Extended Warranty - A Wise Buy?

[geoffpfc]

Hi Guys - I'm with JPBecker on this one, these cars are supposed to be at the pinnacle of engineering, they probably are never driven to their maximum performance in the UK

I have been quoted £325 for what seems a better policy by "Car2Cover" they are registered with the FSA, a possible drawback is they cap the labour rates at £70 p/h but they reckon that they can make a deal with most main dealers.

My car had a new gearbox after 5 months (1,500 miles) under Recall A212 - can anyone tell me what the problem was, I purchased the car in 2006.[]

 

[Richard_Hamilton]

Welcome to the forum Geoff!

I haven't heard of any transmission recalls on the 996. Where did A212 come from?

 

[geoffpfc]

Thank you

I found out about the recall when I asked my OPC (Chapelgate Bournemouth) if they could provide me with any history of my car, they had supplied it new in June 2002 and had carried out all of its maintenance etc. they very kindly printed out the history and I found that in Jan 2003 there is an entry which says "carry out 6-speed manual transmission recall A212 scope 2, which was costed as £5110.90!! not bad for a 5 month old car - the gearbox does have a bit of a "whiney noise" which I accepted as being due to the cars performance, hence my interest in the extended warranty questions.

996 Carrera 2 Coupe 2002 face lift Lapis Blue 11k miles must get out more![]
MX5 1.8i Merlot 1996 - something else for the weekend![8D]

 

[Richard_Hamilton]

Havent heard of that one before. There are a few on the VOSA and AA web sites, but nothing on transmissions. It might have been a "Workshop Campaign" rather than a recall for safety reasons.

 

[Diesel130]

Personally, and from bitter experience, I wouldn't touch a 3rd party warrantee company again. I don't know anything about the one you mentione, but my experience is 3rd party warrantee co's always try and wiggle out of every claim and make it as difficult as possible to claim. A quick look at the one you mentioned states that they require the car to have full service history with VAT receipts according to manufacturers spec which must be within 1,000 miles or 4 weeks (either way, whichever comes first) of the due date/mileage. So, for starters, if you don't have a service hisory with actual garage receipts, all of which are within those dates/mileages, i wouldn't bother taking it out - they'll likely use that as excuse no 1.

Secondly, they won't cover any seals. So the RMS is not covered.

3rd; they won't cover 'inherent' design faults. Judging by the number of cases of 996 engine failures due to intermittent shaft failure and/or cylinder liner going oval and/or cracking, they'll use that as an excuse not to cover it.

Finally, no corrosion is covered. So the replacement radiator I just had on the OPC warrantee would not be covered.

Generally my view in life is you get what you pay for ... with the exception of 3rd party car warrantees, where most policies are not worth wiping your derrier on.

.... just my opinion ...

 

[geoffpfc]

Thanks for the info, I am also sceptical of these policies, hence my post seeking any feedback - as usual the devil is in the detail.

Based on other members experience of the OPC warranty it seems that it is not without its caveats - I'll probably not renew the policy and put my hands in the " legendary build quality" of Porsche.

I have taken the liberty of emailing your excellent points to the company concerned and I await their reply with interest.[X(]

 

[JColbourne]

Hi Steve,

Definitely worth it. Here's why: -

1. Engine failure at 118,000 miles without Extended Warranty cost to me = £11,400 (currently in "negotiations" with Porsche GB for a contribution due to manufacturing defects i.e. cracks in one half of the crank cradle.)

2. Took out Extended Warranty on 1st May 2007 at 124,300 miles. Two weeks later gearbox developed a significant "whine" at 2,500-3,000 RPM. Result, new gearbox and propshaft, all covered and no cost to me. Would have cost £9,500 otherwise.

£895? = no brainer

Hope that helps.

Rgds


John

 

[geoffpfc]

JC seems like you bought a dog - I would agree that for the first year of ownership you should get the Porsche warranty - if it breaks down in that year then sell it quickly while the warranty is still effective - could be a Friday car.

Not very well made these cars? I was happy to pay the higher servicing costs, but since joining the forum it makes me wonder how long before I have an expensive breakdown.

ps I have just renewed my policy!

 

[Richard_Hamilton]

ORIGINAL: geoffpfc
....., but since joining the forum it makes me wonder how long before I have an expensive breakdown....

That's the problem with forums. They can give you a very distorted view of the extent of the problem. I don't dispute that there are problems, but very few people join forums purely to say how wonderful and trouble-free their ownership has been. New contributors are either new to the brand/model and seek advice and a sense of camaraderie, or have something to complain about.

 

[Diesel130]

My ownership has been wonderful and trouble-free .... !!!

(apart from the leaking radiator that was fixed under warrantee, but then I didn't even know about that until the service)

 

[Diesel130]

ORIGINAL: geoffpfc

JC seems like you bought a dog ...

