Hi All,

Based on Lexus/Toyota's high reliability rating and your personal experiences with your vehicle, how risky do you think it is to NOT get an extended warranty on a 2004 RX330 before it expires? Most people tell me extended warranties are pure profit for the company (which is exactly why they sell it), unless you are one of the unfortunate soles to get a lemon, in which case it is a godsend option.

Do you think the cost of the extended warranty is more or less than you would spend yourself to fix any issues that may (or may not) surface? Keep in mind, you do not have to fix problems at the Lexus dealership which would also save you much more money in the long run. And of course, you will be doing the regular maintenance for this vehicle to keep it in tip top condition.

Thanks, I'm debating this right now as the factory warranty period is just about to expire on the used 2004 RX330 that I just bought and it is costly to extend it...

 

How much will it cost you? Then divide the number of years that will cover it, then decide if that is a good investment. Say $1800 (for 7yr-100k miles)/3 years if you will not put too many miles on it, so $600/year. Will $600 make you sleep at night thinking that if something happens, you have warranty? Think...think hard. If I were the 1st owner, I will not buy it, because I know how I took care of the car....but if you do not know the previous owner....think.

 

"Do you think the cost of the extended warranty is more or less than you would spend yourself to fix any issues that may (or may not) surface?"

If that's the question, then the answer of Lexus, which is selling the warranty, is that the cost of the warranty is less than the cost of the repairs.

I think they know more about it than I do. Most observers suggest against buying such extended warranties.

 

Ahhhhh, thats the million dollar question, to buy extended warrenty or not to buy. Lexus is a reliable car, but like any thing mechanical, it will break down. Lexus parts are not cheap, one major repair could cost more than the price of the warrenty itself. There is no real good answer here, it is worth it if you need any major repair down the line but not worth it if you are lucky enough and not have any major repairs, but if were to gamble and not buy the extended warrenty, there is no better car to do with than a Lexus.

 

Only 2 groups of people who sap all the money in this world we live in....Insurance folks and Lawyers......

 

I don't know what parts are specifically covered by the extended warranty, but shortly before my 4/50 ran out on my GX470, the sunroof motor/mechanism failed. It was replaced under warranty, but the charge back to Lexus by the dealer was $1700 for the repair. They replaced the complete sunroof mechanism... A couple things like this would make it well worth the extended warranty if it would have been covered by it.

 

dude if it makes u sleep better at nite get it. I dont waste $ extended warranties on appliances and electronics. But on cars that i am paying for over a time, hell yeah. There is no way i am going to be paying for costly repairs and still making a car payment. I have no car payment on my RX for about 1 1/2 years now and i still have a year of warranty left almost bumber to bumper coverage. When bought my RX, I negotiated MY best price. Then i told them to make it happen with an extended warranty. They came back at a price about $500 more. On paper, they kept the warranty price the same($2K), but dropped the RX's sale price. you can say maybe my origianl RX negotiated price was too high which afforded them to lower it more. However, I can say I was and am fully satisfied knowing i can drive the crap out my car and not have to worry for another year and 1/2. If you drive conservatively, DO NOT GET IT. If you drive like me, purchase warranty with a quickness.

 

I would buy extended warranty, just for the peace of mind. Well worth it.

 

It only takes one time to benifit from the purchase of the warranty.

 

"It only takes one time to benifit [sic] from the purchase of the warranty" is a gross generalization.

If the cost of the warranty is $1,500, and if you have a covered repair that costs $1,000.00, you have still spend $500 more than if you had no warranty at all. Add in the time value of money, you would need to have covered repairs exceeding the cost of the warranty in order to have a benefit. Factor in limited coverage and deductibles, and the threshold of benefit becomes even higher.

What they should offer is an extended warranty with a broad coverage but with a high deductible, say $500 or $1,000.00. The cost (the premium) of this warranty would be quite low due to the limited coverage, but the owner would be protecting himself from those repairs which would be a financial hardship. This is what auto insurers offer: the higher the deductible on the collision coverage, the lower the premium. What you really want here is an umbrella policy for your car.

You don't need to insure yourself against expenses you can afford on your own, which is what these warranties offer, but that is where the profit is for the seller.

 

Aptly said.

Again, if you drive conservatively and you knew the owner (if used) then, I say no need to get the extension.

If you bought used and it is an ex-lease car, you need to invest in the insurance for your peace of mind (this is where it is relative).