I just purchased a 2014 Corolla LE Plus with the nav, smart key and the other electronics that come with the car. What are thoughts on the extended warranty for this car? This is the first car I have owned with the display panel and other electronics. Should I purchase this warranty? I plan to own the car for many years to come (I still have my 2000 4 Runner). I got a quote for $1500 for 125K miles. The finance guy told me I had 72 hours to lock in this price.
Toyota Extra Care Platinum Warranty
- Thread starter hbgg
- Start date
Welcome to the Corolla Forum! :thumbsup:
:thumbup1::clap::thumbup:arty::balloon::rockon:
If you think a Toyota Corolla is a pile of junk/lemon and is going to need more than a whopping $1,500 in repairs for broken down parts, yeah, then go for it. Personally, I can't see that happening as a Corolla is not a pile of junk. If the engine blows up or the transmission falls out onto the ground, then yes that would be a great warranty to have. But honestly, how many times does that ever happen to a Corolla, maybe .0000000001% of the time?
72 hours? Wow, talk about high pressure sales tactics!
If a vehicle needs an expensive extended warranty, then that might be a very good vehicle to avoid owning.
Keep in mind these, "Bumper to bumper", extended warranties, (they just love to say "Bumper to bumper" to deceive you into thinking that everything will be covered under this extended warranty!), almost always do not cover normal wear and tear items, like struts/shocks, tires, brake pads, spark plugs, coolant, oil changes, transmission fluid, wiper blades, belts and hoses, etc.
If the standard warranty that comes with a vehicle isn't enough protection, I recommend avoiding that vehicle because it's a piece of junk.
:thumbup1::clap::thumbup:arty::balloon::rockon:If you think a Toyota Corolla is a pile of junk/lemon and is going to need more than a whopping $1,500 in repairs for broken down parts, yeah, then go for it. Personally, I can't see that happening as a Corolla is not a pile of junk. If the engine blows up or the transmission falls out onto the ground, then yes that would be a great warranty to have. But honestly, how many times does that ever happen to a Corolla, maybe .0000000001% of the time?
72 hours? Wow, talk about high pressure sales tactics!
If a vehicle needs an expensive extended warranty, then that might be a very good vehicle to avoid owning.
Keep in mind these, "Bumper to bumper", extended warranties, (they just love to say "Bumper to bumper" to deceive you into thinking that everything will be covered under this extended warranty!), almost always do not cover normal wear and tear items, like struts/shocks, tires, brake pads, spark plugs, coolant, oil changes, transmission fluid, wiper blades, belts and hoses, etc.
If the standard warranty that comes with a vehicle isn't enough protection, I recommend avoiding that vehicle because it's a piece of junk.
Short answer is to pass on the offer from your dealer. I was quoted $940 for zero deductible 8-year/75K warranty from Molle Toyota. I don't drive enough for 125K warranty, but I would expect them to offer a good deal on that as well.
Molle Toyota
601 West 103rd Street
Kansas City, Missouri 64114
1-866-557-9913
Jay Young
You don't have to buy from the selling dealer and you can buy it anytime before the initial 3-year/36K limited warranty expires.
Scott - the transmission and the engine are covered on the 5/60 powertrain warranty and you are unlikely to ever use that. However, you are fairly likely to have A/C compressor, navigation radio, ignition coil, radiator fan, heater core, blower motor, ECM, airbags, etc. fail.
(I think the ECM is about $1400 in parts, not counting labor. I think the navi radio is about $2200 in parts, not counting labor with core exchange - although if it came to that, I would replace it with an $800 Pioneer.)
If you don't do your own work and if you want the dealer to maintain it - it's a 50-50 chance you will pay about $1000 in dealer repairs over 8 years and 125K miles. It comes down to how long you plan to keep the car (if you sell it in 4-years, it was likely wasted money), and how much peace-of-mind is worth compared to having $1500 in the bank in case the car breaks - (and it could cost much more then $1500 over the term of the warranty)
http://forums.edmunds.com/discussion/8596/toyota/highlander/extended-warranty-toyota-extra-care
Also from elsewhere on the internet (this was a reply to a person who was considering between a Focus and a Corolla) ...
