Extended warranty

[Adriano]

i was almost conned into purchasing extended warranty for my old Astra - was dealer based (which is a big no no) and had quite a few clauses that would actually warrant them to not perform certain "maintenance" repairs
Not sure how many of you guys actually bother with extended warranty - guess its one of those things where if you don't have it you need it, and if you have it you don't use it!

[wai]

Just thought I'd pass this on.

When I purchased my Caddy, it came with an "extended warranty" of sorts. It did not cost anything, and quite frankly I don't even know if/what it covers if anything. But as with all these things, there's a sting in the tail.

I received an SMS in late January reminding me I needed to book the Caddy in for a service. This was strange as for the previous 3 years, I was required to service it every 12 months or 15,000 km. This reminder was just 6 months after the last service.

Well, it took me a while, but I eventually got a response from the dealer. Basically for this extension to be worth anything (if anything at all), the service schedule effectively halves. This means twice the number of services, and so twice the amount they get paid.

So even when you purchase one of these extended warranties (more correctly, warranty insurance), just check out any fine print where you suddenly find the number of services required suddenly double.

I am surprised as this was never a requirement before, and going by a self study programme document (SSP 224) I obtained, the service indicator is supposed to vary based on a series of inputs including what oil is used, and how the vehicle is driven, and even the number of times the bonnet is opened!

[Amalgam]

Hi All,

My Passat 125TDI will be 3 years old and approx 45000 km in June and though I have had no problems with it, I am considering purchasing the VW/Allianz extended warranty insurance.

My question to the members are:

1/ in general, how reliable is the car?
2/ how much should I expect to pay and which dealer gave you the best deal?

Thanks

[Guest001]

You would be far better buying one from a broker than getting ripped off by a dealer.

Always remember they are not a "Warranty" as you get when you buy the car but more a type of insurance.
I have a Swann one which cost me under $2000 for 2 years. As the car has only done 20,000 in 3.5 years I possibly wont actually need it.

Apart from the recalls I havent had a problem with the car

[SChan]

You would be far better buying one from a broker than getting ripped off by a dealer.

Always remember they are not a "Warranty" as you get when you buy the car but more a type of insurance.
I have a Swann one which cost me under $2000 for 2 years. As the car has only done 20,000 in 3.5 years I possibly wont actually need it.

Apart from the recalls I havent had a problem with the car

I have been quoted $3000 for 4 years for "Swann WarrantyAssist". Not sure if that's the best price ?

[Guest001]

I paid $1750 for three years Swann 5 star Platinum Extended Warranty

[chalres321]

I heard the Swann insurance is horrible they love to contest and if you do get something covered they can flip it back and and cancel your warranty. I went through this about a year ago with my GTI and ended up getting some details off here and getting the Proper 2 Year VW insurance and its been great, however I have had one problem and it was the rear joints that were cracked and cost $400 to replace and the insurance has cost me about $1600, i still have just under a year left of it so ill get a full service done in December to be checked out and ask them to go through it to find any dramas, but so far i feel i have wasted it i think, but at least i didn't have to worry about the DSG stuffing up and the peace of mind helped.

I'll find the details of the guy I used, he was really good and you can actually buy it off anyone in Australia, I know i called my dealership and they said yep we can do it at a "special" price for you for $2950 and then a week later he called me back and said the price is going up in August 2013 and he asked if i wanted to go ahead, but i told him I got a much better deal from another dealership for $1600, and he hung up.

[chalres321]

Need a quote?

Hey guys,

Please dont hold me to this I havnt spoken to these guys in over a year and may have moved on.
I should have done this much earlier. But here is the details and it will save you going through this thread.
Eric was great to deal with and he knows about the forum. He will assist with the Genuine VW warranty also backed by Alliance and goes for 2 years/150,000KM

Eric Sin
Business Manager
Passenger & Commercial Vehicles

Burwin Volkswagen
2008 & 2009 National VW Dealer of the Year
2010 National VW Commercial Dealer of the Year
700 Burwood Highway
Ferntree Gully, Victoria 3156
Ph: 03 9724 8230
Fax: 03 9752 3873
finance@burwinvw.com.au

https://www.burwinvw.com.au

https://www.vwutes.com.au

The second person is Michelle Traill, she worked for VW but has left and works for an insurance company and can quote you on the Allianz warranty that goes for 3 Years, and I think Unlimited KM. This one is 2nd best to the above.

