Re: Extended Warranty

I bought a CPO 2005 Boxster S with 15K miles about 2 years ago. Now I am coming up on the expiration of the warranty. It has 25K miles on it and I'm still making payments but the warranty is about to run out. Suggestions? After market warranties are in the $3500-4000 for 3-5 years. I spoke with the dealership today that suggested forget about an after market warranty.

That's my recommendation, but others' mileage may vary.

We had a long discussion about after-market warranties on the old PPBB (go there and Search for it). I believe the consensus was mixed; it depended with whom you used. The guy who originally asked the question was looking for one offered by someone in my area. I drove there to check it out for him and found that it was a office in a small office building that was not open to the public ( not a good sign).

It might be worthwhile if the company used has been around for a long time and has a track record of reliability in taking care of repairs. But I consider any *purchased* warranty to be Snake Oil.

Driving a new-to-me '09S in Aqua Blue Metallic. It does .5 past light speed. I made the Kessel run in less than 12-parsecs.
Motto: If you have your top up, that storm outside had better have a name!
Motto 2: Having the top up on a convertible is an oxymoron. Don't be a (oxy)moron.

I also think that you should consider what you've had to do to your car over the last two years of ownership. Plus, if you have it, look at the service records going back to 2005. If the car has had a lot of warranty fixes during the past seven years, an after-market program may be worth the piece of mind as it could just be one of those snake-bitten cars. If the car has been pretty "bullet-proof" then it might be worth rolling the dice and driving naked, but with a seven-year-old car things start breaking. Yours is low milegage to boot, so sometimes those have more issues as they get older. I guess it also depends what the warrranty would cover for a car of that age. Would the company consider most fixes to be normal wear, and thus, not covered? So, if the water pump goes, or bushings crack, a gasket/seal RMS starts to leak, etc, would those items be covered or considered routine maint for a nine-year-old auto? Some of those warranties can exclude more items than include. If you have the $3,500, put it aside and hope that the only things to go wrong for the next three to five years won't add up to more than the cost, but one blown engine, and your talking more than $10K.

Only in the highly unlike event that the IMS failed and ruined the engine would you have much risk of a repair costing over $4000. IIRC, the 2005 models can be upgraded with the Flat-6 IMS upgrade that would cost less than half of the cost of your extended warranty, and then you'd still have another $2000 in the bank to pay for a lot of lesser repairs. Also, I hear that Flat-6 has a new version of this that is said to be even better than what they've been selling. Or, just keep the $4000 in the bank in case the engine does fail and IF it does, buy a used replacement engine from a dismantler. Personally I think would be awesome to have an extended warranty but that price is just ridiculously expensive for the minimal risk they have. Originally I was going to get an extended warranty for my 08 Cayman when the factory warranty runs out in February, but I've just about ruled that out since the IMS risks for the 08s seem to be really, really small and I can cover anything else that might come up.

If you feel you need a product which pays out on average less than 30% of the amount folks pay in to provide repairs (parts and labor), which often mechanics hate, and which are often provided by companies with shaky financial histories or balance sheets..... (Consumer Reports figure)

Only you can understand your risk tolerance.

But if you decide to buy an extended warranty, research the company that stands behind it, read the actual contract (not the sales brochure) and ask your mechanic how it is to deal with the company. I've looked into several companies and tried to penetrate the corporate shells structures that separate them from ultimate financial responsibility. Good luck.

They make salesfolk, sales managers, dealer, administrators happy...and in the best case do help some folk. But not many and their are some really dodgy outfits offering them.

I have nothing against insurance for home, car, personal liability. But over a lifetime of refusing extended warranty offers, I'm so far ahead I could pay for a new P-car engine.

I have had some Extended Warranty Experiences.

I purchased, Through my Credit Union two "Route 66" policies on both my 2002 Boxster base (major component only) and on my Son's 2006 BMW 325i (Bumper to bumper)...

I have not used it for my Boxster, but the one for my BMW has paid off like an ATM when needed. (two pretty high cost repairs, paid all but the tax) I am very happy he has the protection, now that he is off to College in another town from mine.

The one for the Box is for 3 years 36,000 miles. Cost around $2,000
BMW is for 4 years 48,000 miles and it was IIRC around $3,000

This will get both cars a long way down the road. The Boxster will be right at 100,000 miles when the warranty expires.

I rest well with these in effect.

Use the $4K to pay down what you owe, then sell or trade your '05 for a newer CPO Boxster.

"A mile of highway will take you one mile. A mile of runway will take you anywhere."

I've got an 05 Boxster with 85K miles on it (original to me). So what have I had to have done: air filters at regular service intervals, brake pads and rotors at regular service intervals, spark plugs, tires, gas, oil, filters, serpentine belt, etc. -- absolutely nothing that would be covered under an extended warranty, I would guess. I did have a convertible top cord replaced under factory warranty.

You can pay for risk aversion, but I would not bother.

Thanks for all of the input. After Oil change with another perfect Oil Analysis from Blackstone and taking it to the dealership for a complete check up with no issues I have decided to not get an extended warranty. It will be maintained perfectly and enjoyed to the fullest.