Extended Warranty Options?

[travelinscout]

You are only getting coverage beyond the factory warranty no matter when you buy. There's no difference in what you are buying if you buy it at the time of vehicle purchase or if you buy it on the last day of your factory warranty (with the exception of the small handful of things that GMEPP does above and beyond the factory warranty which really don't matter to me). The only difference is the price you pay. So why not take the cheaper price?

To further illustrate - If i'm buying a brand new Silverado today, and I say I want a 6 year, 90k mile B2B GMEPP plan. That would mean that i'm actually buying 3 years and 54k miles of B2B coverage, and it won't start for 3 years or 36k miles. Lets say the price for that today is $1500. OR I could decline the GMEPP coverage at time of purchase and instead buy the same 6/90 plan 2 years 364 days and 35999 miles later...so it would start the next day/mile. Only it would cost me $2800. Same coverage, much higher cost.

This is how extended warranty plans are sold now because automakers have realized that as time passes, people are less likely to spring for extended warranty coverage. So they incentivize buying it early.

Exactly. The other reason I don't do it at time of purchase, is that since I usually finance my vehicles, I refuse to pay interest on the cost of the warranty.

 

[Stormin08]

I called them after reading your earlier post...the coverage starts the DAY/MILEAGE of purchase. for me, the best option would be Platinum-250 deduc-48 month-80K

i am looking at the 72 month - 60K mile for 2300$....that gives me ample time and mileage covering the overlapping coverage for the time I will most likely own this rig.

it appears the only benefit of purchasing at the NEW VEHICLE purchase....is it starts after the factory coverage ends....which is why you get the update emails regularly. Otherwise...coverage STARTS T PURCHASE DATE / MIELAGE of your vehicle....and it does overlap. i do plan to wait a few more miles, then decide. just to get the most out of the extended for electronics.

 

[The Raven]

Exactly. The other reason I don't do it at time of purchase, is that since I usually finance my vehicles, I refuse to pay interest on the cost of the warranty.

You should never finance the cost of a warranty, period. Just pay it up front. It saves you $1000+ over buying it right before your factory warranty runs out. Besides, the interest cost of a $1500 warranty financed over 3 years would be less than $200...that's STILL a lot less than $1000+.

 

[travelinscout]

You should never finance the cost of a warranty, period. Just pay it up front. It saves you $1000+ over buying it right before your factory warranty runs out. Besides, the interest cost of a $1500 warranty financed over 3 years would be less than $200...that's STILL a lot less than $1000+.

Exactly

 

[Stormin08]

i agree with that, Warranties and taxes never get financed !!!! period !!!!

if i run the numbers right now....23 with 28K, or 23 with 34.5K.....the platinum, 250 deduc, 72 month / 60K miles is the exact same price. it does not increase due to the extra mileage

it would be 300$ cheaper if 20K miles, and they do offer longer terms with the lower mileage.

 

[Spikestrip]

Back in the days, I thought they were a waste, and I was able to work on vehicles myself. Now, they are 4x4 hard drives with a bed. Dad never taught me how to reprogram a glitch infotainment system. I got Knapp on mine. Price was cheap for my '22 with 10k miles on it earlier this year,

 

[The Raven]

I called them after reading your earlier post...the coverage starts the DAY/MILEAGE of purchase. for me, the best option would be Platinum-250 deduc-48 month-80K

i am looking at the 72 month - 60K mile for 2300$....that gives me ample time and mileage covering the overlapping coverage for the time I will most likely own this rig.

it appears the only benefit of purchasing at the NEW VEHICLE purchase....is it starts after the factory coverage ends....which is why you get the update emails regularly. Otherwise...coverage STARTS T PURCHASE DATE / MIELAGE of your vehicle....and it does overlap. i do plan to wait a few more miles, then decide. just to get the most out of the extended for electronics.

I spoke to the rep at James black just over two months ago, and he explained exactly what I conveyed here - that coverage starts from the vehicle in-service date and thus there's no difference in coverage whether you purchase the warranty when you buy the vehicle new or on the last day of the factory warranty. This is the way GMEPP worked when I bought it back in 2019 for my Cadillac and it's also the way that extended warranties from Ford and FCA work. However I just did some reading and found the same explanation you are giving here - which means one of our information sources is wrong. It's also a really dumb way to sell a warranty since what you actually get depends completely on when you buy it.

