Extended Warranty. Yes or No???

[PGLex]

Hi All,  Be interested in opinions on whether to go for the Lexus extended warranty I have been offered.

Car is a 2016 450H F Sport, Purchased a year ago and is used for both business and pleasure.  I do approx 25-30k miles a year.

Car has 32k on the clock now and has been faultless in the last 12 months.  Have returned back to driving Lexus after a few years in various German cars. German cars seem to need warranty more than Lexus.

Have been offered an extended 2 year warranty by Lexus for £995 (buy one year, get one free??)

Normal wear and tear items not covered which is usual, but should I go with the extended warranty or not??

Is it worth £995 or do I save the money and use it to carry out a repair if anything fails??

Forgot to add that the Lexus extended warranty includes for Lexus roadside and home assistance, + hire car  and over night accommodations if they can't fix the car etc 

Any opinions appreciated. 

 

Edited April 21, 2020 by PGLex
Added details.

[royoftherovers]

If you want peace of mind and a lot of other things too then go for it.

You must have the Lexus serviced by Lexus.

Do a search on Extended Warranty and find out what you need to know.

Good luck.

[Illogan]

Mornin' Paul, - and welcome back to the fold!

I found myself in a similar situation to you last August - when I bought a 2014 version of your motor, - and I DID buy the extended warranty from Lexus.

I'd arrived at that decision having read many pages on the subject on this very forum, where I'd arrived at the conclusion that the majority of opinion was that the warranty was a worthwhile purchase. It is, of course, only a form of insurance policy, and we can always debate whether any form of insurance is a 'value for money' purchase - (it IS you one needs it, and ISN'T if one doesn't of course).

However, I also purchased a two year Lexus Service package - I liked the peace of mind that gave me - ( my days of scrabbling around under cars doing my own servicing are well over ) - and with a well made vehicle - I want quality maintenance (ships and ha'porth of tar etc)

I would also suggest that with your annual mileage being at least double the average, then there is a greater arguement for an extended warranty.

And just to justify my own decision - I promised myself to buy just one bottle of reasonable wine LESS per week (£10 bottle) - that way both the car and I would stay healthier!

 

[wharfhouse]

There are many who will say Lexus never go wrong and the extended warranty is a waste of money - but - any car can have a problem no matter what the brand. The extended warranty is peace of mind that if/when anything requires attention you are most likely covered and won't have to suddenly find the money from your own bank account. Whether you will come out on top or behind is probably immaterial - it really is a peace of mind decision. For me, I have a 2014 IS 300h I purchased when it was 2 years with 40k miles on it. I took the extended warranty when the manufacturers warranty expired. In the first two years the washer bottle sensor had to be replaced - cost was around £400 but was covered under extended warranty (if I had to pay myself may not have bothered replacing it). I then extended the warranty again after those two years and just after that needed both front wheel bearing replacing which was again covered under the extended warranty (didn't get an estimate on what that would have cost). Given that the extended warranty also includes the breakdown cover (and now MoTs too I think) I am in at least a break-even situation but even if I had never claimed I would have been happy with my decision. As others said you have to have the car serviced by Lexus for the extended warranty but can use the Essential Servicing when over 5 years old.

[rich1068]

51 minutes ago, PGLex said:

Hi All,  Be interested in opinions on whether to go for the Lexus extended warranty I have been offered...

With your mileage I'd certainly say yes. Especially with the inclusion of the breakdown cover. There's £250+ worth of cover there and if it's the same as my Lexus cover it's for you and not the car plus a partner for free.

[scudney]

Go for it for now Paul,with the mileage you do it at least gives you peace of mind and like with a lot of things in life you never know what round the corner 👍

[Herbie]

Any car warranty is like insurance. You pay for car insurance, house insurance and others, but yet you hope to never have to use them, and this is no different.

Great reliability, but also very complex and expensive to repair if needed, so I'd say yes.

[Malc]

maybe check the extended warranty cover will apply fully with your proposed mileage ..............  it should but i think worth asking the big Q ....  just in case there's a get-out clause in there for them

Malc

[PGLex]

Thanks All,  

Malc, Just checked the warranty offer and its unlimited mileage.  I will probably go for it and split over 12 monthly payments.   It ends up being approx £10 week for peace of mind.    £1000 up front makes it seem more, but for £10 a week its a very complex machine and peace of mind is worth it.  

