Audi Forum - View Single Post - Should I get an extended warranty or not?

MyFirstAudioMN · 03-26-2008, 08:54 AM

Hi. Not sure if you've made a decision or not, but I was in a very similar situation last month. I just bought an A4 1.8T from a private seller with 48,000 miles on it and its mfg warranty was set to expire mid Feb. I did bring it in for one last time for warranty work (brake pads and oil change). I spoke to the dealership and they gave me quotes for extended warranties costing between $2k and $3k. The dealership extended warranties are all 3rd party, which means you can get service done anywhere. I also researched some online other internet warranty companies.

The dealership used a scare technique by telling me a new transmission would cost $6-$8k and a warranty would cover it all. I called a local transmission shop and they figured between $2-$4k (this would be one of the most expensive fixes). Anyway, to my point - I discussed these extended warranties with the transmission shop and one other shop and both claimed these warranties are always a problem. They generally cause major headaches. For example, they try to find any way possible to deny a claim, anything from you didn't change oil every 3,000 miles with documentation to prove it to the service man used the word "worn" in his conversation with the warranty company. Moreover, in the event that the company does pay for work, they typically find ways to share costs (meaning they won't pay for everything) and agree to pay costs if the shop finds the absolute cheapest parts possible.

I actually did not go with an extended warranty figuring that the huge up front cost of it could serve for several smaller repairs down the road. As you suggessted, I will pay for maintenance as it is needed. I'm sure these warranties work great for some, but it just didn't seem right for me.

03-26-2008, 08:54 AM	#2 (permalink)
MyFirstAudioMN Newbie Join Date: Mar 2008 Posts: 12 Gallery: (0)	Hi. Not sure if you've made a decision or not, but I was in a very similar situation last month. I just bought an A4 1.8T from a private seller with 48,000 miles on it and its mfg warranty was set to expire mid Feb. I did bring it in for one last time for warranty work (brake pads and oil change). I spoke to the dealership and they gave me quotes for extended warranties costing between $2k and $3k. The dealership extended warranties are all 3rd party, which means you can get service done anywhere. I also researched some online other internet warranty companies. The dealership used a scare technique by telling me a new transmission would cost $6-$8k and a warranty would cover it all. I called a local transmission shop and they figured between $2-$4k (this would be one of the most expensive fixes). Anyway, to my point - I discussed these extended warranties with the transmission shop and one other shop and both claimed these warranties are always a problem. They generally cause major headaches. For example, they try to find any way possible to deny a claim, anything from you didn't change oil every 3,000 miles with documentation to prove it to the service man used the word "worn" in his conversation with the warranty company. Moreover, in the event that the company does pay for work, they typically find ways to share costs (meaning they won't pay for everything) and agree to pay costs if the shop finds the absolute cheapest parts possible. I actually did not go with an extended warranty figuring that the huge up front cost of it could serve for several smaller repairs down the road. As you suggessted, I will pay for maintenance as it is needed. I'm sure these warranties work great for some, but it just didn't seem right for me.