Quote:
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Originally Posted by ChrisZang
I bought an extended warrant through Warranty Direct, cost: $2,600
so far they paid:
* CV boot: $450
* signal stalk: $180
* RMS leak: $900
* IMS failure (new engine): $14k
Boy, am I happy that I invested these $2.6k 
I am already $13k ahead and still have 49k miles left on the warranty |
Glad it worked out for you, Chris. It was also worked out great for Warranty Direct!
For example, there are over 13,800 members on this Forum. What if they purchased an "engine warranty" from Brucelee for $1,000. And just 1/4 of us signed up for the policy.
In the years I have been a member, I can only remember a handful of expired engines. I can't even think of 10. But let's just exaggerate the number to 100.
Here are the potential financials:
3,450 "policy holders" (13,800 x 0.25)
$1,000 policy premiums
$3,450,000
-$1,500,000 for failed engine claims
-$50,000 (my business plan fee!
)
$1,900,000 potential profit.
Now imagine the profit if more members agreed to the policy and we did not exaggerate the number of failures.