Extended Warranty on new boat?????????

[snowman62]

I'm Getting my new VLX soon and the Dealer wants to sell me an extended warranty on it. Any suggestions on any good companies out there to use outside of the dealer. Maybe even cheaper than them, but still with good coverage? Trying to decide if it is worth the extra cash???????

[pielet97]

Statistically, extended warranties are not in the best interest of the buyer. Companies have all of the data and will ALWAYS charge more for the warranty than the average warranty claims over the agreed upon period. Think of it like casinos, they make the odds so they win.... It wouldn't make sense for them to enter into a contract that would cut profits, right?

On the other hand, your piece of mind may have some value to you, but realize when something breaks, you've probably already overpaid for the repair, not to mention the net present value of your $.

[TallRedRider]

Statistically, extended warranties are not in the best interest of the buyer. Companies have all of the data and will ALWAYS charge more for the warranty than the average warranty claims over the agreed upon period. Think of it like casinos, they make the odds so they win.... It wouldn't make sense for them to enter into a contract that would cut profits, right?

On the other hand, your piece of mind may have some value to you, but realize when something breaks, you've probably already overpaid for the repair, not to mention the net present value of your $.

That is exactly how I look at it. The extended warranty company obviously takes in more money than they pay out, or they could not stay in business. I think the max repair on a boat would be an entirely new engine. Depending on your engine, I would calculate that cost as the worst case scenario and see if you are willing to put up the warranty cost so that you would not have to pay for a worst case catastrophe down the road.

I am just pulling numbers out of thin air....but I think a Monsoon could be replaced for about 5K, probably even less. And I bet the warranty is $2500 or so?

[BSUBU_Kris]

I have bought them on a couple of the cars I have purchased. I was able to get the warranty for less than the "retail" price for both (25 to 33 percent discount). I didn't get an extended warranty on my new LSV. I am hoping if there are issues with the electronics it will come up during the warranty period. Most of the mechanical items are pretty bullet proof based on prior boats I have owned (Nautique and Centurion) I never had a mechanical problem with either that would have been covered under warranty. Knock on wood hoping for similar luck with Malibu.

[Tacostik]

Make sure you read the fine print on any extended warranty. Third party sellers are notorious for excluding pricey items. I have seen many folks buy extended warranties that were not worth the paper they were printed on. Extended warranties are generally a boon for the dealer not the buyer.

[footnlongline]

FWIW I have a 95 SSLX bought new and got 14 years of trouble free service. Zero money spent on repairs. My original motor was absolutely like new but interior rust on the exhaust manifolds finally killed a good motor. For me a extended warranty would have been a waste but my boat is pretty basic compared to whats out there now.