Extended Warranty

[complyenergy]

My wife and I purchased our first Prius four days ago. We were succumbed to buying the extended warranties. We basically bought all of their warranties and options for a total of $3,700. I don't have the paperwork in front of me, but the extras include Alarm, lo Jack, exterior and interior damage coverage, engine and electronics, etc. There were about six categories.

Did we get duped or is it a necessary evil? I should have posted the question before we made commitment, but I think we still have time to change our minds.

[Rae Vynn]

<div class='quotetop'>QUOTE(comply energy @ Jul 10 2007, 12:45 PM) [snapback]476309[/snapback]</div>

My wife and I purchased our first Prius four days ago. We were succumbed to buying the extended warranties. We basically bought all of their warranties and options for a total of $3,700. I don't have the paperwork in front of me, but the extras include Alarm, lo Jack, exterior and interior damage coverage, engine and electronics, etc. There were about six categories.

Did we get duped or is it a necessary evil? I should have posted the question before we made commitment, but I think we still have time to change our minds.
[/b]

Duped.

On the bright side, you can probably cancel it all.
If you would like the Toyota extended warranty for a much more believable price, just click on "Prius Accessories" and then "Discounted Extended Warranty", right at the top of this page... to the right. Next to "Search", another great feature.

Welcome to PriusChat!

[siliconhybrid]

<div class='quotetop'>QUOTE(comply energy @ Jul 10 2007, 02:45 PM) [snapback]476309[/snapback]</div>

My wife and I purchased our first Prius four days ago. We were succumbed to buying the extended warranties. We basically bought all of their warranties and options for a total of $3,700. I don't have the paperwork in front of me, but the extras include Alarm, lo Jack, exterior and interior damage coverage, engine and electronics, etc. There were about six categories.

Did we get duped or is it a necessary evil? I should have posted the question before we made commitment, but I think we still have time to change our minds.
[/b]

I paid $1800 for ext warranty
I paid $1200 for 55K prepaid maintenance - used once at 5K
I canceled after 6 months, they refunded everything for $2600 i.e. prorated.
and I live in Bay Area, so we have the same CA law

I believe, eventough you bought all of them in a bundle, the price still need to be itemize, so you can just cancel what you want/don't want.

[complyenergy]

<div class='quotetop'>QUOTE(siliconhybrid @ Jul 10 2007, 01:31 PM) [snapback]476353[/snapback]</div>

I paid $1800 for ext warranty
I paid $1200 for 55K prepaid maintenance - used once at 5K
I canceled after 6 months, they refunded everything for $2600 i.e. prorated.
and I live in Bay Area, so we have the same CA law

I believe, eventough you bought all of them in a bundle, the price still need to be itemize, so you can just cancel what you want/don't want.
[/b]

Thank you, Rae Vynn and SiliconHybrid, for your input and the warm welcome.

Here is the break down of each item. Lo Jack: $795, Mechanical Repair Agreement-72 months 100,000 miles: $900, Toyota Gap DC1 (Debt Cancellation): 61-84 Terms In Months: $600, Finishing Touch (Surface Protection Products): $295, KARR (Green) Upgrade w/3-year Guarantee (Theft deterrent Device): $795, Theft Code Security Etch (Theft deterrent Device): $495. Total coverage cost is actually $3,880 and not $3,700.

The dealers have fudged the individual numbers in such a way that for example the extended warranty is now $900, which is a lot less than the original price of $2,400. As a Minimum, I think, we can get rid of the Toyota GAP and the Theft Code Security Etch.

The Prius is package 6 with seaside pearl color.

Thank you very much.

[Marlin]

<div class='quotetop'>QUOTE(siliconhybrid @ Jul 10 2007, 04:31 PM) [snapback]476353[/snapback]</div>

I paid $1800 for ext warranty
I paid $1200 for 55K prepaid maintenance - used once at 5K
I canceled after 6 months, they refunded everything for $2600 i.e. prorated.
and I live in Bay Area, so we have the same CA law
[/b]

So you effectively paid $400 for your 5K service. The extended warranty is not in effect until you exceed your standard warranty of 3 years/36K miles, so what was there to prorate in that? So, the $400 must have been prorated out of your prepaid mainenance, which you used once. I bet they're still giggling.

[hennedon]

<div class='quotetop'>QUOTE(Marlin @ Jul 11 2007, 11:53 AM) [snapback]476897[/snapback]</div>

So you effectively paid $400 for your 5K service. The extended warranty is not in effect until you exceed your standard warranty of 3 years/36K miles, so what was there to prorate in that? So, the $400 must have been prorated out of your prepaid mainenance, which you used once. I bet they're still giggling.
[/b]

After I purchased my Prius back in May, I investigated the extended warranty/gap insurance issues, something that I really should have done beforehand. I paid those scumbags $1,900 for the extended warranty (8yrs/84,000), and $695 for GAP. I went back to the dealership within a few days to cancel both. I discovered that my credit union provides at a substantially lower price (Extended warranty $800, GAP $225). I'll wait a few years before I get the EW.

[besant]

My mother just bought a 2008 Prius with package #4. While she is really happy with the car, she had a very bad experience with Smart Motors on Odana Road, Madison, regarding the extended warranty. They overcharged her by $1,350.00 compared to other dealerships.

It is not fun to feel cheated and that someone took advantage of you.

She was charged $2,318.00 for a 7 year, 100,000 mile, $0.00 deductible extended service warranty. It took very little internet research to find the exact same Platinum coverage plan, provided by the exact same company (Toyota Financial Services (TFS)) for $965.00. I used Google keywords:

genuine Toyota extended service

There are many options available for a much less usurious price than Smart Motors offered.

Shame, Shame, Shame on Smart Motors for the outrageous pricing. When I confronted them on the price they told me their cost for the plan was $900.00. They asked me how much I thought their profit should be. Since all they have to do to sell the package is to fill out a form and forward it to TFS, I think the answer is considerably below $1,350.00- Especially since it is readily available from other dealerships for $65.00 above cost.

The way they took advantage of my 75 year old mother on this item makes me wonder about every aspect of the sale. They have lost all credibility with us. It is no wonder they can afford the magnificent new building. It is being paid for by grossly overcharging retired school librarians and others.

[richard schumacher]

You can cancel the damned thing, you know, and get at least a pro-rated refund. Don't just lie there and take it.

[Slartibartfast]

It's questionable whether you even need the extended warranty if you buy in CA or a state with their emissions requirements. Most expensive hybrid parts, including the traction battery and transaxle are covered up to 150000 miles because they are emissions related. The ICE is covered up to 60,000 but it would probably be one of the last things on the car to go. All that's left is the 3/36, and you'd be hard pressed to spend enough between 36k and 100-120k to justify spending the money for the warranty. At Danny's prices, you could justify it as insurance if you're concerned about it, but not at Toyota's dealer price.

Prepaid maintenance on a Prius is a money loser for owners almost any way you look at it. Even at a 30k maintenance, arguably the most expensive for the first couple years, you don't need much. You just need an oil change, tire rotation, swap out your filters (very much a DIY job if you can handle a screwdriver), and some inspections, which shouldn't run you more than $100 if you don't get railroaded into the "30k service."