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Old 01-26-2023, 07:11 PM   #1
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Extended warranty...? Yay or Nay or does it depend?

Hey all
First thanks for all the great responses to my newbie questions thus far.

Tomorrow, we go in to do the PDI and sign the paperwork on a used 2018 Vista 29VE. I know there will be some arm twisting by the finance guy to buy an extended warranty. Most of the advice I've heard over the years says don't buy an extended warranty from the dealer, but that advice was about cars not RVs.

So, are extended warranties worth it? Is buying from the dealer a bad idea? Are there consumer warranties that we should look at to buy on our own rather than through the dealer? Any thoughts you have here appreciated.

Thanks,
Beth and Scott
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Old 01-26-2023, 09:54 PM   #2
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I do not recommend an Extended Service Contract for a towable RV. For a MH I do recommend an ESC, but only after the factory warranty has expired, as there are so many complicated electronice in/on a MH.

We bought an ESC from Camping World, but paid cash for it. I would never wrap the cost of an ESC into a MH loan, as it makes the total cost of an ESC quite unreeasonable IMO.
Ours was special circumstances. The MH had been parked in a barn for 8 years, so it was natural to assume many items would not work. We were right, during the 3-yr contract term it more than paid for itself, including deductibles and diagnostic charges, which BTW an ESC does not pay, regardless of results.


You are actually buying a contract, not much different than a health insurance contract for you. If you do not follow the clauses in the fine print, a claim may be denied.
The two most recommended ESC sellers are wholesalewarranties.com and Camping World. wholesalewarranties.com is an independent agent who represents several different companies. CW has one ESC company that underwrites their contracts.
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Old 01-27-2023, 03:12 AM   #3
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In the past I have had the Good Sam Extended Warranty. I used it a couple of times with no complaints. I had to have front end work done and the warranty covered it all. When I purchased my 07 I looked into it but the age of the coach made the cost of the warranty way to much.

My self I feel Good Sam Extended Warranty is a good plan. One key issue make sure the plan you get will let you use ANY place to get the work done, GS does that. Like any type of warranty/insurance read it over, for me pay more detail to the whats not covered part as those parts seem to always the ones that fail.

Folks will say that the warranties are not worth it, take the monthly premium put it in the bank to use when things happen. Thats a greaat idea if one can do that.

Good Luck
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Old 01-27-2023, 05:28 AM   #4
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Folks will say that the warranties are not worth it, take the monthly premium put it in the bank to use when things happen. Thats a great idea if one can do that. Good Luck
Oh, yah, that budgeting thing I better get the warranty! Thanks for sharing your thoughts.
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Old 01-27-2023, 05:33 AM   #5
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We bought an ESC from Camping World, but paid cash for it. I would never wrap the cost of an ESC into a MH loan
Great point!

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Originally Posted by Ray,IN View Post
The two most recommended ESC sellers are wholesalewarranties.com and Camping World. wholesalewarranties.com is an independent agent who represents several different companies. CW has one ESC company that underwrites their contracts.
Appreciate the recommendations. Assuming the CW ESC is through GoodSam, which also got a reco here.
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Old 01-27-2023, 09:33 AM   #6
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I agree that once in the dealership to sign the papers that the F&I people will do all they can to take as much money in return for as little value as they can. And what you’ve heard about car dealerships is exactly the same about RV dealerships. My advice is to just say no to everything offered. And double check the figures on the sales paperwork. A number of dealers have been found to add numbers incorrectly in their favor… aka fraudulently.

Buying anything this large and seemingly complicated is scary. I know I worried about this when I bought my motorhome brand new. Ultimately I didn’t buy a warranty and I’m glad I did not. Not buying one has saved me at least $3000 over the almost 6-yrs I have owned mine.

The Ford F53 chassis is very reliable. They can breakdown like any drivetrain, but they are known for their reliability more than their breakdowns. The parts of the house that are problematic are the A/C units, the slides and the roof. Of those only the roof is a major expense in the many thousands of dollars. But you find that in just about all cases an ESC won’t cover roof issues. Most other issues are small costs under $500-$1000. And your ESC deductible will pay for half of those.

Best of luck with your new purchase.
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Old 01-28-2023, 11:17 AM   #7
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The most extreme instance of not purchasing an ESC, was several years ago on irv2.com. A man bought a MH with a Cummins ISX 650HP engine. The engine self-destructed 2X, each repair was over $30K, of which Cummins only paid $10K, the rest ~$50K, fell to the owner to pay, He did not have an ESC.
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Old 01-28-2023, 12:53 PM   #8
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Your question might as well read....

Gambling in the casino...? Yay or Nay or does it depend?