So yeah, if it really does work the way you claim above, then I wouldn't buy it until the end of the factory warranty either. It also means that it's possible to buy up to 11 years of factory warranty coverage which is absolutely unheard of.

 

[Stormin08]

i heard numerous things....but that is how it was explained. i was always told it was a waste to buy at vehicle purchase, due to the OE warranty. us as consumers will never be on top...hence the odd terms (time/miles)

i coworker bout a 24 (mar24) shortly after i bought my 23 (oct 23), he has nearly 30K mile already....i have 28ish.

mine not being a daily (my miles are from long trips taken monthly), i can control my mileage use. i have a 24 GMC club cab company truck...i just choose the TB because it is more comfortable and way cooler.

Now that the winter months are coming, and STL uses salt and crap on the roads...the TB will not make the drives till spring. i have time to wait prior to purchase of extended.

the coworkers plan, bought at time of truck...is an extension on the end of the OE 3yr/36 coverage....so even it overlaps mileage on drivetrain.

they get there money !

 

[Spikestrip]

As some have said, the longer you wait, the higher the cost usually will be. One is the fact that your vehicle will be older and have more miles, If you thinking you are getting over to avoid an "overlap" they know exactly what they are doing. They know if you purchase in say the first 12-18 months of owning, the factory warranty will handle any issues, and major items would have likely presented themselves. The longer you wait, the more risky the warranty is FOR THEM, so they will charge more.

 

[The Raven]

As some have said, the longer you wait, the higher the cost usually will be. One is the fact that your vehicle will be older and have more miles, If you thinking you are getting over to avoid an "overlap" they know exactly what they are doing. They know if you purchase in say the first 12-18 months of owning, the factory warranty will handle any issues, and major items would have likely presented themselves. The longer you wait, the more risky the warranty is FOR THEM, so they will charge more.

This is why this setup is so odd. I've never seen a factory-backed extended warranty work this way. It's not how it used to work and it's not how anyone else that I know of does it. I have two years left on my factory powertrain warranty, so if I buy a 4/48 powertrain GMEPP plan now, i'm actually only getting 2 years of coverage. But if I buy the exact same plan in 2 years, i'll be getting four years of coverage. If they're going to do this, they might as well just say "how much coverage do you want tacked onto the end of your factory warranty?" and set the term that way. That's how most of the aftermarket products work.

Every other factory-backed product I know of starts from the in-service date of the vehicle. That way you are buying the same coverage no matter when you buy it.

 

[Stormin08]

Platinum Plan | Vehicle Warranty Website

Our Genuine GM Platinum Protection Plan offers the most comprehensive coverage for your vehicle. Find out more, from Knapp Vehicle Service Contracts.

www.knappvehicleservicecontracts.com

give them a ring, maybe i mis under stood....but he made it sound like...THE DAY I PURCHASE...IT STARTS, otherwise i would give a date or mileage to start at...

 

[travelinscout]

Platinum Plan | Vehicle Warranty Website

Our Genuine GM Platinum Protection Plan offers the most comprehensive coverage for your vehicle. Find out more, from Knapp Vehicle Service Contracts.

www.knappvehicleservicecontracts.com

give them a ring, maybe i mis under stood....but he made it sound like...THE DAY I PURCHASE...IT STARTS, otherwise i would give a date or mileage to start at...

You didn't misunderstand. The warranty starts the day you purchase, but since you will have existing warranty running concurrently, (3/36) there will be a period of time where you are "double covered". The decision on timing depends on the price of the warranty going up slightly as the truck gets older. I am in the same boat, and trying to decide when to go ahead and make the purchase.

 

[Stormin08]

I am only considering it for the electronics...I have a few months mileage wise, but I can limit that easily.

I was pricing the longer durations vs mileage...but for all I know, a 2500 might show up tomorrow....that's just how I am.

 

[BSullivan]

On my 18 LT, I waited until just my 3/26 expired , purchased the 5 year / 100 k plan. So I would have a total of 8 years coverage and up to an additional 100 k, so would end at 136 K. Cheap insurance for the high priced repairs. Purchased the no deductible plan. Cost about $3000, at the time. Received at $1700, rebate when I canceled in June of this year.

 

[Stormin08]

that is the one plus, they do prorate the return if you cancel.