NEW 8 Yr / 125,000 Mile Warranty?

I purchased the extended warranty on my 2006 Prius. I sold the car with 106k miles it and never used it. Based on my experience I don't think the extended warranty is worth the money.

 

Good points - it really is a personal decision. When the topic first came up, the purpose was to make sure members did not pay more then the Warranty Shack Price offered on this site but now... Regarding the first 36,000 miles, the Toyota web site says "you may be eligible for transportation assistance if it's necessary that your vehicle be kept overnight for repairs covered under warranty. Please see your authorized Toyota dealership for further details." So if you bought from a local dealer, your dealer probably will help you out with a loaner (not sure about towing though - don't think so). But many of us P buyers, did so a couple of hours a way or out of state, so dealers around me have already said, don't count on a loaner.

Regarding repairs, for most of us "regular AAA" is not enough since it only covers 3 to 10 miles (my club covers OR PDX gets 3 and ID 10). Club costs vary nationally but here, new member prices are: regular ($66), plus ($105) and premier ($142). Each provides 4 tows a year, for resp., 3 miles (yes three), 100, or 3-100/1-200 miles per occurrence. They cover a max of 4 tows a year (doubt anyone needs more) before charging. So if I have Plus, and get stuck 150 miles+ from the nearest dealer (easy to do hiking in WA and OR), I get to pay $4 a mile x 50 after my AAA benefit (no hookup fee). That’s $200 for one "unlucky" event. Then if the nearest dealer was central OR (hiking), or Seattle (where I work occasionally), I would get to pay for the hotel and/or rental car back home if it was in the shop a few days. Then another rental to go back and pick it up. No need to extrapolate those costs here. Another words, if I have one mechanical breakdown out of town in the next 7 years or 100,000 miles, it would cost me about $500 even with AAA (realize that some people have family that might hop in the car and drive 6 hours one way to get them - I don't : )

I will wager that if I do have a failure, it will not be related to the hybrid system. It will be normal stuff like AC or...so I have decided not to wager on totally beating the house. (Platinum EW provides me with unlimited towing to the nearest dealer, rental car for repairs up to 5 days per occurrence at $50 a day (insurance only covers if an accident), and a total dislocation benefit of 5 days at $100 per.

PS until this discussion came up (after I purchased the EW), I was under the impression that towing was $2 a mile. Knowing its $4 today and $5+ in the years to come, makes me even happier with my decision to spend the $1,055 (8.2% sales tax free which ended 7/31).

 

I agree, even though you touched on the one (and I believe only) time when EW might be worthwhile -- if it helps eventual sale within the timeframe.
EW does not include wear and tear, and manufacturing defects are most likely to show up in the first three years.
So the two questions are
1) what are the odds of a claim in years 4 to 8?
2) what is the highest foreseeable liability?
If the premium is $1,000, the answer to (1) is 50:50 and the answer to (2) is $2,000, EW insurance makes no sense at all.
I suggest it makes little actuarial sense even if (1) is 20:80 and (2) is $4,000.
And in practice, wouldn't most of us give much higher odds than 1 in 4 against equipment failure on a Toyota?

 

I have usually avoided the extended warranties, but in discussion with the dealer I got them down to $950 for a platinum, four year 125K miles warranty (I drive 45k miles a year). But the kicker is that if their are no claims the dealer will refund the full warranty purchase price to me in cash (not off another car). So I thought I really couldn't lose. Can anyone get this deal or was it only my dealer offering it?

 

I'm getting my new Prius tomorrow and I know the dealer will press me to buy an extended warranty. I've never gotten one because I've had so little to worry about with my previous Toyotas, but this is a much more technologically advanced car than I've ever had (my trade-in is a 2000 Solara). I have 3 questions and I'd be very grateful for any clarification anyone can give me.

#1 - I understand from the threads here that I don't have to buy an EW now - that I can wait until the 3 year warranty is almost gone to decide. Is that correct?

#2 - I've read threads that imply there are warranties on certain parts of the car that are for a longer period than the standard 3 years. Is that correct, and if so, what's covered for longer? (Couldn't seem to find anything on Toyota's site.)

