Mechanic’s View of Aftermarket Car Warranties

4 things no one is talking about when considering an aftermarket car warranty.
01:12 Reason #1 - Much Longer Wait Times For Repairs
06:29 Reason #2 - Diag & Denied Claims due to "Uncovered Parts"
10:03 Reason #3 - Predetermined Price on Labor & Parts
16:23 Reason #4 - Cost of Warranty Vs Policy Limits

[@sevenpaulperalta929]

I tried to convince my friend not to buy a warranty, but he did it anyway. The celebrities promoting these products should be ashamed of themselves!

[@dhgmllcshea5038]

Well, ya gotta realize that some of them have gone broke from buying N.G. extended warranties on everything in their mansions...

[@joaopedroalbernaz]

"WE'VE BEEN TRYING TO REACH YOU REGARDING YOUR CAR'S EXTENDED WARRANTY..."

[@Thankz4sharing]

And they specifically refer to a car that was totaled in 2017. Persistent SOBs.

[@bwalker4194]

These are the same people who got my 40-yr dead grandfather to vote in the last election.

[@andrecampbell691]

When I buy a new car, usually a Toyota, I really enjoy the visit to the financial guy and just say no to the 5 or six items on their pressure sales checklist, usually with a slight smile. I've been buying cars for over 50 yrs and have done 80 % of all my own and my wife's car maintenance. 😂

[@ivandemiguel8607]

😂😂

[@JohnBGood-kq3ul]

@@andrecampbell691 What some people don't realize is that you don't have to buy an extended warrantee from the dealer you bought the car from. If you want to get an extended warrantee you can go online and find dealers who sell the same Manufacturer's Warranty for much much less less. Also, you have up to the the original warrantee expiration to purchase the extended warrantee, so you have lots of time to shop around.

[@omaha2pt]

For 5 years I worked on the other side of this. You are bang on point. I will not bore you with the details, but I'll tell you that after 5 years I could no longer live with it and left. We were instructed to go thru the claims and the contracts to find a "legitimate" reason to not pay out. In my case, the "warranty" was actually a mechanical breakdown insurance. Insurance companies, like casinos, always win. For anyone reading this, avoid it. You're better off putting that money away for when your car needs a repair.

[@timothyhinman7689]

It makes sense to save the money in an expense account. At least if you don't use it, it's money you still have and not money gone.

[@donswier]

Absolutely. On. Point.👍 The House always wins. Never forget. By that logic, might as well by Hunger Insurance and then file a claim every time you're hungry. Imagine the red tape, delays and cost associated with every meal, all costs built into a stupid Hunger Insurance policy, plus more for marketing and profit margin for the insurer☺️

[@LPMutagen]

Imagine how many families you systematically screwed over in those five years. If you live another 80 you'll never be able to undo the damage. But hey kudos to you for at least stopping.

[@omaha2pt]

@@LPMutagen This is where the boring bits come in. When I started the company was actually losing money, fraudulent claims were rampant, and the company was actually pretty much paying out almost everything under the sun. When I came in, I reigned in on that, but always with 100% honesty, which I was until the day I left. On my 3rd year we had a change of GM, and that was when things started to change ever so subtly, but I didn't see it at first. It was on my 5th year that things were becoming obvious, and I stuck to my guns with regards to fairness and honesty. Things started to go down hill from there. Also, the policy holder/beneficiary was the used car business, not the vehicle owner (hence the rampant fraudulent claims). The vehicle owner was always protected by law, the used car trading business must, by law, give a 1 year warranty on the vehicle. If any families were hurt, it was by the used car lot business. Finaly, our own agents/sales people were selling the product to the professional traders as a "Warranty" proper, not explaining it was in fact a mechanical breakdown insurance policy, with a specific coverage clearly and thoroughly explained in the booklet (but of course, no one ever reads these things). FWIW, my conscience was, and is, always clear. I cannot vouch for how things were done after I left. I hope this clears things up a bit.

[@user-ed8xd6dx5w]

40 years in auto repair, and I can confirm his every remark. Take the money that the warranty costs and put in a savings account instead. When your car breaks down, you'll have some funds to pay an honest shop a fair dollar!!

[@jeronronnunkoffunk4691]

That’s the theme or idea that kept going off on my mind as I listened to this video!!

[@traxxi2003]

This is the reason why I never waste money on extended warranty. Brother, I commend you for taking the time to put this information out there. God bless!!

[@twoody9760]

The home warranty business is a rip off as well.

[@rotart12arx3]

​@@twoody9760I had one and they replaced the central AC and a hot water heater. I am so far ahead of the policy cost, it saved me a ton.

[@brianraglandsr.2349]

I own a small shop in Ohio. I decided to deny warranty companies years ago now for all that you discussed.

