Extended warranty

[sewmom6]

Buying a used unit- any suggestions on good extended warranty companies?

[Ranger Smith]

I don't know of any. Every time I had one it was useless. Used every excuse in the book for not paying. Like . . . Not maintained properly, corrosion, etc. If it is covered they will usually only pay a reduced rate and you are stuck for the balance.


Last rig we purchased the dealer (La Mesa) wanted to put an extended warranty on for 23,000 (not a typo). I asked him if he was crazy. They kept trying to insist. I told them when I pick up the unit it better NOT be on there . . . it wasn't.

[rk911]

agree with Ranger Smith. use whatever cash you were going to spend on the insurance and start a maintenance/repair fund at your bank. add $X to that fund each month and you'll likely be far ahead in the end.

[BobC]

I agree, if you can't afford to self insure, you maybe should re-consider your decision to buy. A pre-purchase, independent inspection, both "house" and "truck", with the emphasis on inspection at a good shop used to your chosen rig's chassis. You don't want to be surprised with significant transmission and/or engine work which can be catastrophic. Most house systems are relatively easy to replace for significantly less than a new transmission. Not that refrigerators and air conditioners aren't expensive, it's just that they won't break the bank. A bad engine or transmission is grounds for rejection.

[GaHoosier]

Originally Posted by sewmom6

Buying a used unit- any suggestions on good extended warranty companies?

We bought Pro Trek which is brokered by Wholesale Warranty with our 2014 Itasca Suncruiser. You will need to call to find out about used Motorhomes. We bought our Itasca new and have recouped the cost of the warranty at least three times over. I never had a problem with their service. A repair facility in Chesapeake, VA told me Pro Trek was a pleasure to work with, and they pay quickly with no haggling over definitions of coverage. The contract is written in clear language easily understood. They paid to replace both the Cable TV and Satellite cables front to rear, water heater electrical controller, the 30-foot wall slide tracks that had cracked then 6 months later they paid to upgrade the same wall slide system, tracks, motors and digital controller.
I have a $100 deductible and I pay any necessary nuts bolts or miscellaneous hardware not included in parts kits for example. Shop supplies. They have paid over $10K in repairs for us since September 2014. All the best.

[Kayak73]

Last rig we bought from Wholesale Warranties as well, ProTrek. It paid for itself several times over, both in dollars and peace of mind.


Went back to Wholesale Warranties again when we picked up the new View. They now have an inhouse policy which is far better. I hope we don't need it but it made wife happy.


The other thing is age. We started out on the RV journey 20 years ago and I can assure you my ability to repair things has not diminished nor my desire to do so but the body is not able to perform the tasks many times. For example I no longer get on the roof, crawling around under the thing is not fun now and I'm just not as agile. Prior to the last rig I was always in the group that said "put your money in the bank" and self-insure. I'm on the other side of that discussion now. It all depends on your ability to do work, desire to do work, knowledge of the systems and peace of mind. It also depends a lot on the service policy you buy and from whom you buy it. Just keep that in mind as you decide because you will always hear the "put your money in the bank" side and wonder. At my age it keeps the wife happy knowing we have the service policy and I am smart enough to realize there are just too many things I can not do any more. It is a gamble the "extended warranty" companies win most of the time. If they did not win they would not be there. If you are comfortable with self insure mode - do it. The thing is today costs have really sky rocketed, labor rates get up over $150/hr in some places. Mention that because you want to be sure any policy you purchase does not limit labor to some ridiculous stupid low rate - important. You will need to maintain perfect records of maintenance on the engine and chassis as well, follow all recommended guidelines in the owners manual and get the maintenance done.
There is always the question of how much money in your personal repair fund is enough. My guess is start at around 25% of the cost of the unit new. Consider it a savings account and add to it. If you drop the tranny or blow the engine that might get it done unless it is a DP, then the engine replacement involves a lot more like the rear end cap removal.

[BobC]

Another approach to this is to purchase an extended warranty from a reputable company for a relatively short period of time in order to cover yourself for an existing problem missed during the purchase process. Consider a relatively high deductible with good coverage thereafter.

Had you purchased a new rig, would you have considered an extended warranty to carry you past five years? If not, and you're buying a five year or older rig, you probably don't need an extended warranty other than to cover the "mystery period" as I described above.

[GaHoosier]

Great point about agility Kayak �� The Itasca is our first MH making peace of mind a major factor. When we learned what the hourly RV repair rate was, my wife seen me as a fiancial genius �� When you are 100 miles from nowhere, its nice to have someone a phone call away who has a list of reputable service companies to choose from. They also pay motel, food and transportation costs due to trip interruptions necessary to get authorized repairs. Yes I have recouped every penny of the warranty cost several times over and still have three years or about 50K miles remaining.

[BobC]

And for every GaHoosier who's recouped his expense several times over, as with any insurance policy, there are many others who will never come close to recouping their cost. That's the nature of insurance, the warranty companies have done the math and will come out ahead or go out of business. Therefore, when you purchase an extended warranty don't do so with the expectation that you're going to come out ahead financially. Statistically, you won't.

