Hello All,
I have recently purchased a 2000 V70 from a used car dealer (not Volvo). The car seems to be running fine. I even paid a Volvo dealership to run a full check of the car and I was told that the car is fine. I have been thinking of buying an extended warranty for this car. I have two questions. Are they worth the cost. Does anyone know of a reputable company?
Thank you for the input. EAS1

 

Lots of factors involved: how many miles on the car, what's the service history, what is typical cost of ownership on specific model, how did the previous owner(s) treat it, etc. In short, extended warranties are only worth the cost if you actually end up using them. You're basically betting that you will have problems. If you don't, then you lose the bet (since you paid for a warranty that didn't get used). I'm usually opposed to them, but I did buy one for our '01 V70XC since the transmissions on these have a poor track record due to shift-neutral feature (which this one still had active when bought). The warranty is with CNA since that is what the dealer sold. I don't think they sell to the public, though, and I don't know anything about other companies. In a nutshell, you want to avoid warranties insured by a risk retention group, make sure they are insured by legit insurance company. Make sure they've been in business a long time and, above all, read the fine print!!!

 

I just bought a warranty for my 1999 V70XC with 67500 on it. When I bought it from the dealer CPO I took as much Volvo VIP as I could buy, but it just ran out. There were only 2 options I found at that mileage:

1) AAA had something but it was $2500 for 1 yr/12K which didn't seem like a good deal

2) Warrantydirect.comhad 5 yrs/100K for $1800, which I bought. This is powertrain only (they have other service levels but not at that age/miles. The powertrain coverage includes the turbocharger. Also, on higher mileage cars they require an oil change every 4000 miles or 4 months which ever comes first (I asked my dealer about this and they didn't think it was a bad idea for older cars).

Do I think this is the best coverage around, probably not. Was it the best I could find for this car, I think so.

Time will tell.

 

Extended warranties are worthless. They want you to buy them, because that is how they make loads more money.