#3 - On the EW warranties I've looked at, the extensive lists of covered components do NOT mention the batteries. Are the batteries not covered? I assume that replacing them would be a huge expense.

Again, thanks to anyone who can make me more savvy on these issues!
Debsieo

 

For anyone that is thinking about buying an extended warranty on a Prius I suggest they go to the first and second Gen forum and ask others how often they need repairs from 0 to 125,000 miles.

I doubt you will find one that had repairs over $1,000 during the coverage of 125,000 miles. Outside of wear and tear.

 

M> yes.

Bumper-to-bumper: 3 years/36,000 miles

Powertrain: 5 years/60,000 miles (hybrid-related component coverage: 8 years/100,000 miles or, in California emissions states, 15 years/150,000 miles; hybrid battery only: 10 years/150,000 mile for all 50 states)

Corrosion: 5 years/Unlimited miles

M> beats me, i doubt it.

M> Where are you getting your car from? I'm in the Chicago area as well, but purchased my car in Indiana @ around invoice price. Was cheaper for me that way. Chicago dealers don't seem to discount as much - they generally offered in the middle between invoice and sticker.

 

Hey M, thank you SO much! You've been a huge help.

I'm getting it from Northbrook Toyota. I got an internet quote from them first and then did some further dealing at the dealership. I bought it for just a hair under invoice and also had a trade-in. We'd been doing a lot of research and felt we got a good deal - although you KNOW they made more on the deal than they showed us on the "official" invoice. I'm sure their Toyota hold-backs are more generous than we'll ever know, but still, we're pleased. Now I'm just trying to figure out the wisdom, or lack thereof, of turning down the EW and extended maintenance deal.

Again, thanks so much for your help!

 

Read the thread!

 

Yeah, I'm sure they made it up in the trade-in. But thats a fair deal, at least you didn't pay near sticker like some.

BTW, you should also ask the dealer to adjust your smart-key door unlock - right now if you put your hand near the handle, it just unlocks that door, not all doors as I prefer. You can change this yourself as well if you read the manual. Also the reverse beep is annoying - that can only be modified by the dealer - tell him to just make it one beep instead of a repeating beep. Will save you hassle later.

 

Wish I had known about PriusChat before I bought my 2010 Prius IV. I bought the EW at $1500 which was less than the first quote but I really felt pressured to buy it. Since this is my first Prius and the technology is different, I didn't know if my experience with my Avalon was going to be an indication of what the Prius would do. My Avalon was a great car with only one small repair during the 5 years I had it and it was still under warranty so didn't cost me anything to fix.

Once again, thanks to all who post here. I have learned much more than from reading the manual.
Iris

 

Ok, jumping into this, I just purchased a 2011 Prius, should I purchase the extended warranty as well?
I drive 8000-10000 miles per year, planning on keeping it 7 years, so it should have about 70-75000 miles on it by then, I live in a spring/summer/fall climate from April to December, then winter from Jan to March with snow, salt & sometimes temps below 0.
No long trips unless in the summer on vacation, then its only 150-250miles, like to keep it clean, and have regular maintenance oil, filter etc.

So, having said all that, do I need extended warranty for a 2011 Toyota Prius? What do you guys think, I have 30 days to decide on it.

thanks

 

i would say no, you're getting 8 years/ 100,000 miles on the important stuff, right?

 

It's a complete waste of money. You will almost certainly never get back more than half of its cost in covered repairs, and most likely you will get back nothing at all. You get a far better return by using it to reduce the down payment, or by putting it in the bank.

 

Total waste of money. I have over 50,000 miles on my gen III with zero issues.

 

This is a commercial that Toyota runs. It claims that a Toyota with 100,000 miles has a better services record then a new Ford Fusion or Honda Accord. That says a lot for Toyota quality. The extended warranty is a waste of money.

 

All hybrid components are warranty for 8 years / 150k miles in California and States that adopted California emissions. This warranty is more than ample for the majority of drivers.

There will be the handful of drivers who will experience a repair that wouldn't be the norm but for the majority of us, the factory warranty is more than enough.