[@jameshayes1024]

I was a service advisor for 15 years. You are right on target. The prime objective for the service contract company is to find a reason to reject the claim, not to service their customer. I recommend vehicle buyers to take the money they don't spend on a service contract and place it in savings. If a repair is needed, you will have money for it. If no repairs are needed, you have a stash of money to treat yourself to something special.

[@ForCrynOutLoud]

Same for any extended warranty on anything.

[@teddward9550]

3k for example is not gonna cover a trans replacement or engine replacement. I dont really understand this a approach.

[@jameshayes1024]

@@teddward9550 Buying a service contract on ANYTHING is a gamble. How is your luck? Don't think that submitting a claim on a service contract is a piece of cake. If your vehicle has a COVERED major failure, the contract company will search for a replacement part at a junk yard (read the fine print). Doesn't that boost your confidence? I still say - save your money!

[@moshet842]

@@teddward9550 How about buying a car with a low likelihood of needing a transmission or engine replacement? How about spending a couple hundred dollars to service the transmission fluid every 50k miles and making sure you increase the life of the transmission exponentially? There are several things you could do before jumping to getting an aftermarket warranty.

[@troypollonais9143]

​@moshet842 planned obsolescence and auto engineers have entered the chat. Whether it's Nissan's CVT transmission, kia and hyundai engines over 150,000, internal water pumps, ford's ecoboost... I can go on and on. Almost every manufacturer have produced bad designs that fail. The biggest problem now, is that labor rates average $150 - $200 per hour. Look up the percentages of consumers who have emergency savings and you will see why it's not just as easy as saving the money

[@bdeknight7984]

I was a career auto tech (40 years) and small shop owner , spot on description of what to expect , I always told my customers don’t buy the warranty but put the cost of it aside to use for future unexpected repairs. Nobody ever complained.

[@AbouTto_]

right

[@ericgreth]

I've never bought an aftermarket warranty. Knowing how much commission the salespeople make on these was enough. This is an excellent overview from a mechanic.

[@ttrienski]

Everyone needs to hear this. Warranties add time to repairs, and there are still things you have to pay for. YES, all shops should charge for diagnostic time no matter what. Technicians should not work for free. Shops are expensive to run. Diagnostic equipment, software subscriptions, and training all come with a price.

[@WhiskeyInspekta]

Too bad half the time they are wrong. And when you come back with the same issue they want to charge you for a new part and labor. It makes no sense. They want to charge 2 bills for the same problem when it was supposed to be fix the first time.

[@mattburns2968]

​​@@WhiskeyInspektaexactly! Auto shops charge ridiculous prices. They charge for a diagnostic fee, but that doesn't mean they actually know what's wrong with a vehicle. They are parts changer's. I was at a place the other day and a lady picked up her car. She got a oil change- so oil and filter, Oil pan gasket and a new injector. Which probably took all of 2-3 hours depending on if you have to take off the intake or remove the engine mount and push the engine up a little bit to get the oil pan out. This lady got charged over $1000!!! I couldn't believe my ears when I heard that guy at the counter tell her how much it cost after saying what was replaced.

[@craigsparton]

This man speaks the truth. Do not waste your money. It has gotten to the point where I just tell people I don't deal with extended warranties. One example, a lady came with a Buick Lesabre. The engine would not turn over and appeared to be locked up, but it was actually just the A/C compressor. Her "warranty" had a $100 deductible, did not cover fluids, didn't cover tax, and the rep told me they wouldn't cover a new or reman compressor and wanted to ship me a used one. In the end they ended up paying just over $100 on a $500 bill and she left with no refrigerant in the A/C because she didn't have the extra money to cover it.

[@AirEvangelist]

Been in the HVAC business for decades and have refused to get involved with companies that provide home warranties, for all the same reasons you list. Thanks for telling it like it is. Wish your shop was close to us.

[@leeandadaelliott]

I think if the repair shops formed a co-op of sorts and then sold their own after market warranties everybody would be financially ahead. It would work like collision repair where the insurance co-op would take an educated guess at the problem, predetermine the amount they're willing to pay, and the repair shop could decide whether they are willing to take on the job. Part of the premium would be paid by the participating repair shop and the major portion would be paid by the vehicle owner. This way, everyone would have a dog in the fight.

[@msmoniz]

Reasons: 1. THEY are a rip off. 2.They ARE a rip off. 3.They are a RIP off. and finally.. 4 They are a rip OFF!!

