LC500 Extended Warranty

[AJ500]

One of the negative comments regarding ownership has been the cost of extending the warranty for an LC beyond the first 3 years. I was quoted about £2300 for a 2 year extension when mine becomes due.

As from now,I understand Toyota/Lexus are changing their warranty stance so that after an initial 3 year factory warranty,we will get a free of charge 1 year extended warranty each year we have the car serviced at a main dealer.This is a potentially major improvement as I would never take my LC anywhere else. The facility covers all cars upto 10 years of age and 100k miles.

The Recovery will need to be purchased separately from Lexus or elsewhere.

Seems like good news.

A J.

 

[lloydweb]

This is very interesting AJ, it wont be relevant for me until the end of '22 but sounds like a (potentially) big saving. Where did you see this?

[AJ500]

My main dealer Service Manager rang me this morning.

Its going out nationally as its a major incentive for any Lexus and Toyota owner.I believe the Toyota warranty will reduce to a factory 3 year,the same as Lexus but an annual rolling extended warranty will be great as long ad you use Lexus/Toyota for servicing,which I think is fair enough.

Potentially saves me over £2k at current prices.

A J.

[lloydweb]

Thanks, I'll make a note of this for when the time comes.

Looks like sheri1 has started another thread on this also

 

[wendle]

3 hours ago, AJ500 said:

One of the negative comments regarding ownership has been the cost of extending the warranty for an LC beyond the first 3 years. I was quoted about £2300 for a 2 year extension when mine becomes due.

As from now,I understand Toyota/Lexus are changing their warranty stance so that after an initial 3 year factory warranty,we will get a free of charge 1 year extended warranty each year we have the car serviced at a main dealer.This is a potentially major improvement as I would never take my LC anywhere else. The facility covers all cars upto 10 years of age and 100k miles.

The Recovery will need to be purchased separately from Lexus or elsewhere.

Seems like good news.

A J.

 

 

[EddieCD]

Fantastic news, thanks for the heads up 😀

[graham8370]

The cynic is coming out of me now. How or Why would any company start giving away potentially millions of ££££ in free warranties.

I've read the T's & C's on the Lexus website and it does read that way. I just can't get my head around it. They're literally giving every new car now a 10 year warranty absolutely free of charge (even though you must service at a Lexus Dealership, which you had to anyway)

I've checked the date and it doesn't say 1st April. Am I being too cynical for my own good?

 

[AJ500]

Hopefully you are being too cynical. It certainly ties us to main dealer servicing throughout the ten years but I would not take my car anywhere else anyway.However,its clear from comments made elsewhere on this forum that some owners want to use indy dealers.

I know there are certain items not covered but for me this is a great improvement.I was faced with a charge of over £2300 to get an extra 2 years warranty and I felt that was unreasonable in comparison with the cost for nearly every other Lexus model.

My dealer was very keen to impart the news yesterday and commented that the message coming from Toyota/Lexus is that we can do it because our products have been so reliable.

A J.

[wendle]

It looks like there service costs have gone up, i am sure a full service for my LC last year was £595 and now its £655.

it will also encourage customers with older cars to keep having them serviced at a Lexus dealership rather than a independent garage, you read so much on this forum about people asking for a Lexus specialists garage  recommendations for  getting work done on there cars rather than paying the dealership prices.

I remember a few years ago talking to Quinton Willson who I believe at the time owned a car warranty company, he's may still do so, I asked him what % of clams he had on Lexus cars, his reply was around 5%.

 

[ColinBarber]

I suspect the main driver is to stop providing warranties for vehicles over 100k miles, where claims increase, and to reduce the standard Toyota warranty from 5 to 3 years. Providing a new vehicle warranty of 5 years (and possibly they are under pressure to provide 7 years like the Korean manufactures) means owners are free to use any independent they wish for those 5 years. Now they can only do that for 3 years and then are forced to use Toyota dealers if they want to extend their warranty. It's a way to make sure people use the franchised dealers for servicing where those dealers make their money.

They have also scraped the cheaper essentials servicing for vehicles over 5 years old.

10 minutes ago, wendle said:

It looks like there service costs have gone up, i am sure a full service for my LC last year was £595 and now its £655.

Service on my GS was £655 last September and it is still the same price. But the warranty helps justify this high service price.

[Brian R]

Curiously I called my would be dealer just yesterday dealer to clarify servicing matters and they too were very excited with the news. Must admit I wasn't so believing but it does seem true! Hopefully this will endorse my decision to move from Jaguar to Lexus. What a great day to take ownership of a "new to me" Lexus 500h!

[Phil xxkr]

28 minutes ago, Brian R said:

Curiously I called my would be dealer just yesterday dealer to clarify servicing matters and they too were very excited with the news. Must admit I wasn't so believing but it does seem true! Hopefully this will endorse my decision to move from Jaguar to Lexus. What a great day to take ownership of a "new to me" Lexus 500h!

Congratulations Brian, what jaguar did you /do you own? 

[rayaans]

It does have a reduced level of cover looking at Lexus Relax but still relatively comprehensive. 

Lexus are really good with owners though. If the car has a full Lexus dealer service history they'll pretty much give goodwill on anything. The head unit on our IS went. 20k miles and 7 years old. £4k to replace. An email to Lexus UK and they reduced it as a goodwill to £500. Took the old unit away back to the factory in Japan to see what the issue was too. 

[Phil xxkr]

15 hours ago, graham8370 said:

The cynic is coming out of me now. How or Why would any company start giving away potentially millions of ££££ in free warranties.

I've read the T's & C's on the Lexus website and it does read that way. I just can't get my head around it. They're literally giving every new car now a 10 year warranty absolutely free of charge (even though you must service at a Lexus Dealership, which you had to anyway)

I've checked the date and it doesn't say 1st April. Am I being too cynical for my own good?

