Third-Party Extended Warranty

I've been entertaining the idea of getting a third-party warranty for a little while, and I'll admit I'd really like to have some peace of mind regarding my car, but is it really peace of mind when dealing with a third-party warranty company? I've looked at a few, talked to a few, and they've all said the same things: everyone I talk to seems to be the #1, A+ rated company in the country. I've looked into CARCHEX, Warranty Direct, Fidelity, and now Endurance. Has anyone gone with a third-party warranty and benefited from it? If you have, which company is your company of choice?

Be very careful with a third-party warranty. Buy one that has a long track record and one that is accepted by your favorite shop. Warranty companies come and go, leaving the warranty holders with nothing but a worthless piece of paper... Also spend time studying what is covered. Many have so many exclusions that they are practically worthless.

Just say "no".

Extended warranties are very profitable for those who sell them. There is a reason for that.

When I owned my MINI Cooper S I had an extended warranty through CARCHEX, which paid for itself after two trips to the MINI dealer for major service events. I think it's like anything in life. You take a gamble whether you get it or not. It depends on your comfort level with your car and if you've had or expect to have known problems.

Just looked into the warranty from BMW. Saw another thread with a recommendation to contact Pacific BMW. Prices quoted as follows for 2011 335i convertible. Are these high??

For the Warranty portion BMW will allow you to extend up to 5 years or 100K, 6 years or 100K, 7 years or 70K, or 7 years or 100K (please be aware that the 5, 6, and 7 years is really an extra 1, 2, or 3 years on top of the original coverage date). You can also choose between the Powertrain Plus, Gold and Platinum coverage. The Powertrain Plus is pretty limited so I would recommend either the Gold or Platinum coverage (the main difference is that the Platinum will cover navigation, stereo, CD player and entertainment and the Gold will not). The closest comparison to the CPO plan would be the Gold coverage up to 6 years or 100K. Here are the prices for those plans.



Gold

5 year / 100K $2,030

6 year / 100K $2,490

7 year / 70K $2,590

7 year / 100K $2,940



Platinum

5 year / 100K $2,300

6 year / 100K $2,830

7 year / 70K $2,950

7 year / 100K $3,350

The other option is to extend the maintenance to cover scheduled services on the car. This can be extended up to 6 years or 100K for $1,695.