Intro/photo & $3,200 USAA WARRANTY opinion/question.

[justanothrone]

Hello, I guess this will serve as my first thread and introduction as well.

I just bought a one owner 2009 135i manual transmission with 68,000 last week. It has Dinan oil cooler and Dinan stg 3 suspension with rear sway bar.

I am looking into buying an extended COMPREHENSIVE warranty through USAA since I was a former US Marine. The cost is $3,200 for a 2 year/24k miles warranty that pretty much covers everything except wear and tear.

Along with general maintenance, these items were replaced at such miles:

-HPFP at 16k
-Ignition coils 53k
-LPFP sensor 68k
-6 injectors 68k

The only EXPENSIVE thing that I have read that can go wrong within two years are the turbochargers and AC evaporators.

Question:

Is it better for me to purchase this 24k miles coverage or save the $3,200 for repairs?

[PA135i]

It's a gamble. My turbos went at 49,900. So, it was covered. But, I heard that replacing the turbos would be well over $3,200.. more like $6k or $7.
24 months is short. 24k miles is short also for that kind of money.

[justanothrone]

Originally Posted by PA135i

It's a gamble. My turbos went at 49,900. So, it was covered. But, I heard that replacing the turbos would be well over $3,200.. more like $6k or $7.
24 months is short. 24k miles is short also for that kind of money.

I was able to get a better quote with PenFed CU for 3 year/36000 miles for $2,000. I think What I will do is wait till about 80k miles and if my turbo doesn't give out by 80k mile then I will purchase the warranty.

[Rob Daman]

water pump is also another possible issue.

[smilesperhour]

Ya, I think I'm gonna go with Route 66 by Pen Fed also.

[justanothrone]

Originally Posted by Rob Daman

water pump is also another possible issue.

but water pump is a wear and tear maintenance item that would not be covered in the warranty right.....?

[PA135i]

My water pump just went at 72K. Was $1100 at the dealer. They replace the WP, thermostat and do a system flush. Dealer work comes with a 24k 24 month warranty also.

The previous posts about the WP are true. You won't make it to 80K on the pump. Get it done now if you are planning on keeping the car a few years.

[Rob Daman]

I don't think so unlike a clutch, brakes and tires. You would need to read the fine print to be sure.

[justanothrone]

Originally Posted by PA135i

My water pump just went at 72K. Was $1100 at the dealer. They replace the WP, thermostat and do a system flush. Dealer work comes with a 24k 24 month warranty also.

The previous posts about the WP are true. You won't make it to 80K on the pump. Get it done now if you are planning on keeping the car a few years.

When you say get it done now, do you mean replacing the WP or getting the warranty? Do you know if the WP fail would it be covered in the original warranty?

[ShocknAwe]

Originally Posted by justanothrgi

When you say get it done now, do you mean replacing the WP or getting the warranty? Do you know if the WP fail would it be covered in the original warranty?

Hey man, I looked into the USAA extended plan as well, but I didn't find it was going to be worth it looking at my history of repairs. Everything that seems to go south regularly on these cars was excluded aside from the injectors turbos and HPFP, and the turbos and HPFP are already covered. I doubt your injectors would go bad more than once in the 2 year period and that's just not more than $3200. You are essentially insuring against catastrophic engine or transmission failure.

Not worth it IMO. These engines and transmissions are built very well.

[PA135i]

Originally Posted by justanothrgi

When you say get it done now, do you mean replacing the WP or getting the warranty? Do you know if the WP fail would it be covered in the original warranty?

Sorry, I was referring to the WP. There is a poll on this site and most 2008/9 models seem to have their WP's take a dump well before 80K.

Forgot to add that I just had to have my starter replaced. Another $900 on me. These cars are great but be prepared if you want to keep them a while.

[smilesperhour]

I'm leaning towards the Route66 warranty. my buddy who's a bmw tech said that a dealer can work on the car, but the warranty has to pay labor at around 160/hr. And all the warranty says is labor is paid at national average. anyone had experience with this?

[justanothrone]

Originally Posted by smilesperhour

I'm leaning towards the Route66 warranty. my buddy who's a bmw tech said that a dealer can work on the car, but the warranty has to pay labor at around 160/hr. And all the warranty says is labor is paid at national average. anyone had experience with this?

What do you mean by as in "has" to? As in if the dealer charges less than $160 an hour, the route 66 won't pay?

[darkrom]

Originally Posted by justanothrgi

What do you mean by as in "has" to? As in if the dealer charges less than $160 an hour, the route 66 won't pay?

No he means if the warranty company decides that the hourly rate they want to pay is $100 an hour, you are screwed, or probably have to pay the difference.


