Warranty questions..

[The Fred]

I know there are some expert people in here over there so how does this policy look?

They use to give out exclusive policies but maybe I am buying too old and too miled..

Does that policy cover the head gaskets.. ?

What's Covered

PowerShield provides coverage for the following parts.

Click here to review the PowerShield contract.

Florida residents, click here.

Engine -

(a) The following lubricated internal parts: pistons, pins & rings, connecting rods & bearings; crankshaft & main bearings; camshaft, followers & cam bearings; push rods, valves, springs, replaceable guides, seats & lifters; rocker arms, shafts & bushings; timing gear, chain, tensioners & retainers; eccentric shaft; oil pump.

( Timing belt; serpentine belt; Water pump: Impeller shaft, bearings, bushings & housing; intake & exhaust manifolds; engine mounts & cushions; engine torque strut; harmonic balancer; flywheel (flexplate) & flywheel ring gear; mechanical fuel pump; dipstick & tube; all pulleys.

© All lubricated internal parts of the vehicle manufacturer installed turbocharger or supercharger.

(d) Engine head(s); engine block; cylinder barrels; timing cover; valve cover(s); oil pan; dipstick & tube.

Transmission -

(a) All lubricated internal parts contained within the case(s).

( Computer modules & solenoids; filler tube & dipstick; vacuum modulator; internal linkage.

© Transmission case, transfer case & torque converter case.

Drive Axle -

(a) All lubricated internal parts contained within the housing(s).

( Axle shafts; constant velocity joints (CV); universal joints; drive shafts; locking hubs; locking rings; supports, retainer & bearings.

© Differential housing, transaxle housing & final drive housing.

Roadside Assistance Membership -

PowerShield includes FREE membership in a nationwide, 24 hour a day, roadside assistance plan. This protection is available for the full term of your warranty agreement and is not tied to covered repairs only. Need a tow? Flat tire changed? Lock your keys in the car? When you need help, just call the toll free number and sign the clipboard when they arrive. The service is on us!

24 Hour Roadside Assistance

$50 Towing Services

Sign-and-Drive Privileges

Flat Tire Service

Mechanical First Aid

Gasoline Delivery

Battery Jump Start

Emergency Lockout Service

Fluid Delivery

Toll Free 800 Number to Call

Nationwide Protection

Rental Car Coverage -

Should a failure cause your vehicle to have to remain in the shop, we will reimburse you for car rental expenses of up to $35 per day.

Travel Interruption Protection -

Should your vehicle become disabled more than 100 miles away from home and the repair is covered under your contract, Warranty Direct will reimburse you up to $50 per day for up to 3 days per occurrence for lodging and meals.

Nationwide Protection / Choice of Repair Facilities -

PowerShield offers true freedom of choice. Repairs can be made at the licensed repair facility of your choice anywhere in the US or Canada. You may use your dealer or local mechanic. Best of all, there is no need to lay out money and wait to be reimbursed. We pay the repair facility directly over the phone via credit card. It's that simple.

If you prefer a national chain, we have agreements in place with Firestone, All Tune & Lube, Pep Boys, AAMCO, Cottman Transmissions and Lee Myles to name a few.

I was impressed with the ease of use of your extended warranty program. With other programs I have had, there have been forms to fill out, and many complicated procedures to follow, not to mention limited locations to use. I was relieved to know that I only had to call one number, and everything was taken care of. I took my van to the dealer, and did not have to deal with reimbursements. To me, that was huge. Thank you for making it so easy to use your warranty! (A. Isabelli, OR)

Choice of Deductibles -

PowerShield offers a choice of deductibles to meet your needs. Choose from a low $50 deductible or choose a zero deductible and never reach into your pocket for a covered repair. The deductible is applied on a per repair visit basis; in other words, no matter how many items need to be repaired, you will only pay one deductible per repair visit.

Transferable -

For a modest $50 fee you can transfer your PowerShield coverage to another private purchaser of your vehicle. Vehicles with extended warranties offer much higher resale values because the buyer knows they are not going to get hit with huge repair costs and that prior problems were fixed.

Your Responsibilities -

a) Change the engine oil and filter within sixty (60) days of the warranty start date.

Have the engine oil and filter changed by a commercial service facility every four (4) months or four thousand miles thereafter, whichever comes first.

c) Maintain your vehicle according to the manufacturer's recommendations as outlined in the owner's manual

d) Retain verifiable receipts for all parts and materials necessary to perform the required maintenance. Hand written receipts will not be accepted.

