Extended warranty -- worth the money?

Discussion in 'Kia Niro' started by Derede Arthur, Nov 4, 2019.

  1. Derede Arthur

    Derede Arthur New Member

    Hi everyone, new Niro EV owner here! For past car purchases, we've ignored car salesmen's pitch for an extended warranty. But now with the Niro EV, with fancy-electric-high-tech-everything, we wonder if it might be useful to purchase the extended coverage. We'd very much appreciate the community's thoughts. And we're LOVING reading all these threads, so much great information, thank you all!

    PS -- if folks have had success in negotiating what's covered in the extended warranty, let us know. The extended being offered to us would be bumper-to-bumper 8 yrs/125K for $2500 (the mileage being the limiter in our case).
     
  2. RDA

    RDA Member

    I got mine for $1200.00, 10 years, 100,000 miles, covers the entire car.
     
  3. Derede Arthur

    Derede Arthur New Member

    HI RDA, thanks for responding. What part of the country are you in? I wonder if that matters. In comparison, our equivalent for $2500 looks awfully expensive...
     
  4. mf989

    mf989 New Member

    An extended warrantee is insurance. Insurance companies make money because they think you will pay more in premiums vs what you will collect in claims. Insurance companies are in the business to make money and pay for extensive analysis to make sure they are on the right side of the equation. In general, if you can afford to "self insure" (pay for repairs out of pocket if they happen), it's a better bet than paying for insurance. It would be interesting to know how the fossil fuel policies are priced as compared to an EV as it could hint at the mfr's expected reliability.
     
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  5. RDA

    RDA Member

    I am in MD. Had a cadi cts before the niro. Always had extended warranty. Depends on the car. When my cts dropped the trany, it would have cost double what I paid for the warranty to get it repaired. With the warranty it cost me nothing. With the niro being new electric just decided it was worth it since it covered the entire vehicle and o got a decent deal on it.
     
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  6. TandM

    TandM Member

    We picked up the extended coverage (120 months or 100,000 miles ($2187 total) and ours was broken down into different sections of coverage like road hazard for tires, glass replacement/repair, lost key fob, etc. - things that are not covered with a manufacturer warranty).

    I am notorious for finding things with tires and haven't purchased a road hazard plan yet that I haven't put to use so that section was a no brainer (though it would be great if this vehicle proved me wrong). We have already used and completely offset the cost of the glass portion (cracked the windshield 10 days after purchase, it had to be completely replaced, and of course recalibrated).
     
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  7. ITown

    ITown New Member

    I declined the warranty despite the dealer offering it to me for $1500 (and insisting that they couldn't offer it for less without losing money). The most important EV components have a free factory warranty of 10 yrs / 100k miles (power train / EV battery). I replied to your message in the other thread with more details.

    This is the reason why I declined it.
     
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  8. Francois

    Francois Active Member

    I only ever took the extended warranty once and it was when I bought my wife a used Fiat 500l two years ago. That's because it was an unknown car to us at the time and I didn't know if it would be reliable. In turned out to be money well spent in that particular case.

    But with new cars, I expect that most issues surface in the first few years, while the car is still covered by the original warranty so I don't bother with the extended warranty.
     
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  9. krumbs

    krumbs New Member

    I have never bought an extended warranty on a car before but did on my Kia Niro EV. My reasoning was that it is the first year they have made the full EV version (the Niro itself has only been around a few years) and who knows what might happen 5 years from now. I also plan on driving it (or someone in the family driving it) for at least 10 years. I have a 10 Year 200,000km warranty that is bumper to bumper. I am in Western Canada.
     
  10. TheHellYouSay

    TheHellYouSay Member

    My offer bordered on absurd, I think it was $2,500 or something close to that. I politely declined, although the dealership was decent about it, no pressure, clear that I could change my mind within so many days.

    I did consider it though because it's all pretty new stuff and I've read that Kia warranty decisions are not always what you might expect, but oh well, too late now.
     
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  11. apu

    apu Active Member

    So for what I can understand in Canada the factory warranty is 5 year or 100,000 km bumper to bumper and the EV components are further warrantied to 8 years and 160,000 km. What exactly more coverage do you get for the extra 2-3 grand? Not trying to be sarcastic on anything I'm just genuinely interested as I will be making this decision hopefully soon.
     
  12. jeff10236

    jeff10236 Member

    I wouldn't...

    The Kia and Hyundai warranty is already pretty good. 5yr/60k miles bumper to bumper, 10yr/100k miles powertrain (engine and transmission). Kias and Hyundais are also generally quite reliable these days. I'd only seriously consider an extended warranty on a car with questionable reliability (and if I knew it had questionable reliability, I probably wouldn't buy it unless for some reason I HAD to have that one car model) or maybe a first year model (though, I'm never buying another unproven 1st year model). If you are really concerned, put the money you'd spend on the warranty aside in stocks, in an S&P500 index fund, or in a CD that will mature around when the warranty is up (depending upon your risk tolerance) and you'll probably be much better off.
     
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