[@ShadetreeAutomotiveLayton]

Haha hey man no spoilers 😂

[@Chris-hc9vb]

Yea I let it go

[@raiden031]

Only 4 reasons? I think it might still be worth it

[@Titan500J]

Your being ambiguous, can you please clarify 🤣

[@paulhailey2537]

SPOT ON CORRECT 💯

[@jeronronnunkoffunk4691]

I have a family member, that had an experience where the warranty company did not approve of a relatively big job, due to some specific technicalities, it actually defeated the purpose of them even having the coverage when all was said and done ✔️, thank you for the very informative and concise breakdown!!🔥🔥👍🏽

[@davidleslie949]

Eye opener! Very well done! I don't think there's any any questions left somebody would need to Ask lol. You literally covered every single aspect of an aftermarket warranty claim from the moment a customer hands over their keys & explains to you their complaint or concern . Then to diagnosing the cause to later if all goes well, complete the final of the 3 C's by having As many issues as possible. I worked for several years as a heavy truck and trailer technician after going through secondary school and post secondary school taking automotive courses because I've always been inquisitive and didn't have the means to it have my vehicle repaired. so I never knew exactly what it cost to run a shop or how much the hourly rate was because I do all my own work on my vehicle and small engine power tools that I have. Needless to say I've been fortunate enough to have the luxury of not receiving a service bill for my vehicle repair. Since I was 10 years old, I've been taking stuff apart and learned a lot on my own as well as with schooling and of course, KZbin . Enjoy failing 2 L succeeded as much as I enjoy getting something right the first time because if I were to get something right every time, then I would only be learning one lesson or when I make a mistake I learn twice as many lessons what didn't work and what did work! To this day I still get a natural success high when I fix something no matter how long it takes? I will figure it out and I will get it done...It will work as good as new, if not better. Thank you for opening my eyes and giving me perspective from a shop owners point of view in really easy to understand scenarios with real world costs involved. I no longer want to ever run a shop after listening to your horror stories. hi to Wood cringe if I had to phone a customer or eat $300 of a bill I don't think I'd be able to sleep at night for that reason I think I'll stick to fixing vehicles or at least keep building them for now and a small shop on my own When I retire.

[@yossarian451]

Whenever you buy a car at a dealership they push these vehicle maintenance warranties like crazy. There are super high margin for a dealer to sell. They tried to sell one to my son when he bought his first nice car. I explain to my son that the woman giving you a personal anecdote about how great the warranty is is a salesperson, and what she says to sell you the warranty is not binding. Once you buy that warranty and she gets a big commission, you're on your own. All these warranties like American home shield home shield are never worth the money and it usually takes people a couple of times of getting screwed to figure it out.

[@ivandemiguel8607]

I am convinced that there is case for a class action against aftermarket warranty and home shield insurance and I am convinced that it will ruin and close forever the two biggest scams in this country. It will bring down the price of buying a house and car, save thousands of dollars to owners and probably put out of business all those crappy, scammers, straight up thieves that call themselves Realtors and Car dealers.

[@lakoncers13]

I spent $2500 on the Carmax warranty. by the time I was done with my four years Carmax had put in about $15,000 into my truck. No extended time at mechanic shops and never had a single repair declined. It actually became a thing where taking my car to the mechanic was a chance to have my car thoroughly gone over and anytime they found something that could possibly be worked on. They got it approved and it was repaired or replaced. So maybe not all warrantees are the same but the warranty from Carmax was wonderful.

[@franktarant3947]

For you, I am willing to bet the guy working on it lost money on his flat rate pay, but what do you care?

[@BadWolf762]

This post brought to you by Carmax.

[@marccrotty8447]

​@@franktarant3947I owned a shop and allowed mechanics to work flat rate or hourly. At least new guys would always go hourly. I also adjusted flat rate in my QuickBooks to document unforseen issues that adjusted actual repair times.

[@MrGGPRI]

Didn't Carmax just go bankrupt ??

[@hakz1nunke]

Had a customer with a Raptor he puts a ton of miles on. We didn't sell the truck or the warranty (CNA). He got 15k out of the warranty at our shop the first year he had it and they NEVER gave us any issues or sent an inspector. He's currently sitting around 21k in repairs total at our shop and still, one phone call, fix it.

[@Barbarapape]

I work in consumer electronics repairs, and we hate it when a customer says they took out and aftermarket warranty. Even in warranty repairs can be a nightmare, you have to use oem parts but they refuse to pay a reasonable amount to cover the time involved in finding the fault and then if approved the time to replace the faulty part and test the item. Then customers think we are trying to overcharge them if the claim is refused.

[@fredhenry426]

Thank you. Well done. Never had aftermarket warranty and now confirms I never will. Great topic, first time for me. Appreciate it. Thanks again.

[@ShadetreeAutomotiveLayton]

Thanks for the support! 👍

[@Cocora22]

The previous truck I bought was a 2018 Cadillac Escalade. After 20 plus visits to the dealer, vehicle still under warranty, plus I bought their platinum extended warranty too, I gave up and sold it. I got most of the extended warranty money back after a lot of arguing, insisting, emails and many months of waiting. Had it less than 3 years. Next truck, Lexus GX 460, negotiated the vehicle, no dealer fees, tags title, registration and tax. It felt soooooo very good to say no to everything else! Soon coming up on 3 years of trouble free ownership, just maintenance. Really enjoyed your perspective on your business and the way you have to handle these companies.

