Extended Warranty Coverage

[jdaigle]

I recently purchased a 2006 MegaCab 3500 4x4 and have been shopping for extended warranty coverage. I didn't want to purchase directly from DC, they've made enough off me already, I wanted to avoid the extra "middle man" costs. However, in my research and conversations I've had thus far with potential extended warranty providers, it appears I'm already in trouble by changing my tires from stock 265/70/17 to 295/70/17. . they say that they will not cover drive train damages due to the larger non-oem tires.

So, questions:

1. Has DC frowned or denied coverage under the standard warranty guidlines with anyone running 295 tires... I know you guys running larger 315, 37" etc may have problems getting coverage but it seems to me the 295 jump is such a small jump above oem that it wouldn't cause coverage issues. . but I just don't know.

2. What are some of the better extended warranty companies this group has first hand experience with??. . I guess I'm not asking the bombers..... you guys are so extreme

3. Do I keep a set of stock wheels around just in case..... I'm not being deceptive... . stop



Thanks in advance for any input,



Jason

 

[KCJackson]

If you're going to get extended coverage, stick with the DC plan and shop for a good price. A **LOT** of people have learned over the last few years that the third-party companies aren't worth the paper the policy was pronted on. The third-party companies are in this business for the money, and are far more likely to deny coverage... in contrast, it's in DC's best interest to approve as many claims as they can because there's an end benefit - a repeat customer. They can lose a couple thousand on a major warranty claim if doing so means that customer will by a $40K vehicle a few years later as a satisfied customer. The aftermarket firms don't make any money if they have to pay claims, because there's no other end benefit... the most that will happen is you buy another $1000 policy the next time you get a vehicle.



I had a factory 7/100 plan on my 96 and my dealer was very good about getting claims through. It definitely paid for itself in claim value. So I picked up a 7/100 for the 05, and if I never use it, hey... I am willing to take that bet - that just gives me the confidence to by another Ram.

 

[DPKetchum]

No one hardly suggests a third party SERVICE CONTRACT(its not a warranty)company. Its a INSURANCE policy covering breakdown of covered items. Some are ok if no other way to go(used vehile etc)but your best bet is always a factory policy and you can dicker at the price. The factory has a vested interest. YOU and the product. The aftermarket only have ONE agenda. Make MONEY.

 

[Mobius1]

I used to work in the Automotive field and 3rd party Service contracts are not the way to go. I remember a customer bought a 3rd party service contract, and when she needed to use it, the advisor called the number to file a claim only to find out that the company had gone belly up!!



Also remember its a SERVICE CONTRACT you have to pay a deductable (usually $100) even if its something that you did and would not normally be covered by DC (like obvious abuse) they would still fix it bc its a service contract.



I think they are a worth it if you plan on keeping your vehicle a long time, and if something major happens out of factory warranty. They would probably end up paying for themselves if the worse did happen.

 

[jwduke]

Save your money, I had one on a earlier Chrysler product, that wouldn't pay squat! I had to wait till the transmission completely quit, before they would fix it. Well the transmission quit when I was in the middle of no where in the middle of a snow storm.

 

[Hercules130]

I JUST BOUGHT ONE THROUGH eservicecontracts.com it was a 6 year 100,000 mile all inclusive, 0 deductable for a vehicle under 12,000 mile. it cost $2000 even

 

[TEaton]

Jason,

I just bought one with my new MegaCab also. I went to the dealer with the price from eservicecontracts.com and they matched it..... 7/100,000 with $50 deductible for $2150.



They were about $400 off with a higher deductible but when I showed them it was a DiamlerChrysler contract they honored it.



Hope it helps

Troy

 

[jdaigle]

Thanks everyone for the great info, it sounds like DC may be the best route and the costs seemed to be pretty consistent... . 7/100,000 around $2000 between the many different offerings. Thanks again for the great input!!!



Jason

 

[klenger]

Just a note on my previous experience with 3rd party warranties. I had a warranty gold plan on my wife's Saturn. The underwriter that warranty gold used went Tango Uniform, and my warranty was worthless. Warranty Gold switched to another underwriter and kept on selling new policies. No thank you.

 

[10-9jc]

Don't Rush!

Jason - I think (check this) you have the entire existing warranty

period to purchase an extended warranty (if you want one).



Several posters said they purchased from "eservicecontracts.com" -

that is a D/C 5-star dealer (Whittrock Motor Co. , Carroll, IA).



