Extended Warranty?

[Frupal]

I’ve got about ten months left on my factory warranty. I know that I’m going to keep my 640GC for at least two years after that. So I’m thinking of buying an extended warranty. Does anyone have experience/advise about this? I’ve been reading about CarChex. Or should I speak to the dealer? Thanks in advance!

[doggboy]

Extend through a dealer, they have the best warranty by far. Also, they have wiggle room on the cost, so shop around to multiple dealers for the best price.

[Opie55]

I'm one of those who never buys an extended warranty on anything ever. I've yet to regret it. They are a huge profit center for those who sell them. The odds are against you and the house usually wins. If you pay $2,500 and the odds of a $10,000 repair in 2 years are 10%, would you bet $2,500 in Vegas on a 10% shot at winning $10,000? I wouldn't, but you might. I'd put the $2,500 in the bank to pay towards repairs. My last car was a Mercedes convertible that I kept exactly 6 years after the factory warranty expired. Had I paid for an extended warranty for that entire period it would have cost a bundle and the payout for covered repairs in that time would have been exactly $0. As of June I am without a warranty on my 650X convertible. If they tell me tomorrow I need a new transmission I'm still ahead because of all the warranties I've never bought on cars, TVs and toaster ovens. If you are in a financial position that a $10,000 bill is life-changing then maybe consider it, but such a person should probably not own one of these cars. But as a business/financial decision I don't think it makes much sense.

[Derekz4]

Do you have the extra year for CPO?

[Derekz4]

Try contacting this guy at Steve Thomas BMW and say you are a Bimmerpost forum member.

QUOTE
GOLFFRR's Avatar GOLFFRR 05:40 AM 03-08-2018
If you are interested we blow those out for you guys

just call our finance Dir. Jim Martinez give him your vin and your current mileage (make sure to let him know your a forum member) and he can dial you in.

[Frupal]

Originally Posted by Derekz4

Try contacting this guy at Steve Thomas BMW and say you are a Bimmerpost forum member.

QUOTE
GOLFFRR's Avatar GOLFFRR 05:40 AM 03-08-2018
If you are interested we blow those out for you guys

just call our finance Dir. Jim Martinez give him your vin and your current mileage (make sure to let him know your a forum member) and he can dial you in.

Thanks Derek! I’ll check it out, probably closer to the expiration date. I do not have the extra CPO year. Is that extension the same as the factory warranty?

[jdsaengine]

I'm not one to get extended warranties, but I got 3yr "service agreement" after my CPO expired last year on my 2013 650x vert. Its a 3rd party but purchased thru my BMW dealer so I know they will honor it. If I had a 640 I probably would not have bothered, but the 650 seems to have enough iffy history to make me get one. I can afford $10,000 repair, but with a 650 I figure the Vegas house may not be at the advantage on this one so I'm betting something bad will happen.

[Streethound]

Opie55 - I think your math is off a little... If you only plan on keeping the car for a few more years post CPO, it might not be worth the cost. But I just purchased a 84 month 100k mi warranty for $2700. 84 months / $2700 = $32 a month. So for a $1 a day I never have to worry about major repair costs. My experience with BMW's is that while they rarely go bad, when they do they're very expensive to fix. Is a $1 a day worth the relief? To me it is.

[Frupal]

Originally Posted by Derekz4

Try contacting this guy at Steve Thomas BMW and say you are a Bimmerpost forum member.

QUOTE
GOLFFRR's Avatar GOLFFRR 05:40 AM 03-08-2018
If you are interested we blow those out for you guys

just call our finance Dir. Jim Martinez give him your vin and your current mileage (make sure to let him know your a forum member) and he can dial you in.

When I had my ‘troubles’ with the dealer, and they were balking at making a repair that I felt I deserved, the deal went my way after I said something about how ‘the guys on the forum said’. All of a sudden they were like ‘Sure, Mr. Olson, we can take care of that.’ Power in solidarity!

[640ibimmerguy]

Originally Posted by Streethound

Opie55 - I think your math is off a little... If you only plan on keeping the car for a few more years post CPO, it might not be worth the cost. But I just purchased a 84 month 100k mi warranty for $2700. 84 months / $2700 = $32 a month. So for a $1 a day I never have to worry about major repair costs. My experience with BMW's is that while they rarely go bad, when they do they're very expensive to fix. Is a $1 a day worth the relief? To me it is.

Who was the warranty through? I'd be interested in one at that price. What type of coverage was it?

[Opie55]

Originally Posted by Streethound

Opie55 - I think your math is off a little... If you only plan on keeping the car for a few more years post CPO, it might not be worth the cost. But I just purchased a 84 month 100k mi warranty for $2700. 84 months / $2700 = $32 a month. So for a $1 a day I never have to worry about major repair costs. My experience with BMW's is that while they rarely go bad, when they do they're very expensive to fix. Is a $1 a day worth the relief? To me it is.

