Should I get an extended warranty?

[Nicotinebar]

Hi All,

I am planning to keep my Stinger for as long as it can run. Does it make sense for me to get an extended warranty?

I got a quote for $4367 CAD + Tax 10yr or 200k includes bumper-bumper coverage including electronics and center console.

There's another one $3362 that increases the warranty to 84 months or 140k.

Need some suggestion on this.

FYI: This is my first car ever so it's a special one.

 

[RedCal]

With the dealer? ie a KIA one? or 3rd party? What happens if you don't need the warranty? lost money? or can you roll it into new one, or get it returned (I think Mazda does this) $4k buys a lots of repairs... especially if you can invest it over 5-10years. Extended warranties are profit centres so keep that in mind

 

[MerlintheMad]

I'm pretty sure that if/when I pass ten years or 100K miles, I will just press on and trust to luck, and repair as I go (like I did before with all the used beaters I drove).

 

[GT Elite]

Yes, but make sure it is the Kia extended warranty. If you are buying a Stinger you should be able to negotiate a discount on the warranty as part of the overall deal. That is what I always do when buying a new car. Given the amount of electronics, two turbos and complex drivetrain (AWD) I would suggest the longest warranty possible that covers everything….especially the electronics.

 

[87and66]

I wouldn't pay for that. That's a lot of money. The warranty is already generous at 10 years, 100,000 miles for the powertrain. I'm with Merlin. After that expires, just hope for the best and if something comes up, take care of it then. Besides, if you pay all that money for an extended warranty and then decide to trade the car in a couple years, it's wasted money. If you never need the warranty, it's wasted money. If you total the car, it's wasted money.

 

[Grump]

Canada's warranty is only 5y/100,000km.

I believe Kia's extended warranty in Canada gives $1k cash back if you don't use it. It's also transferable to a new owner.
I opted for the 10y/200k but only because I got the car far below MSRP and expected to pay near MSRP.
Also they are quoting you nearly $1800 markup. You need to negotiate that down to $3k. $500 markup is okay on extended warranty.

If a turbo or the head unit goes thats pretty much the entire cost of the warranty.
I except the motors in the mirrors to break when they freeze up one of these winters.

Too many doo-dads and I plan to keep the car 10yrs.
I say if you can afford the peace of mind then why not.
But as RedCal said, if you can invest it and double your money in 10yrs maybe do that instead.

 

[SKStinger]

No, because Kia dealers suck.

Tons of stories here about them doing whatever they can to not fix issues or deny warranty for ridiculous reasons, like aftermarket wheels. Keep your money and find a good private shop to take the car to after warranty or now if you aren’t planning to do your own maintenance.

And I plan to keep this car beyond warranty.

 

[Nicotinebar]

With the dealer? ie a KIA one? or 3rd party? What happens if you don't need the warranty? lost money? or can you roll it into new one, or get it returned (I think Mazda does this) $4k buys a lots of repairs... especially if you can invest it over 5-10years. Extended warranties are profit centres so keep that in mind

It is with the dealer. I have already purchased the car last year in Aug so down 1 year in warranty.

If I don't need the warranty I am not sure, however, if I don't use the warranty amount they can refund some portion (don't know how much) the warranty is also transferable but then I don't plan to sell the car.

 

[Nicotinebar]

Yes, but make sure it is the Kia extended warranty. If you are buying a Stinger you should be able to negotiate a discount on the warranty as part of the overall deal. That is what I always do when buying a new car. Given the amount of electronics, two turbos and complex drivetrain (AWD) I would suggest the longest warranty possible that covers everything….especially the electronics.

It is an extended warranty from Kia dealership. I am trying to talk with another dealership about the amount. I have already purchaed the car last year in Aug and I wasn't aware of the extended warranty could be clubbed with the car's price.

