Extended warranty - is that necessary?

First off, you don't have to pay that much. You can get it here for about $990.

It's a crap shoot, you can think of it as betting that the cost of your repairs of items covered during the extended warranty will be less than $990. It only takes one bill to go over that. That being said, I had an extended warranty on a camcorder that was never used. I have an extended warranty on a refrigerator that was used. I had an extended warranty on my last car that I needed, but couldn't use as it was a third-party that was never created (long story).

Yes there are owners that have had problems right after the 36K has passed (with no extended warrany) and some have had problems before the 36K so it makes you think about reliability (I mean if a part went out before 36K, what will give out after).

It's up to you, and you do have time to think about it. For peace of mind it's a good thing, but you may (hopefully) never need it. Some places will refund that if you don't. At this point (I'm at 16K miles) I plan to get it, but you don't have to.

 

I feel like such a dummy. My extended warranty was $2295.

Peace --

 

<div class='quotetop'>QUOTE(busyrosy @ Apr 24 2006, 04:47 PM) [snapback]244562[/snapback]</div>

Click on the link I had in my message (the word "here") or go to
http://priuschat.com/Discounted-Toyota-Pri...acts-t3130.html

 

I think you can also consider how much you drive a year. I went with the extended warranty simply because I drive 30k miles a year, so the base warranty is just a little over a year for me. This way, I'll at least get 3 years.

The only difficulty in my getting it was that I owned 3 Jeep's previously and never had any kind of extended warranty. And while I did have repairs on each of them, the biggest one's always came after 100k miles anyway. My wife also talked about how I'd never have those issues with a Toyota, so here I am with a Toyota, that shouldn't have those issues and I got it anyway

My thinking was pretty simple. It was just $1000, so it wasn't much and I figured it's still fairly new technology, so who knows what might go wrong at some point.

 

<div class='quotetop'>QUOTE(busyrosy @ Apr 24 2006, 07:24 PM) [snapback]244551[/snapback]</div>

Only if you need it!

I got the extended warranty on the Prius even though I almost never go for them. Why? Well back sometime between when I ordered the Prius in February and took delivery last Thursday, I happened to see a Prius with driver in the lot of a local mall. I tapped on the window and had a Prius chat with him. He said even though he has not had a single problem with his Prius, he strongly recommended the extended warranty. His reasoning sounded solid. It went something like this. The Prius is an extremely reliable car. Nothing has gone wrong to date. But with all the sophisticated electronics, etc., if something does go wrong, its going to be expensive to fix. Made sense to me.


It's like health insurance. You only need it if you get sick. Otherwise its a waste of money. But when you spend several days in the hospital like I did last week, you're glad you have it. I've asked myself, what if this would have happened two years ago when I was unemployed and uninsured. Then what? It's the same thing with the extended warranty.

 

Holy Cow, we got it for $585.00

 

<div class='quotetop'>QUOTE(marjflowers @ Apr 24 2006, 04:59 PM) [snapback]244566[/snapback]</div>

It may be too late, but maybe you can cancel it and get your money back.

 

My dealer offered me the best of both worlds! I purchased the 7 yr/100k extended warranty for $990. Better yet, if I don't use the warranty, the amount is refundable in full after the seventh year.

I asked the dealer to put the refundable offer in writing---and he did!

 

<div class='quotetop'>QUOTE(FJRCRAZED @ Apr 24 2006, 04:23 PM) [snapback]244583[/snapback]</div>

Who did you buy it from for $585?

 

<div class='quotetop'>QUOTE(gnagel @ Apr 24 2006, 08:20 PM) [snapback]244619[/snapback]</div>

Well, sure he put in writing: essentially you've agreed to lend him $990 for seven years at zero interest. In that time his investment of the money should nearly double, and then he'll hand you back the original amount. Interesting sales gimmick :_>

By the way, does your warranty cover everything? Some people have discovered the hard way that some expensive items such as the MFD were not covered.


[roll tape]
Extended warranties are insurance. Like all insurance they are priced to make a profit for the seller, not the buyer. Anyone who can remain ready to pay for any insurable expense (that is, if they can insure themselves) will come out ahead by not buying an extended warranty. Otherwise they're paying a lot for intangible "peace of mind". The sticking point with the Prius is that some failing items do cost a lot to fix, so that means more ready cash must be available.

 

Not really. I'm not lending him anything. I purchased the extended warranty as a sort of insurance policy against any major repairs that I might be faced with over the next seven years. For $990, most policies do not have the refundable provision. To me, the refundable offer is worth something---perhaps $150 or so of value.

Everything has a time value of money. I'm guessing that the cost of Prius repairs will also rise in the upcoming years. Even the cost of the extended warranty coverage will rise in the future. The only question is whether it is best to lock in now at $990 or wait and hope that the cost of the extended warranty might not rise as fast as inflation (or alternative investments).

The point is that there is a value to having a refundable provision included in the agreement---especially since my dealer offered it for no additional charge.

 

<div class='quotetop'>QUOTE(gnagel @ May 25 2006, 01:14 PM) [snapback]261027[/snapback]</div>

is the MFD covered by Toy's extended warranty?

tks

 

Don't know if it's necessary, but for me it gave me piece of mind. I had the A/C break on me a few months ago and if my car had not been under warranty it may have cost me around $5k to get it fixed. So that made it definitely worth it for me. I am just over 30k miles now in 2 yrs and just bought my extended warranty through Troy (thanks!). He made it a very easy hassle-free process and I'm very happy to have found him through this forum.

 

<div class='quotetop'>QUOTE(mdh @ May 25 2006, 03:18 PM) [snapback]261031[/snapback]</div>

Yes. The MFD is covered under the extended warranty that I purchased from Toyota.

ALL manufacturer-original equipment parts installed by the manufacturer are covered under the agreement for mechanical failure, unless otherwise excluded. The excluded items are detailed in the agreement. The MFD is not one of the excluded items. Excluded items are relatively obvious---items such as rust and corrosion damage, fluids, filters, carpeting, wheels and rims, etc.