Upscale Audio

A PDK is not that much, but certainly could reach $20k.

You guys are not talking about the most important issue:

Is it inclusionary, which most warrantees are, so it covers certain parts that are listed? The problem is the parts that cause a PDK failure are NOT listed, hence you are not covered even though the car is not even driveable due to a transmission failure. Insurance companies know this, so they don't include the parts that cause problems.

Or is it exclusionary where they list what is NOT covered like tires, brake pads, convertible tops, etc. Exclusionary warranties like the Fidelity Platinum are more expensive because there are fewer loopholes. PDK fails from an electronic rod sensor (the most common failure) you are covered.

Highline-Autos.com

100% Exclusionary, as a provider of Fidelity as well, we would only work with providers that have the same claims acceptance and customer service Fidelity provides, we are very happy that Freedom does just that, 100% claims acceptance with both providers.

Highline-Autos.com

You're paying $7k for $40k in coverage, a single claim just can't be more than $20k.

cwazy1

My PDK replaced in July of this year was $31k. Parts/labor/taxes from my local P dealer. Might be able to save 5k from an indy.

Highline-Autos.com

So you pay $7k, PDK goes out for $31k. Freedom pays $20k to the dealership, customer pays the $11k difference, customer is still net $13k better off purchasing the Freedom warranty, and customer still has an additional $20k in repair coverage.

cwazy1

Agreed. Just about anything is better than 31k out of pocket . There are only 2 items that would result in a massive claim for GT3's, PDK at 30k and engine at 50k. The only reason I didn't go with your policy was because I still qualified for a Porsche policy underwritten by safeguard because my car was still under CPO.

FourT6and2

When I bought my GT3RS, dealer included windshield, wheel, and tire protection from that company. I tried filing a claim for cracked windshield and curbed wheel. Safe Guard did everything they could to deny claim and ultimately refused coverage. So... good luck.

Highline-Autos.com

Yikes, I'd assume the dealer would try to go to bat for you to get the claim approved, no?

FourT6and2

Nope

Highline-Autos.com

Wow, it is crazy the discrepancy of customer service in the dealership world.

tgibrit

I understand that, the maths of spending $7K with those limits makes zero sense. yes if you have two $20K claims in a single year it is marginally better. the vast majority of owners would be better putting the $7K in a savings account each year and using that as a repair fund.

FourT6and2

Would we? The national average interest rate for a savings accounts is 0.19% last I checked. Even at 2%, I don't think that would do better than a $7K policy that nets you $13K coverage. And even if you contribute $7K each year to said savings account... how is that better than paying $7K once and getting two $20K claims out of it? The former, you're putting your own money up each time. Let's say you own car for 5 years. That's $35,000 of your own money you've put toward a warranty issue. With the later, you are literally only out the price of the premium, which is $7,000... I don't understand the issue here.

Would I prefer a higher claim maximum? Hell yeah. But what are the options here? There really aren't any.

tgibrit

At $7K every year, it adds up pretty quickly. I would not put the money in a saving account personally, I would invest the money achieve far higher returns over time. it comes down to your assessment of the probability of making a claim for $20K or if you are particularly unlucky 2 $20K claims in one year. If you do not need to make a claim in your 5yr example I have at least the $35K in my pocket at the end of that period.

If you think paying $7K for a low probability event, for $13K of coverage makes sense then go it.

FourT6and2

Are we talking past each other? What are you saying here? Do you think you have to pay $7,000 each year for an extended warranty? That's not how it works. Or do I just not understand? You pay $7,000 ONE TIME for an extended warranty that has $20,000 coverage per incident, $40K total. You don't pay $7K per year for the policy...

Right... you're banking on never needing the policy. Whereas most people buy a warranty/insurance in case they need it. Two different mindsets. That's literally the whole point of insurance...
And obviously it works out in the favor of the insurance company, otherwise they wouldn't do it. It's a numbers game for them. I get it.

tgibrit

I am just renewing my McLaren extended warranty, which is annual, so perhaps I have misunderstood the term of the warranty- but you also mentioned a $35K amount - 5yrs * $7K per annum.It a risk reward analysis - I pay for the McLaren warranty as there are no BS caps for the covered items - engine, gearbox etc. (other than claims can't exceed value of car.