Extended warranties like that are hook, line and sinker ripoff's. Except normally they are offered by shady used car dealers for an extra $20 per month on your payment, they usually equate to between $800-1k totaled cost, and exclude almost everything in the fine print..
Think about it, they will do $3,300 in engine repairs EXCEPT a head gasket. This means that they will not cover an engine replacement ( easily cost $3,300 installed ) because the cylinder heads are not included. Then they make everything contingent on maintenance. Do you do your own maintenance?.. Likely everything is excluded in that warranty if you read the fine print.
I would normally would do much of my own work, within reason, like fluid changes, brakes, exhaust, but nothing too major - I don't have the time, skill, or facilities to do such things. I wouldn't go to a dealership to do these things, but to an approved repair shop, such as Firestone, and they normally will let you know when you are due for service. The warranty I am looking at does cover heads, engine block, etc. Also, as it was described to me over the phone, if the cost of a needed repair exceeds the value of the car, they have the option of "totaling" the car and buying it from me. I also believe they stated that if the cost to repair an engine is greater than the cost to replace it, they will replace the engine, unless the failure is caused by a non-covered part, such as a head gasket. Here is what is covered:
a) The following lubricated internal parts: pistons, pins & rings, connecting rods &
bearings; crankshaft & main bearings; camshaft, followers & cam bearings;
push rods, valves, springs, replaceable guides, seats & lifters; rocker arms,
shafts & bushings; timing gear, chain, tensioners & retainers; eccentric shaft;
and oil pump.
Timing belt; serpentine belt; water pump: Impeller shaft, bearings, bushings &
housing; intake & exhaust manifolds; engine mounts & cushions; engine
torque strut; harmonic balancer; flywheel (flexplate) & flywheel ring gear;
mechanical fuel pump; dipstick & tube; and all pulleys.
c) All lubricated internal parts of the Vehicle manufacturer-installed turbocharger
or supercharger. The housing is covered ONLY if damaged by the Failure of a
lubricated internal part.
c) Engine head(s); engine block; cylinder barrels; timing cover; valve cover(s); oil
pan; dipstick & tube, ONLY if damaged by the Failure of a lubricated internal
(If Diesel Engine, Turbo, or Supercharger has not been stated on the Administrator
copy of the Application Page, along with the corresponding surcharge being
received by Administrator, NO Coverage will apply for these components/parts
under this Contract.)
a) All lubricated internal parts contained within the case(s).
Computer modules & solenoids; filler tube & dipstick; vacuum modulator; and
c) Transmission case, transfer case & torque converter case, ONLY if damaged by
the Failure of a lubricated internal part.
TRANSFER CASE: Transfer case and all internally lubricated parts. (If 4WD/AWD
has not been stated on the Administrator copy of the Application Page, along with
the corresponding surcharge being received by Administrator, NO transfer case
Coverage will apply under this Contract.)
a) All lubricated internal parts contained within the housing(s).
Axle shafts; constant velocity joints; universal joints; drive shafts; locking hubs;
locking rings; and supports, retainer & bearings.
c) Differential housing, transaxle housing & final drive housing, ONLY if damaged by
the Failure of a lubricated internal part.
AIR CONDITIONING AND HEATING: Accumulator; condenser; condenser fan;
condenser fan motor; compressor; compressor clutch, dryer, evaporator and
ELECTRICAL: Alternator / generator; air conditioner blower motor; starter motor;
starter solenoid and starter drive; horns; windshield wiper motors; windshield
LUXURY ELECTRICAL: Power window motors; window regulators; power door lock
actuators; power trunk release; power antenna motor; and all manually operated
COOLING SYSTEM: Cooling fan; cooling fan motor; and fan clutch.
FUEL SYSTEM: Fuel delivery pump; fuel injection pump; metal fuel lines; fuel pressure
regulator; fuel sending unit; and fuel gauge.
SEALS AND GASKETS: Seals and gaskets related to the covered parts listed above
are covered, but only when required as a part of the authorized repair or
replacement of those covered parts. Leaking and/or failed seals and gaskets by
themselves are not covered parts.
What is NOT covered:
Parts not listed are not covered. This Vehicle Service Contract Provides NO
Coverage or Benefits for the following:
A. FAILURE OF A COVERED COMPONENT OCCURRING WITHIN THE FIRST
NINETY (90) DAYS AND 1,000 MILES AFTER THE START DATE WILL NOT BE
B. OIL CONSUMPTION, WORN OUT PARTS, (This part scares me - isn't a part getting "worn out" what causes it to fail?)
AND DIMINISHED PERFORMANCE
INCLUDING THAT RESULTING FROM A GRADUAL REDUCTION IN OPERATING
PERFORMANCE DUE TO NORMAL WEAR AND TEAR SUCH AS TO GUIDES,
VALVES, RINGS, AND TRANSMISSION CLUTCH PACK, DISCS AND BANDS IS
C. DIESEL ENGINES MANUFACTURED PRIOR TO 1990, ROTARY ENGINES, 4100
GM ENGINES OR ENGINES USED IN COMMERCIAL VEHICLES ARE EXCLUDED.