I have bought them on Fords - it's a good idea to get the $0-deductible and rental car plan. The reason is with that, you can just take the car in whenever something breaks. With a $50 deductible, that is per visit, so you tend to save things up until they break (The radio display is intermittent, but it's not a big deal, so I'll wait until a couple other things break before I spend $50 to fix it.
(Yes, you can get it at anytime while the car is under warranty, but on Fords, it is $100 more if the car is over 12-months in service)
7/100K $0 Deductible is around $1600 from Ziegler (on Fords) - I would expect Toyota to be similar or less.
As far as whether or not it is required - it depends on how long you plan to keep the car, how skilled you are mechanically, how likely you are to take the car to the dealer for repair, etc.
The factory warranty is 3/36 BTB and 5/60 powertrain on both cars. So essentially, you are paying $1600 to fix anything non-powertrain that breaks after 3 years and before 7 years. If you trade cars every 3 years, it doesn't make sense at all. If you can do your own work - it might be a $50 part that failed that it will cost $750 for the dealer to install that would be free if you have the warranty. Then again, you might pay $1600 and NEVER use it at all (my car oddly enough was more reliable AFTER the initial factory warranty ran out).
Also - if you are mechanically skilled - let's say your alternator fails. You can probably change it yourself and get a replacement at the parts store with a lifetime warranty for $200 or so. If you have the extended warranty, it is free, but once the warranty expires, you have to pay $200. If you hadn't had the extended warranty - when it failed the second time, the part would be free.
As far as whether it's necessary. Hyundai/Kia have a 5/60 BTB and 10/100K powertrain warranty. It wouldn't make sense to spend $1600 on a warranty for them. I said earlier that I would expect the Toyota to be more reliable than Ford, but if you thought the warranty was worthwhile on a Ford, I wouldn't say the Toyota will be so flawless that you will never use it. (I might not pay as much for it on a Toyota, though, as I'm not sure it's likely that $1600 will fail in the 3-7 year range.
You don't have to buy it at the selling dealer. I am more familiar with Fords, but my local dealer wound NOT match the lower online sellers price.
At least from Ford, the extended warranty DOES go up if you don't buy it in the first 12K miles or 12 months, but it only goes up $100 on usually a $1200-$1500 warranty.
One of my local dealers offers a lifetime powertrain warranty - it isn't through Toyota, but it doesn't cost anything extra (beyond the markup already in the car).
Ultimately - it comes down to what it costs and what you can do yourself on the vehicle and what you are comfortable with.
For example, Dodge has a lifetime warranty for around $4500. Somewhat unlikely you would spend $4500 on dealer warranty service no matter how long you keep the car.
Now - let's say the Toyota warranty is around $1200. If you don't do your own work, or want the dealer to do your repairs, you might or might not spend $1200 at the dealer. If you can do your own work - the $1200 in dealer repairs might only be $150 in parts and your time or $600 in labor at an independent shop. Or if you have $1200 - you could set that aside and use it for repairs instead of the warranty. Of course, if the car blows an engine or transmission or maybe A/C Compressor, you would probably have been better with the warranty.
Molle Toyota
601 West 103rd Street
Kansas City, Missouri 64114
1-866-557-9913
Jay Young
You don't have to buy from the selling dealer and you can buy it anytime before the initial 3-year/36K limited warranty expires.
Scott - the transmission and the engine are covered on the 5/60 powertrain warranty and you are unlikely to ever use that. However, you are fairly likely to have A/C compressor, navigation radio, ignition coil, radiator fan, heater core, blower motor, ECM, airbags, etc. fail.
(I think the ECM is about $1400 in parts, not counting labor. I think the navi radio is about $2200 in parts, not counting labor with core exchange - although if it came to that, I would replace it with an $800 Pioneer.)
