is an extended warranty worth it?

[AdamHarris]

Because Zeigler is a Ford dealership in Michigan. They have a website that sells the Genuine Ford ESP online.

What does the name have to do with it?

I looked it up and see it’s Ford only so I deleted my comment. Just sounded like a third party company..sorry.

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[GregsFX2Ranger]

I looked it up and see it’s Ford only so I deleted my comment. Just sounded like a third party company..sorry.

I'd never buy a third party warranty. Dealers push them because the profit margin is huge on them.
Factory OEM warranties are about the same price or cheaper and honored at any FORD dealer.

 

[AdamHarris]

A warranty is a warranty. Doesn't need to come from ford. Just be sure you know what you're buying.

Lot of smack talk about “3rd party warranties” in this thread.

I got an included 20 yr 200k powertrain warranty w my new Ranger from Golden Circle Ford. The Company is Fidelity Warranty Services so it’s a 3rd party warranty (included with Every new Ford they sell) It’s only available to me (non-transferable) but can be utilized anywhere in the country. Cant help but wonder of it will be a s$:t storm if I ever have to use it someday.

 

[GregsFX2Ranger]

Lot of smack talk about “3rd party warranties” in this thread.

I got an included 20 yr 200k powertrain warranty w my new Ranger from Golden Circle Ford. The Company is Fidelity Warranty Services so it’s a 3rd party warranty (included with Every new Ford they sell) It’s only available to me (non-transferable) but can be utilized anywhere in the country. Cant help but wonder of it will be a s$:t storm if I ever have to use it someday.

Almost every dealer here has the "FREE" powertrain warranty. NOTE, powertrain.
they also expect you to maintain your vehicle with them, and have ALL the scheduled maintenance done with them. they can deny a claim if you dont. You have to read the fine print. Dealer usually has a high DOC FEE if they included this. It was $599 here.

 

[AdamHarris]

Almost every dealer here has the "FREE" powertrain warranty. NOTE, powertrain.
they also expect you to maintain your vehicle with them, and have ALL the scheduled maintenance done with them. they can deny a claim if you dont. You have to read the fine print. Dealer usually has a high DOC FEE if they included this. It was $599 here.

Yes as I stated it is a powertrain warranty. The 4 page paperwork lists every single component that is covered. I have to only keep copies of receipts where I buy oil and filters. Does not have to be done at Ford dealerships. My doc fee was $399.

 

[GregsFX2Ranger]

Yes as I stated it is a powertrain warranty. The 4 page paperwork lists every single component that is covered. I have to only keep copies of receipts where I buy oil and filters. Does not have to be done at Ford dealerships. My doc fee was $399.

Like you said . . . .
"Cant help but wonder of it will be a s$:t storm if I ever have to use it someday."

 

[AdamHarris]

Like you said . . . .
"Cant help but wonder of it will be a s$:t storm if I ever have to use it someday."

Yep I think about that all the time! Lol. I was telling the details trying to flush out anyone else who has ever had something similar and had th use it. Google searches didn’t reveal too much negativity about Fidelity but we’ll see (or hopefully we won’t..)

 

[McDeuce]

We had the Ford extended warranty on our F150. We got a new V8 short block at 78000 miles at no cost. We bought a extended warranty on our Ranger. We had our last truck 16 years.

 

[NickTheEnforcer]

warranty, thats a personal choice. I have bought both of my ford warranties from floodford online. once it gets loaded on your vin you can take it anywhere.
got key coverage on mine and added led light coverage on wifes hybrid escape.

 

[JohnnyO]

Lot of smack talk about “3rd party warranties” in this thread.

I got an included 20 yr 200k powertrain warranty w my new Ranger from Golden Circle Ford. The Company is Fidelity Warranty Services so it’s a 3rd party warranty (included with Every new Ford they sell) It’s only available to me (non-transferable) but can be utilized anywhere in the country. Cant help but wonder of it will be a s$:t storm if I ever have to use it someday.

Problem with 3rd party warranty companies is that they tend to go belly-up in a few years and don't exist any more to pay any claims. And in order to keep from going belly-up they look for ways to deny claims.
When I bought my old Sport Trac after the lease was up the bank kind of insisted I get an extended warranty (I got from Ford). Those things go through so many front wheel bearing$ that it's the only time an extended warranty I got ever paid for itself.

