Extended warranty worth it after lease buyout?

I decided to purchase my leased 2019 TRD-OR. 42K miles. Love the truck so its a no-brainer. They are trying to pitch an extended warranty for $1800 that covers the vehicle for five years from time of purchase or up to 125K miles. No deductible. Those of you who went the used route, did you get an extended warranty? On the fence with a slight lean against it.

 

In general, extended warranties are not worth it. They don't cover everything and will try to not pay. Drop the $1800 into an account for vehicle maintenance instead.

If it is a full warranty (not just powertrain), that is not abad price. Odds are you will still come out better not getting it though.

That is my take. I got warranties when I bought my truck. Once I got home and read the fine print I cancelled them and got my money back.

 

I bought the extended warranty that covers the electronics. All you need is one dead touch screen and you're out more than the warranty, IMO.

 

You will get a hundred different answers here ranging from it's the biggest ripoff known to man to I bought one and it worked out great for me. Only you can decide if it's worth $1,800 for you to lay off the risk of a possible future repair on someone else. Do read the contract thoroughly and understand what is and isn't covered, and try and negotiate the price with the dealer. There is usually some wiggle room in there.

 

You'd be better of saving $1800 in your own account for any such incident. These warranties do not pay out that way for 90% of people. Most of that stuff is labor too. Dealership marked up labor. Most people who do use their extended warranties, pay more for the warranty than they do parts/labor. So if you think 10% is worth it vs. saving it yourself, then by all means. But most people would rather save their own and shop for cheaper labor if need be. Extended warranties are how dealerships make a majority of their money, along with all those extra's the finance manager persuades people into adding on before finalizing.

 

For a BMW that warranty is about $6k.
Some dealerships will sell it for about $5k.

You can shop the Toyota warranty at other Toyota dealerships for a better price. You might be able to get it as low as $1500 .

Anyone keeping a BMW because they love it …. $5k is no brainer because any break down repair at the dealership is expensive. And newer BMW’s love having random issues.

On a Tacoma…..$1500 is more for peace of mind , like how Heidi Klum insured her legs.

 

Are you willing to bet $1,800 that the truck will “break” with 5 years or 125k miles?
And that what “breaks” is going to cost more than $1,800?
Are you willing to do every thing necessary to maintain the warranty?
(Most people neglect differentials, transmission, and transfer cases)

Personally, I think you could NOT buy the warranty and pay someone to do the maintenance for the next 5 years, and you still come out ahead

 

Read and understand what exactly is covered. Some folks on TW had a hard time to apply their extended warranties to what seems to be a covered item.
Use an aviation method to set aside money money on a regular basis for maintenance/repairs.

 

Threw a rack an pinion on my STI making a u-turn once. $100 deductible and a loaner car for the duration of the fix. Would've been out $1800 for just that alone. Car was bought certified used.

 

I have some gold plated fuses for $3,000 that will never short and will prevent this.... Set comes with every fuse for the Tacoma... One set is all you need... $100 extra gets a yearly drawing ticket for ocean front property in Arizona.

$1800 for a maybe $300 part and one days work? Seems legit. My insurance costs .22 cents extra a month for rentals.

 

why would somebody put a warranty on a box? Hmmm, very interesting.

Here's the way I see it, Ted. Guy puts a fancy warranty on a box 'cause he wants you to fell all warm and toasty inside.

'Course it does. Why shouldn't it? Ya figure you put that little box under your pillow at night, the Warranty Fairy might come by and leave a quarter, am I right, Ted?

The point is, how do you know the fairy isn't a crazy glue sniffer? "Building model airplanes" says the little fairy, well, we're not buying it. He sneaks into your house once, that's all it takes. The next thing you know, there's money missing off the dresser and your daughter's knocked up, I seen it a hundred times.

Because they know all they sold ya was a warranty piece of shit. That's all it is, isn't it? Hey, if you want me to take a dump in a box and mark it warranty, I will. I got spare time. But for now, for your customer's sake, for your daughter's sake, ya might wanna think about buying a quality product from me.

 

Ask if you can lease the Warranty.
They said they’re flexible.

 

I’ve only had to use an extended warranty once, on my 92 S-10. I can’t remember what I paid for the warranty but it covered a brand new engine.

BUT, I knew the service manager well (he had worked for my grandfather years before) and he told me he had to fight to get the warranty company to cover it. I believe if I had been Joe Schmoe off the street with an extended warranty I would have paid out of pocket for that engine.

So generally speaking I feel like most people will never actually see the value or get any use out of an extended warranty.

 

save your money and put it into an emergency account if your worried. I have owned over 30 vehicles and never bought a warranty for any of them. Toyotas are great quality vehicles, trust in the brand.

 

extended warranty is like insurance. its a waste of money unless ya need it. how much does the timing cover leak i see posted here so often repair cost? all the electronics is what scares me in all new cars. expensive to diagnose and repair.

comes down to will you be a lucky one that never has a problem or will you be an unlucky one that runs into a bunch of problems down the road on your truck

 

I could be wrong, but many electrical problems will be denied as water damage, rodent problem, Etc.

I laugh every time a car rag complains about the lack of tech in new Toyotas. I wish there was less tech.

 

If you can get it pre certified it comes with a great warranty. Except for my wife’s Honda (new, price between the certified and new didn’t make sense) I buy pre certified. Either way you know the truck and you have remaining warranty. Save the $1800

 

I was one of the lucky ones who had the timing cover leak. I bought my 2016 used and rolled the price of the extended warranty into my payment. The $1500 extended warranty covered the $3800 timing cover repair.

 

Financial "experts" agree that this is your best bet. Put the money away instead of using it to buy the warranty and you will likely come out ahead. Problem is, most of us aren't disciplined enough financially to do that. I mean honestly, look at all of us. We spend literally thousands on our trucks for stuff that we don't really "need", then we spend more money on stuff to fix or enhance the stuff we really didn't need in the first place. The warranty forces you to put the money away for repairs down the road. Just make sure you read that contract and research the warranty company (hopefully you can get a Toyota factory warranty) so that it pays off if and when you need it.