If you don't do your own work and if you want the dealer to maintain it - it's a 50-50 chance you will pay about $1000 in dealer repairs over 8 years and 125K miles. It comes down to how long you plan to keep the car (if you sell it in 4-years, it was likely wasted money), and how much peace-of-mind is worth compared to having $1500 in the bank in case the car breaks - (and it could cost much more then $1500 over the term of the warranty)
http://forums.edmunds.com/discussion/8596/toyota/highlander/extended-warranty-toyota-extra-care
Also from elsewhere on the internet (this was a reply to a person who was considering between a Focus and a Corolla) ...
I have bought them on Fords - it's a good idea to get the $0-deductible and rental car plan. The reason is with that, you can just take the car in whenever something breaks. With a $50 deductible, that is per visit, so you tend to save things up until they break (The radio display is intermittent, but it's not a big deal, so I'll wait until a couple other things break before I spend $50 to fix it.
(Yes, you can get it at anytime while the car is under warranty, but on Fords, it is $100 more if the car is over 12-months in service)
7/100K $0 Deductible is around $1600 from Ziegler (on Fords) - I would expect Toyota to be similar or less.
As far as whether or not it is required - it depends on how long you plan to keep the car, how skilled you are mechanically, how likely you are to take the car to the dealer for repair, etc.
The factory warranty is 3/36 BTB and 5/60 powertrain on both cars. So essentially, you are paying $1600 to fix anything non-powertrain that breaks after 3 years and before 7 years. If you trade cars every 3 years, it doesn't make sense at all. If you can do your own work - it might be a $50 part that failed that it will cost $750 for the dealer to install that would be free if you have the warranty. Then again, you might pay $1600 and NEVER use it at all (my car oddly enough was more reliable AFTER the initial factory warranty ran out).
Also - if you are mechanically skilled - let's say your alternator fails. You can probably change it yourself and get a replacement at the parts store with a lifetime warranty for $200 or so. If you have the extended warranty, it is free, but once the warranty expires, you have to pay $200. If you hadn't had the extended warranty - when it failed the second time, the part would be free.
As far as whether it's necessary. Hyundai/Kia have a 5/60 BTB and 10/100K powertrain warranty. It wouldn't make sense to spend $1600 on a warranty for them. I said earlier that I would expect the Toyota to be more reliable than Ford, but if you thought the warranty was worthwhile on a Ford, I wouldn't say the Toyota will be so flawless that you will never use it. (I might not pay as much for it on a Toyota, though, as I'm not sure it's likely that $1600 will fail in the 3-7 year range.
You don't have to buy it at the selling dealer. I am more familiar with Fords, but my local dealer wound NOT match the lower online sellers price.
At least from Ford, the extended warranty DOES go up if you don't buy it in the first 12K miles or 12 months, but it only goes up $100 on usually a $1200-$1500 warranty.
One of my local dealers offers a lifetime powertrain warranty - it isn't through Toyota, but it doesn't cost anything extra (beyond the markup already in the car).
Ultimately - it comes down to what it costs and what you can do yourself on the vehicle and what you are comfortable with.
For example, Dodge has a lifetime warranty for around $4500. Somewhat unlikely you would spend $4500 on dealer warranty service no matter how long you keep the car.
Now - let's say the Toyota warranty is around $1200. If you don't do your own work, or want the dealer to do your repairs, you might or might not spend $1200 at the dealer. If you can do your own work - the $1200 in dealer repairs might only be $150 in parts and your time or $600 in labor at an independent shop. Or if you have $1200 - you could set that aside and use it for repairs instead of the warranty. Of course, if the car blows an engine or transmission or maybe A/C Compressor, you would probably have been better with the warranty.
The latest care buying guide from consumer report had a great article about this. In short the customers stated that they never ended up using the warranty and when they did the cost of repairs was usually less the cost of the warranty. I was pitched a similar deal and ended up turning their financial specialist (who happened to be the attractive younger girl, over the semi grey haird middle aged man) down when it came time to discuss the warranty.
Again - it's largely piece of mind - with the extended warranty, I don't have to worry about ANY expense (other than maintenance/appearance) in the first 8-years/125K miles. If it breaks, it goes to the dealer, they put me in a rental car and call me when it is ready at no cost to me. Without the warranty or after it expires, I have to deal with my own repairs - and fixing the problem is often much easier than figuring out what needs to be fixed, even if you can do your own repairs.