 

[Nicotinebar]

I wouldn't pay for that. That's a lot of money. The warranty is already generous at 10 years, 100,000 miles for the powertrain. I'm with Merlin. After that expires, just hope for the best and if something comes up, take care of it then. Besides, if you pay all that money for an extended warranty and then decide to trade the car in a couple years, it's wasted money. If you never need the warranty, it's wasted money. If you total the car, it's wasted money.

In Canada it is 5 yrs/100000km and for center console/electronics it's 3 years. So, if any issues with the display or center console, I have to pay out of pocket for the fixes. I have already replaced BSD sensor, camera swap and rotators within 1 year of owning the car.

 

[Nicotinebar]

Canada's warranty is only 5y/100,000km.

I believe Kia's extended warranty in Canada gives $1k cash back if you don't use it. It's also transferable to a new owner.
I opted for the 10y/200k but only because I got the car far below MSRP and expected to pay near MSRP.
Also they are quoting you nearly $1800 markup. You need to negotiate that down to $3k. $500 markup is okay on extended warranty.

If a turbo or the head unit goes thats pretty much the entire cost of the warranty.
I except the motors in the mirrors to break when they freeze up one of these winters.

Too many doo-dads and I plan to keep the car 10yrs.
I say if you can afford the peace of mind then why not.
But as RedCal said, if you can invest it and double your money in 10yrs maybe do that instead.

Got it. I have already purchased the car last year in Aug so 1 year down and the guy who I spoke with, said 1 year down/22k km in is the price they offer and the longer I wait the price will go up. What is the ideal price for the extended warranty and what all they don't cover in this? it is a bit of a grey area as I am not sure what all is covered in the extended warranty?

 

[87and66]

In Canada it is 5 yrs/100000km and for center console/electronics it's 3 years. So, if any issues with the display or center console, I have to pay out of pocket for the fixes. I have already replaced BSD (Blind Spot Detection) sensor, camera swap and rotators within 1 year of owning the car.

that really sucks. They should give you guys the same warranty that we get. Still, the prices you stated seem like a lot. I guess I've just never been a believer in extended warranties unless they're really cheap.

 

[stoopid]

Short answer is... never* buy an extended warranty. They are pure profit for the seller of the warranty. Most vehicles (statistically, not anecdotally) will never have repairs outside of warranty coverage that exceed the cost of the warranty. This is, more often than not, a product of people rarely holding onto the car for as long as they think they will when buying the extended warranty early into ownership. The other factor is that modern cars are over engineered, so many of them last a while before the most expensive repairs are needed. Again, this is just statistics.

Also know that extended warranties can have all sorts of terms that vary from contract to contract, some even require you use the extended warranty for repairs while still covered under the manufacturer's warranty which means paying copays for items that would have been otherwise repaired for free. At the very least, read all the fine print before signing. Or better yet, put the $4000 into an interest bearing savings account and use it to pay for repairs after the warranty is up.

* The exception is with shit quality vehicles, like Land Rover.

 

[JSolo]

I too was thinking extended warranties, but will make any decisions closer to the 3yr/36K miles. I believe that's when the electronics (stereo) warranty runs out.

 

[danieltoombs]

I’d say worth it, but only if you can get the 5 year extended warranty for $2000 or less. So far I have yet to find one even approaching that price. I was able to get a 6 year warranty on my previous car, a 2017 Chevy SS, for $1500. I have no idea why they are charging $3k or more for a Kia warranty. If you find someone selling the full warranty extending the 5-year built-in warranty to 10-year for under $2k, let me know.

 

[adauria]

Short answer is... never* buy an extended warranty.

THIS ^ 100%. It also applies to TVs, appliances, etc. - literally, anything they try to sell you one for.

There's a reason they all want to sell you these, and it's not to help you protect your purchase. Philosophically, it's insurance. And good sense say you should only buy insurance for things that are potentially financially devastating - your house burning down, your new car getting totaled, loss of your ability to work, etc. It should not be purchased to amortize maintenance and repair costs.

/soapbox

-Andrew

 

[JSolo]

Win some, lose some.

