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Re: Extended warrenty for a '95 900S, 53k??
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Posted by AJ [Email] (more from AJ) on Fri, 23 Jan 2004 13:46:13 Share Post by Email
In Reply to: Extended warrenty for a '95 900S, 53k??, Melissa, Fri, 23 Jan 2004 13:33:11
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I have been burnt on used car warrenties before. On a car this old, you will probably be buying a policy provided by a 3rd party as opposed to Saab / GM, even if the policy is being offered by a Saab dealer (maybe I am wrong, but I am basing this on my own experience in the UK). These companies tend to run used car warrenties a bit like insurance companies run with their policies. They are betting that if they sell enough policies / warrenties for $1500 that the combines income from these policies will offset any payouts they make.

The devil is in the detail. Like insurance policies, they will likely exclude pay-outs for certain types of failure. Many policies will exclude failures that result from 'wear and tear'. Problem is, in a '95 model vehicle (even one with mileage as low as 53k), almost any failure (e.g. tranny, water pump, suspension), could be argued as being a result of 'wear and tear'. Often, this will be their standard response to a claim, leaving you with the hassle of trying to prove it isn't 'wear and tear' - a cynic would say that they are betting that most people will give up their claim at this point. Read the details of the policy being offered and if it excludes a significant number of 'wear and tear' items, I would suggest you tread cautiously, or at least adjust your expectations as to how much protection the warrenty is really giving you.

IMHO.

posted by 142.176.134...

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