Extended Warranty

[Bahamabay]

I think it would be a good idea to purchase an extended warranty for my new 2009 DutchStar. Does anyone have any experience with this? I'm sure some are better than others. Any recommendations?

[Bahamabay]

I think it would be a good idea to purchase an extended warranty for my new 2009 DutchStar. Does anyone have any experience with this? I'm sure some are better than others. Any recommendations?

["007"]

Joe here is a LINK to some discussions on the extended warranties.
I have had 6 MH's and never had one, put your money in the bank and look for advise here.

[Bahamabay]

I have never bought one before for anything. I don't know why I was almost talked into buying one for the new MH. Thanks for bringing me back to reality. Joe

[Lug_Nut]

I too agree and feel that extended warranty coverage is not normally worth it. I never buy it on anything and, so far are way, way ahead of the game. Additionally, these warranty companies may be out of business by the time you might need them.

Peter

[JavaJelly]

I agree w/Peter. To be honest, I've never heard of a positive story when trying to make a claim w/one of these warranty companies. The restrictions make it very inconvenient.

This topic was fleshed out in detail last year on this forum. I think there was general agreement that the best solution was to put the cost of the warranty in the bank and self insure. Seems any major defects are generally covered by the manufacturer beyond the warranty period.

[DonnaB]

BahamaBay,

We investigated doing this. You should really investigate to see what you get with each kind of extended warranty....and there are several different kinds.

After learning all we could about it, we decided it would be to our advantage to self insure. You must be disciplined to do that, but it is definitely more financially advantageous to you instead of the insurer. All insurance must make more $$ for the company than it pays out for them to stay in business.

You have insurance against catastrophic loss with your motor home insurance. This insurance is for ongoing breakage....not maintenance. Do all the periodic maintenance you are supposed to and just put the $$ you would spend for extended warranty in an account and don't touch it except for that express purpose. You will more than likely be ahead and adding to the account each month/year and collecting interest.

[GraciesMom]

I researched extended warranties - and wasn't willing to finance one or put out that kind of cash up front - so I went with the Good Sam extended warranty plan and I've been very pleased with it. It's only $79 a month and they've been very helpful and prompt when I've had a problem. I've been having power loss problems and it's looking like it's a fuel pump - that is covered under the plan - thank goodness!

[LindaH]

An extended warranty is a huge profit center for a dealership, so that should tell you something about them.

If you read any of the action line articles in the various RV magazines, you'll soon come to realize that the most common problem people have is with their extended warranty companies. Of course, many times these problems are the fault of the customer since they don't follow the procedures for getting work done and paid for by the extended warranty company. Still, it's a PITA having to mess with these companies who look for any excuse not to pay a claim.

If you *do* decide to purchase an extended warranty, shop around for one...you don't have to buy the one the dealership is offering. And then, before putting your money down, read the contract carefully for what is covered, and probably even more importantly, what is *not* covered. Also pay close attention to what you and the repair center have to do in order to file a claim.

I would suggest, however, putting the money you'd pay for any extended warranty into a separate interest bearing account just for this purpose.

[Gdlow]

I am a user of "selected" extended warranty's...ie: 60 inch tv; and treadmill as well as the MH. Never had to use one on the TV yet, but had 2 motors and 3 belts and a drive go out on treadmill..The last motor (each costing $275) was not available so they gave us a new treadmill...Total "net" saving to me about $1500...On the MH...I "negotiated the price down by almost 2/3rds...Have used it several times...ie: new inverter;leak in plumbing, and one other thing that escapes me at the moment, but I am $200 to the good on the purchase price and still have 5 years left...It probably helps to have a good dealer that pushes the warranty company...If you buy...make sure it is an exclusionary policy...then you know up front what is covered and what is not and then negotiate it...

[RustyJC]

Just like going to Vegas, the odds are always with the house. In the long run, more people will lose than win - if not, the insurers wouldn't stay in business, and if they go out of business, you lose as well!

Rusty

[Gdlow]

<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Just like going to Vegas, the odds are always with the house. In the long run, more people will lose than win - if not, the insurers wouldn't stay in business, and if they go out of business, you lose as well!

Rusty </div></BLOCKQUOTE>

Rusty...You are correct...but that can also be said about anything that we purchase to assist in protecting something..A surge protector, a water pressure regulator,life insurance, cancer insurance,car insurance, etc. etc...but hopefully we never have to use them..but in the event we do, it is possibly there ...
I was setting in a dealership one day a year or so ago, and I overheard a guy complaining to the service writer about having to pay for a radiator for his dp...Cost $6500+...I checked my policy and it would have been covered if it had been taken care of properly...Not sure of the guys issue as to why he lost his...but....

[RustyJC]

<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by Gdlow:


Rusty...You are correct...but that can also be said about anything that we purchase to assist in protecting something..A surge protector, a water pressure regulator,life insurance, cancer insurance,car insurance, etc. etc...but hopefully we never have to use them..but in the event we do, it is possibly there ... </div></BLOCKQUOTE>
...which is my point. We can choose to carry our own risk (self-insure) or pay others to carry it for us. If we choose to pay others to carry it for us, they will take in (counting return on invenstments as well as premiums) more than they pay out if they plan to remain in business. With that said, self-insuring may make more financial sense if one is in a position to carry his/her own risk. Each individual has to make those choices based on their unique situations.

Rusty

[Chuck Linn]

I have to interject one thing here most of you are right about these insurance policies ( which is what they are not warranties) but on big ticket items they can more then pay for themselves. Example took a trip around the US on a Harley years ago at the time they only had 6 mo warranty on them we broke down in Sturgis and ended up with a $1399 dollar bill all paid for by the policy ( it had only cost us 350 for the policy paid for its self many times over . I will buy the policy on any item where the repairs will cost more than the policy premium JMHO