If piece of mind is worth the premium price, go ahead and purchase the warranty.

If your cash flow situation can't handle an unexpected two or three thousand dollar repair, go ahead purchase the warranty.

If you're purchasing a used coach and strongly suspect there's a major issue lurking, go ahead and purchase the warranty. But make sure the coverage is going to be adequate before you buy.

With respect to trip interruption expenses, etc., don't forget that many emergency road service/towing policies include some level of coverage for such expenses. These are also "insurance" policies and you can't expect to come out ahead, but they're much less expensive than extended warranties. I suspect that most of us have one or possibly more of these.

If you're a DIYer like me and can fix most "house" problems (which generally aren't catastrophic anyway), consider something that only covers the "truck" portion of your motorhome. I don't know anything specific about it one way or the other but I see that Good Sam (and I presume others) sells mechanical breakdown insurance (again, don't plan on coming out ahead financially).

[GaHoosier]

sewmom6 asked for suggestions for a good extended warranty. I am only sharing my experience, not insisting anyone purchase a warranty. That is a personal decision. Thanks.

[BobC]

Originally Posted by GaHoosier

sewmom6 asked for suggestions for a good extended warranty. I am only sharing my experience, not insisting anyone purchase a warranty. That is a personal decision. Thanks.

I hope you didn't take my response as critical of your contribution, it wasn't intended as such.

I'm not trying to convince anyone not to purchase an extended warranty, I'm just trying to put things in perspective. Not only is it a personal decision but it's also a financial one.

In my own life, I like to have as complete an understanding as possible before investing in any financial product. I'm just sharing my perspectives and understanding. Sewmom6 may have already made the decision to purchase an extended warranty and considered all the variables, but others reading this thread may not have done so.

I carry collision and comprehensive insurance on my vehicles (including my motorhome), homeowners insurance on my house even though it's paid off, etc. At least some of my collision insurance isn't financially justifiable but I carry it anyway. Why? I just feel better about having it.

Purchasing insurance (that's what an extended warranty is) can be a very rational decision, if it's done for the right reasons at the right price with the right company.

[Teamfoxy]

We carry roadside assistance, but not an extended warranty. I do my own maintenance and most repairs as its usually faster and more convenient than finding a shop in a remote or unknown area. Parts through Amazon are pretty inexpensive and you can get them sent almost anywhere within two days.
But if you cannot troubleshoot and fix things yourself, you maybe should consider an extended warranty because there will be a string of little items that will crop up. It is just the nature of owning a complex collection of equipment that gets jarred and shaken over rough roads.

[sajohnson]

Originally Posted by Ranger Smith

I don't know of any. Every time I had one it was useless. Used every excuse in the book for not paying. Like . . . Not maintained properly, corrosion, etc. If it is covered they will usually only pay a reduced rate and you are stuck for the balance.


Last rig we purchased the dealer (La Mesa) wanted to put an extended warranty on for 23,000 (not a typo). I asked him if he was crazy. They kept trying to insist. I told them when I pick up the unit it better NOT be on there . . . it wasn't.

$23,000? $23,000?!!

Holy monster rip-off Batman!

That's gotta be some kind of world record. Just the fact that they would try to pull that off should be enough for the state AG to investigate them.

I agree 100% with your description of extended warranties.

[Chiefig]

Everyone has a reason for their post. Don't go with Wholesale Warranties, they will nickel and dime the RV repair company for the smallest thing. They would not pay 30 min of labor to clean up the mess a blown wheel caused.

[rhodesaz]

I'm third owner of 2013 Itasca. We paid $2472.00 for a 2 year bumper to bumper from Corner Stone. Used it twice, so far. Replace RR leveler and refrigerator coil. Used both dealer and mobile repair. We pay $100 deduction only (after approval). I bought it for peace of mind. I too can no longer do the agile repair work, that is needed. I may continue to put $100 each month away for repairs.

[Ranger Smith]

Originally Posted by sajohnson

$23,000? $23,000?!!

Holy monster rip-off Batman!

That's gotta be some kind of world record. Just the fact that they would try to pull that off should be enough for the state AG to investigate them.

I agree 100% with your description of extended warranties.

YUP . . . I still have the original paperwork with it on it in the file in the RV. They wanted an extra $3600 bucks for an exterior and interior coating of some kind. He said the banks like to see that and he could put it in the financing. What do you think that would cost me after 15 years at 6%. When we said NO he asked if we were a member of SAMS Club because we could get the warranty for 15 k and not 23k . . . I said what the hell you been drinking or smoking today. He said that was a good deal . . .Yea for him maybe.

[sajohnson]

Originally Posted by Kayak73

Last rig we bought from Wholesale Warranties as well, ProTrek. It paid for itself several times over, both in dollars and peace of mind.


Went back to Wholesale Warranties again when we picked up the new View. They now have an inhouse policy which is far better. I hope we don't need it but it made wife happy.


