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mikefocke · 11-23-2007, 05:20 AM

pay for:
selling expenses
administrative expenses
profit
knowing that the extended warranty companies pay out, on average, around 20% of the cost of the warranty in claims.

Maybe you do. Maybe knowing your potential liability is capped is more important to you than the pure financial aspects. It is your choice. Your risk tolerance.

I've owned a '99 and an '01 and my non-scheduled maintenance expenses have averaged around $20 per month. Since a warranty at the time I bought my car was $3k, I'm way ahead considering that, if I was under warranty, not all the items would have been covered and there would have been deductibles.

I insure for only those risks I can't afford to pay for myself (personal liability, house, auto), assuming all other risks. So I decline all extended warranties on all items. Over the years, I'm enormously ahead...and would be even if my engine blew up tomorrow...in every car I own.

Warranty Direct has a good reputation. Read the contract carefully as there are lots of "not-covered" items and you need to compare those to the things that go wrong typically in a 8 year old Boxster.

Do you know when your '99 was built and thus if it was one of those cars subject to some potentially fatal flaws s in engine construction? If it was, that may make the argument for the warranty stronger.

11-23-2007, 05:20 AM	#4
mikefocke Registered User Join Date: Aug 2005 Location: Sanford NC Posts: 2,537	Do you really want to pay for: selling expenses administrative expenses profit knowing that the extended warranty companies pay out, on average, around 20% of the cost of the warranty in claims. Maybe you do. Maybe knowing your potential liability is capped is more important to you than the pure financial aspects. It is your choice. Your risk tolerance. I've owned a '99 and an '01 and my non-scheduled maintenance expenses have averaged around $20 per month. Since a warranty at the time I bought my car was $3k, I'm way ahead considering that, if I was under warranty, not all the items would have been covered and there would have been deductibles. I insure for only those risks I can't afford to pay for myself (personal liability, house, auto), assuming all other risks. So I decline all extended warranties on all items. Over the years, I'm enormously ahead...and would be even if my engine blew up tomorrow...in every car I own. Warranty Direct has a good reputation. Read the contract carefully as there are lots of "not-covered" items and you need to compare those to the things that go wrong typically in a 8 year old Boxster. Do you know when your '99 was built and thus if it was one of those cars subject to some potentially fatal flaws s in engine construction? If it was, that may make the argument for the warranty stronger.