Not totally accurate (different engines, less electronics), but a good thing to look at is what you did with the 2000 4Runner - assuming you saved the Service Records.
Did you buy an extended warranty with it? How much did you pay for the warranty if you did?
How much did you spend on repairs on it? At the dealer? How much would they have cost if you didn't have the warranty?
Remember you can ignore repairs that were in the first 3-years/36K miles or powertrain repairs that were in the first 5-years/60K miles and repairs that were after 8-years and 125K miles.
(Also - when figuring cost, it depends how you look at cost items. A couple of examples
My 2002 Focus has been odd - I spent enough during the warranty to cover the cost, but it's been less expensive and more reliable from 70K to 140K miles than it was in the first 70K.
The above isn't perfect b/c the 4Runner might have been perfect and the Corolla could need $4500 in repairs, or vice-versa, but you likely would have sold the 4Runner and not bought another Toyota if you had spent $4500 on it.
Finally - I've never done it this way, but if the cost to buy the extended warranty doesn't go up if you wait to buy it (Ford charges an extra $100 after 12 months), and they go up every year slightly... It might be a good idea to wait a year or two before deciding on the warranty. If the car is in the shop once a month for the first 3-years, you might want to sell it rather than getting the warranty. If the car is NEVER in the shop in the first 3-years, you might roll the dice and skip the warranty. If the car is in the shop a few times - it makes sense to get the warranty.
No guarantees, though - as I said, my Focus was more reliable AFTER the warranty expired.
Not totally accurate (different engines, less electronics), but a good thing to look at is what you did with the 2000 4Runner - assuming you saved the Service Records.
Did you buy an extended warranty with it? How much did you pay for the warranty if you did?
How much did you spend on repairs on it? At the dealer? How much would they have cost if you didn't have the warranty?
Remember you can ignore repairs that were in the first 3-years/36K miles or powertrain repairs that were in the first 5-years/60K miles and repairs that were after 8-years and 125K miles.
(Also - when figuring cost, it depends how you look at cost items. A couple of examples
- Let's say the climate control display fails. The climate control works fine, you just can't see where the vents are blowing from. Probably you would just live with that or get a part out of a junkyard if you don't have the warranty. If you do, the car goes in the shop and likely a $300 part and $150 labor gets charged.
- Better example - let's say the power window switch on the drivers door won't open the RR window. The RR window switch works at the RR door. If you don't have the warranty - you most likely live with it - or maybe get a $50 part at the junkyard. If you have the warranty, you get the $200 part replaced and the $150 labor. So the warranty either saved you $50 or $350 depending how you look at it.
My 2002 Focus has been odd - I spent enough during the warranty to cover the cost, but it's been less expensive and more reliable from 70K to 140K miles than it was in the first 70K.
The above isn't perfect b/c the 4Runner might have been perfect and the Corolla could need $4500 in repairs, or vice-versa, but you likely would have sold the 4Runner and not bought another Toyota if you had spent $4500 on it.
Finally - I've never done it this way, but if the cost to buy the extended warranty doesn't go up if you wait to buy it (Ford charges an extra $100 after 12 months), and they go up every year slightly... It might be a good idea to wait a year or two before deciding on the warranty. If the car is in the shop once a month for the first 3-years, you might want to sell it rather than getting the warranty. If the car is NEVER in the shop in the first 3-years, you might roll the dice and skip the warranty. If the car is in the shop a few times - it makes sense to get the warranty.
No guarantees, though - as I said, my Focus was more reliable AFTER the warranty expired.
Depends how you look at it. Again, I said to get the zero-deductible warranty. Otherwise, the $50 per visit deductible figures into the cost of ownership.
Most people don't buy the zero-deductible warranty, and the dealers USUALLY make money on it - if they didn't you wouldn't see high pressure (take 48 hours if you want to decide) tactics like above. That said, I find it hard to believe that most people NEVER use the warranty. I can believe they don't make up the cost of it. (Then again, I'm used to Fords and not Toyota's).