The 45% that have ever won anything no matter how small, will swear and preach the holy name of gambling and say Yay.

The 55% that have lost in the past, or know what the numbers say will say Nay.

Those that tend to make excuses to rationalize what they want to do regardless of the material facts will say it depends.

With that said, I can only tell you what I did and why. I am a numbers guy, but I also have a strong basic belief that if you are convinced a warranty is required, do not buy the product. I always chuckle when I read if you can afford to NOT buy an Extended Warranty But I guess it is same logic as those that buy stuff and pay 20% plus interest rates because the belief is that they can't afford it unless they may more for it

When we closed on our RV, they wanted something like $6,000 for ESP? I forgot the number, because I never seriously looked at the offer. What I did do is put aside $1,500 every year JUST for EXTENDED WARRANTY QUALIFIED REPAIRS. NOT RV Repairs. It is huge difference. At the end of the year, I used what was left of the $1,500 to buy stuff I wanted for the RV.

It has been 3 years and I have had $4,375 surplus to buy stuff I wanted. What did I buy with that money? I am glad you asked...

1. Safe T Plus
2. Sumo Springs
3. Chassis Disconnect Switch
4. EC-30 AGS
5. 125 AH AGM Batteries ( two)
6. Mod for light dimmer switches in the coach
7. Mod to connect Main fridge to Inverter circuit
8. Wireless Steering Wheel remote
9. 40" Samsung TV (Wifi & Bluetooth
10. Visio Sound Bar
11. Catalytic Converter theft system with Cateye Alarm

I get another $1,500 this year ( 1st purchase out of that will new AGM Chassis battery and possibly those Snap Pads for levelers)

The only thing that I have ever paid for that I believe if I had an extended warranty was the $125 charge by dealer because they could not find an electrical issue that was making my Kwikee step work erratic. It may be a push, because the extended warranty may have had a deductible anyway? As fate would have it, I ended up fixing the Kwikee steps on my on. It was a WBGO wiring issue, nothing to do with Kwikee.

Good luck with the RV & Congratulations.
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Old 01-28-2023, 01:11 PM   #9
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Originally Posted by Ray,IN View Post
The most extreme instance of not purchasing an ESC, was several years ago on irv2.com. A man bought a MH with a Cummins ISX 650HP engine. The engine self-destructed 2X, each repair was over $30K, of which Cummins only paid $10K, the rest ~$50K, fell to the owner to pay, He did not have an ESC.
I would love to be fly on the wall if that owner had a ESP and tried filing that claim to have Cummins engine repaired twice for $39k each? But anyhow, you can't win the millions of dollars on lottery if you don't buy the tickets. A real legit big claim is good business for ESP companies and you can be sure they market that.
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Old 01-28-2023, 02:32 PM   #10
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If you buy life insurance in your 30ís you are betting that you could die early in life. The insurance company takes that bet because they know the olds are low you will die young. If you carry that insurance into your 70ís they will charge vastly more per year because the odds of you dying after 70 increase every year.

Itís sort of the same with an RC ESC. Itís a bet. If you win the bet thatís good for you. Or is it? That means you have had a lot of expensive repairs. The ESC insurance company takes that bet because they know the risk youíll need to replace an engine or similar expensive item is very low. Plus, unlike most life insurance the ESC seller puts obstacles in the way of paying on a claim. Contracts with lots of conditions and rules about your responsibility to qualify for repairs are all designed to limit the amount they have to pay out.

They are not dumb. If they had any idea that accepting your ESC contract was going to lose them money they would not sell you that contract.
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Old 01-29-2023, 07:44 AM   #11
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My wife and I recently purchased an ESC with Good Sam. Make no mistake. It's a gamble. Risk vs Reward.

I like the idea of setting aside money just in case things break down but if not enough is saved then you're hosed. This obviously depends on whether the unit purchased is new or not. If it's brand new then saving over the course of a year during the length of the manufacture warranty could shore up any future expensive issues once said warranty expires. In my case we bought used so we decided on the ESC. The warranty on the unit was expired. So that would mean I would have to save monthly for any repairs. If those repairs came prior to saving enough then I'd have to find a way to pay for the repairs out of pocket. In the long run we may win. We may lose. Again, it's a gamble.

The biggest thing that I've found if you decide to buy an ESC is not to ask what it covers. Ask what it does NOT cover. What you'll find is that the big ticket items are covered such as reefer, water heater, furnace, etc. The smaller items like delamination of casework or anything cosmetic is not covered. I went in thinking all items were covered outside items that wear such as brakes, awning fabric, battery, etc. On a prior ESC on another TT we owned the sofa broke. One of the welds on the rod mesh framework that supported one of the cushions broke to be more specific. I ran it past my ESC and they said no dice. We won't pay for that repair. So, we decided to jerry-rig it with same straps to keep the cushion from sagging when sitting along with stacking some dense blankets underneath taking up valuable storage. It was that or purchase a replacement sofa which was running about $800 at the time and I can't remember if that included installation costs.