[olliesgrandad]

4 hours ago, PGLex said:

Thanks All,  

Malc, Just checked the warranty offer and its unlimited mileage.  I will probably go for it and split over 12 monthly payments.   It ends up being approx £10 week for peace of mind.    £1000 up front makes it seem more, but for £10 a week its a very complex machine and peace of mind is worth it.  

Good move. 

My 2017 car had a water pump replacement under warranty (dealer gave me the paperwork). 

That job on a gen 4 RX450h is over a thousand pounds most of which is labour. 

Toyota water pumps are notorious for failing /leaking so I think you have made a wise decision. 

[ColinBarber]

Are Toyota pumps notorious for failing? Never have one fail, and I see just as many complaints on forums for other manufacturers as I do Toyota, if not more.

Failure within three years may be 'common' but that is a manufacturing defect or design issue with is addressed under the main original warranty - if it lasts three years it will probably go on to do 100k+ miles.

If you didn't have warranty you wouldn't get Lexus to do it so the cost would be well under the price of the extended warranty.

[Barry14UK]

It's about time Lexus at least matched Toyota's warranty and better still the 7 year one of KIA. I suppose they wouldn't want to do this as they would have to increase the initial cost. 

In view of the age of the car here and anticipated annual mileage, maybe worth not risking expensive dealer repair bills..

 

[royoftherovers]

3 hours ago, Barry14UK said:

It's about time Lexus at least matched Toyota's warranty and better still the 7 year one of KIA. I suppose they wouldn't want to do this as they would have to increase the initial cost. 

In view of the age of the car here and anticipated annual mileage, maybe worth not risking expensive dealer repair bills..

 

You do have a point Barry, but don`t overlook the fact that Lexus offers the best Extended Warranty this side of the Kuiper Belt with an additional 7 years and up to a total of 140,000 miles for about £10 per week. Less than the cost of 4 pints of ale, me thinks.

[holiday]

Hi I would definitely recommend it. Furthermore you get 2 free mots for the duration of the warranty. 
 

Whatever model you drive, the Extended Warranty covers the cost of most parts and labour – just like the original warranty on a brand new car – and offers all the reassurance and peace of mind that you expect from Lexus. On the LexusCare Approved 2-4-1 warranty you have the additional benefit of the cost of 2 MOT Test’s** (re-test is not included  
 

our car had £4K of repairs to be completed and it was covered by the warranty. This the link if you want to read more. 
 

https://d3rvezpmgp265q.cloudfront.net/lexusone/lexgbenv11/ExtendedWarrantyBroch_PAGES%200319%20FINAL_tcm-3157-1768928.pdf

[rich1068]

14 hours ago, olliesgrandad said:

My 2017 car had a water pump replacement under warranty (dealer gave me the paperwork). 

When the extended warranty question crops up on here I think it's these sort of issues people overlook. Focus is always on the hybrid trickery and "What if...?" It doesn't take much for a bill to run to £1k at a main dealer if there's a problem with a part shared by pretty much every vehicle out there.

9 hours ago, Barry14UK said:

It's about time Lexus at least matched Toyota's warranty and better still the 7 year one of KIA.

With the longer standard warranties offered by the likes of Toyota and Kia, don't they insist on main dealer servicing throughout? Or did I dream that? I know they can't for the standard 2-3 year warranties because of whatever that legislation is called (the name escapes me) but I thought I'd read somewhere that to be eligible for eg 7 years your car has to stay within the authorised dealer network.

[Herbie]

It really depends on the age of the car and if you intend to drive it until it dies or sell it on.

I used to love working on my own car and over the years I've had engines in and out, stripped down, repaired this, that and the other, and done all my own servicing.

My back injury now prevents me from doing any of that and, of course, if you service it yourself you don't get the stamp in the book.

My point is, Lexus labour charges are extortionate but, once a car gets beyond a certain age, why would you take it to the main dealers anyway? There are many excellent garages and mechanics out there and things like cam belt/water pump changes, brakes and other routine stuff are their bread-and-butter jobs, well within the scope and capabilities of any decent mechanic worth his salt, at prices far more reasonable than Lexus main dealers, so in that scenario, an expensive extended warranty may not make sense.