[@CrazyPetez]

If I buy an extended vehicle warranty, it’s always from the vehicle manufacturer, that is Ford, or GM, etc. Thanks for the honest report on after market warranties.

[@ShadetreeAutomotiveLayton]

For sure! Thanks for your support!

[@billredding2000]

Yes...I'm getting a Mopar (my 3-year OEM/factory warranty runs out very soon). NEVER would go with an aftermarket/3rd-party extended warranty. -- BR

[@JimAllen-Persona]

Agreed. But you have to be careful, there’s a Honda dealer by me that’s selling “their” warranty as a factory warranty. Only good at their shop. Scamming b*stards. I forced my daughter to buy a factory warranty on her pre-owned car because it was in an accident once already. She wasn’t happy but my policy if I can’t self-insure I’m buying a factory warranty. Yeah I know it’s pure profit for them but like all insurance it’s a crap shoot. If it was new, I would’ve passed on it.

[@billredding2000]

@@JimAllen-Persona Well, made sure mine was a Mopar (OEM/factory) extended warranty (aka: service contract, aka: vehicle protection plan), but I got the best deal in-person at a local Jeep dealership: Mopar Maximum Care, 5-year/85K miles/$100 deductible (expires mid-April 2029) for $2245 -- $100 over dealer cost ($2145). Mopar is financing it (I wanted a 12-month term, not 18) @ 0% interest, no $$ down required and no "admin fee" like the online sources. I've heard some dealers do $50 over cost, but that's okay -- I'm fine with the purchase and it was a local dealer purchase. I agree though the almsot all auto dealerships try to get you any which way but loose, don't they -- one huge reason to research what you want to buy and not let them do any "creative financing" whatsoever. Or as you pointed out misrepresenting their products. -- BR (2021 Jeep Gladiator Rubicon)

[@elcheapo5302]

@@billredding2000 I have the Lifetime Maxcare Mopar warranty (no longer available) on my 2015 Wrangler Rubicon I bought new in 2014. Not one thing has ever gone wrong with it, and I'm not complaining. But I'm in my 40s and plan to live a lot longer. 🤣 Went with the 8 year (longest available) Maxcare on the wife's 2019 (bought new 2018) Grand Cherokee. It's been flawless to this point but the radio screen is starting to delaminate. Still works but looks bad. That'll be covered and I'll have broken even on the cost of the warranty once that happens.

[@canuckchris5733]

I noticed the algorithm has changed somewhat Smaller channels like yours are now showing up in my feeds and the million plus channels have been pushed less to my feeds. So I liked and subscribed

[@joem.7621]

They will do everything possible they can to not pay out. Guaranteed. DO NOT BUY EVER.

[@ShadetreeAutomotiveLayton]

Yeah, very few step up

[@BiloxiBlues07]

​​@@ShadetreeAutomotiveLaytonWhat few are actually worth the hassle? Any thoughts on Endurance vs CARCHEX?

[@JohnS-il1dr]

​@@BiloxiBlues07no matter what avoid Car Shield

[@davidcasey-motley5403]

@@ShadetreeAutomotiveLayton Are you attached to a dealership? If so, have you had any issues with the third party extended warranties the dealership sells?

[@willboyd8021]

No to Endurance

[@David-lu5tl]

I just got Walco aftermarket warranty and when I was buying the warranty they game me a 30 day money back guarantee if I changed my mind. Well looks like I’ll be getting my money back because if my car is going to be sitting In a shop for two to three weeks I’d just do the whole thing myself or find an honest shop that I can trust and is passionate about their business and customers. Thank you for your experience, expertise about this situation/subject!

[@twoody9760]

Good luck.

[@davop4919]

Retired mechanic of 39 years I know exactly what you're talking about not only did I have to diagnose the vehicle I had to deal with the warranty companies sell the job to my customers order my parts which I preferred because the service manager was always tied up with other mechanics..Just faster that way.....Oh did I mention I'm glad to be done with it all? Now all I have to do is roll around in my driveway with my own cars but hey I don't have any come backs 😂

[@bobm21]

Being an auto technician of 41 years, I agree 100%

[@musclecarsrt2324]

I was a technician and a service writer for many years and they would deny a claim for multiple reasons like all you have explained. Everything you said is true and then some. I had to wait for a rep to come and inspect the car for over a week many times but they would cover the rental, the stories go on and on. Great job explaining the aftermarket scams.

