Advice on Extended Warranty?

[volkl]

The 36mo/36k factory warranty on my '03 Explorer expires in about two weeks. I'm considering a Ford Extended Warranty that would take it out to 84mo/60k miles. Truck has 24k miles on it today. The cost is ~$950 for basic powertrain coverage. I tow a 4200lb boat (~6000lbs total) maybe a dozen times a year, 15 miles per trip. What does a new transmission typically cost? Is the warranty a smart statistical bet given that I tow on occasion? I do not go offroading and will not until the vehicle has at least 100k miles. Vehicle is driven very gently since I have a sports car for aggressive driving. Thanks for the input.

 

[Rick]

If you decide to check out warranties please check this thread: http://www.explorerforum.com/forums/showthread.php?t=159178

If you get a a quote from them it will help support the site. There are no strings attached, no emails, phone calls etc.

Thanks

 

[Mbrooks420]

I always buy the extended warranty on anything worth 4k or more, and especially on Explorers. I put several thousands of dollars worth of repairs on my first warranty. On my current one which is up in December has just been used for 4 balljoints, and a rear wiper motor. It'll be going into the shop before the warranty is up and getting something fixed, I'm sure.

 

[RocketFoot]

The 36mo/36k factory warranty on my '03 Explorer expires in about two weeks. I'm considering a Ford Extended Warranty that would take it out to 84mo/60k miles. Truck has 24k miles on it today. The cost is ~$950 for basic powertrain coverage. I tow a 4200lb boat (~6000lbs total) maybe a dozen times a year, 15 miles per trip. What does a new transmission typically cost? Is the warranty a smart statistical bet given that I tow on occasion? I do not go offroading and will not until the vehicle has at least 100k miles. Vehicle is driven very gently since I have a sports car for aggressive driving. Thanks for the input.

Your in the same boat as me...I bought my 03 with 22K on it and the factory warranty ready to expire. So they talked me into a factory extension until 2009 or 75K. It was $999 more but the added it into my monthly payment for around $15 per month extra. I thought it is worth it for the extra coverage! (I already had it in for a rear wheel ABS sensor replacement!)

I say do it!!

 

[rizzjc]

If extended warranties were worth it, then they wouldn't sell them, because they wouldn't make any money on them. There are HUGE profits on those types of things. On the flip side, a lot of people feel they are worth it for the peace of mind.

 

[Old As Dirt]

With most things (electronics, etc.) I would agree with rizzjc. With a vehicle however, the cost of the warranty is about the same as one A/C compressor job. Well worth the cost - yeah, you got it ..... peace of mind!

 

[Rick]

We're looking for a used econo car for Char's commute. An extended warranty is on the top of our list of must haves.

 

[ffdemoss]

I buy it on anything with an automatic.

 

[volkl]

If you decide to check out warranties please check this thread: http://www.explorerforum.com/forums/showthread.php?t=159178

If you get a a quote from them it will help support the site. There are no strings attached, no emails, phone calls etc.

Thanks

Thanks. I only see links for car insurance here.

 

[Rick]

Oops... we have a warranty sponsor also. I guess I gave you the wrong link.

Here's the right link: http://www.warranties4wheels.com/ The code for Explorerforum is 4242. Thanks!

 

[volkl]

If extended warranties were worth it, then they wouldn't sell them, because they wouldn't make any money on them. There are HUGE profits on those types of things. On the flip side, a lot of people feel they are worth it for the peace of mind.

Well yes, obviously they have to pay out less on average than the warranty cost. As someone who tows 6,000lbs, I'm not an average user. Were it not for towing, I'd more than likely skip an extended warranty.

I should have probably also mentioned that I have the V8 model with AWD. And that, when it's really cold (both ambient temperature and engine temp), the transmission lunges every once in awhile (once every few weeks) during stops. Not sure if anyone else has experienced this, perhaps I'll start a new thread on it.

From the other feedback here, it sounds like it could easily pay for itself with a single repair. Thanks.