The other thing is age. We started out on the RV journey 20 years ago and I can assure you my ability to repair things has not diminished nor my desire to do so but the body is not able to perform the tasks many times. For example I no longer get on the roof, crawling around under the thing is not fun now and I'm just not as agile. Prior to the last rig I was always in the group that said "put your money in the bank" and self-insure. I'm on the other side of that discussion now. It all depends on your ability to do work, desire to do work, knowledge of the systems and peace of mind. It also depends a lot on the service policy you buy and from whom you buy it. Just keep that in mind as you decide because you will always hear the "put your money in the bank" side and wonder. At my age it keeps the wife happy knowing we have the service policy and I am smart enough to realize there are just too many things I can not do any more. It is a gamble the "extended warranty" companies win most of the time. If they did not win they would not be there. If you are comfortable with self insure mode - do it. The thing is today costs have really sky rocketed, labor rates get up over $150/hr in some places. Mention that because you want to be sure any policy you purchase does not limit labor to some ridiculous stupid low rate - important. You will need to maintain perfect records of maintenance on the engine and chassis as well, follow all recommended guidelines in the owners manual and get the maintenance done.
There is always the question of how much money in your personal repair fund is enough. My guess is start at around 25% of the cost of the unit new. Consider it a savings account and add to it. If you drop the tranny or blow the engine that might get it done unless it is a DP, then the engine replacement involves a lot more like the rear end cap removal.

Very good point about people changing over time -- both in physical ability and desire/motivation to do certain jobs.

Just to add to what you posted, I'd suggest that an owner's lack of DIY ability is not a reason to get an extended warranty. The inverse *is* true of course -- those who have the DIY skills and ability can save a ton of money by avoiding both repair shops and extended warranties.

If the owner cannot (or does not) want to do the work, it is going to be done by someone else, but it does not follow that a warranty is therefore necessary. However expensive parts and labor may be, the underwriter is fully aware of those costs and charges accordingly. "The house always wins" in the long run.

As you and others have mentioned, any extended warranty or insurance is betting against the house. It's great that your previous policy paid off, but of course the vast majority do not. A few people get lucky, but most would be better off being self insured.

When reading threads like this, extended warranties may seem like a great deal, a 'no-brainer', because the small minority of people who are "winners" naturally want to tell their story (I would too!) and most of the much larger group of "losers" stay quiet.

That's not to say that no one should ever purchase an extended warranty -- just that they should be very cautious and go into it with their eyes wide open, fully expecting that it will almost certainly not 'pay off'.

I've heard people say that an extended warranty gives them peace of mind because it establishes a fairly hard limit on how much they will have to shell out for repairs. Nothing wrong with that -- the main thing is that people realize that most of the time the warranties cost more than they pay out.

[jlb27537]

First, there is no such thing as buying a extended warranty. You are buying a SERVICE CONTRACT that covers certain listed parts.

The finance guy will say do you want the extra warranty or such, but, you are buying a service contract. EVERYTHING IS NOT COVERED......

Guess I was in the car business for too many years and had to explain this too many times.

[BobC]

I think "insurance policy" might be more accurate than calling it a service contract. In my mind, a service contract would have some degree of coverage for routine, preventative maintenance. Regardless of what you call it, there are those who wouldn't be without one and those, like me, who don't think they're a good deal.

Hopefully those who are on the fence will read the opinions and facts presented in this thread and make a rational decision. I just hope they don't confuse opinions with facts. the most pertinent fact being that warranty prices are based on actuarial estimates of potential losses vs. price to ensure the warranty company will earn a profit.

I just did some Googling regarding the economics of extended RV warranties and most of the hits were thinly veiled marketing ads or seemingly helpful "articles" that, although they warn against the pitfalls of bad warranties, pretty much advise on how to buy one, giving little advice on whether they make sense.

The balance are mostly threads like this on various RV forums. The only exceptions I saw were a couple of articles by consumer organizations (Consumer Reports and Consumers Digest) which address extended warranties in general.

[Rossi6998]

Originally Posted by sewmom6

Buying a used unit- any suggestions on good extended warranty companies?

I like Protective's Xtraride. I bought this warranty (service contract) when I bought the motorhome new. Now five years old, I repurchased Protective's Xtraride service contract (five years, no mileage limit, $100 deductible) through Eagle Vision RV. They are a seller of service contracts and have a couple different plans to offer. Recommend you ask for Billy Lewis (229-329-7099). He was straight forward with me and saved me quite a bit of money over my Dealership quote.

As indicted in some of the other posts above, many believe service contracts are a waste of money and you should put the money away for when you need it for repairs. Personally, I like having a service contract. Many people are not disciplined enough to put several thousand away for an RV repair. My theory is you pay now or you pay later, either way, you are going to pay if you own an RV for any length of time. Just read all of the posts within this forum of the various things that break (air conditioning, refrigerator, slide out, leveling jacks, inverter, electric steps, etc) than factor in the current labor rate in the neighborhood of probably $125 an hour.

With my motorhome already being five years old, purchasing a service contract gives me piece of mind knowing it will handle just about anything major for another five years.

Good luck with your decision.