That said, the big problem will be the finance person knowing what's covered and what is not. They sell the ESC. They don't own it. The ESC will be an outside entity. So, often times they simply do not know the ins and outs of the policy. Ask to see the policy from the entity you plan to purchase from. This will clearly lay out what is covered and what is not. FWIW
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Old 01-29-2023, 08:53 AM   #12
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My wife and I recently purchased an ESC with Good Sam. Make no mistake. It's a gamble. Risk vs Reward.

I like the idea of setting aside money just in case things break down but if not enough is saved then you're hosed. This obviously depends on whether the unit purchased is new or not. If it's brand new then saving over the course of a year during the length of the manufacture warranty could shore up any future expensive issues once said warranty expires. In my case we bought used so we decided on the ESC. The warranty on the unit was expired. So that would mean I would have to save monthly for any repairs. If those repairs came prior to saving enough then I'd have to find a way to pay for the repairs out of pocket. In the long run we may win. We may lose. Again, it's a gamble.

Whats Not covered is right, but most don't get that choice. I had Chaparral Signature 29 Boat that I bought used although it was only 1 year old. The previous owner had bought a 7 year warranty. I paid like $100 to transfer ownership. They charged $100 for any claim I wished to process and over the course of the warranty everything I submitted was DENIED except when the Fridge failed to cool. Denied issues were things like generator, charger, leaks etc.

The Fridge although they did not refuse to fix. They wanted to charge me $600 to have a certified tech come out to the marina to retrieve the fridge and then again later to return. This is fridge that back then may have cost $500 brand new. So I spend a weekend to figure how to get the fridge out myself and take to local authorized service center they provided me. The Center had the fridge for 2 months!!! They then told me it needed a new compressor at $350. I asked ESP to give me $350 because I wanted to buy a new Fridge. They wouldn't; so they paid the service center $250 to get fixed, and I had to pay the other $100 to retrieve and take back to the boat to reinstall.

When I lost the hood latch assembly on my hood that was out of warranty, the WBGO dealer wanted $1,500 to repair, for kicks I learned that it would not be cover by ANY of the ESPs because it was considered a Mfg defect of poor workmanship quality. Even if they had covered it, I did not want it fixed the same way it was because it is a design flaw. They would not have covered the $500 I actually spent to have Mobile Tech redesign.

But we certainly agree. it is It's a gamble. Risk vs Reward.


Note: The $6,000 that I did not pay, I could have just allowed to sit for 3 or 4 years. But if you know about Quality defects & failure, there is something called infant mortality period where most all defects will occur in the early lifecycle of a product. Over time the curve goes the other way. It is called the bathtub curve. It is for that reason, I opted to spend $1,500 of $6,000 every year. There is a quote " More money for your money"

UPDATE:
One other call out, when you stated "any repairs" The normal, reasonable and actual repair cost would need to be tracked separately because they will occur and not be covered by Factory, OEM Mfg or ESP. i.e. Batteries, tires, service of engine, service of generator, leaks, etc. All of which can cost thousands. I estimate about $1,500/car and about $2,500 for RV. Add my $1,500/year not spent on ESP so I actually have $4k/year to spend. So far I am well under that less than 2 years before hitting Year 5. For ESP owners, what happens when you hit the end? Do you sell the RV, buy an even higher ESP plan or do what some have done since day 1? The most dreaded type of high cost defects are most likely to occur as RV is older that is why they depreciate so much.
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Old 01-29-2023, 09:29 AM   #13
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An interesting story about a friend who had an ESC on hie Newmar Essex. The Norcold refrigerator cooling unit failed, he filed a claim and requested a residential refrigerator instead of a direct replacement. Even though the residential unit was about1/5 the cost of a new Norcold, his request was denied, the ESC said the contract called for a direct replacement of the same OEM appliance.
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Old 01-29-2023, 09:39 AM   #14
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Some great feedback, dk. And I am familiar with the infant mortality period although I've never heard it referred to as such. I've relied on this phenomenon when purchasing used automobiles. I typically purchase with mileage between 35-50K miles. More times than not most of the bugs are worked through.

However, I purchased an ESC on my last used vehicle. Glad I did. I came out WAY ahead on that one. WAAAY ahead. If I remember correctly I paid $3K for the ESC. The repairs exceeded that by thousands. So, the infant mortality period did not play out like it typically does in this instance. I gambled and won. That said I don't know that I'll ever purchase another used Jeep Grand Cherokee again. Since the ESC has expired I've spent thousands more fixing repairs. IMO it's a Range Rover in Jeep's clothing.

