one.
You are VERY lucky then. Not the typical scenario. If it was, the companies wouldn't be able to survive.
 
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2019 Mazda CX-5 GTR
I'd call him VERY UNLUCKY! Just because one pays for insurance, one should not be happy to have to use it!
 
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2017 Mazda CX-5 Sport AWD SnowFlake White Pearl
I bought the car with extended warrenty ... but if I were to do it again I would not because it covers the car up to 7 years or 100K ... and if a Japanese car brand cant survive 7 years or 100K without major issue I'll never buy that brand again for life.
 
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2019 CX-5 GT
I bought the car with extended warrenty ... but if I were to do it again I would not because it covers the car up to 7 years or 100K ... and if a Japanese car brand cant survive 7 years or 100K without major issue I'll never buy that brand again for life.
Most likely you can cancel if you feel that way. Typically you have a few days.
 

sm1ke

Work In Progress..
Moderator
Contributor
:
Canada
:
'18 CX-9 Signature
Most likely you can cancel if you feel that way. Typically you have a few days.

Yep, you should be able to cancel or get a refund if you just purchased it.

Any car can die at any time, regardless of manufacturer or model. Some just do better than others (like Toyota). My dad bought his 04 Highlander brand new and passed on the warranty based on Toyota's rep. This particular car turned out to be a PoS, while countless others have had excellent experiences with theirs. My dad was turned off by the experience, and as a result, I was also turned off on the Highlander. He got a 2018 Equinox to replace it. The point is that buying Japanese doesn't mean you'll automatically get a reliable car, it just means that your chances of getting a reliable car are much higher based on the statistics.
 
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