Another is "extended-warranty-pro.com" - thats another 5-star D/C

dealer (Siemans Chrysler Products, Inc. , Bridgman, Mich. ).



Both have nice sites with Q and A, etc. I called Siemans on the phone

to verify that it is a D/C warranty (not Ins. Co. ). The gal there knew

her stuff - said it is a D/C warranty, etc.



Think I would get a warranty quote from both - then use that price as a

"benchmark" to talk to (negotiate with) your local dealer. Just make

sure each is offering the "real" D/C warranty.



Then post your findings - may help us too!

JC

 

[RKerner]

Jason - I think (check this) you have the entire existing warranty

period to purchase an extended warranty (if you want one).



Several posters said they purchased from "eservicecontracts.com" -

that is a D/C 5-star dealer (Whittrock Motor Co. , Carroll, IA).



Another is "extended-warranty-pro.com" - thats another 5-star D/C

dealer (Siemans Chrysler Products, Inc. , Bridgman, Mich. ).



Both have nice sites with Q and A, etc. I called Siemans on the phone

to verify that it is a D/C warranty (not Ins. Co. ). The gal there knew

her stuff - said it is a D/C warranty, etc.



Think I would get a warranty quote from both - then use that price as a

"benchmark" to talk to (negotiate with) your local dealer. Just make

sure each is offering the "real" D/C warranty.



Then post your findings - may help us too!

JC

Good info. Depending on how you put mileage on a vehicle, the 5 year 100,000 mile option is one that worked for me. If you work the salesman or the financial person enough, you can get a favorable discount on the DC contract. I just signed up for the 5 yr/100,000 maximum care for $1660 on the easy payment plan - 12 months no interest. It's a bit cheaper than the links above but YMMV.

 

[WM-300]

I have a 03 Ram that has the 7/70 Maxicare warantee with zero deductable. Presently, I am at 45,600 miles and will hit 77K miles during 2006. I talked with a Dodge dealer and they will extend the warantee to 7 years/100K miles Maxicare, Zero Deductable for $1500. But I must purchase it before I hit 48K miles. Is this a good deal or is there something better DC offers that they are not telling me. I want the protection of warantee coverage as long as possible.



Thanks

WM-300

 

[jdaigle]

Thanks again for the great info. . I think I'll take 10-9jc's advice!!!!!



Jason

 

[Posm]

How about a third option. Would you be able to sleep at night if you were self insured. The service contracts are a big profit item. In a $2000. 00 Warranty you have several hundred dollars of dealer profit, some DC profit, some claims admin. service, and some expected claims service. The claims cost are arrived at by actuaries that have access to the historical data on the DC computers plus past service cost experience. Just assume that the average cost is $750. 00 for claims, your truck would have to be three times worse on claims just to break even. This does not take in to account any deductibles that may have to be paid.

I do not want to hear about some one who had a $5K bill paid at 99,000 miles with a 0 deductible warranty. That is not what I am talking about. Life is a game of averages, and these service contracts are a very bad deal on average.

I did not buy one on my 2004 3500 and I won! The repairs would have been $1200 or $1500 under the contract and I self insured. That means I came out $500 to $800. 00 to the good. I keep enough cash reserve around to cover repairs whether they are $100. 00 or $2000. 00. If you can not sleep good with this scenario, or can not cover the repairs, you should opt for the service contract.

 

[jdaigle]

Posm:

The reason for my interests in extended warranty coverage is due to the fact that my truck has less then 1200 miles on the odo, has riden on a wrecker once and been in the shop twice... . not real good odds that this is going to be a pleasant relationship?? At the rate I'm going I would have to win the lottery to support the repair bills on this clean hot rod!!!!!!



Jason

 

[DPKetchum]

Works just like health insurance. Now some have a deal that any UNUSED money to a set amount is refunded at the end of the policy. Worth asking/looking into. Thought G. M. or one of the big three(maybe D. C. )had that deal a while back.

 

[John Prince]

jdaigle I was in a hurry on Friday when I picked up my truck. The office guy was telling me about a warranty with a 100% buy back if not used. I am going back to get my Certificate of Origin after my check clears and I will get more info. I have all done all my repairs light or heavey after warranty. The buy back got me thinking.

John

 

[jdaigle]

John:

Let us know what you find out... . thanks for keeping an eye out for us!!



Jason