Another real-world example. On my Focus, I think I got the $50 deductible warranty. The hood release cable got slightly stretched and was a pain to pull to release, but it still worked. The part was probably around $35, and the labor was around 2-hours. So depending on how you value my time, I could fix it myself and SAVE $15 over the warranty, or take it into the shop and save $165 over having the dealer do the work. (I ended up waiting for other things to break and having them all fixed on one visit and I just about broke even on the warranty cost).
Most people don't buy the zero-deductible warranty, and the dealers USUALLY make money on it - if they didn't you wouldn't see high pressure (take 48 hours if you want to decide) tactics like above. That said, I find it hard to believe that most people NEVER use the warranty. I can believe they don't make up the cost of it. (Then again, I'm used to Fords and not Toyota's).
Another real-world example. On my Focus, I think I got the $50 deductible warranty. The hood release cable got slightly stretched and was a pain to pull to release, but it still worked. The part was probably around $35, and the labor was around 2-hours. So depending on how you value my time, I could fix it myself and SAVE $15 over the warranty, or take it into the shop and save $165 over having the dealer do the work. (I ended up waiting for other things to break and having them all fixed on one visit and I just about broke even on the warranty cost).
At fishycomics - it doesn't cover maintenance - although there is a different plan for that.
Nobody said they were and I wouldn't be concerned about major repairs, although that is a valid reason for the warranty. However, while some cars will do so, there are going to be VERY few cars of any model that will drive for 8-years or 125K miles without ANY failures other than routine maintenance. (In fairness, we are talking about the last 5-years, not the first 8 - but few cars are going to have ZERO repairs in years 4-8 either.
I looked through my records on the Focus ...
On the extended warranty, I had replaced
- HEGO Sensor, passenger door actuator, and valve cover gasket, but I'm not sure what that cost.
- LR and RF window regulators - $300 at the dealer
- RF Drive Axle, Hood Release Cable - $442 at the dealer (that was the last repair as I only had a 7-year warranty - longest that Ford offers).
- In the 7th year (outside of the Ford warranty, but within the Toyota warranty), I had the alternator fail ($150 in parts) and the thermostat housing fail $50 in parts.
My main point is if you are going to have your car maintained at the dealer (which is what the warranty covers) you can pretty quickly eat up the cost of the warranty).
You can make the argument that a 2014 Corolla is more reliable than a 2002 Focus (I agree), and the counter-argument that there are more complex systems and higher-cost items on the 2014 Corolla.
Nobody said they were and I wouldn't be concerned about major repairs, although that is a valid reason for the warranty. However, while some cars will do so, there are going to be VERY few cars of any model that will drive for 8-years or 125K miles without ANY failures other than routine maintenance. (In fairness, we are talking about the last 5-years, not the first 8 - but few cars are going to have ZERO repairs in years 4-8 either.
I looked through my records on the Focus ...
On the extended warranty, I had replaced
- HEGO Sensor, passenger door actuator, and valve cover gasket, but I'm not sure what that cost.
- LR and RF window regulators - $300 at the dealer
- RF Drive Axle, Hood Release Cable - $442 at the dealer (that was the last repair as I only had a 7-year warranty - longest that Ford offers).
- In the 7th year (outside of the Ford warranty, but within the Toyota warranty), I had the alternator fail ($150 in parts) and the thermostat housing fail $50 in parts.
My main point is if you are going to have your car maintained at the dealer (which is what the warranty covers) you can pretty quickly eat up the cost of the warranty).
You can make the argument that a 2014 Corolla is more reliable than a 2002 Focus (I agree), and the counter-argument that there are more complex systems and higher-cost items on the 2014 Corolla.
A 2002 Ford Focus is an absolute clunker, i.e. piece of junk! They aren't in the same quality range as a Toyota Corolla, not even close.
A Ford Focus, with all their notorious problems, yeah an extended warranty might be a good idea. But again, if a car needs an extended warranty, that might be a very good vehicle to avoid purchasing in the first place.