[@gregoryandersonmotorsports]

The old commercial with the claims adjuster training class " what do we say?... SAY NO what to we do? DENY THE CLAIM!!! "

[@YeOldeTowneCryer]

If a dealership is offering a warranty of their own it might work out because they are the one offering the warranty. There is no middle man, no insurance agent to please and wait for a response. If they try to cheat you, you can easily make it widely known it is a scam so they are not going to shaft you for fear of losing sales. A dealer I spoke with offered this: IF you bring the vehicle to them every 5,000 miles for oil change and check up, then every 50,000 for transmission fluid change and check up, they will warranty your drive train for as long as you own it. If you are like me and drive a car 300,000 miles that's a good deal. Most folks don't do that. The check up and oil change every 5,000 miles guarantees the dealer the car is maintained properly. They will rotate the tires, check the brakes and under the hood for hoses and belts. The fee was $100. The 50,000 mile one with trans fluid cost $350. That included flush the power steering fluid, brake fluid, differential fluid, chassis lube, and antifreeze as well. So the customer was going to pay less than most warranties and get really good maintenance on the vehicle. If I had bought the car from them I would have used the drive train warranty. Of course if they find brakes are worn, that is not covered and you do not have to let them do the brakes to maintain the drive train warranty. However, most folks would agree to the brake job since the car is already there.

[@juans6639]

I can personally testify that this happened to me with the purchase of a Security Camera System at Wally Mart, ($759.00) I purchased the 3year "Extended warranty" furnished by Allstate under the SquareTrade Name" which turned into a NIGHTMARE! Two cameras failed and were replaced. Upon the failure of a Third Camera, SquareTrade refused to pay/replace for the Third camera, citing the EVIL Excuse that repair costs for the Two Cameras; $358.00 & $368.00 respectively SURPASSED the amount of coverage! WHO, in their Right mind would spend this amount of money for; "REPAIRS"? These Cameras purchased separately cost $45.95 EACH...Less than $92.00 THIS IS INTENTIONAL AND EVIL! Needless to say, I have filed a complaint with the FTC, OAG, BBB which at present deserve to be a Class Action Lawsuit against them. Obviously the hands on Allstate's logo should show a middle finger pointing up!

[@lopesphoto]

Sometimes you get an extended warranty if you bought on a credit card. Try going through the credit card company.

[@juans6639]

@@lopesphoto I did purchased it with my Credit card and don't see any problem with that. The problem is the EVIL trick many companies use in trying to fulfill their obligations.

[@user-ul7jb8cl7g]

I bought a microwave oven at WM and paid the $5 for the extended warranty. Within the warranty period, the keypad failed. One of the columns stopped working. I submitted my claim to Allstate. After a few months, they denied my claim (they cancelled my original claim and demanded I submit it again.) The "extended warranty" companies are evil parasites.

[@davenewman2751]

I'm retired from medical laboratory management and can assure this exactly what medical insurance does to providers. Drives up costs as they employ people to figure out ways to not or to delay payment. This forces the provider to have employees working to get paid

[@johnwidell8092]

This was my first thought. Once the costs go up and the time is lost, there is no going back. People will eventually need insurance because they will not be able to afford the inflated costs.

[@MrSparks54]

My lifelong buddy here in Murray, Utah runs an auto repair shop. His advice is to set aside what you would pay for an aftermarket warranty every month in a savings account. After a year or two you'll have enough to cover most or all of a repair. Great advice in my opinion.

[@shybishop5059]

I was the Ford Warranty Clerk at a Ford Dealership before becoming a Service Writer. The first time I had a repair covered by an after market service contract I called the company and told them the transmission needed to be replaced and gave them the cost. Their rep said, "Okay.". We did the repair and I called them again. The rep said, "It was Okay, thanks for letting us know, not Okay, do the repair." I chopped every thing I could, including charging labor at the rate we paid the tech." The Car owner was extremely upset at the cost because the company told them I was overcharging them. I was fired the next week.

[@nickgarrett2533]

Zurich aftermarket warranty has been great for me. I pay my 100 dollar deductible and they have yet to deny any repairs. It was 3,000 dollars for 3 years and they have paid out 12,500 dollars it warranty repairs on my 2015 Jeep Grand Cherokee. Radiator, New Transmission, Air ride compressor and valve block assembly, air ride control module, motor mounts. Great company to work with. Granted I very mechanically inclined and literally look for reasons to use my warranty. I want as many new parts replaced within my warranties time frame. I have yet to pay for a warranty and not received more in repairs then the original cost due to looking for issues to use it. Don't wait for something to fail. Search for things that go unnoticed and cash it in.

[@tombaker501]

I wish I could find a mechanic like you in my area…. You really take care of your clients….

[@marigri2464]

It shud b illegal to lie to these customers ,but you are absolutely right, God bless

[@SBC97281]

Thanks for a great and truthful video. Extended warranties are rarely good value. The margin on selling those warranties mostly provides for the high pressure sales tactics of the F&I guy at the dealership.

[@hwalton211]

it's like an insurance policy that has so many things that are not covered that I would never even think of buying one. it's good that you are talking about this. it's exactly an insurance company and not an actual warranty that you might get from the dealer at the time of sale...but usually they are not worth it because the car isn't going break down until the warranty is expired....