I think John had his from new and had it fully serviced, so a random failure (albeit a catstophic one) at 118,000 miles is probably just one of those things, rather than the car being a dog. The problem with 996's is - if an engine fails - it costs so much to fix or replace. Which is why I went for the warrantee - piece of mind and all that.

John ... haven't heard from you in a while - was following your saga over on PH - and wondered what the outcome was. Just got the warrantee in, with 700 miles to spare then !

 

[geoffpfc]

Richard (Tech Guru) you are probably right for assuming the reason people join Forums, but I cannot think of a better way to collate and share info. on problems, at least we get to know that our problem is not unique and at best the gathered info. can be used to apply pressure on Porsche or a misbehaving OPC.

I'm still puzzled by my gearbox failure - unfortunately no one at my OPC know why it was changed.

Another reason I renewed my warranty was to use as a selling tool which it's time for a change.

 

[Richard_Hamilton]

Geoff "" I hope I didn't give you the impression I was having a pop at you "" that certainly wasn't the intention.

My concern is that people can be frightened into buying a warranty after reading some of the posts here. I don't deny that there are issues with the 996 engine, but these are with a small minority of cars. I think that reflects in the price that Porsche charge for their insurance warranty. It is an insurance policy, and the premium must be calculated on the number and size of claims in order to return them a profit on the scheme. I understand that other companies like Mercedes and BMW charge more for their policies - which also have excesses. To me, this implies that Porsche are statistically less costly to the insurance companies than MB or BMW.

Of course, there are other factors that have to be taken into account, like the benefit of being able to offer a warranty on a car you are selling privately, the value of the car you are insuring, the time you expect to keep the car, the use and mileage etc. etc.

My circumstances, vehicle, and use are such that I decided to self-insure, and it has worked out well for me so far. In the event of an engine disaster I would use the £3500 I have (so far) saved in premiums towards buying a used engine, or have it repaired by an independent if that is a viable option. Whilst that might be acceptable to me, I can appreciate that others may not feel the same way. I never buy extended warranty on anything "" I usually buy quality products and expect them to last.

Each to his own - you pay your money and take your choice. I expect that I am in the minority on this forum as far as Porsche warranty goes, but maybe that's because I try not to be fazed too much by the problem posts.

 

[jpbecker]

Richard,

I am completely with you on this. People offering warranties never lose out, it is all statistically calculated like any business proposition. I think even on a private sale, a car with a full service history in top condition should sell itself. Even if a warranty is a condition by a potential private buyer it is a small price relatively (even with the inspection) compared to the overall purchase price of the car and is a small negotiation point.

The fact is that some people take risks and are lucky/unlucky and others don't. There is no right or wrong![]

 

[Guest]

Hi, just a quick question - I thought the warranty only covered up to 120,000 miles? I have a Jan 2001 996 with 94k, so I'm a bit concerned.
Many thanks Sue

 

[Guest]

PS - i bought it second hand at 68k. It had a new engine fitted at 64K but the previous owner had to stump up the £9k cost himself as he didnt have the warranty!
Sue

 

[Richard_Hamilton]

You can take out the warranty up until the car's 9th birthday or until it reaches 125000 miles. Therefore, you can get cover for 10 years if it hasn't reached 125000 miles before its 9th birthday. If the car is less than 9 years old you take it out before the car reaches 125000miles and you will get 12 months cover from that date. Hence, John Colbourne was able to get a year's cover at 124700.

 

[Stewart H]

I put the warranty on my 03 Targa before I sold it to a colleague recently, so about £1,100 with the 111 point check, considering the number of people I know who have claimed on their extended warranties, I think it is a worthwhile expenditure for the peace of mind.
Unfortunately, the design/build quality of a Porsche is not as good as it used to be since they became a (relatively) volume manufacturer. Such is progress, but then you can put youself in a new 911 for the same money as it would have cost 10 years ago and high £50k's was worth a lot more then than it is now.
I have now donned my flameproof suit[]

 

[Diesel130]

Stewart - think you're right there. But the point is if Porsche had continued to 'over-engineer' their cars they would be so expensive, no one would have bought many and Porsche would have gone bankrupt. Hence the new manufactuing techniques introduced for the Boxster and 996. Fortuantely the cars were very popular - Porsche has prospered and we can all drive amazing cars for the money, even if the odd one goes kaputt now and then !

996's will continue to be good value compated to 993 due to the quantities made and the 'supply-and-demand' factor.

Sue ... sounds you got a good deal there - the previous owner must have been crazy to sell 4K after that expense !

Richard ... talking of warrantees and mileages ... your signature has said 78,000 and counting for ages now .... how many has yours got on it now ? Mine's about to tick over 50,000 very soon.

 

[Richard_Hamilton]

Martin - just coming up to 79000, as I wasn't able to drive between the middle of May until the beginning of July with my eye problem. (BTW, Porsche went to Toyota for the new manufacturing techniques, and their reputation for reliability is legendary.)