A Toyota Corolla is not a lemon. I see no need for a very expensive extended warranty for a car that is not a lemon. Of course, the salespeople trying to sell us these very expensive contracts have a big need for us to buy them. :blink::laughing:
A Ford Focus, with all their notorious problems, yeah an extended warranty might be a good idea. But again, if a car needs an extended warranty, that might be a very good vehicle to avoid purchasing in the first place.
A Toyota Corolla is not a lemon. I see no need for a very expensive extended warranty for a car that is not a lemon. Of course, the salespeople trying to sell us these very expensive contracts have a big need for us to buy them. :blink:
:laughing:
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Oh I've been back reading the opinions of all who have responded. I have also been doing more research and getting competitive quotes. I'm still not convinced I will get the warranty although as I stated it is because of the electronics that I am considering this. I have a negotiation in process actually. Where is it stated that the original poster has to respond to all the comments? I'm considering my options. Also, I will negotiate the 72 hour window if I decide to go with the dealer.
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I think Scott's point was that often on forums the OP never comments back - so you have the other members arguing back and forth about something they don't directly care about.
As mentioned - electronics can be expensive, but they are not that likely to fail (and less likely that they would fail after 3-years and before 8-years.
The big charges are dealership labor and the cost/hassle of diagnosing things yourself. Warranty saves you from this - if you aren't worried about it or are comfortable doing your own work, it might not be for you.
You can probably get a better price at a different dealer, and I almost guarantee the initial dealer will still take your money even if 72-hours expired.
As mentioned - electronics can be expensive, but they are not that likely to fail (and less likely that they would fail after 3-years and before 8-years.
The big charges are dealership labor and the cost/hassle of diagnosing things yourself. Warranty saves you from this - if you aren't worried about it or are comfortable doing your own work, it might not be for you.
You can probably get a better price at a different dealer, and I almost guarantee the initial dealer will still take your money even if 72-hours expired.
I actually have a couple of quotes from dealers out of state and they are more willing to offer a decent deal and negotiate. As I travel a lot out of state I chose to get quotes near the areas I travel. If I decide to buy a warranty I will likely buy out of state. The more I research the more I think I will wait until my 3 years are almost up and reconsider. I don't do my own repair work so it is something for me to consider. Oh yes, the dealer did come down but won't meet in the middle with the quote from the out of state dealer so I passed.
A couple of things we probably already mentioned.
The warranty is nationwide. It doesn't matter where you buy it and you don't have to meet the finance guy in person. I am in Georgia and I bought my Ford warranties from a dealer in Minnesota. Never had a local dealer come close to matching his prices either. They claimed they paid more than I was quoted for the warranty.
I suspect you know, but the ToyotaCare warranty is from Toyota Financial. A lot of dealers offer a third party warranty from Fidelity Warranty Services, and there are other third party warranties out there.
I like the idea of waiting and seeing how the car does - but on Ford's the warranty goes up $100 after the first year or 12K miles - not sure if Toyota does the same or not, but it might be worth paying the extra $100 to be sure you actually want the warranty.
The warranty is nationwide. It doesn't matter where you buy it and you don't have to meet the finance guy in person. I am in Georgia and I bought my Ford warranties from a dealer in Minnesota. Never had a local dealer come close to matching his prices either. They claimed they paid more than I was quoted for the warranty.
I suspect you know, but the ToyotaCare warranty is from Toyota Financial. A lot of dealers offer a third party warranty from Fidelity Warranty Services, and there are other third party warranties out there.
I like the idea of waiting and seeing how the car does - but on Ford's the warranty goes up $100 after the first year or 12K miles - not sure if Toyota does the same or not, but it might be worth paying the extra $100 to be sure you actually want the warranty.
http://www.autonews.com/article/20130617/RETAIL02/306179966/toyota-limits-online-warranties
Not sure what to make of this - the article is dated June 17, 2013, but I was quoted an extended warranty from a Missouri dealer after that and he asked if I was local and said he would give me the internet discount - so either he didn't care about the policy change, or the policy was rescinded/changed back.
I can say that there isn't really a legal problem with it in most states (we bought our Ford warranties from a MN dealer), but most local dealers DO NOT like competing with the out-of-state prices.