[@randyleonard4126]

I'm in Canada & bought a used 17 Sierra that came with one of those warranties,I didn't pay for it.. It was a 1 year warranty..10 months into the warranty,#4 developed a misfire..Took it to a shop I knew of, worn cam lobe..The warranty did cover the $5400 Cdn dollar repair..I had to pay diagnosis,oil/filter,spark plugs & gaskets which came to $380..I thought after reading negative reviews over & over on the company,I was gonna be screwed somehow..I didn't get screwed,nor would I ever purchase any aftermarket warranty personally..

[@mattburns2968]

I had a similar thing happen to me. Except I paid for my "warranty". Got a used truck about 10 months in the truck got a code for timing. Needed a timing job. Cam phasers, vvt solenoids, timing set and water pump. Ended up costing me like $650 because they wouldn't pay for the water pump and a few small things and taxes, but they did pay out over $3500.

[@cdtheque]

I had an after market warranty in the past. My power steering pump reservoir was low so I refilled it. A few months later I took it in for service and it was low again, the service center refilled the fluid. I took it in for the next oil change and again it was low. The service center recommended replacing the pump. We submitted it to the warranty company. They denied the claim saying I was negligent because I continued to drive the car after I noticed the fluid was low. That was the last after market warranty I have paid for. They are worth less than the paper they are printed on.

[@warrenpuckett4203]

I had the same problem. I just bought 1 gallon jugs of and saved up until I could pay cash to to have the entire front bushings and worn steering parts replaced. Power steering fluid washes off the drive whenever it rains. Took 10 ten months and I paid $1400 to have steering rebuilt. But it was a bit easier than doing myself. My sister in law also convinced my wife I did not need tools and a air compressor in the garage. Wife also did not know about the savings account. Once upon a time I rebuilt transmissions and engines. That was how I paid for my engineering degree.

[@dannydaw59]

You shouldn't have revealed that you filled up the power steering pump. There's no way they could have known.

[@cdtheque]

@@dannydaw59 The service station communicated with the warranty company. I don’t know if they told them or not. Either way it would have been in the service records.

[@Brian_The_Bold]

Wow, that was super honest and informative. Thank you very much for taking the time to make this video.

[@user-im1dq1rq6d]

Excellent presentation-Nothing advertised or described is EVER as good as initially represented-that goes for life in general. I live in a small town about 13000 pop. I have asked several mechanics and they will not deal with after market warranty companies for the reasons you said.

[@bdo9114]

If you are going to pay the monthly cost for these after market warranty, why don't you just put that amount of money away every month??

[@jerrylundegaard2592]

Bingo. I do that each month. I currently have $12K in my emergency car account for two vehicles. And Ice-T has none of my money.

[@edkonstantellis9094]

Aftermarket warranties are an easy way out of concernes until the time comes to use what one believes is "coverage". IMO aftermarket warranties are a rip-off. Basically, take care of your vehicle. Change the oil at 5k if the manufacturer says 10k. Dealerships don't make $off selling cats. They make $ fixing them.

[@ksl4380]

Thank you for this honesty and clarity.

[@user-ul2rf5on7c]

Thank you for your honesty!!

[@z1az285]

that depends on the warranty. i had a comprehensive AAA warranty that was bumper to bumper and covered my VW Passat timing belt failure. My Subaru gold plus warranty has already paid for itself and my primary reason for purchasing it was to cover the CVT transmission

[@ddawson8069]

This dude is incredibly honest! Thx for your presentation.

[@toddyanagihara6224]

No such thing as too much information. Great advice!

[@ron8566]

Great insight. Many thanks for sharing your knowledge.

[@michaelschroeder9976]

Great video, Tom -- thank you for presenting this material in such a credible manner. Extremely valuable.

[@ShadetreeAutomotiveLayton]

Glad you enjoyed it!

[@phillhill9792]

Great job diagnosing the B.S. on warranty

[@dnle3452]

Thank you so much for sharing and helping us understand the trouble you have with those warranty people (which I am not surprise) I appreciate for sharing and hope all your customers understand what you have to go through to get their cars fixed. I don't trust those after market warranty and never did buy them. Thank you.

[@johnnyboy5142]

Great advice! You stated exactly what I needed to here.

[@mokhaleel585]

Thank you for sharing these tips! I never fell down for these spam like calls and mails about auto coverage.

[@jamespn]

I had a warranty company replace an ac evaporator but they wouldn’t replace the receiver dryer stating it was a maintenance item, after the extended warranty expired, I had to replace a failed receiver dryer on my own. In the same vehicle I had a failed cv boot, the warranty company denied the repair stating that the cv boot was covered under the manufacturer’s power train warranty. I had the service advisor send a copy of my owners manual stating that cv boots were specifically excluded undue a power train warranty. The warranty company reluctantly paid for the shaft.