D. THE FOLLOWING PARTS: CARBURETOR; BATTERY; BATTERY/BATTERY PACK
ON HYBRID/ELECTRIC VEHICLES; SHOCK ABSORBERS; MANUAL
TRANSMISSION CLUTCH ASSEMBLY; FRICTION CLUTCH DISC AND PRESSURE
PLATE; THROWOUT BEARING; MANUAL AND HYDRAULIC LINKAGES;
DISTRIBUTOR CAP AND ROTOR; SAFETY RESTRAINT SYSTEMS (INCLUDING
AIR BAGS); GLASS; LENSES; SEALED BEAMS; LIGHT BULBS; BRAKE
HARDWARE; ALL EXHAUST AND EMISSION COMPONENTS EXCEPT THOSE
SPECIFICALLY LISTED UNDER THE COVERAGE SECTION OF THIS CONTRACT;
WEATHER STRIPS; ALL TRIM, MOLDINGS, HANDLES, KNOBS OR DIALS;
BRIGHT METAL; CHROME; UPHOLSTERY AND CARPET; PAINT; OUTSIDE
ORNAMENTATION; BUMPERS; BODY SHEET METAL AND PANELS; TIRES AND
WHEELS/RIMS; GPS NAVIGATION SYSTEMS; PHONE SYSTEMS;
TV/VIDEO/ENTERTAINMENT SYSTEMS AND INTERNET ACCESS SYSTEMS.
E. MAINTENANCE SERVICES AND PARTS DESCRIBED IN YOUR VEHICLE’S
OWNER’S MANUAL AS SUPPLIED BY THE MANUFACTURER AND OTHER
NORMAL MAINTENANCE SERVICES AND PARTS INCLUDING, BUT NOT
LIMITED TO: ALIGNMENTS; WHEEL BALANCING; TUNEUPS; SPARK PLUGS
AND SPARK PLUG WIRES; GLOW PLUGS; HOSES; DRIVE BELTS; BRAKE PADS,
LININGS, SHOES, DRUMS AND ROTORS; WIPER BLADES.
F. SHOP SUPPLY CHARGES; EPA DISPOSAL FEES; SPECIAL ORDER PARTS
SHIPPING COST; PARTS LOCATOR RESEARCH FEE; STORAGE FEES; FILTERS,
LUBRICANTS, COOLANTS, FLUIDS AND REFRIGERANTS EXCEPT WHEN
REPLACEMENT IS REQUIRED DUE TO A COVERED FAILURE.
G. ANY COMPONENT NOT COVERED BY THE VEHICLE MANUFACTURER FOR THE
FULL TERM OF THE VEHICLE WARRANTY IS EXCLUDED.
H. ANY DAMAGE RESULTING FROM OVERHEATING.
I. ANY FAILURE RESULTING FROM COLLISION; INTERNAL OR EXTERNAL FIRE;
THEFT; VANDALISM; RIOT; EXPLOSION; LIGHTNING; EARTHQUAKE;
FREEZING; RUST OR CORROSION; WINDSTORM; HAIL; WATER OR FLOOD;
ACTS OF GOD; ACTS OF WAR; ACTS OF TERRORISM; SALT; ENVIRONMENTAL
DAMAGE; CONTAMINATION OR LOSS OF FLUIDS, FUELS, COOLANTS OR
LUBRICANTS; ABUSE; NEGLIGENCE; LACK OF NORMAL MAINTENANCE
REQUIRED BY THE MANUFACTURER’S MAINTENANCE SCHEDULE FOR YOUR
VEHICLE; IMPROPER SERVICING AFTER THE EFFECTIVE DATE OF THIS
CONTRACT; SLUDGE BUILD-UP OR FAILURE TO MAINTAIN PROPER LEVELS OF
LUBRICANTS AND/OR COOLANTS; NOT PROTECTING THE VEHICLE FROM
FURTHER DAMAGE WHEN A FAILURE HAS OCCURRED.
J. ANY REPAIR OR REPLACEMENT OF A COVERED PART IF NO FAILURE HAS
OCCURRED REGARDLESS OF REPAIR FACILITY RECOMMENDATIONS; OR IF
THE WEAR ON THAT PART HAS NOT EXCEEDED THE FIELD TOLERANCES
PERMITTED BY THE MANUFACTURER; ANY REPAIR NOT SPECIFICALLY
AUTHORIZED BY US.
