Extended Service Protection

[haedgy]

Well whatever. As I said before and I think this is the point people are missing is I am stating it's a matter of personal preference.

 

 

 

Ah, but you're missing an important piece to that puzzle. If you take the $1500 you would have spent on the warranty and put it in the bank you'd be able to use that for the repair (at least a good portion of it) and still be able to pay for the vacation. And if you don't have any warranty repairs you can use that $1500 for a free vacation.

On THAT vehicle, yes. But that's not going to happen on every vehicle.

 

It's a bet either way, the difference is the odds are not in your favor if you bet the money. It's a simple question of odds and probability over time. For every policy that pays out $3k or more there are probably 5 or more that don't pay anything. If that wasn't true then they wouldn't sell the warranties.

 

Can I bare the cost of an expensive repair: Yes

Do you honestly think $1500 in the bank with interested is going to net you enough for that family vacation in 5 years? Doubt it.

If you spend $1500 of your own money on a vacation was it really "free"....nope.

If I have an $800 repair out of $1500 would $700 cover a family vacation? Seriously doubt that.

I realize the protection plan is not free but I also didn't expect it to be.

 

That's IF I don't have repairs. There's no puzzle here, I know insurance is a gamble and I also know what I spent, the thing is that personally I am okay with that. Maybe others are not and feel it's a waste of money, if that's the case the choice is simple....don't purchase it. Also I am not saying every vehicle will have issues. I don't purchase extensions for all my car's either, just so happened to do that on this one. True in the long run these plans will not pay off but if you purchase them now and then for piece of mind I don't feel it's that big of a deal.

 

Honestly we can anal-yze it all day long and throw up costs and figures and estimates and predictions, make charts and graphs, the world could even end in 5 years, but if someone wants to purchase the plan they should do so.

 

I do love the ride and looks of my Edge. The entire reason this forum exist is because of the car, it's also here for people to bitch about things that irritate and go wrong with them as well as say what's great about them. Do I 100% trust Ford quality right now? no.

 

To each their own, I say if you are on the fence and worried about Fords quality get it. If not then don't.. it's either A or B make a choice and go with your gut. If you are going to lament about spending money on a service plan or warranty extension that may or may not be used then stay away from it.

 

I am a gambler. I realize there are times I can walk into a casino and turn $100 into thousands, and other times I will be out all the money I budgeted. The biggest issue is you have to be okay with the outcome win, lose, or draw. If it gives you heartburn then don't go to the casino, go to the park instead.

 

That said I can self insure and pay that expensive repair out of pocket or pay a little now and know if I should lose, and need that major repair I am protected. That's JMO obviously opinions may vary. The money has been spent, it doesn't mean I can't make more...lol.

[All Hat No Cattle]

Lots of valid points on both sides. But it does boil down to one question. Do you feel lucky?

 

One additional thought that I did not see covered. If you trade in, this does not apply to you. But, if you always sell your old vehicle yourself, you can get a good chunk of the ESP cost back on resale.

 

Say you have an 8 year ESP Premium and you are selling your 6 year old vehicle.

 

How much more do you think you could charge over KBB or NADA appraisals if you could pass on your Premium ESP, with 2 years of coverage, to your buyer?

 

How much extra would you be willing to pay for 2 years of ESP Premium for a vehicle you were buying?

[haedgy]

I would feel lucky either way....don't use it have a great reliable car. Use it I am covered and no more expense other than that little amount I paid up front.

 

You are correct AHNC though there is the added benefit of being able to sell your vehicle and pass the warranty on. Not sure about anyone here but if I was to purchase from a private party and they had a warranty included I would purchase that car over one without that warranty.

 

I am also told if I trade in or decide to sell the car without the warranty/service plan I can get some money back toward a down payment on the next car.

 

Well I've said my peace and thoughts...good luck all. Just keep in mind do what you feel is right for you.

[akirby]

Do whatever you want, just understand the options and the odds.

[enigma-2]

A lot of assumptions concern the one failure of a single $2k (or whatever), but from my experience is really comes down to several small (<$800) repairs.

[akirby]

A lot of assumptions concern the one failure of a single $2k (or whatever), but from my experience is really comes down to several small (

Doesn't change the odds.

[enigma-2]

Consider homeowners insurance. I used ours twice. Have spent much, much more in payments than I have ever claimed. Carry it to protect from the "big one". (And I hope I never have to make a claim). You buy an extended warranty for exactly the same reasons. Loss of an engine, transmission, PTU, etc.

 

Is it worth it, .... maybe.

[akirby]

Consider homeowners insurance. I used ours twice. Have spent much, much more in payments than I have ever claimed. Carry it to protect from the "big one". (And I hope I never have to make a claim). You buy an extended warranty for exactly the same reasons. Loss of an engine, transmission, PTU, etc.