[@miguelberrios19]

Thanks for this valuable information and thanks so much for looking out for us. You Sir, have saved countless consumers, including myself, of our hard earned money and aggravation of dealing with this issue. I was in the process of purchasing one soon, and man, am I glad to have saw this video. God bless you.

[@chrismaddox15]

Agreed, prepping up front with the client is key to "misunderstandings."

[@durlitchdouge3513]

This was extremely informative, thank you!

[@curtiscollins2174]

This guy one of best I've found. Humble opinion 😌.

[@dexterjones4253]

Thank you for the good advice.

[@robwinder4282]

Thank you! Very informative.

[@vanatic22]

Very well put and I believe accurate. This applies to my industry as well, appliance service. We had so much trouble dealing with aftermarket extended warranty companies, just as was described here, that we refused to deal with them except for one we found to be reputable and we sold. We ESPECIALLY refused to deal with those 'home warranties' that are supposed to cover all sorts of things. WE told customers 'You pay us for the service and YOU make the calls to get reimbursed by the warranty company'!

[@jackshrader4161]

Great info, thanks.

[@Jordan_B34]

I purchased an extended warranty on my wife’s 2016 Cruze with 50k miles. It was a couple thousand dollars, with a $250 deductible. Each year we have owned the vehicle it has been in the shop with around a 1,000 repair each time. Each time the vehicle has been repaired we paid the deductible and warranty covered the rest. The most recent time the shop called back and said the warranty company is giving them the runaround.

[@Taylorc52]

Very informative. Thanks!

[@jacobclawson4726]

Excellent, excellent explanation. It's hard, when you have the bill in front of you, to understand why some amounts are so high for maintenance and repair, especially if it's a major issue. It's sometimes a very hard pill to swallow. The candor and simplicity in your explanation is refreshing. It's hard for most customers, even me sometimes, to understand economics, margins, profitability, and the competing interests of your shop vs these insurance companies. However, the candor and simplicity in your explanation has helped me a lot to understand, and also to respect your shop. Your explanation indicates that you really advocate for your customers, but at the end of the day you have a business to run and employees to pay, which makes perfect sense. I live a few hours north in a neighboring state and am almost willing to drive down there just to be at an honest shop. Also: I'd never buy an aftermarket warranty.

[@ShadetreeAutomotiveLayton]

Thank you for such a nice comment! I really appreciate you taking the time to reach out- Tom Lambert- Owner

[@pauljanssen7594]

My neighbor got scammed by car scam, add paid into to many many years of coverage with no claims; engine goes bad on vehicle car scan will not put in a new motor not even a rebuilt motor they put in a used junkyard motor. The airtime bill is so expensive they can't afford to fix your car correctly.

[@alvinculbertson5851]

Thank you for confirming what I already suspected

[@broderp]

I've never had these issues with an extended warranty. You might just get the bottom of the barrel companies at your doorstep. Every time I've felt with a warranty, it's been my deductible and that's it. I might wait a day or two for parts, but the shop has never had the issues you describe. Maybe it's because the dealer takes care of it and not a 3rd party garage?

[@cmdrdredd]

This does make a difference. They treat a dealer as “they know the car” and “Joe’s garage” as “what do they really know? They have to prove it” Also service advisors at dealers know how to talk around certain things in order to process warranty claims quickly. Even factory warranty is a pain but the right advisor can push it through by saying the right things.

[@GodfatherActua]

I take it to the same dealer that sold the warranty then it’s on them to deal with it because they made money on the sale of it and have to stand behind it. Has worked for me.

[@yuriboguslavsky8868]

Exactly what people need to know. Thank you.

[@ShadetreeAutomotiveLayton]

Thank you!

[@briang70]

Thanks, Tom! And Thank you Shadetree Automotive for taking care of my babies, including my latest one, since 2008.

[@LBurou]

Thank you for sharing your experience :)

[@michaelpatton5012]

Thank you so much for this video

[@MrWaynesea]

Good info. We've encountered similar issues in the mechanical trades with home warranty companies. We send homeowners with inquiries involving home warranties to our competitors. We have sympathy for the homeowner, but we enjoy and appreciate our non-home warranty customers.

[@richard1835]

Great video. Very informative. Thank you. Richards Auto and Air

[@vaportrail6315]

Had an extended warranty years ago and had a head gasket go and head gaskets were not covered. Of course that was somewhere in the fine print . Great video very informative and on point

[@jeffhorne2553]

Honest commentary. Thanks

[@rmac3776]

Thanks you have saved me a lot of time.

[@stevemalone2010]

You are so right, based on a personal experience. I had some success with a Small Claims Court claim.

[@shiloh5199]

Appreciate the honesty

[@maloney7461]

Thank you for this information. Purchased a warranty from Ford with my used 1993 Ford Explorer back in the day. Transmission went out. Ford honored their warranty. Thanks God.

[@Garth2011]

Yes, a "FORD" extended warranty. Way better than aftermarket warranty such as Car Shield and Danica Patrick selling another brand.