I never heard of a 7-year warranty on a car like this for $2,700. I imagine you will have people asking you who it is with, what it covers/excludes, what the deductible is, and how they respond when something goes wrong.

[NorthCountryGuy]

Originally Posted by Streethound

Opie55 - I think your math is off a little... If you only plan on keeping the car for a few more years post CPO, it might not be worth the cost. But I just purchased a 84 month 100k mi warranty for $2700. 84 months / $2700 = $32 a month. So for a $1 a day I never have to worry about major repair costs. My experience with BMW's is that while they rarely go bad, when they do they're very expensive to fix. Is a $1 a day worth the relief? To me it is.

Agree.
I paid 4K for same 84 months/100K mile. Policy was about 2800 but I had added coverage for all sensors/cameras, Computer screen, and anything else imaginable on the car. 100.00 deductible. 25K ceiling. This for 1.50 a day. Is actually piece of mind. I paid 4K for the policy on the 650 and 750. Paid a little less than 3K for same policies for the X5’s. Recently my water pump on an X5 went down. 100.00 for thermostat/pump and all else.

Add: and they have roadside assistance as part of the package.

[jackliu0527]

Paid roughly $6000 for mine, forgot it if was 5 or 6 years covers mileages that I would never exceed, I have a N63TU btw

So far the warranty has paid out the following.

1. $23,000 Entire engine replacement (long block which includes head), oil cooler, gaskets, seals, and labour.

2. $8000 for both DME and 8 coils

3. $600 for wheel hub assembly

So to me, fuck yea I sure am glad I have the warranty and def worth it, however its different situation for everyone.

[ezmaass]

An extended warranty is purely a financial decision. You have two choices:

1. Insure through an extended warranty

2. Self insure through your own assets

The choice just comes down to a gamble on which way your fate may go. Opie stated it correctly - the HOUSE usually wins. But it's important to note that the house winning is an aggregate statement, not an individual one. Simply put, they'll lose (and lose big) on some individual agreements, but in aggregate they'll win.

Ask yourself a few questions like - What if I had to pay a $10k or $20k bill tomorrow? Could I do that? Even if I could, would I rather pay $5k today to avoid the potential of that bill? You're essentially just gambling.

Now, if the warranty companies are doing their job the right way, the PREMIUM for your contract should represent more than they expect to pay out on average - after all, they need to make a profit. So, if they're willing to sell you a 3 year warranty for $4k, let's say, then $4k probably represents a high water mark for the average car like yours.

So, from a purely statistical perspective, I'd say it's probably better to self insure. In fact, I've NEVER purchased an extended warranty on any of my BMWs - we'll see if I do with the 650 if I choose to keep it until its warranty expires. However, I did purchase the first extended warranty in my life on my R8. Why? Well, while still under warranty (very thankfully), it decided to crack a valve - that resulted in a full engine replacement to the tune of over $55,000.

I'm financially fortunate enough that even without the warranty I could have just swallowed the cost - not liked it one bit, of course, but that would have been the way the cookie crumbled and life would have gone on without much interruption. Instead, and because I plan to keep the car indefinitely, I bought an extended warranty (through Audi Pure Protection) that extended the coverage for up to 10 years. The price was less than one major issue, so it was really a no brainer to me at that point. In 10 years, it was very likely I'd make my money back. And apparently Audi figured that out, too... and now 1.5 years after I bought it, that same warranty is going for more than double. Sometimes the actuaries get it wrong.

So, this probably can't give you the simple yes/no answer you might be seeking, but the moral is - do the math. It's quite possible that you can get a great deal, although more rare, on an extended warranty. If you DO choose to get one, I'd only do it through a very well known, reputable source. There are too many poor choices out there. Check the reviews.

BMW can, I believe, also CPO the car for you (even without changing hands) - at least that was true in the past. Someone here may know more if they've been through it. You'd pay for it, but that's one option. Fidelity Platinum is also another good option that's well respected over at the R8 community.

Look carefully at the warranty to make sure it's Exclusionary. That means they're calling out specifically what's EXCLUDED versus only calling out what's INCLUDED. Those that only call out what's included are often more bare bones, and there are always tons of gaps. Exclusionary warranties, on the other hand, will give you a definitive list of what's not included - usually things like wear and tear items (brakes, for example), and the best will closely mimic a factory warranty's coverage.

Best of luck with the decision!

[city1991]

Originally Posted by ezmaass

An extended warranty is purely a financial decision. You have two choices:

1. Insure through an extended warranty

2. Self insure through your own assets

The choice just comes down to a gamble on which way your fate may go. Opie stated it correctly - the HOUSE usually wins. But it's important to note that the house winning is an aggregate statement, not an individual one. Simply put, they'll lose (and lose big) on some individual agreements, but in aggregate they'll win.