 

Is it worth it, .... maybe.

 

I hate to beleaguer the point, but the difference is if your home burned down you probably can't afford to pay for the replacement out of pocket. Or pay $100K in medical bills. Likewise having auto insurance.

 

But the most you would ever have to pay for repairs on a vehicle is a few thousand dollars. Above that and you would just get rid of it.

 

I see 4 types of owners:

 

Fixed income or otherwise cannot afford a large repair bill - finance the warranty with the vehicle so you only pay a small amount each month

 

Gambler - thinks the cost will be outweighed by the repairs on that particular vehicle

 

Can afford a large repair bill but would rather pay a certain amount up front and avoid surprises even if it costs more in the long run

 

Can afford a large repair bill and is looking for the lowest cost over time (on average and over a large number of vehicles)

[chefduane]

I have had to use my homeowners insurance 4 times in the last 20 or so years. Each time because I needed a new roof, windows, fence, etc.. due to extensive hail damage. We get NASTY hail here in NTX. Like golfball, walnut size hail, sometimes bigger. It'll actually kill you if you get hit in the head. And the last roof I put on my house was about $25k (I've got different elevations on a big single story). And I probably could come up with $25k if I REALLY needed to, but that's a big chunk of change.

So, yes, homeowners is the case where insurance is positively needed. Besides, unless you put up a bond equal to or of great value than your assessed value, isn't homeowners insurance required by law?

 

(don't mean to hijack, just commenting..)

[All Hat No Cattle]

 

Besides, unless you put up a bond equal to or of great value than your assessed value, isn't homeowners insurance required by law?

No. If you have a mortgage, the mortgage holder will require you to have a policy that protects their investment.

 

But if you own it free and clear, who is going to force you to buy homeowners insurance? No one.

 

Back on topic. Maybe if you are on the fence about ESP, you might scroll thru the 2009-2014 section of the Forum.

 

Like for instance, the 6th post down in the 2010 forum.

 

 

Had a 2010 Edge Limited AWD with 64039 miles,the other day the car startded missing and check engine light came on,started stalling, battery went dead and installed new one,made appointment with dealer,had car towed back to house,car restarted but had slight miss, at dealer they scanned car,got a call to come in for explaination,

cam and crank sensors out of alignment ,timing chain jumped,water pump leakink,possible bent valve,

was told car needs engine,warranty expired in august,

Cost to replace $7000.00

Like I said, do you feel lucky? If you do, act accordingly. It is your money, either way.

[akirby]

But you don't have to pay $7k for a new engine. A good used engine is probably $4K. Or you ditch the vehicle and get a new one.

 

But you're correct that it all comes down to how lucky you feel and your risk comfort level.

[althanis]

I think something that needs to be considered is that vehicles are becoming more and more complicated. This means it's more likely that something will go wrong, and repairing them will be more expensive. Comparing costs to repair something five plus years ago, or failure rates five plus years ago, isn't the same if you're buying a brand new Edge today with all the cool tech stuff.

[enigma-2]

FWIW, My drivers seat lumbar broke. The motor was working, but the gearbox stripped. Now a failed lumbar is no big deal, but I wanted it fixed.

 

To repair the seat, they had to remove the seat from the car and disassemble it. The lumbar is removed as a complete assembly through ghe bottom of the seat upright. (My local garage had never replace one before and asked several other dealership's for advice. Seems no other dearship has ever been asked to repair a lumbar).

 

Anyway, it went in on Friday and got it back on Wednesday. (Also had new rotors and pads on front, one tie rod end and a brake fluid flush ).

 

The lumbar took a day and a half labor. My service contract covered it except for the deductible. Figure the labor at $90/hour x 10 hours (conservative) = $900 + the cost of the seat interior guts and you can see how an extended warranty comes in handy.

 

Also, the inner tie rod end was also covered and came under the deductible. They had to drop an undercarriage to replace it (what they told.me, don't know what's involved).

Edited June 9, 2017 by enigma-2

[rvcjew]

Wow, I was looking at $3600 for 125k on my edge as I plan on keeping it till it dies so think Premiumcare is worth the investment (worried about all the computers eating it down the road) and they would only give me 4 years to pick for it. This site says they can sell me a 8yr 150k at my current millage for 3200 (EDIT: found another one for even less). So if you get it it from them it can still be used at any Official Ford dealer correct? I figure they just bought them in bulk and now can resell them for less?

 

Malcolm

Edited July 6, 2017 by rvcjew

[WWWPerfA_ZN0W]

Correct. Any Ford Protect warranty is good at any Ford dealership, regardless of whether you buy the warranty locally or online (there might be country restrictions for those of us who are not in the US/Canada tho). Your local dealership may even match the pricing, if that makes you more comfortable with the transaction.