artemis

I am looking at getting an aftermarket warranty mainly to protect the drivetrain, engine, basically the expensive stuff.

Just wondering who you guys have bought a warranty from and if they actually covered the stuff they say will or do they run you around and then not cover repairs.

Thanks!!

Jeremy

Rezal

No personal experience but here are a few write-ups re: the above courtesy of Audiworld.com:
http://forums.audiworld.com/a6/msgs/206951.phtml
http://forums.audiworld.com/a6/msgs/81089.phtml
http://forums.audiworld.com/a6/msgs/91124.phtml
http://forums.audiworld.com/a6/msgs/268768.phtml
http://forums.audiworld.com/a6/msgs/268116.phtml

Also, given the age of the 993s, you might want to post the same question to the 996 board.

Jeff 993TT

I would stay away from aftermarket warranties. Get a good car with a good PPI and I think you'll be better off.

Most of the time, the warranties don't cover everything. So you end up paying a premium for things which aren't covered. Sounds great for the insurance companies. Bad for you.

I'd just recommend to self insure yourself. Take $100/month and put it away in a fund for emergency repairs. If you don't spend it in a year, the you'll have some extra mod money!

Ron

I agree with Jeff. Don't bother with one. Those companies are in the business of collecting premiums and making money; not paying claims. When they get to many legitimate claims they have been know to file for bankruptcy protection which equals you're screwed.

My analysis is of course a generalization and subject to exceptions, however, I think it's quite accurate.

Tech-Law

I agree with Jeff an Ron. I was quoted $3,600 for three year partial coverage on my 1999 Lexus LX470. Not worth it.

Roygarth

Basic rule 'if you can afford the loss don't insure'

tchanson

As noted above, these extended warranties don't usually make much economic sense on their own merits, IMO.

Also, as Ron stated above, and as noted in this recent story, insolvency is not uncommon with these often offshore based pools/risk retention groups that in actuality typically provide service contracts, not insurance, and thus are not subject to the normal financial regulations re reserve adequacy, etc.

Good luck,
Tim

DamonsCarrera

I think you have to negotiate a good deal and think about the risks involved. When I bought my '95 with 24K miles on it, I got a full coverage policy for $1700. As I've added on the miles, when my steering rack started leaking, my alarm controller died (know how much they charge to reprogram keys?) and my clutch slave and master needed replacement (all common 993 problems) I didn't have to worry about where I was going to get the hours I'd need to fix that stuff (my work schedule leaves me time-poor). Anything that happens from here on is basically free.

Just another point of view.

-Damon
'94 325i
'95 993

Jeff 993TT

You may want to inquire about the claims process as well. Speaking from my homeowner's insurance experience, it was a PITA and I burned up more personal time than I ever got back in good/services. It'd usually take about 4 service visits to get anything done. Of course, they couldn't give me a definate time when they came, it was all the "I'll see you sometime between 8 and 12 variety".

Just another thought...

Ron

Tim,

The link to "this recent story" is an informative article. Anyone thinking about buying a warranty should read it.


Damon,

I know that these warranty companies sometimes pay claims. It's great they have paid your claims so far and even better that "anything that happens from here on is basically free".

I think a good way to look at these warranties is to view the money you pay for them as a gambling expenditure. You are gambling on at least three things:
1-That you are going to have expenditures on your car that that will exceed the cost of the policy.
2-That the problems that you encounter with your car are covered under the terms of the policy.
3-That the company you have a policy with will be in business when you have a claim.

I've seen some of the policies and they are often purposely ambiguous. Often they will say what is not covered but will not specifically state everything that is covered. They as far as I know do not say something like "Anything that is not specifically excluded from coverage under the terms of this policy will be considered a covered loss." Why don't they say that? The answer is they want to position themselves to deny a legitimate claim. These are not the kind of people I voluntarily do business with.

The people selling these policies have been know to make representations that are not accurate regarding coverage and generally people are not provided with a copy of the policy they will be purchasing until after they pay their money.

DamonsCarrera

Ron,

I agree with everything you said. You have to look very carefully at any kind of warranty program you purchase. In my case, the car had not had any unusual service prior to me buying the car, there was no problem with the ppi, and I knew from studying that over the life of the policy I might expect to have the few real problems that seem to happen to a lot of 993s, and I could negotiate a good deal on on the policy. The steering rack replacement alone will run you $1200-1800 if you have a shop do it, and it seems like a fair number of 993's have that problem. If the policy had cost me more it probably would have made me reconsider. I think you generally have more leverage with the policy price when you are buying the car from a dealer than when you are buying the policy on a car you already have. It just depends on the situation.

For what it's worth, I have what they call a "Gold Seal" policy with Western General Insurance, underwritten by Fireman's Fund. It covers major mechanical systems like drivetrain and steering, where many policies will not. It also includes language stating that if coverage is not specifically excluded, it is covered, and I went over the exclusions list in detail before I bought the policy. The exclusions in my policy are primarily in areas of body finish, paint and such, which I thought I could live with. I've had insurance with Western General before, they've been around a long time and I would recommend them. I bought the policy in early 2000, so I don't know if they still sell the same thing. Alot of insurance companies are "having a hard time" these days.

By the way, WG would not cover the infamous 993 window creak, which is the only other problem I've had with this wonderful car.

Another thing to consider is that when you do have a problem which you think will be covered, your shop backs you up and works with the insurance agents to negotiate the coverage. That saves me alot of time. I do all my own regular maintenance and mods (when I can schedule the time months in advance) but I'm also be on good terms with a local shop mechanics and service writer.

Like most things in life, it's not simple or easy but it works when you plan it out.

-Damon
'94 325i
'95 993

DamonsCarrera

By the way, for my BMW I specifically did NOT buy warranty coverage in that case, and I made out on that decision too. Haha, simple pleasures! life is great!

-Damon
'94 325i
'95 993

artemis

Thanks for the help guys!! I appreciate the feedback!

fbfisher

I had a full PPI done on my car. All checked out great. Turns out a PPI from a reputable shop can only tell you so much.

Six months later a freak thing happened - they think a ring broke and tore through the engine. $17,000 in repairs (basically a new engine - pistons, heads, valves, etc) that I didn't have to pay because I paid $3,000 for the extended warrantee from Western General. They have also paid to replace the steering rack that started to leak, the A/C control unit, and a few other 993 "issues" that are known to be common to the car (not the door check strap unfortunately).

I am glad I bought one. If I had listened to some of the advice above I would be a very unhappy camper.

Buy yourself some peace of mind, buy a warrantee

Jeff 993TT

Sorry to hear about your story fbfisher.. Glad that you got everything resolved.

Jeremy, people have had good expereinces and people have had bad experiences. I guess it comes down to this: "Are you feeling lucky?"