 

Yes Graham, but in your defence the extended warranty/Relax does not offer the same cover as the initial 3 years. I suspect some people will interpret as being the same 

[Shahpor]

3 hours ago, rayaans said:

It does have a reduced level of cover looking at Lexus Relax but still relatively comprehensive. 

Lexus are really good with owners though. If the car has a full Lexus dealer service history they'll pretty much give goodwill on anything. The head unit on our IS went. 20k miles and 7 years old. £4k to replace. An email to Lexus UK and they reduced it as a goodwill to £500. Took the old unit away back to the factory in Japan to see what the issue was too. 

This does beg the question though; what if Lexus UK had said no?

My extended warranty would have covered it, but the new Relax one won't.

These things happen from time to time, like in your case where you wouldn't expect it to fail, and the cost is high.  Personally, not only would I not be able to afford spending £4k on the repair, but it would represent almost half the cost of the entire car!

The only alternative that I can think of is either to leave it broken (difficult to resell) or to try and find one second hand, which may have problems with encoding and parts are hardly plentiful.

The general upshot is that some of the part not covered by this new warranty are very expensive to replace and would represent a high risk for some owners.

[Brian R]

6 hours ago, Phil xxkr said:

Congratulations Brian, what jaguar did you /do you own? 

Thanks Philip and the Jag is an XF. Will be sending it off to someone or another some when soon. Need to recoup a little cash whilst also moving the garage queen Z4 to another new home. Shame the LC won't go into the garage even though the previous house owner significantly extended it sideways. Shame he didn't increase the door opening size the same time! Still, my wife won't be shy about housing her Countryman Cooper in there! 😀

[Phil xxkr]

1 hour ago, Brian R said:

Thanks Philip and the Jag is an XF. Will be sending it off to someone or another some when soon. Need to recoup a little cash whilst also moving the garage queen Z4 to another new home. Shame the LC won't go into the garage even though the previous house owner significantly extended it sideways. Shame he didn't increase the door opening size the same time! Still, my wife won't be shy about housing her Countryman Cooper in there! 😀

Don't you just love having first World challenges😂

[Mudbutler]

I think for us (LC owners) it's a no-brainer. I can see that those with older models will see an increase in servicing costs. I guess Toyota/Lexus see the potential uplift in service fees will outweigh the loss of extended warranty fees. I 'm sure they have some research which tells them how many customers take out the extended warranty.

Interesting to see in the T&C's that "any replaced parts become the property of Lexus"..... !

[NemesisUK]

40 minutes ago, Mudbutler said:

Interesting to see in the T&C's that "any replaced parts become the property of Lexus"..... !

I think I've read that in every warranty I've researched, not at all uncommon.

Simply means the dealership retains the 'faulty' part, possibly to send for testing, research into failure mode

[Brian R]

3 hours ago, Phil xxkr said:

Don't you just love having first World challenges😂

Yep, it's a hard life! 😁

[rayaans]

6 hours ago, Shahpor said:

This does beg the question though; what if Lexus UK had said no?

My extended warranty would have covered it, but the new Relax one won't.

These things happen from time to time, like in your case where you wouldn't expect it to fail, and the cost is high.  Personally, not only would I not be able to afford spending £4k on the repair, but it would represent almost half the cost of the entire car!

The only alternative that I can think of is either to leave it broken (difficult to resell) or to try and find one second hand, which may have problems with encoding and parts are hardly plentiful.

The general upshot is that some of the part not covered by this new warranty are very expensive to replace and would represent a high risk for some owners.

The second hand part was £350. There's a brilliant lexus breaker in accrington that has all the parts, even some newer model ones. 

Lexus UK generally are very good on issues that are of extreme expense. They do have a policy which enables them to keep the car on the road and subsidise the cost. 

Our car was only worth £13k at that time so you can imagine £4k is nearly a third of it's value. 

[Tel]

Because I collected my new car 3 Days before Relax was launched I was initially claiming I had been duped but Lexus UK confirmed Relax is immediately available for my 2021 NX F-Sport with Takumi Pack & every other Lexus/Toyota provided the Relax criteria is met.

Ironically, because of Covid ,I never saw my car until I drove it away & the Service Book was in a sealed polythene bag with 4 or 5 strips over vents etc.

Did it have a PDI & the key Leather Protection ?

Tel

[ColinBarber]

1 hour ago, Tel said:

Because I collected my new car 3 Days before Relax was launched I was initially claiming I had been duped but Lexus UK confirmed Relax is immediately available for my 2021 NX F-Sport with Takumi Pack & every other Lexus/Toyota provided the Relax criteria is met.

Relax doesn't apply until your full 3 year warranty expires so no problems there.

[bvhout]

Hi

Doesn't £2,300 for a 2 year warranty sound incredibly expensive? They will break even when there is a 10% chance that you'll need £23,000 in repairs; a 5% chance that you'll need £46,000 in repairs; or a 50% chance that you'll need repairs totalling £4,600.

I would estimate that the probability that these repairs are needed are much lower than the break even figures. But maybe I'm putting too much faith in the quality of their product. As it is, this sounds as if they don't have any trust in their cars. 

Ben 

  

 

 

[malcolmw]

While I accept that parts and repairs for the LC will be very expensive, I felt rather "cheated" when I had my 3 year service on my V8 in February and was told that Relax was not yet available in the UK. I purchased the 2 year extended warranty (£2.3K as reported above) but I will cancel this next February on my next service and then rely on the Relax option. The Extended Warranty is much too expensive compared to the previous 2 for 1 deals available on other V8 cars.