Last post on Dec 22, 2012 at 2:26 PM
You are in the BMW 5-Series
What is this discussion about?
BMW 5 Series, Car Warranties, Sedan, Wagon
#40 of 58 Re: 2001 BWM 530 warranty question [edbarry12]
Mar 01, 2008 (1:40 pm)
Many folks, myself included, would advise that you simply "self insure" by taking the money that you would otherwise spend on the warranty and set it aside for unscheduled repairs. While you may not make out on any one car, the betting is that over years that you are a car owner, you'll come out well ahead in the end.
FWIW, the last car that I bought the "extended warranty" on was my 1989 Chrysler LeBaron GTC 5-Speed, and the warranty didn't even come close to paying for itself. Following that car we've had a 1993 Ford Probe GT 5-Speed, a 1995 VW Passat GLX 5-Speed, a 1995 Plymouth Neon Sport 5-Speed, a 1998 Dodge Grand Caravan Sport 3.8, a 1999 BMW 328i 5-Speed, a 2002 BMW 530i 5-Speed, and a 2003 Dodge Grand Caravan ES 3.8. The grand total of the extended warranties that my wife and I didn't buy was somewhere just north of $15,000, and against that I can account for some $4,200 in unscheduled repairs. However, that isn't the whole story. Of those unscheduled repairs, almost $3,400 of them came after the extended warranties would have expired (i.e. on the far side of the 100,000 mile mark), and that means that had I paid the $15,000, I would have recovered maybe $800 in "free" repairs (and that doesn't even take into account that many of the warranties had a deductable).
I maintain that self-insuring is by far the cheapest way to pay for unscheduled repairs. Sure, you may not break even on any one car, but over the course of years and a parade of cars, you'll come out WAAAAY ahead paying for your own repairs.
#41 of 58 Re: 2001 BWM 530 warranty question [edbarry12]
Mar 02, 2008 (1:09 pm)
It's going to be difficult and expensive buying a 3rd party warranty that's of any real value... e.g: reasonable deductible, good coverage, reliable company.
If you're buying the car from your father (the original owner) and you know he's kept up on normal maintenance, then I would not buy an extended warranty. You're probably buying the 530 at a favorable price - right? If so, take it to the dealer and have a complete service check done before you buy it. Split the service cost with your father... you both come out ahead.
#42 of 58 Geico extended waranty...no need for CPO?
May 02, 2008 (1:06 pm)
Im considering buying out my lease on my '06 5 series and was thinking of CPO'ing it...which of course BMW charges you for. But after calling Geico last night to compare rates of buying a new car they said my insurance policy already covers my current car for 6 years/100K miles from the date of service for any mechanical problems (with a $250 deductible).
What does everyone think of this? any experience with geicos warranty? Im not concerned with any little thing that might go wrong, like a broken seat or something, Im mainly worried about a major repair...like an engine or tranny failure, which would be covered under geico's policy.
#43 of 58 Old Republic Extended Warranty
Oct 21, 2008 (8:31 am)
I am looking to buy a 2005 545i with 45K and plan to buy an extended warranty. The non-BMW dealer that has this car offered an extended warranty (not sure of the company offering this warranty) for $2600.
My credit union also offers an extended warranty from Old Republic and I was wondering if anyone has any experience with this warranty company. I cannot find much reviews about this program online... is there any specific forum for such information.
Quote was $1651 for 4yrs/75k & $0 deductible
#44 of 58 Full list of available extended warranties??
Oct 21, 2008 (10:22 pm)
Please help me!
I am purchasing a 7 series used,deciding between CPO and from a 3rd party / dealer.
I am looking for the best deal, and found that CPO rarely covers the full car, + it has a deductible!
I am looking for a full list of available extended warranty companies out there which I can purchase warranty from:
It seems Geico includes warranty?? 250 deductible?
What is Zurich? How much is their warranty? Can I purchase it myself?
Does Costco insurance include warranty? AAA? State Farm? Allstate??
I see CarMax offers insurance, I need to see how much$$
Please help with some extended warranty companies to cover my 7 series! Please note I am posting here because nobody is responding in 7series forums
#45 of 58 vehicle protection plan-worthy it?
Dec 14, 2008 (5:59 pm)
Hi, guys: I am first time BMW owner. I just bought a 2009 BMW 528i for $48,500. the dealer rec extended warranty (7 yrs/100,000 miles) for $2550 to cover major breakdown. Is this worthy it?
What about road hazard tire plan for $950 to cover tire repair, auto armor plan for $795 to cover body, and key replacement plan for $199.
please help me out, thanks in advance.
#46 of 58 Re: vehicle protection plan-worthy it? [jjwatva]
Dec 14, 2008 (8:49 pm)
I track my expenses and paid $1400 for repairs that would have been covered by extended warranties and maintenance plans. Also, consider they are essentially insurance policies and have profits and commissions included in the price. The average customer will lose money on the deal.
#47 of 58 Extended Service Maintenance
Jan 09, 2009 (10:03 am)
I own a 2006 525i and it's currently under BMW service maintenance plan. I'm thinking about extending the service maintenance and the cheapest I have been offered is for $1900 (6yrs/100,000miles - whichever comes first). Is this worth buying for the price quoted? Please advice!
Jan 10, 2009 (8:09 am)
I'm by far not an expert at all. I have a 96 328i that I got through the CPO program in 1999. The car has been off warranty for quite awhile. I have kept it up, I had the major service at 60K miles and I replaced a water pump at 96K miles. Normal servicing, brake job, oil changes since.
Your car probably went into service in 2005 the way BMW figures it, and add the 6 years to that which means your full warranty lasts until 2011. Service warranty runs out 2009 sometime, right? Why are you thinking about an extended if you still have two years on the major warranty? Also, what does it say about BMW reliability if we have to spend $2000 on an extended warranty, you mean to tell me that you would spend $2000 over the course of two years on repairs? Also, what time period is involved in the 6 years you need to be more clear on that. You mean 6 years from today? Please clarify. Again, I'm certainly no expert there are far more experts on this forum who would probably know. But it's a judgement call. I wouldn't do it personally, that's a lot of money for only maybe needing the coverage. I mean, my water pump job cost me $850 at the dealer, and that's with changing all the belts at the same time.
#49 of 58 Re: 2001 BWM 530 warranty question [shipo]
Oct 11, 2009 (7:10 pm)
Yeah, this response is a year and a half later...
That's some of the best advice I've read on the subject of reliability and warranties.
In my experience (sample size of one person), major repairs only come long after extended warranties have expired. Ie: 100k+ miles. Thus, the huge profit margin for these companies. They're selling security blankets.
Plus, your opinion reinforces my practice of fixing my own vehicles.