I think one of the lessons learned here as well is nothing is ever black and white when it comes to ESC's. Ever. If the person trying to sell the ESC says "It covers everything" that is a MAJOR red flag. It does not not cover everything.
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Old 01-29-2023, 10:08 AM   #15
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To be politically correct I will use Startup commissioning, but the point is failures that occur in the early life of product.
Bathtub curve
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I bought new RV from WBGO for almost direct opposite of which most folks recommend.

Their belief is to buy used so issues are resolved (believed to be anyway); so no mfg / oem warranty short a ESP. For new, everything is basically covered for 2 years any way whether you buy ESP or not. So all the money spent is really for years 3 - 5. In 2019, I bought my new 29ve for cheaper than what Used were selling for I later realized that some owners may have been trying to get some of their money back for overpaying, which I guarantee you is something I never do.

Funny thing on Jeep; I once owned a 1991 Jeep Cherokee Laredo 4X4. It had been great, but we had bought a brand new 1998 Ford Expedition Eddie Bauer 4X4. As you might expect, I decided to sell the Jeep on my own versus trade in. I was asking $5k. One potential buyer who was test driving it gunned it really hard on expressway and the engine started to knock. I was with him when he did this. Surprised; he drove it back to the house and did not buy. Chrysler wanted $6,000 for a new engine. Of course I had no warranty and no ESP, so you could say I was hosed.

I tried Rizone to quiet the lifters which helped a little, but I was stuck (hosed real good). The very next day another potential buyer came by to look at it. He said nothing; but did a very thorough check inside and out. Then he asked to drive so off we went. 10 minutes later he drives back to house and says he will buy it

Then he asked me if I knew the engine was knocking Before I got a chance to speak he said to me "not to worry". He was buying the Jeep for his son that was on Golf team at Baylor University to drive back and forth Dallas to Waco. His son was a Jeep nut. He said he had been looking for months to find the cleanest Jeep Cherokee he could, he was then going to put a new engine in it regardless. Quality is fitness for use
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Old 01-30-2023, 06:23 AM   #16
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LOL Great story, dk. We can talk all day about Jeeps. I was warned about them by a coworker and I ignored his advice.
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Old 01-30-2023, 06:24 AM   #17
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An interesting story about a friend who had an ESC on hie Newmar Essex. The Norcold refrigerator cooling unit failed, he filed a claim and requested a residential refrigerator instead of a direct replacement. Even though the residential unit was about1/5 the cost of a new Norcold, his request was denied, the ESC said the contract called for a direct replacement of the same OEM appliance.
Some decision-making in this world just doesn't make any sense whatsoever.
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Old 01-30-2023, 11:11 AM   #18
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Much of the decision will be where we are in life. When I could not buy a good RV, I also could not afford the extended warranty, so went without andlearned to fix most of the RV side myself and never had trouble with the chassis side.
Now that I have far more experience and also can buy better RV, I've been throught the extended warrranty on cars and things that make me never want to go there again.
I would far rather pay a $10,000 dollar repair out of pocket than spend months of worry about how to get them to pay it!
But part of that is a change in finances since I retired. I am about 50% invested in the mutual fund world and now I dailly gain or lose far more than what used to be a years salery, so looking at a gamble of a few thousand dollars is not the worry it used to be.

I fight them for every dollar but that is just an old habit!

I like the saying about life in prison is no longer the threat it used to be!
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Old 01-30-2023, 12:24 PM   #19
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When something fails on my RV I want to be in charge of the repair. I want to pick the repair shop, the troubleshooting steps, the method of repair, the parts used and, as in the fridge example, any upgrade path. Turning over these decisions to some company that doesn’t have my best interest at heart is a non-starter and not worth any amount of covered repairs.
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Old 01-30-2023, 05:29 PM   #20
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An interesting story about a friend who had an ESC on hie Newmar Essex. The Norcold refrigerator cooling unit failed, he filed a claim and requested a residential refrigerator instead of a direct replacement. Even though the residential unit was about1/5 the cost of a new Norcold, his request was denied, the ESC said the contract called for a direct replacement of the same OEM appliance.
Strange, when my traditional insurance companies (auto, rv, homeowners) pay out, they generally cut me a check immediately for their assessment of the damage and tell me to contact them if the repair shop says it will cost more. I'd think the extended warranty companies would be smarter than you describe.

My homeowners and auto insurance is with USAA and my MH is with Progressive via USAA. If you're a veteran, and aren't insured by USAA, check it out. If you've ever been insured by USAA under a parent's policy, I believe you're also eligible.
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