Not sure what to make of this - the article is dated June 17, 2013, but I was quoted an extended warranty from a Missouri dealer after that and he asked if I was local and said he would give me the internet discount - so either he didn't care about the policy change, or the policy was rescinded/changed back.
I can say that there isn't really a legal problem with it in most states (we bought our Ford warranties from a MN dealer), but most local dealers DO NOT like competing with the out-of-state prices.
I decided to buy the warranty and got an 8/125 for $1400. Yes, I did get a better quote from out of state ($1164) but I would have needed to travel to Missouri from California to purchase. They won't sell ovet the phone or internet any longer. I worked the dealer hard on this one but they would only go to $1400 and I got this quote from more than one. Also, they showed me their cost for the coverage and I felt that the little profit I was giving them was legit.
So to all of you who don't buy them, thank you for your input, for me all of the electronics on the car and the CVT transmission made this worth it. Maybe I'll be lucky and never need it but I'll take the peace of mind.
So to all of you who don't buy them, thank you for your input, for me all of the electronics on the car and the CVT transmission made this worth it. Maybe I'll be lucky and never need it but I'll take the peace of mind.
If you are happy with the deal, that is all that matters.
Not sure what to make on the out-of-state price. I called Molle Toyota on June 11 and he asked if I was local and then said he would give me the internet price. Didn't say anything about having to drive in to sign the paperwork, and the article above from June 2013 says you have to be a state resident (so they aren't supposed to sell out of state even if it just 20 miles across the border and you drive there in person).
I often don't believe the figures on their cost for the coverage (they will show you that they lost money on every car they sold if you ask them), but some dealers DO actively market the warranties (almost as a side business where they sell more warranties than cars), and I could see the volume warranty dealers paying less for the warranties.
Not sure what to make on the out-of-state price. I called Molle Toyota on June 11 and he asked if I was local and then said he would give me the internet price. Didn't say anything about having to drive in to sign the paperwork, and the article above from June 2013 says you have to be a state resident (so they aren't supposed to sell out of state even if it just 20 miles across the border and you drive there in person).
I often don't believe the figures on their cost for the coverage (they will show you that they lost money on every car they sold if you ask them), but some dealers DO actively market the warranties (almost as a side business where they sell more warranties than cars), and I could see the volume warranty dealers paying less for the warranties.
That is pretty common.
Ford works about the same way as Toyota.
A dealer in Minnesota sells the premium $0 deductible warranty for 7-years and 100K miles for $1400. That is probably quoted around $2500 at the dealer, and most dealers I've asked about it will not match price and will say they would be losing money at $1400.
Toyota generally seems to charge a bit less for the warranties and goes out to 8-years instead of 7-years, but the principle is the same. (Except it is unclear whether Toyota dealers will sell the warranty out-of-state anymore. hbgg was told they won't, I was told they will.)
Ford works about the same way as Toyota.
A dealer in Minnesota sells the premium $0 deductible warranty for 7-years and 100K miles for $1400. That is probably quoted around $2500 at the dealer, and most dealers I've asked about it will not match price and will say they would be losing money at $1400.
Toyota generally seems to charge a bit less for the warranties and goes out to 8-years instead of 7-years, but the principle is the same. (Except it is unclear whether Toyota dealers will sell the warranty out-of-state anymore. hbgg was told they won't, I was told they will.)
I know I mention Ford, but Ford is setup where I can enter the desired coverage length and get a quote over the website.
With Toyota, I have to either call the dealer and get a phone quote, or provide an E-mail address and they will mail it to me.
One thing off-topic that I thought was interesting:
http://warranty.actontoyota.com/toyotacare-plus-request-a-quote/
This dealer was discounting the warranties - now they only seem to be selling the maintenance plans online, but if I request a quote on a 2014 Corolla, it asks if I have the 1.8 or the 2.4 engine. I thought Corolla only offerred the 1.8 with a different valvetrain on the ECO models.
Any idea what that means, or did 2013's have a 2.4 and they just didn't update the website?
With Toyota, I have to either call the dealer and get a phone quote, or provide an E-mail address and they will mail it to me.