We bought a 4 yr warranty for a samdung lcd tv some years ago. 18 months into ownership screen developed a vertical line. They replaced the panel. Without the warranty, I'd have to take the thing apart and try to fix it myself or pay to have it fixed. Warranty for $100 or $150.

5 years after buying the honda it developed wheel bearing noise in the rear. They replaced both sides under extended warranty. Cost of repair would of been $500+ out of pocket. Warranty covered it. Paid $770 for the warranty near the end of year 3 (for 5 additional years or up to 80K miles). Recovered $200 of this amount after selling the car and cancelling warranty. A wash?

I think one is buying peace of mind. And yes, extended warranty is not in place of proper maintenance.

 

[NigelM]

I just traded my '18 Premium in (incidentally for what I paid for it 3 years ago and with 26,000 miles on the clock - second hand car prices are crazy!) on a '22 GT1 RWD (Florida) and had the same dilemma. I have gone for it (US$2,438) for 10yrs/100,000 miles, based on zero cost for parts or labor and it (supposedly) covers 'everything and anything'.

Recently, I discovered the 10yr/100k Kia warranty isn't truly 'bumper to bumper' .... paint, for example, is only 3yrs/36k (paint on the tracks behind the sunroof glass failed). I was also told recently that powertrain warranty is only items that 'are touched by oil or grease' so as someone else commented on here there's potentially lots of wiggle room to get out of paying up.

I can cancel at any time or transfer to the new buyer should I sell. Twin turbos and all the electronics in it do give pause for thought on these new cars ..... So, I'm still thinking about it and weighing pros and cons ....

The decision was easy on my 'base' level 6sp manual 2011 Corvette GrandSport ... only electronics in it were the windows and drivers seat!

 

[RedCal]

Win some, lose some.

We bought a 4 yr warranty for a samdung lcd tv some years ago. 18 months into ownership screen developed a vertical line. They replaced the panel. Without the warranty, I'd have to take the thing apart and try to fix it myself or pay to have it fixed. Warranty for $100 or $150.

5 years after buying the honda it developed wheel bearing noise in the rear. They replaced both sides under extended warranty. Cost of repair would of been $500+ out of pocket. Warranty covered it. Paid $770 for the warranty near the end of year 3 (for 5 additional years or up to 80K miles). Recovered $200 of this amount after selling the car and cancelling warranty. A wash?

I think one is buying peace of mind. And yes, extended warranty is not in place of proper maintenance.

FYI... depending on what credit card you use, some double the warranty - also Costco, better warranty than factory. Unless you are buying the top tier newest model, just replace the TV, the "average" models drop in value so fast they aren't worth fixing

 

[SKStinger]

I just traded my '18 Premium in (incidentally for what I paid for it 3 years ago and with 26,000 miles on the clock - second hand car prices are crazy!) on a '22 GT1 RWD (Florida) and had the same dilemma. I have gone for it (US$2,438) for 10yrs/100,000 miles, based on zero cost for parts or labor and it (supposedly) covers 'everything and anything'.

Recently, I discovered the 10yr/100k Kia warranty isn't truly 'bumper to bumper' .... paint, for example, is only 3yrs/36k (paint on the tracks behind the sunroof glass failed). I was also told recently that powertrain warranty is only items that 'are touched by oil or grease' so as someone else commented on here there's potentially lots of wiggle room to get out of paying up.

I can cancel at any time or transfer to the new buyer should I sell. Twin turbos and all the electronics in it do give pause for thought on these new cars ..... So, I'm still thinking about it and weighing pros and cons ....

The decision was easy on my 'base' level 6sp manual 2011 Corvette GrandSport ... only electronics in it were the windows and drivers seat!

There are loopholes in extended warranties too like if you miss a scheduled service, it can void warranty work or if the defect doesn’t exactly match the categories they specify as covered in the warranty it will be rejected.

Personally I prefer to save the money these cost and invest it so that I have a backup if I need cash for a repair or to replace a vehicle or appliance.