Extended Warranty?

[carl]

I expect to keep my 2005 XC70 for the foreseeable future and got these quotes from my local Volvo Dealer. The discount from the list price seems to vary from 16% to 20% (top to bottom). Any suggestions where to get better prices and how much better they would be? Are Dealers motivated for something this small by end of year / quarter / month?
Thanks for the help,
Carl

7 years/ 100,000 mile Total coverage
$0 deductible
Your Price $3,112

7 years/ 100,000 mile Total coverage
$50 deductible
Your Price $2,602

7 years/ 100,000 mile Total coverage
$100 deductible
Your Price $2,347

7 years/ 100,000 mile Total coverage
$200 deductible
Your Price $2,002

[MoeB]

No idea where to find better prices, but personally I would go with either the $100 or $200 deductible plan. The way I see it, these extended warranties are mostly for the major components like the transmission, engine, etc. Even if some of the (almost enevitible) minor stuff fails like seals, electrical modules, booster, etc, you'll still get some of your money back, even with a deductible. Doesn't take much to rack up a sizable bill on these cars.

[d2gxc]

Carl: Call up other Volvo dealers in your area and get them to give you quotes. Let them know you're shopping around. You may be surprised at the range of quotes you will get. We did this and then went back to the dealer we bought the car from and used these as leverage to get even better terms.

We went with the $100 deductible. To be honest I didn't check out what the spread would have been. I subsequently wondered if I should have gone with the $0, but based on the fact we used this maybe 4 times, if our spread had been similar to yours, the $100 was the best savings.

One other thing. How many miles do you do a year? We figured we would be at 100K before the end of year 6, so got the 6 year/100k coverage which also saved us a little. All in all, I would say our extended warranty was a good investment for us and saved us money.

[JRL]

$50 and $100 are the best deals,
$200 is a poor deal, the numbers don't work out well for that one