Michelle Traill – Finance & Insurance Specialist
mtraill@alto.com.au
T: (02) 8007 4477

[jrgti]

Hi All

Thought I'd post in this thread rather then start a new one. In a nutshell, my MK6 gti has dealer extended warranty and recently it was diagnosed as having a mild oil leak coming from the gasket cover and possibly the DSG gearbox due to seal wear. I've taken my car into the dealership where I purchased the warranty from for inspection and they have confirmed the leaks. I was told by the service manager that the issue is covered by their warranty.
Ever since that visit almost 3 months ago I have mainly been ignored whenever I called to enquire about bringing my car in. I have sent them an email explaining the issue and what I intend to do should they not respond accordingly. I will be contacting the ACCC for further advice should my email be ignored.
Wish me luck.

[SilvrFoxX]

Dealer warranty v Extended warranty .. the dealer extended warranty is largely worthless, I spend 2500 on 2 years extended factory warrant from Alliance.. probably won't need it.. but isn't that what insurance is about, just a bet with a company as to whether something will fail or won't.

To put perspective on this I bet a insurer I would get cancer and they bet I wouldn't, they lost and the payout was staggering.. my view it is a cheap bet

[wai]

To put perspective on this I bet a insurer I would get cancer and they bet I wouldn't, they lost and the payout was staggering.. my view it is a cheap bet

It is like any bet or lottery. Yes, some do win, but the vast majority do not, otherwise they go out of business.

A warranty insurance broker is like a bookie. They give you odds that see them get the better return.

Like the quiz program The Chase in reverse where the chaser (the insurer) makes you an offer too good to refuse, only with warranty insurer is betting you will never be caught

[SilvrFoxX]

The problem with your lens on this is confusion of fairness with peace of mind... If you feel the gauntlet is worth running go for it.. If you don't end up with a 10 grand bill to replace the DSG big win... If you do don't bitch about **** warranty from the dealer cause it was free

[wai]

If you feel the gauntlet is worth running go for it.. If you don't end up with a 10 grand bill to replace the DSG big win... If you do don't bitch about **** warranty from the dealer cause it was free

Ah, but is it covered? This is where the exclusions and conditions come in.

Things like exclusions can be twisted every which way to allow the insurer a get out. For example, if you go on a drive with a club where you have and observation trial, this can be construed as "competition" and will be excluded. If you take a friend with you on your next interstate trip, it can be construed as using the vehicle for hire or reward.

It is just peace of mind, but will your expectations actually be met.

Oh, and the warranty from the dealer is not free. You are required to have it serviced twice as frequently, so over 3 years, you will pay an extra $2,000 plus. They also load up a whole lot of nonsense service.

[SK00LD]

I'm in the process of purchasing a used Scirocco R. Factory Warranty ends in August. Dealer is trying to sell me a dealership 'warranty' they call it "Mechanical Protection Plan'. The car has 10,000kms on it.

Warranty Details
- Price $1400 (negotiated down from $1995)
- Capped claims at $2000 (if more I pay extra)
- 3 years cover
- Must service every 6 months with them (289 fixed at 6 month interval + regular service at 12 month intervals for a minimum $440)

Are these sorts of policies worth it? I calculated it will cost me about $3000 more than if I service locally (as per recommended VW servicing intervals) over the 3 years.

I'm pretty sure the 6 Speed DSG has already got an extended warranty...

[tigger73]

I'm in the process of purchasing a used Scirocco R. Factory Warranty ends in August. Dealer is trying to sell me a dealership 'warranty' they call it "Mechanical Protection Plan'. The car has 10,000kms on it.

Warranty Details
- Price $1400 (negotiated down from $1995)
- Capped claims at $2000 (if more I pay extra)
- 3 years cover
- Must service every 6 months with them (289 fixed at 6 month interval + regular service at 12 month intervals for a minimum $440)

Are these sorts of policies worth it? I calculated it will cost me about $3000 more than if I service locally (as per recommended VW servicing intervals) over the 3 years.

I'm pretty sure the 6 Speed DSG has already got an extended warranty...

This looks like an "aftermarket" warranty which aren't worth the paper they're printed on. If you're going to get anything I'd get the genuine VW extended warranty which is done through Allianz if I remember right. It'll cost about the same (or a bit more) but will cover you for the big things like DSG replacement (which is why you'd take one of these policies out in the first place).

These dealer specific warranties are a bunch of crock and tie you into getting serviced back at the dealer who sold you the car. As you said it's going to cost you a lot more in the long run and you could have used that money for the better insurance and actually got the lvel of cover you wanted/needed.