One thing off-topic that I thought was interesting:
http://warranty.actontoyota.com/toyotacare-plus-request-a-quote/
This dealer was discounting the warranties - now they only seem to be selling the maintenance plans online, but if I request a quote on a 2014 Corolla, it asks if I have the 1.8 or the 2.4 engine. I thought Corolla only offerred the 1.8 with a different valvetrain on the ECO models.
Any idea what that means, or did 2013's have a 2.4 and they just didn't update the website?
Dealer in MN partly does it on volume and partly wants too.
i.e. if you are selling nationwide (and selling to non-customers), this is a paper product - there is no inventory to maintain, so your costs are lower. OTOH, for the local dealer - if they sell the same warranty for $3000 - they make double the price on each one they sell - but they might not want to sell one customer the warranty for $3000 and their friend the same warranty for $1500.
This is pretty common with a lot of things - http://www.golfmk6.com/forums/showthread.php?t=26866 - I had never heard of Cilajet before and don't necessarily recommend it, but the dealer price is around $800-$1400, but there cost is $50 and they still make money at $200.
As PT Barnum said ...
i.e. if you are selling nationwide (and selling to non-customers), this is a paper product - there is no inventory to maintain, so your costs are lower. OTOH, for the local dealer - if they sell the same warranty for $3000 - they make double the price on each one they sell - but they might not want to sell one customer the warranty for $3000 and their friend the same warranty for $1500.
This is pretty common with a lot of things - http://www.golfmk6.com/forums/showthread.php?t=26866 - I had never heard of Cilajet before and don't necessarily recommend it, but the dealer price is around $800-$1400, but there cost is $50 and they still make money at $200.
As PT Barnum said ...
They lied to you - not uncommon either ...
Although that might not have been a bad deal - the longest warranty is 8-years or 125K miles with zero-deductible.
If you keep the car and if you have the dealer service it, there is a fair chance that you will pay $1800 in repairs between 3-years and 8-years of ownership.
Although that might not have been a bad deal - the longest warranty is 8-years or 125K miles with zero-deductible.
If you keep the car and if you have the dealer service it, there is a fair chance that you will pay $1800 in repairs between 3-years and 8-years of ownership.
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Too many zero's.
$1800 is a bit excessive, but $1200 is possible.
Repairs I had done to my Focus under the extended warranty:
Fuel Pump - $150.
HEGO Sensor, Passenger Door Actuator, Valve Cover Gasket - $400
LR and RF Window Regulators - $300.
Drive Axle, Hood Release Cable - $442.
Total - $1292 in 7 years.
Would have cost less if I hadn't had it fixed at the dealer - in the next year, the alternator failed.
You can argue that a Corolla should be more reliable than a Focus, but these aren't really repairs that I would be surprised to make on a Corolla and the car has a lot more high-priced electronics than my car.
$1800 is a bit excessive, but $1200 is possible.
Repairs I had done to my Focus under the extended warranty:
Fuel Pump - $150.
HEGO Sensor, Passenger Door Actuator, Valve Cover Gasket - $400
LR and RF Window Regulators - $300.
Drive Axle, Hood Release Cable - $442.
Total - $1292 in 7 years.
Would have cost less if I hadn't had it fixed at the dealer - in the next year, the alternator failed.
You can argue that a Corolla should be more reliable than a Focus, but these aren't really repairs that I would be surprised to make on a Corolla and the car has a lot more high-priced electronics than my car.
Extended warranty buy it at the Stealer or Out of state?
Am picking my 15 Corolla this coming Friday, 12-19-14. Am not looking on buying the extended warranty from my local dealer. I had prices out of state and I want to purchase the extended warranty out of state. I talked to the warranty salesman and its legit and it from Toyota Care.
Is it better to purchase the extended warranty out of state or local stealer or out of state?
Am picking my 15 Corolla this coming Friday, 12-19-14. Am not looking on buying the extended warranty from my local dealer. I had prices out of state and I want to purchase the extended warranty out of state. I talked to the warranty salesman and its legit and it from Toyota Care.
Is it better to purchase the extended warranty out of state or local stealer or out of state?