The killer for me, although I do have an extended warranty at the moment, is the requirement to also have servicing done at the main dealers as a condition of the warranty. I'm more used to paying "mates rates" for servicing and it was quite a shock when I had to pay for Lexus servicing. However, my car is still young enough yet to justify the warranty so hey-ho.

[royoftherovers]

A Service Contract would make the financial pain more bearable Herbie ?

[Herbie]

3 minutes ago, royoftherovers said:

A Service Contract would make the financial pain more bearable Herbie ?

Yes it does John, and I am indeed on one.

It's just that my mate used to charge me £30 plus parts 

[ColinBarber]

17 hours ago, Barry14UK said:

It's about time Lexus at least matched Toyota's warranty and better still the 7 year one of KIA. I suppose they wouldn't want to do this as they would have to increase the initial cost. 

In view of the age of the car here and anticipated annual mileage, maybe worth not risking expensive dealer repair bills..

Lexus would state they don't directly compete with Toyota or Kia so don't need to match that warranty duration. They compete with BMW, MB, Jag, Volvo etc, and their warranty is competitive.

[Barry14UK]

4 hours ago, ColinBarber said:

Lexus would state they don't directly compete with Toyota or Kia so don't need to match that warranty duration. They compete with BMW, MB, Jag, Volvo etc, and their warranty is competitive.

True but surely when a customer pays more for a premium perceived car he/she would consider reliability should be at least comparable and as well guaranteed as in a lesser marque/model without paying extra for the assurance.   People are becoming more discriminating in what they buy and I know a number of people who have had Mercedes and BMW cars who have gone elsewhere and won't buy them again due to unreliability and heavy running costs of their modern cars, nice though they look and handle - I am one of them.   There are a lot of good cars available now, some better in certain respects than premium cars and if I was doing many miles each year I would consider a Kia for the standard 7 year warranty among other things. My daughter has a Sorento in which she does mega  mileage ferrying her brood to/from 4 different schools each day etc.,  and with which she is very pleased.

Sorry, this has gone off direct topic but I think OP got pretty unanimous answer in thread. 

[ColinBarber]

Most people purchasing new vehicles are doing so on lease, and are changing them every 3 years so long term reliability isn't a concern like it used to be - especially for premium brands such as Lexus.

But at least a Lexus is nothing more than a Toyota with an L on the badge plus some higher grade materials. Toyota wouldn't give a 5 year warranty unless there was a good chance that it wouldn't get used much - therefore you should be comfortable that a Lexus will be relatively trouble free too.

[RgrWynne]

20 hours ago, Herbie said:

Yes it does John, and I am indeed on one.

It's just that my mate used to charge me £30 plus parts 

Hi Herbs, I do get your sentiment about service costs at Lexus dealerships, and extortionate labour costs. However my daughter has a 2015 RX 450h,  bought privately with a FLSH. She intends to keep it long term, so FLSH not really relevant per se. When she needed a service, I asked a very good local independent who I know for a price. She then compared that to Lexus Chester, but when you include the hybrid health check, including warranty, there was not much difference. Then factor that the dealership will use proprietary consumables, plus correct oils, so you can have confidence, she went to a Lexus Chester, so not all bad.
I would agree it is sensible to get a price for other repairs, from indies, but tbh, and touch wood, these vehicles are so reliable, you would hope it was not necessary.
There is much written about service costs, and how to cheapen them, and of course you can cheapen anything, but I have usually taken out service plans, mainly with my wife’s Honda, and used the main dealer. Taking everything into account , including resale values I have been delighted with not only the costs but also the peace of mind, and of course reliability. My own Lexus is cared for by Paul Frost, with me supplying the Lexus consumables, and I am delighted with the result and of course the costs. I doubt my LS430 will ever see the inside of a main dealer🤗 and thanks for your help 👍

[ColinBarber]

At least from some point this year she can get cheaper essentials servicing available for vehicles 5 years old to save a bit and still have the hybrid health check.

[Malc]

On 4/22/2020 at 2:14 AM, royoftherovers said:

Less than the cost of 4 pints of ale, me thinks.

blimey, more like the cost of just 2 pints of draught Guinness ..  but  that  really is special

sorry i digress 

Malc

[westo3]

With the roadside assistance included in the extended warranty you only need to get the bare minimum insurance . I was surprised when I was looking for insurance ( fully compl) the drop in premium when I said I did not want any road side assistance,, car hire or European cover which, of course is all included in the ext.war..