 

[AdamHarris]

More good info from our Ford Tech.

 

[Mercfh]

My thought on extended warranties is that you are essentially "betting" on your car to fail. To me I see a few problems with them typically:

1. Third Party companies will ALWAYS try to get out of it (This obviously depends on the company)
2. Third Party companies sometimes go belly up (Then you are SOL)
3. The Warranties end up costing many thousands over the life of the loan.
4. What is the likelihood that you will have a repair expense (lets say of 2000-3000 over the life of the loan) AFTER your "normal warranty" period has expired.
5. If you have to use them a lot, a lot of times you are paying a ton in deductibles.
6. They wouldn't sell it if it wasn't an overall HUGE positive margin gain for them.

That essentially is just a lot of negative marks against them. Dealers push them because they are a huge money-maker as far as margins go. They would not sell them and push them so hard if they didn't end up being such a huge positive for them.

That's not to say there aren't people that come out ahead on warranties as there are certainly cases where people have catastrophic failures/etc. But statically it's unlikely.

I only see it worth buying a warranty if you can A. Get it for cheap, B. Is maybe a Manufacturer provided warranty or a proven good company and C. The car has dubious reliability or you plan on keeping it for a long long time.

Looking at prices online you can expect to pay around 2k for a "100,000" warranty. So I need to basically accrue 2k worth of failures between 60,000 miles and 100,000 miles (I realize 60k is powertrain, but using that as an example since most "big expense" items are going to be powertrain related).

Im not saying that can't happen, but that it's just unlikely. There is def. the peace of mind aspect behind it but really the smarter thing to do is set aside maybe 100 a month (or 50 or so) for repairs. By the time you reach that 100k mileage mark, you will have probably not needed it (and if you do it's there, and if not you get the money back, whereas with the warranty it's gone).

I will say despite all of the above, if I was buying something like a BMW or other Manufacturer that has VERY expensive repair costs I would probably be more likely to spring for one. But otherwise I feel like if you take good care of your car your likelihood of coming ahead on an extended warranty is just kinda slim.

Another sort of "knock" against them is they don't really retain their value when trading in (or selling the car) even if it's transferrable. I've never seen the price increase anywhere near it's value when a car has had an extended warranty vs not having one)

 

[dondonbabyraptor]

So how exactly does the ford service plan work? They say 1000+ parts covered, so if it breaks due to malfunction or wear, etc, they replace it for free? Or you still pay a certain amount just less? Warranties with all the word jargon confuse me.

 

[OFC Ranger]

Mine is from Mastertech, 10 year / 100,000 mile bumper to bumper or something to that nature. Cost right at $3,000. I believe it kicks in after factory warranty expires. I'd have to dig out paperwork to recall the deductible, but it was pretty low dollar because the plan I got was like second to the the top tier they offer. (I think the only plan above mine was a $0 deductible deal, but around $5,000)

Interest Rate for my loan was 0%

I am averaging 4,000 miles per year on my Ranger (leisure vehicle only).

Based on averages I will hit the 10 year cap before even reaching the halfway point of the mileage cap. That is 12 more years from this year or something like that.

So I am paying a little less than $300 a year for the coverage. I dunno, never had this company before maybe they suck, maybe they don't.

On a side note I always get GAP insurance. I think for my vehicle total it was $800. Had I known back in March 2020 how the used car market was going to explode in 2021 I wouldn't have got it.

LOL

 

[CHS]

For peace of mind with the mileage I would probably get one. You can look at the prices from Flood Ford as they're usually cheaper than what the dealer offers.

https://www.floodfordesp.com

Edit: Here's another that has good prices too.

https://www.zeiglerfordesp.com

AzScorpion
THANKS A WHOLE LOT I* went through the first link (FloodFordesp.com) The Zeiglerford was a little higher quote.
Just saved me over $1,000.00 from what the dealer wanted to sell me it for, and for a higher years/mileage term.
Added the key and lighting coverage also (probably was not on the dealer that quoted me either)
Hell, the LED head or tail lights will cost almost as much as the entire plan premium.
Ford Extended Service Plan Price PremiumCARE Contract

• $100 Deductible
• 8 Years
• 100,000 Miles Coverage
• -4x4 or All Wheel Drive Model
• Interior/Exterior Lighting Coverage $75.00 extra
• Key Replacement$80.00 extra
• Total$1,565.00

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