Ask yourself a few questions like - What if I had to pay a $10k or $20k bill tomorrow? Could I do that? Even if I could, would I rather pay $5k today to avoid the potential of that bill? You're essentially just gambling.

Now, if the warranty companies are doing their job the right way, the PREMIUM for your contract should represent more than they expect to pay out on average - after all, they need to make a profit. So, if they're willing to sell you a 3 year warranty for $4k, let's say, then $4k probably represents a high water mark for the average car like yours.

So, from a purely statistical perspective, I'd say it's probably better to self insure. In fact, I've NEVER purchased an extended warranty on any of my BMWs - we'll see if I do with the 650 if I choose to keep it until its warranty expires. However, I did purchase the first extended warranty in my life on my R8. Why? Well, while still under warranty (very thankfully), it decided to crack a valve - that resulted in a full engine replacement to the tune of over $55,000.

I'm financially fortunate enough that even without the warranty I could have just swallowed the cost - not liked it one bit, of course, but that would have been the way the cookie crumbled and life would have gone on without much interruption. Instead, and because I plan to keep the car indefinitely, I bought an extended warranty (through Audi Pure Protection) that extended the coverage for up to 10 years. The price was less than one major issue, so it was really a no brainer to me at that point. In 10 years, it was very likely I'd make my money back. And apparently Audi figured that out, too... and now 1.5 years after I bought it, that same warranty is going for more than double. Sometimes the actuaries get it wrong.

So, this probably can't give you the simple yes/no answer you might be seeking, but the moral is - do the math. It's quite possible that you can get a great deal, although more rare, on an extended warranty. If you DO choose to get one, I'd only do it through a very well known, reputable source. There are too many poor choices out there. Check the reviews.

BMW can, I believe, also CPO the car for you (even without changing hands) - at least that was true in the past. Someone here may know more if they've been through it. You'd pay for it, but that's one option. Fidelity Platinum is also another good option that's well respected over at the R8 community.

Look carefully at the warranty to make sure it's Exclusionary. That means they're calling out specifically what's EXCLUDED versus only calling out what's INCLUDED. Those that only call out what's included are often more bare bones, and there are always tons of gaps. Exclusionary warranties, on the other hand, will give you a definitive list of what's not included - usually things like wear and tear items (brakes, for example), and the best will closely mimic a factory warranty's coverage.

Best of luck with the decision!

Damn 55k for a motor?

[city1991]

Originally Posted by Frupal

I’ve got about ten months left on my factory warranty. I know that I’m going to keep my 640GC for at least two years after that. So I’m thinking of buying an extended warranty. Does anyone have experience/advise about this? I’ve been reading about CarChex. Or should I speak to the dealer? Thanks in advance!

BMW dealer told me Allstate. He didn't like Route 66. I wanted a 6th year and it was like 4000 through bmw.

[Frupal]

Thanks, everybody, for you thoughtful and helpful responses. I’ve got almost a year to figure it out, so we’ll see!

[Streethound]

I've attached the info on the warranty here. Got it through our local BMW dealer (So Cal).

[city1991]

Originally Posted by Streethound

Opie55 - I think your math is off a little... If you only plan on keeping the car for a few more years post CPO, it might not be worth the cost. But I just purchased a 84 month 100k mi warranty for $2700. 84 months / $2700 = $32 a month. So for a $1 a day I never have to worry about major repair costs. My experience with BMW's is that while they rarely go bad, when they do they're very expensive to fix. Is a $1 a day worth the relief? To me it is.

Where did you get your warranty from?

[BMPOWERED]

Originally Posted by Streethound

I've attached the info on the warranty here. Got it through our local BMW dealer (So Cal).

I'm also in So Cal and looking to get an extended warranty on my 2014 650. Can you please tell me what dealer and what contact person you used?

[stmoore01]

Very strange that no one is willing to say where they got their warranties from. Makes the point of this discussion useless in my opinion. I too am looking for an extended warranty on my new to me 2014 650. I have received quotes from Integrity, Carchex, AAAutomotive protection, Endurance and am evaluating the different coverages. I have always owned 5 series and had Route 66 on every car and at 1950 on the first car and 2700 on the last car it has always paid for itself.

Unfortunately Route 66 does not cover 6 series or 7 series so need a new company I can trust. Always a good experience with Route 66. One thing I have noticed is the some of these companies do not cover gaskets and leaks which I have had problems on every BMW I have owned (oil filter housing gasket, valve cover gasket). I also noticed that Carchex and AAAutowarranty use the same same company that issues the service contract.

If anyone wants more information on what I have found so far PM me and I will send the information over.

[dsocold]

i have CNA warranty got it throught the dealer after purchasing a CPO 640xi GC paid nearly 5k for it and it covers literally almost everything including suspension, bushings etc.... the do not cover list was very small and included stuff like tires, wheels, body panels and stupid stuff that clearly should not be covered..


coverage is 6 yr i believe up till i hit 160k miles