gregorynfp

When I purchased a Certified LS430 I sold an extension of the Certified Warranty and it was explained as such. Rather than a 3 year 100K it would be 5 year 125K. I paid $2025. I traded the LS430 for a LS460 and called Lexus about a refund and expected a full refund. I was told it would be pro-rated and argued that it was never 'used' and I received no benefit from it. Lexus told me I would have to go back the the dealer, Lexus of Orland, to get the full amount. A few weeks from my request I rec'd the check. it was for under $1,500, the same prorated amount. I am calling Lexus today but wanted to get some advice from readers here. I am thinking about filing a small claims case in court

bigblack06

iTrader: (20)

Depends on how long you had the warranty regardless of if it was used or not. The way it works is how long you had the warranty since the day you established it to your car. You will lose in court as its in the fine print on the warranty agreement.

escapedcon

so according to the OP, if one was to buy a 3 year warranty and at the end of the 3 years he had not used it at all he would get a full refund.

doesn't work that way, I'm afraid..

rominl

iTrader: (4)

it's always pro-rated, i don't know where you learned otherwise

ElliotB

In Florida, you have I believe 60 days to cancel without penalty. Beyond that, it is prorated.

patgilm

Give us more details, are you still within the 3 year CPO warranty and is that why you believe you should get a 100% refund? Is that what you mean when you state you haven't used the warranty because you aren't in the additional 2 year warranty period you paid extra for? Or are you saying that you haven't used the warranty because you haven't had anything fixed under warranty?

FLYCT

You have to read the cancellation terms in the CPO warranty you purchased. It will state how a refund is calculated or if one is even owed.

From what you wrote you may have purchased the Lexus Vehicle Service Agreement (VSA) that protects your vehicle beyond the 3 year / 100,000 mile CPO, Certified Limited Warranty. i.e. covering the vehicle from 100,000-125,000 miles and the 2 years past the standard CPO warranty.

If the T's&C's are written anywhere like the Platinum VSA, refunds are prorated based on a defined mileage and specified date in the contract, regardless if you used it or not.

Give us some more details.

His long after you purchased the vehicle did you cancel?
What was the odometer reading when you canceled?

JR

gregorynfp

I owned the LS430 about 18 months. It had 85,000 miles on when I traded it. Lexus does state the additional warranty starts the day the car is purchased by me but I did not receive any benefit with the purchased warranty. It clearly was to cover it for the 4th and 5th year and from odometer 100,000 to 125,000.

rominl

iTrader: (4)

doesn't matter. terms are terms

Midwestuse

It makes no sense that any extended warranty company would give you a full refund after a certain period of time (typically 60 days) as they do this to make money. If they gave a full refund to every user that never used the warranty their potential to make money goes way down. As the only policy holders they'd have left are ones who have made claims thus lowering their ability to make money. It would be a terrible business model for them to give you a full refund regardless of whether you used the extended warranty of not.

FLYCT

My guess is that since you were 18 months into a 60 month contract you were entitled to refund for the 42 months remaining. 42/60 = 70%.

When you purchased a 5yr 125k CPO warranty you opt out of or "give up" the offer for the 3yr 100k warranty.

The CPO warranty you purchased replaced the 3yr/100k CPO warranty. It was not an additional warranty that only covered year 4 & 5 and odometer 100k-125k. The 3yr/100k warranty costs the dealer about $1000. When they sell you an enhanced CPO warranty they save that $1000 and theoretically apply the savings to the 5yr 125k policy premium.

I sold my Toyota Avalon which I had a Toyota Platinum Extended warranty. It is written exactly like the Lexus warranty. I paid about $2,200 for it and had over $5000 in repairs covered by it. Since I had 66% of the time remaining they refunded $1,500. Sometimes you financially benefit from these warranties but most times you don't.

Sort of on the same subject, My wife complained to me that she just finished paying for a term life insurance policy that she paid into for 25 years and we got no benefit. My response was, would you have preferred that I collected?

Jerry