First time I have used your service. Have warranties from you on both of my cars, my daughter's car, and have recommended your company to 2 friends. Great service. My service advisor said you all were great to work with. No hassles. Very happy with you!!!! (I. Natkin, TX)

Coverage Limits -

You are eligible to make your first claim ninety (90) days and 1,000 miles after the start date. The maximum limit of liability per loss shall be equal to the actual cash value (ACV) of the vehicle at the time of repair. The maximum limit of liability per covered vehicle is $6000. The limit of liability per covered component is as follows: $3,300 in engine claims; $2,200 in transmission claims; $1,500 in differential claims; and $300 in emergency roadside assistance claims.

Looking for higher levels of coverage? Visit WarrantyDirect.com for free rate quotes. Higher levels of coverage offered on 1999 and newer models with up to 75,000 miles.

It doesn't say anything about electrical.. which they use to cover..

Again,

I think that is because I am buying an earlier model.

[OynxSTS]

Before you buy a warranty you need to consider some fundamental questions:

1) Why am I doing this?

2) Am I in such financial hardship that a repair could cause me to miss a payment and lose my car?

3) Is the warranty company I am considering going to be in business in 3, 4, 5 years?

4) What ISN'T covered?

5) What does the Fine print say? Is there a cap? Maximum Claims? Deductibles?

Do a search on warranties on this site and you will get both points of view. I worked in the insurance industry for 13 years... here is an insiders point of view

1) These companies do this to make a profit. Think about that. In the long run people who buy these polices would have been money ahead if they had put the money in the bank. Do not buy a policy to try and save money... This is a long shot... If this was the norm most of these companies would have all been broke years ago. And speaking of that...

2) A LOT of these companies are marginal... "fly by night" and go in and out of business about as often as I fill up my car. If you buy a three year plan and the company is toast next week... Your policy is worthless.

3) Ask your financial advisor, they will confirm, the only people who should buy these polices are people who will be unable to make a car payment (and lose their car) if an unexpected major repair where to occur. If this is you, I would buy the GMPP. (General Motors Warranty)

4) Make sure that whatever policy you consider covers ALL of the computers on these cars AND the shocks and struts... the CVRSS struts on these cars are very pricey... The last thing you want to do is spend $2000 on a policy only to discover that you are on the hook for a $1500 strut repair.

5) Let's not forget that at the heart of these warranties is a insurance policy often called "Mechanical Breakdown Insurance" or MBI. Some insurance companies "like" to put their customers through the ringer before accepting a claim... I heard the the good and the bad... Be careful.

6) These policies are ALL front end loaded with a TON of commission for the seller. Every wonder why you get all of that pressure at the dealership to buy one of these. There is more commission on these polices then there is on the sale of an average car. But if you know this, you now know that there is a TON of room for negotiation... I have heard (and seen) discounts of 50-60% off of list prices...

IMO, these cars are quite reliable and warranties are not required...

PS the 3300 dollar "cap" per engine claim is low. Head gasket jobs on these cars (while uncommon, exspcially in cars built after 2000) start at 4000 at the dealer and can go as high as 5 or 6,000 at the dealer.

So lets say you spend $1500 on this policy to protect yourself from a head gasket failure... which cost say 5000. You will still have to pay another $1700... Not a Good Policy IMO... and I would bet that the struts and NOT covered. They rarely are on "aftermarket" policies.

[Cadillac Jim]

Three things:

1. It looks like the head gasket is conspicuously absent from the list of covered items.
2. The cash limit for the engine is only $3300. How much is a timesert job?
3. I bought one with my car in 1997. At 60,000 miles, my only problem was a battery cable replacement that I postponed another three years. Thus my extended warranty was a waste of money. Besides, the dealer in CA kept it when they did a service job, and I didn't have it in NJ. If I had needed it, I would have had to call the CA dealer to FAX the papers to my NJ dealer.

[Ranger]

Does that policy cover the head gaskets.. ?

I see no mention of head gaskets.

[The Fred]

I noticed how darned absent the head gasket was from there

I read all of that mumbo jumbo and never saw it but thought maybe it was in there under another name

When it comes to no name companies I am very careful over here.. before I let my grandmother buy a policy from them back in 1999 I checked the company out real well because the deal was too good to be true.. they had listed what WAS NOT covered.. . no overheating clause, it covered wear and tear class damage (amazed me at the time) it covered electrical brakes airbags you name it

Once I found out the company was solid I made her buy it and she is over $9000 in claims (of course now they don't sell that policy, they sell one like it but for twice as much )

Who can blame them

I just am looking for a way to protect myself in the short term.. I'm putting alot of the cash I do have into getting into something presentable so that I can go out and make a living in Real Estate. If my motor blows up all bets are off and I'd have to go out after a

CAR REPAIR LOAN *Gasp, choke, cough, heart tremors*

For more money than the car cost me

The more I think about the limits on this policy - the less I want it.

You folks pointed out most of the concerns I had and then some - I appreciate it