[@michaelleipski9030]

Thanks for being honest!

[@robiecarmichael9958]

Bought a new 2022 Honda CRV in 2022. Dealer started the AM warranty. You need this as this car has countless computers. I shut it down, and said you’re wasting your breath. Much to my surprise they dropped the subject. But I agree with you it is very time consuming for you to cross all of the T and dot all of the Is. Great video and subject matter.

[@ShadetreeAutomotiveLayton]

Nice work! Thank you for the kind comment and support!

[@stevefortune4315]

Great video.

[@neilavellino905]

Great job wish more people could see this.

[@jasonemeric9902]

Thanks for the insight. You got a new subscriber 🙂

[@guy3749]

I’m in Canada and I am sure they are the same here, your a mechanic lawyer dealing with the warranty company I learned a lot great video thank you brother.

[@stockpilethomas7900]

I just bought a used car from Toyota in Manitoba . I had a opinion for a extended warranty for 2000. I had time to check the better business bureau reports on it . They where not good. In brackets it said does not cover any heat damage . So if a piston breaks . They just say it's from heat damage.

[@robertcrosser5946]

Thank you this is stuff I need to know

[@whenniceguysretaliate5619]

I say, "save the how much you would have to pay for the Warrant." So, if you have a year warrant that costs $1,200. I would avoid buying the warranty and just save $100 per month in my own separate bank account. Then keep saving it past the year. So, if the car lasts 4 years without any major issues; you'll have $4,800 to use toward any big maintenance costs such as suspension, brakes, paint, or to replace engine if need be. Basically, you become your own insurance policy company for Vehicle Maintenance. Great video.

[@johntitus1166]

Thank You for confirming what I felt about these RIP OFF warranties companys. God Bless !

[@christopherwalls2763]

Great video

[@JasonP.Ashline]

Great job

[@alexisbrown733]

Very informative thx u4 sharing

[@corg78]

Great video, please make another video with more examples. It is great to know how this scammers aka warranties operate.

[@andrewlindh5047]

I've had a couple of after market warranty contracts. They have worked out for me so far, but it always took longer to fix things than it needed to take. I took the full coverage option (all included, except for listed items) just because of the non-covered parts being the problem with other covered parts. I normally have to wait for the inspector to show up and then have to wait for the approval.... My current Mopar Max contract for my Jeep covers almost everything, but it's still been in the shop for over 4 months this time, partly due to parts availability. So far (over the years), they have covered Engine (long block), radiator, condenser, transfer case, rear diff, all drive axle half shafts, steering rack, tierods, swaybar, alternator, TIPM, ECU, multiple other modules, mirror, window regulator, buttons, suspension parts, and more. But not the leaking tail light... It's a lemon. It would have been cheaper for them to just buy out the car.

[@Werewolf_Six]

I was just now looking for videos about this subject and found yours. I just learned that my 2015 F-150, which I have covered by Endurance, is going to cost me personally $745 instead of them picking up the whole thing minus my $100 deductible. Apparently, the car dealerships repair people had a similar nightmare dealing with Endurance, such as you have described in your video here. This is very sad news. I bought the extended warranty directly from Ford when I bought the truck brand new in 2015 and now of course that has expired, so I wanted to be covered and did a lot of heavy research and picked the one I thought was best. However, I'm getting screwed anyway. Hell of a thing. Anyway, thank you for this video. 😞

[@KennethOdom-hm8vz]

My nightmare was with car chex

[@Jasiel.95]

It’s not easy for a shop to have a KZbin channel like this. Time is money and it takes time to make these videos so thank you for making these videos. I am always worried about finding a shop that will do honest trustworthy work and won’t try and screw me over. Going to a shop costs a lot of money. I know I’m spending a lot of money over what I could do myself I don’t have any experience, tools, or the place to do the work myself. I just spent $500 on brake pads that came from mavis and were making noise on rough roads and bumps. I know that’s insane but I went to the dealer. Noise is gone. How do brakes make noise like that? Made me worried I’d be wasting my money and the issue still being there. I wish more shops gave me the impression that I wasn’t wasting my time, getting raped etc.

[@ShadetreeAutomotiveLayton]

Hey thanks. Its a lot of work but we enjoy doing it. Keep asking questions and we will do our best to answer them!

[@18_rabbit]

literally NEVER use a dealership EVER unless u r dying and literally have no choice or whatnot. Their prices now are often 3X an indey shop, which can easily do brakes.

[@ericknoblauch9195]

Don't go to Firestone for brakes either. They install cheap Wagner pads that break down, and do not last for the duration of the warranty they give you. The brakes give you a lot of noise, and the pads tear up your rotors. It happened to me. The pads they install are not recommended for the rotors you have on the car.

[@kevinmccoy2528]

Great information

[@stevenweiss2148]

Informative

[@habershamjim]

Excellent