Which of these 2 would you purchase...

That means the cheaper one has essentially no warranty, but $3,000 is a little steep. To put it another way, do you think it's more likely than not to have $3,000 in COVERED repairs for the remainder of the life of the platinum warranty? Tires and other maintenance items aren't covered. By the way, how are the tires on each? By 40K miles, they've likely been replaced. What with? How long ago? How's the wear and tear on the interior?

As for the warranty, I don't think that's a good value and you'd be overpaying for the insurance .

 

To me, all other things being equal, it's a no-brainer -- buy the one w/o the warranty for $3k less.

This is coming from someone who thinks the Platinum Care warranty is a good deal and worth buying, but only at the $990 price offered here on PriusChat.

Note that you'll still have lots of time and miles left on the Hybrid System and Emission Control warranties, especially in California; some time and miles left on the Powertrain and Restraint Systems warranties; and some time and unlimited miles left on the Corrosion Perforation warranty.

 

It's not just a simple matter of NPV calculation. The warranty is basically insurance, so you need to consider your risk aversion. Do your finances allow you to handle the potential of costly repairs (far in excess of $3000), up to possibly losing the entire cost of the car? The less you are able to afford an expensive repair, the more risk averse you should be, and the more risk averse you are, the more you should consider the (very expensive) warranty. That said, $3k is a huge premium, and there is probably a 99% chance you would not spend that much on repairs during the time the warranty is in effect. So you'd be paying a lot for the possibility that your car is in that 1% that have an expensive repair in their future.

If your finances allow you to easily absorb a very expensive repair, then you don't have to be risk averse, and can base a decision on NPV, which would say to buy the car w/o warranty, and self-insure yourself with that $3k.

 

have you seen these cars? a lot can happen in 40,000 miles. and $3000 for nothing different then extended warantee is a major major rip off.

gotta have no signs of wear for me to consider that much more money

 

The answer is in my signiture.
Read the hand book, don't drive it if you run out of fuel and buy the cheaper one.
$3000 will buy a lot of repairs, have both cars checked out by a mechanic, here the auto club (RAA) does a very good job.

 

You should check your own 2006 warranty booklet and especially a 2005 warranty booklet to confirm, but my 2007 warranty booklet says this [max time/miles] for the rest of those systems: