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Extended warranties


Peter1972

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When I bought my car an 01 STS in excellent condition with 70k on it I thought it would be a good idea to buy an extended warranty. The company I purchased it through is called Buyers choice Inc. I purchased the preferred package this is the middle of the road package between the standard and the gold packages.

It says it covers Engine,Tranny,Four wheel drive,Transaxle,Differentials,Power steering,CV Joints,Fuel system,Cooling system,Air Cond,Towing,Substitute Transportation,Road Assistance,Fluids,Turbo Charger,Diesel.

I read it word for word from the contract and obviously some things don't apply. The warranty is for 3 years or 36k it cost me a grand and there is a 5000 maximum lifetime benefit. So in the worst case scenario if something major went like the engine or tranny I would be covered.

I would like to get peoples opion on buying these aftermarket warrantys you think it's worth it, has anyone ever made a claim etc. The dealer where I bought the car says he's had nothing but good experience's with this company and they pay without any problem's and you can get the work done wherever you choose.

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If you can get a GM or for that matter any OEM extended that is the only way to go.

Experiance with so called third party is very very disappointing, denial of claims, need for their ADJUSTER to see problem but not authorizing a "tear down" for inspection, the use of unapproved repair methods and parts, often insisting on "junk yard" parts-disclaiming of secondary damage....... unrealistic labor rates and times .....

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I got burnt a few years ago by Warranty Gold (Bankrupt) $2500.

Fortunately my credit card company worked closely with me to reverse charges before Bankruptcy courts got involved.

Bought GM Major guard ON LINE from Black Cadillac outside Pittsburgh Pa.

With Major guard you just take it to the dealer and for the most part forget about the hassle.

As info you may be able to extend your warranty if you have at least 90 days or 3k left on your GM extended Warranty

Frank

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anyone familiar with "Warranty America, LLC" http://www.warrantyamerica.net

The dealer I'm dealing with offers that. I'm planning on getting the 6 year 100k package (vehicle covered for the whole finance term).

The Green's Machines

1998 Deville - high mileage, keeps on going, custom cat-back exhaust

2003 Seville - stock low mileage goodness!

2004 Grand Prix GTP CompG - Smaller supercharger pulley, Ported Exhaust Manifolds, Dyno tune, etc

1998 Firebird Formula - 408 LQ9 Stroker motor swap and all sorts of go fast stuff

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First, consider that the Warranty Companies make money selling warranties. So on AVERAGE, whatever the cost of the extended warranty, the warranty company would pay less than that on AVERAGE for your type of vehicle during the warranty period. Some of the vehicles will get totalled. Some of the vehicles will get sold without the warranty properly transferring. Some of the vehicles will never need repair or will not get repaired during the warranty period.

From the owner's point of view however, an extended warranty is one way to limit your total exposure for vehicle repair costs. In other words, I am fairly safe in thinking that my total repair costs during the warranty period/mileage will be no greater than the cost of the warranty.

A factor to keep in mind is that the Warranty company pays negotiated rates for labor hours AND for labor value/hour. For example, for remove/repair of an engine, if it is 'customer pay' you might pay $100/hour AND be billed for 40 hours of labor; if it were 'warranty pay' it might be only $60/hour and the Warranty Company would only be charged at a 'book rate' of 15 hours of labor. So the cost of repairs to the Warranty company is less than the cost of equivalent repairs if the owner pays out of pocket.

Regardless of whether you purchase GMPP, which is the GM Protection Plan, or an aftermarket plan, you often have to wait on major repairs for an Adjuster to come from the Warranty Company to the Dealer to review the repair and approve the procedure beforehand. This can be a 1 or 2 day delay.

I prefer the GMPP extended warranty, because it is actually from GM. The Dealers prefer to sell the aftermarket warranties because they can have higher mark-ups (more profit for the dealer). As long as the Warranty Company and the Dealer interface well, and the repair gets covered under warranty, all is well. If you buy an aftermarket warranty from your local dealer, and the dealer works well with that company, that can be okay -- until you move or until your vehicle needs repair out on the road in another state. Then you may find that the local Cadillac dealer does not have the same comfy relationship, or that the Adjuster has to come from back home to your vacation state to look at the car because they don't have a local adjuster. The nice thing about the GMPP is that all the Cadillac dealers everywhere work well with it.

We have an aftermarket warranty on my Wife's Mountaineer that the dealer sold us 5 years ago. It has been fine for coverage, and the truck has only ever been back to that dealer for repairs.

There are also issues on warranty coverage. The Dealer may argue that modifications to the vehicle caused the repair. For engine problems the Dealer may require that you document every oil change with receipts. The Dealer may argue that they can 'tell' that you have driven the Cadillac agressively or raced it based on the treadwear (or bits of melted rubber in the fender wells for example) and deny warranty coverage. So warranties can be worth much less than what you might pay for them.

I prefer to drive a Cadillac that is under warranty. Then whenever I have a problem with it I can just drop it off at the Dealer, get a rental car (covered), and get to work on time. If you are in a situation where you can afford to have a daily driver and a backup vehicle for when you need to do repairs, that can work just as well or better.

Among the warranties available, I prefer the GMPP because it is direct from GM and is universally accepted at GM dealers with very little friction.

Bruce

2016 Cadillac ATS-V gray/black

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I hope that this company is reputable that I bought this one from. I did get a good recommendation from the dealer for what thats worth. He said he's had a lot of people buy from this company and not one problem yet. I do trust this dealer I have bought many cars from him and don't think he would steer me wrong but we'll see. Hopefully I will never need the coverage.

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I have saved a lot of money by buying GM Major guard on line. Do a Google search. Try Black Cadillac in Pittsburgh Pa area. Mr Alan Black works personally with you. No sales Tax.

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Having a look at the GM website, then at warranty company I've been steered towards, I feel the GM plan is the way to go...I don't like that Warranty America puts in bold that they car force you to use non-oem parts (says remanufactured or like quality parts,). The GM one says it uses OEM.

The Green's Machines

1998 Deville - high mileage, keeps on going, custom cat-back exhaust

2003 Seville - stock low mileage goodness!

2004 Grand Prix GTP CompG - Smaller supercharger pulley, Ported Exhaust Manifolds, Dyno tune, etc

1998 Firebird Formula - 408 LQ9 Stroker motor swap and all sorts of go fast stuff

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My experience with an aftermarket warranty has been negative. I paid $1600 for the top of the line package because it had special coverage for electronics.

The a/c fan speed control resistor pack has failed 4 times and they won't cover it because they say it is not electronic. The wipers decided to park in the up position and they wouldn't cover it saying it only needed adjustment. They won't cover diagnostic charges either, so how does one prove that their "adjustment" theory is true or false without being out of pocket to tear the assy apart and diagnose the problem ? They have got you both ways. Not exactly worry-free motoring.

When I bought the package from the dealer he said that he has had little trouble with the company and that he has a good relationship with the reps. Well my first claim was the wipers as mentioned above, and after 2 - 3 days of going back and forth, the company rejected it. The dealer then simply said "there is nothing we can do but we can have a look at it for you"......meaning of course, that I am at their mercy. So much for the good relationship with the reps. He didn't buy the adjustment theory and wanted to replace the whole wiper motor assy at my cost . He said that they don't repair (adjust ?) such components anymore, they just replace them. It's too labour intensive to take them apart. In other words, the dealer said that he won't even consider performing an adjustment, but he was the one who sold me this package whose company says an adjustment is all that is required.

In another instance the a/c blower failed and was actually replaced by a shop and covered by the company. However later, when we were replacing one of the failed resistor packs ourselves, we noticed that the "new" motor looked a bit rusty. I think I got a used one whereas I was told it was new. I think that games are played between the shops and the company at the car owner's expense. In this case the shop could have won the game by installing a used motor, yet charging the company for a new one, hoping nobody would be the wiser. Or the shop and the company could have colaborated and agreed to put in a used motor to save the company some money, perhaps on a "you scratch my back, I'll scratch yours arrangement," again with me being the looser.

I am obligated by the company to change the oil, filter, have all fluids checked, etc. on a fixed duration/mileage and must have the work done by a shop. I must mail in a little form after it has been filled in and stamped by the shop. When I bought the package I thought that this made sense and protected me to some degree, but now I feel that the the little form concept only served to dupe me into feeling secure and keep me under their thumb. It's not much more than another "out" for them to deny a claim if all the little forms aren't in their file. They control the filing. No receipts are given to document that they received the forms.

I would obviously hesitate to purchase an aftermarket warranty again. Perhaps this GM Major guard plan is more credible.

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I have the Cadillac Certified Pre Owned Warranty. Zero deductible, extends the original FACTORY warranty to six years, 100,000 miles.

I have made claims against this warranty with zero hassles.

2003 Seville STS 43k miles with the Bose Sound, Navigation System, HID Headlamps, and MagneRide

1993 DeVille. Looks great inside and out! 298k miles!

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My experience with an aftermarket was negative.

Very similar to the other poster... it was suppose dto be real easy, but it was nothing but a pain.

Someone told me to "make sure it's cancellable", and that was the best piece of advice I got....

If it turns out to be a real headache, you can cancel it, and get a pro-rated refund of the unused portion of the money you paid...

Oddly, this company that was such a pain on repairs processed my cancellation just like that, no questions, had a check in my mailbox 2 days after I hung up the phone....

If I ever do another one, it will be a Certified Preowned deal from the factory....

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I actually bought my car from a DaimlerChysler dealer which came with a DC bumper to bumper protection up to 100k or 9/2010. ( Who would trade in their Caddy for a Chrysler anyway :P ? )

The only drawback to this coverage is if I take the car for service to anyother center than their dealerships. That drawback would be a delay of payment, not approval, for when repairs are completed. Usually 1 day at that.

I just had a $1,400 job done last December with no hiccups what-so-ever. I kinda lucked out with this coverage being thrown in at purchase.

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Hi, I also have an aftermarket warrantee. They all suck. Wynn's Extended care is the one I have.

They don't cover northstar engines like a GM or OEM warrantee would. The aftermarket guys almost NEVER approve timeserts because timeserts are very touchy about how they are installed. If done wrong, they're on the hook for another block.. OR as in my case.. they refused to cover them, so I did them out of my own pocket and they stuck a knife in my dealer who was on the hook for the failed repair.

That's a bad situation.. because the dealer is used to GM aftermarket warrantees that don't ask questions. My dealer essentially told me "I'll give you a new block at cost, or you can sue.. enjoy"

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My experience with an aftermarket warranty has been negative. I paid $1600 for the top of the line package because it had special coverage for electronics.

The a/c fan speed control resistor pack has failed 4 times and they won't cover it because they say it is not electronic. The wipers decided to park in the up position and they wouldn't cover it saying it only needed adjustment. They won't cover diagnostic charges either, so how does one prove that their "adjustment" theory is true or false without being out of pocket to tear the assy apart and diagnose the problem ? They have got you both ways. Not exactly worry-free motoring.

When I bought the package from the dealer he said that he has had little trouble with the company and that he has a good relationship with the reps. Well my first claim was the wipers as mentioned above, and after 2 - 3 days of going back and forth, the company rejected it. The dealer then simply said "there is nothing we can do but we can have a look at it for you"......meaning of course, that I am at their mercy. So much for the good relationship with the reps. He didn't buy the adjustment theory and wanted to replace the whole wiper motor assy at my cost . He said that they don't repair (adjust ?) such components anymore, they just replace them. It's too labour intensive to take them apart. In other words, the dealer said that he won't even consider performing an adjustment, but he was the one who sold me this package whose company says an adjustment is all that is required.

In another instance the a/c blower failed and was actually replaced by a shop and covered by the company. However later, when we were replacing one of the failed resistor packs ourselves, we noticed that the "new" motor looked a bit rusty. I think I got a used one whereas I was told it was new. I think that games are played between the shops and the company at the car owner's expense. In this case the shop could have won the game by installing a used motor, yet charging the company for a new one, hoping nobody would be the wiser. Or the shop and the company could have colaborated and agreed to put in a used motor to save the company some money, perhaps on a "you scratch my back, I'll scratch yours arrangement," again with me being the looser.

I am obligated by the company to change the oil, filter, have all fluids checked, etc. on a fixed duration/mileage and must have the work done by a shop. I must mail in a little form after it has been filled in and stamped by the shop. When I bought the package I thought that this made sense and protected me to some degree, but now I feel that the the little form concept only served to dupe me into feeling secure and keep me under their thumb. It's not much more than another "out" for them to deny a claim if all the little forms aren't in their file. They control the filing. No receipts are given to document that they received the forms.

I would obviously hesitate to purchase an aftermarket warranty again. Perhaps this GM Major guard plan is more credible.

Oh Boy this is starting to sound Like I wasted a 1000.00 dollars. Thanks

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No, you didn't waste $1000, you wasted, on average about only $600-$700.

As was posted above, the $1000 limits your down side for vehicle repairs. Buy the warranty if you are the nervous type who spends his life worrying about what it will cost to repair your car. But in the long run, most people will be financially WAY better off if they pass on extended warranties.

Of course in my opinion, you are just trading one worry for another, now you have to worry that the warranty company will cover your claim and that it won't go broke... Lots of horror stories.

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Easin' down the highway in a new Cadillac,

I had a fine fox in front, I had three more in the back

ZZTOP, I'm Bad I'm Nationwide

Greg

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I bought an extended warranty that covered the car to 60,000 miles and the drive train to 80,000 miles. The Hughes Aircraft Company (read: subsidiary of General Motors, sponsor of a major credit union in the L.A. area) steered me to this company and I bought the warranty through the credit union. I believe that it was about $1200.

When the car had less than 30,000 miles on it, the service manager where I bought the car asked about an extended warranty policy and I showed it to them. They kept it. They still have it. I left the L.A. area in 2000. But, even if I had the warranty in the glove compartment where it belongs, I never would have had a claim. The head gasket went at about 115,000 miles, and that would have been the first thing eligible.

My recommendation is to get the G.M. warranty if you want an extended warranty, because it's really as good a deal as anyone offers, and you and your dealer know what you are getting and dealing with, should you ever need to make a claim.

And, remember, a warranty is an insurance policy, and its purpose is to limit your risk at the cost of providing profits to the seller of the protection, on the average. If you can afford an engine or transmission, you are ahead, on the average, to absorb the risk yourself.

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Both my Caddy and truck are near the end of their factory

warranties.................

After getting screwed by a aftermarket warranty company years

back only a mfr. backed warranty is advisable........................

The Black GM dealer http://www.gmoutlet.com indeed has the best GMPP

prices anywhere for any GM vehicle.

Whats funny is the price difference between a Majorguard plan for my

truck $700.........Caddy $2,800 for a 3/36 plan........................geo

93 DeVille-13 Chevy Impala

72 GTO - 77 Triumph Bonneville

84 Z-28

Syracuse NY

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Have usually bought used cars out of warantee. (2/3 yrs old) I have kept them for 6+ yrs. and have never bought a warantee.

This Cad. (head gasket) is the only one, in 30 yrs., that has hit me w/a major repair bill. And that was at 110,000 or so. So it would have been out of any extended warantee anyway.

However, since I sell insurance for a living my sugestion is to buy as much as you can. No matter ...it's a gamble.

"Do you feel lucky.....?" (Dirty Harry)

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