Honestly my experience with multiple aftermarket warranties are that they are all not worth it.

[justanothrone]

Thanks for all the replies. I ended up going with the Route 66. Within two months of purchase, my windows regulator just crapped out last week. AC isn't blowing cold... anymore... not sure if it needs a recharge or an expensive repair. Hopefully Route66 pulls through for me.

[bbbbmw]

Originally Posted by justanothrgi

Thanks for all the replies. I ended up going with the Route 66. Within two months of purchase, my windows regulator just crapped out last week. AC isn't blowing cold... anymore... not sure if it needs a recharge or an expensive repair. Hopefully Route66 pulls through for me.

Just saw your post - did Route66 pay for the repairs?

[justanothrone]

Originally Posted by bbbbmw

Just saw your post - did Route66 pay for the repairs?

Route 66 paid for window regulators no questions asked. Really easy. Got approved for repairs in minutes. Repair at BMW was $670 parts and labor. AC just got a recharged that I paid for.

[JM35]

If its only for 2 years/24k miles I say save the money. Unless you run into a lot of issues it shouldnt cost you that much in 2 years.

[justanothrone]

Originally Posted by JM35

If its only for 2 years/24k miles I say save the money. Unless you run into a lot of issues it shouldnt cost you that much in 2 years.

I ended up going with Route 66, in my opinion is much better. Its 3 years/36k miles for $1995. It mimics OEM warranty except for a few exclusions like electronics and headlights.

[Stupenal]

The route 66 warranty is an even better bargain if you have less than 65k miles. For 1,995, you get 5 years coverage up to 100k miles. For those who don't drive that much or currently have a lower mileage car, this warranty is pretty good.

I've read the reviews on bimmerfest and the 5 series guys have all had great success getting common problems fixed at the dealer. They just don't cover regular maintenance, and shop materials and fluids. In the wp case, you'd have to pay shop materials and the cost of coolant. Plus if you're charged a inspection fee by the dealer, that's also out of your own pocket. You must also make sure your car receives all required maintenance at the right manufacturer recommended intervals. It doesn't cover lighting or body parts, electronics like navi, keyless entry, radio, etc. Struts also aren't covered nor is clutch, but I've read folks getting their control arms replaced.

Route 66 also provides rental car reimbursement.

Once my CPO runs out, I'm strongly contemplating route 66. Even though I am a DIY type of person, the cost of some of the parts on newer BMWs is pretty astronomical. Valvetronic motor, eccentric shaft sensor, even the damn wp part price is high in and of itself. $400/ year for peace and mind on a by then older BMW would be a pretty wise move. If I had a 135i, I would get an extended warranty without question.

[justanothrone]

Originally Posted by Stupenal

The route 66 warranty is an even better bargain if you have less than 65k miles. For 1,995, you get 5 years coverage up to 100k miles. For those who don't drive that much or currently have a lower mileage car, this warranty is pretty good.

I've read the reviews on bimmerfest and the 5 series guys have all had great success getting common problems fixed at the dealer. They just don't cover regular maintenance, and shop materials and fluids. In the wp case, you'd have to pay shop materials and the cost of coolant. Plus if you're charged a inspection fee by the dealer, that's also out of your own pocket. You must also make sure your car receives all required maintenance at the right manufacturer recommended intervals. It doesn't cover lighting or body parts, electronics like navi, keyless entry, radio, etc. Struts also aren't covered nor is clutch, but I've read folks getting their control arms replaced.

Route 66 also provides rental car reimbursement.

Once my CPO runs out, I'm strongly contemplating route 66. Even though I am a DIY type of person, the cost of some of the parts on newer BMWs is pretty astronomical. Valvetronic motor, eccentric shaft sensor, even the damn wp part price is high in and of itself. $400/ year for peace and mind on a by then older BMW would be a pretty wise move. If I had a 135i, I would get an extended warranty without question.

Thanks for all the info. It was very insightful.

[Freon]

From a personal finance perspective, I do not recommend you insure anything that could cost you less than a few thousands dollars (i.e. you want to insure your house, the entire car, your life, your health, but not your stove or car warranty). Given you can afford a late model BMW, you should be keeping several months of expenses in an emergency fund to buffer stuff like an unexpected car breakdown, and you should be saving cash for expected maintenance like plugs, injectors, water pump, and carbon cleaning regardless.

Having an expensive BMW to repair probably means also keeping extra to cover any unexpected breakdown, but I would say you can take your average risk and add that, pooled with your other risks that you are not paying "warranty coverage" on (like your home appliances), to your emergency fund.

Insurance companies charge more than they pay out on average, obviously. You can retire richer if you manage your smaller risks on your own with savings buffers.