Good points by all. I guess the enticing thing about it is that at the end of the day, if not used, she's out about $900. Fixing, say, the navigation system would probably cost thousands. Same with things like heated seats, sound system, various electronic components... So a $900 warranty that covers a variety of things that will cost far in excess of that amount seems more reasonable. Though I guess at the point that you use it, it becomes a $2700 warrantee.
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Originally Posted by ken0042
My point was that 20,000 km per year is already pretty low; and that I don't know anybody that only puts 10,000 on a vehicle that isn't retired.
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I actually don't; I almost never drive to work except on weekends and use my car almost exclusively on out of town trips. In 18 months I have maybe 5000km on it. However, in her case I expect the real total would be something like 15,000km. So assume it's 2.5-3 years then.
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How does the "if it's used" thing work? If there is a $500 repair job 6 months from now, will your friend be tempted to pay out of pocket in order to save his $1800 refund?
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In 6 months you'd think you'd use the warrantee. If it were 3.5 years from now and the warrantee was about to expire anyway you'd probably pay out of pocket, I would think.
Thanks for adding the poll.