K. IF ANY ALTERATIONS HAVE BEEN MADE TO YOUR VEHICLE OR YOU ARE
USING, OR HAVE USED, YOUR VEHICLE IN A MANNER NOT RECOMMENDED
BY THE MANUFACTURER. THIS WILL INCLUDE, BUT NOT BE LIMITED TO: THE
FAILURE OF ANY CUSTOM OR ADD-ON/AFTERMARKET PART REGARDLESS IF
SUPPLIED BY A FRANCHISED DEALER OR NOT; ANY FRAME OR SUSPENSION
MODIFICATIONS; LIFT KITS; OVERSIZED/UNDERSIZED TIRES OR WHEELS;
TRAILER HITCHES; UNAUTHORIZED MODIFICATIONS TO ANY SYSTEM
L. IF YOUR ODOMETER HAS CEASED TO WORK AND REPAIRS HAVE NT BEEN
IMMEDIATELY MADE; THE ODOMETER HAS BEEN ALTERED IN ANYWAY
SUBSEQUENT TO PURCHASE; OR IF VEHICLE’S TRUE MILEAGE CANOT BE
M. ANY LIABILITY FOR PROPERTY DAMAGE, OR FOR INJURY TO OR DEATH OF
ANY PERSONS ARISING OUT OF THE OPERATION, MAINTENANCE OR USE OF
YOUR VEHICLE, WHETHER OR NOT RELATED TO THE PARTS COVERED. LOSS
OF TIME, PROFIT, INCONVENIENCE, OR ANY OTHER LOSS THAT RESULTS
FROM A FAILURE (EXCEPT AS PROVIDED UNDER THE BENEFITS OR
N. REPAIRS TO SEIZED OR DAMAGED ENGINES DUE TO CONTINUED OPERATION
REGARDLESS OF CAUSE OR WITHOUT SUFFICIENT LUBRICANTS OR COOLANT.
YOU ARE RESPONSIBLE FOR MAKING CERTAIN THAT THE OIL AND
TEMPERATURE WARNING LIGHTS/GAUGES ARE FUNCTIONING PROPERLY.
YOU MUST PULL OFF THE ROAD IMMEDIATELY AND DISCONTINUE VEHICLE
OPERATION WHEN EITHER OF THESE LIGHTS/GAUGES INDICATES
INADEQUATE PROTECTION OR PERFORMANCE OR WHEN OVERHEATING
O. SALVAGED TITLE VEHICLES; WHEN RESPONSIBILITY FOR A REPAIR IS
COVERED BY AN INSURANCE POLICY; WARRANTY FROM THE
MANUFACTURER INCLUDING EXTENDED DRIVE TRAIN, MAJOR COMPONENT
OR FULL COVERAGE WARRANTIES; A REPAIRER’S GUARANTEE/WARRANTY;
OR FAILURES FOR WHICH THE MANUFACTURER HAS ANNOUNCED ITS
RESPONSIBILITY THROUGH ANY MEANS, INCLUDING RECALL CAMPAIGNS
AND FACTORY SERVICE BULLETINS.
P. IF YOUR VEHICLE IS USED FOR TOWING A TRAILER OR OTHER OBJECT OR
VEHICLE WITHOUT BEING EQUIPPED WITH A FACTORY INSTALLED OR
AUTHORIZED TOW PACKAGE; OR IS USED FOR COMMERCIAL PURPOSES,
INCLUDING, BUT NOT LIMITED TO, RENTAL, TAXI, LIMOUSINE, LIVERY OR
SHUTTLE, TOWING OR ROAD REPAIR, CONSTRUCTION, FARMING OR
AGRICULTURAL PURPOSES, JOB SITE ACTIVITIES, HAULING, POLICE OR
EMERGENCY SERVICES, PRINCIPAL OFF ROAD USE, RACING, COMPETITIVE
DRIVING, SNOW REMOVAL, ROUTE-WORK, SERVICE OR REPAIR UNLESS
COMMERCIAL USE OPTION HAS BEEN PURCHASED AND ACCEPTED BY US.
Q. ANY FAILURE OCCURRING PRIOR TO THE CONTRACT PURCHASE DATE, OR IF
INFORMATION PROVIDED BY YOU OR A REPAIR FACILITY CANNOT BE
VERIFIED AS ACCURATE OR IS FOUND TO BE DECEPTIVELY INACCURATE.
R. ANY FAILURE OCCURRING OUTSIDE OF THE UNITED STATES OF AMERICA OR
S. DAMAGE CAUSED BY PRE-IGNITION DETONATION, PINGING,
IMPROPER/CONTAMINATED FUEL OR IMPROP