Elsewhere I've read a lot about where to get the best deal on a Honda Care extended warranty, and it's really helpful. But how does one determine if it's worth it in the first place? All the computers on board make me think I should get the extended warranty. But it's hard to shell out another $800 or so with a brand new HAH in hand. Any recommendations?

 

I would be very interested in the answer to this as well. We pick up ours tomorrow and I am undecided on weather or not to get an extended warranty.

In past purchaces it seems like the dealer will haggle on the cost of warrantys also. What is the typical going rate for warrantys?

Brant

 

Be VERY skeptical buying HC from the dealer, even at a haggled price. Elsewhere on the net (I'm away from my home computer so cannot tell you just where) there's lots of advice on where to get the best deal on an extended warranty. A 7 year, 120,000 mile warranty should cost around $800-$1000. My dealer was WAY over that. Also, as I understand it, you have until 6,000 miles to buy from the volume warranty sellers, so there's no hurry.

 

Any extended warranty is nothing more than gambling. When you buy an EW you are betting that the car will break and that the cost of repair will be more than what you paid for the EW. They are betting that the car will not break or if it does that the cost we be less than you paid for the EW. The less you pay for the EW the better your chance of winning the bet.

 

I worked a 5/100 HC warranty into the out the door price of the vehicle.

Add-up what you want to pay for the vehicle, plus ttl and what you want to pay for the warranty.

First dealer I did this to countered $700 higher than my offered price and substituted a 3d-party warranty vendor rather than HondaCare.

The next dealer accepted my offer for the car which included the 5/100 HC.

 

My dealer was offering "free" EW...as long as I paid MSRP for the car itself.

I said "So what you're telling me is that you think your product is a piece of crap, your existing warantee is not good enough, and therefore I'm wasting my time here. And all this time I thought Honda's badge of honor was their reliability. I wanted to buy an Accord becasue they DON'T break down."

They had no reply. Simpson's-like blank stares.

A week later they gave me the Accord at invoice, with 6mo free gas in lieu of the EW.

I never never take EWs on any product, ever.

If you get one, shop around. You can always go back to the dealer and purchase the Honda EW after the fact, as long as the car is still in the 3 year warrantee window.

 

Lakedude, I get the part that it's a gamble. I'm wondering what people's experience is that suggests whether it's worth the gamble or not.

GoNavy, good story. I'm interested in WHY you never, never buy an EW?? (And B/T/W your posts are immensely helpful. Thank you for the time and attention.)

 

Thank you.

Mostly because the bet strongly favors the house. I prefer not to let anyone make easy money off of me, if I can help it. The chances of needing it are low enough where I feel safe holding my $$ and using it on something of more concrete benefit to my family.

I also like to be able to actually walk out of a place paying what the ad said I would pay. EW costs tacked on just make me cranky for the rest of the day.

I happen to be blessed with a decent ability to fix most things (NOT hybrid cars!) mechanical or electric. Repairing or replacing the few items I can't fix is a rare enough event such that I (am also lucky enough to be able to) take the one-time hit. You'd be surprised how easy it is to fix dryers, dishwashers, mowers, etc. by yourself. Especially with the internet.

My Dad taught me to always have a rainy day fund- a 2nd savings account that is not linked to anything else- to cover life's little emergencies. Not much- accumulated about $2k over 5 years. But it will cover almost any repair to one of the cars and/or insurance deductibles, and buy me time to chart the next course of action without sinking me into a credit card hole right away.

Between EWs for the cars, big TV, PCs, cellphones, mowers, and other assorted items that I've been offered, they would have all cost me about that much- $2k. What're the odds of all of them failing beyond easy repair within a short time?

This argument does not hold for non-negotiable items- like my family's health. Life and health insurance (really just extended warrantees on your life) are bets I gladly hand over to the house.

 

We did end up getting the extended warranty. I realize it's a gamble. If we didn't get a hybrid I wouldn't have gotten it. But really, this is still a relativly new technology and no one really knows what the longevity is going to be. Like GoNavy I can fix most anything myself. But if the hybrid drive takes a crap, that's just not something I'll be able to fix.

I'm covered for 8/120,000. Time will tell I guess if it was worth the gamble.

 

When I bought my Insight in 2000 I got the factory extended warranty. I don't normally buy extended warranties, even on new technology, but I got a great deal - $835 dollars to extend the warranty to 7 years/100,000 miles. The standard IMA warranty ran to 80,000 miles.

Beginning in the first year of ownership we all saw that the IMA battery pack state of charge would recalibrate itself. As the pack aged we saw these recalibrations become more frequent, to the point that mileage was negatively affected and unsafe driving conditions were created (loss of IMA power just when you really needed it).

Honda began replacing failed Insight IMA battery packs after many compaints from owners. However, Honda would not replace the pack unless a code was stored in the system. Many owners passed the IMA warranty period (based on miles driven) with deteriorated battery packs. Honda has replaced some Insight IMA battery packs out of warranty, but it takes an extraordinary amount of perserverance on the part of the vehicle owner.

I am now at 5.5 years of ownership and 76,457 miles. I have suffered through daily IMA battery state of charge recalibrations but had no code to show Honda. At 76,422 miles my IMA light came on. I still have full IMA assist and regen braking, and auto-stop still works as before. But now I have a code to show Honda.

I have driven my Insight very gently the last eighteen months, trying to extend the life of the battery pack, fearing that I would pass the 100,000 mile extended warranty period without the IMA system throwing a trouble code. Perhaps now I don't have to worry so much.

2001 model year and later Insights seem to have better IMA battery management and do not exhibit the IMA battery pack failures at the high rate seen by 2000 model year Insight owners.

To end this long story if I were to by a new Insight I would not get the extended warranty. Honda has by now worked out most of the bugs of the IMA system.

I don't think there is anything new (to Honda) on the Accord Hybrid, except maybe the noise cancellation technology. Personally, I wouldn't care if that stopped working so I would not purchase the extended warranty if I bought an Accord Hybrid.

Dan Smith
Arlington, VA USA