 

[Mbrooks420]

On a high use 4x4 vehicle they can easily pay for themselves. On my first warranty I had 2 transmission rebuilds, 8 ball joints, 2 steering racks, and a few other misc. front end parts. Right after the warranty expired I broke a flexplate, and dropped another transmission. Then I traded it for the green machine, which has been very reliable, olny needing 4 ball joints, a battery , and a muffler.

 

[Mbrooks420]

I don't know what companies you are loking at but I had good luck with Guardian. They never disputed a claim, or wanted me to use shady parts. That was a 36k and I think I paid around 800 for it. That was certainly cost effective. The second company I dealt with is C.A.R.S. They were a little cheap with what parts they wanted me to use, but combine repairs on a single $100 deductible, and they cover a lot of electronic motors and such that the other companies didn't. I think this one was 650-700 and is for 3 years unlimited mileage. I have few more months, and am planning on at least tie rod ends, and a full inspection of anything mechanical that is covered by the warranty. At the very least I'll break even, and if I didn't not worrying about repairs is far worth it.

 

[jacek82]

I would buy it the 3rd gen Explorer are known for having trans, rear dif, and the rear a/c lines rusting out. I would get the premium care it covers almost everything.

 

[jrford]

I have the same thing V8 AWD in an '04 with about a year to go on the factory Warr.
I would get no less the Powertrain. Read a lot about Transmission problems, one problem with AWD failing at 30k in a 3rd gen but I think they can go from 50k and up as failing to rotate your tires can kill AWD. Either repair is well over 1k. I'd be sure Towing dosn't void the Warranty. Let me know what you go with, i'll be doing the same too in a year or so.

 

[rizzjc]

I'm not very mechanical and I replaced my transfer case for under $300. It lasted for 125k miles, long past any extended warranty. Dealer wanted $2500. Sure, it's safe to say that if you need a new tranny, a new engine, a new transfer case, or something else BIG then the warranty will probably pay for itself, but the odds are REAL low. That's all. Statistically extended warranties are a waste of money. That's a fact. Whether or not someone decides they want that peace of mind is why there is a market for them at all ... just like any INSURANCE. Think of how many single people get roped into the life insurance policy when they buy a new car. You're dead, why the hell do you give a rat's *ss if the bank gets paid back?!

 

[Mbrooks420]

Statistically Explorers are also high maintenance. There are several weak links, and downright underengineered parts.

 

[CaptainObvious]

I bought the Ford Warranty. I was one of those that got hosed by Warranty Gold 3-4 years ago. Since then I'll only buy Factory Warranties. If the OEM goes under I've got bigger problems then the warranty. Plus ANY Ford Dealer will take it. If I'm in BFE and the Exploder chucks a widget, I can relax because the local Ford Dealer will take care of it.

 

[volkl]

I have the same thing V8 AWD in an '04 with about a year to go on the factory Warr.
I would get no less the Powertrain. Read a lot about Transmission problems, one problem with AWD failing at 30k in a 3rd gen but I think they can go from 50k and up as failing to rotate your tires can kill AWD. Either repair is well over 1k. I'd be sure Towing dosn't void the Warranty. Let me know what you go with, i'll be doing the same too in a year or so.

So I bought the Base Care 7yr/60k mi warranty today for $1220. $50 deductible. Covers engine, tranny, brakes, steering, suspension, A/C, electrical, and probably something else I'm forgetting. I only have 24k miles on the clock so essentially I should be covered for the next four years. I got a parts quote for a complete rebuilt tranny at $2300 + another $1100 to install. With the amount of strain towing puts on a tranny and all the stories about early tranny failure, I figure it's good insurance. Bought direct from the local Ford dealership. Too much room for finger-pointing and hoop jumping with third party warranties. Thanks again for everyone's feedback.

 

[lechip]

Will the Ford dealer sell you the warranty on a vehicle that you purchased elsewhere?
I have an 03 Mountaineer with 30K on it.