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Should I Purchase The Lexus Extended Warranty


jim261

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I just purchased a 2001 RX300 with 45,000 miles. This will be my wifes car. Would you recommend that I purchase an extended warranty? If so should I purchase it through Lexus or another company? I'm new to this forum and after what I've read tonight it seems as though a 100k warranty may not be a bad idea. Thanks.

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I got an extended warranty on my used as well as my new (to be built) Lexus'. I however, went through my credit union which refunds my $1500 if I fail to put in any claims. So its in supplement to Lexus, picking up anything they dont, and going beyond the Lexus warranty. I hope I wont need it, but one never knows (considering these puppies are being build in Canada now.)

I would certainly suggest an extended warranty on any USED vehicle, especially remembering a time when I suffered a jammed sun roof (on a Maxima) which ran $1,200 in repairs (boy was I glad I had a warranty at that time in my life...college student, etc.)...and its not like I could have rode around with an open sun roof.

If your otherwise financially sound, and could weather a large repair bill should it happen, then skip it.

300gone330

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  • 3 weeks later...

;) I used to be a car dealer (Toyota and Nissan). Extended warranties are a significant profit center both for the manufacturer and the dealer. The manufacturer knows to the penny the average repair costs for its vehicles. It prices, and marks up, the warranty accordingly. The dealer marks it up further (perhaps by a lot!). If you watch your fluid levels and have your car serviced regularly (or service it yourself), you are overpaying for that warranty. (If you don't have your car serviced regularly you may be voiding the warranty.) In short, never buy an extended warranty. In my opinion the manufacturer's original warranty on all new cars is quite sufficient. The situation is different for used cars. You should always buy a used car from a major new car dealer who has a reputation to protect. If there is something drastically wrong with a car he sells you the dealer may fix it even if it is not under warranty. I think every dealer should offer at least a 30-day warranty on all used cars as a matter of course. Whether you want to pay for something more depends on the age and price of the vehicle.

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I actually made a long repsonse to this and you alreayd got yoru answer.

Here's a short version.

They sell warranties to make money. Accuraries know what the average repair cost will be and they add profit on top of that.

What ever they are charging you they figure typically repair cost will be about 10 to 30 percent under the cost of warranty.

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