Our 2005 XC90 now is just over 3 y. old, w/ 33000 miles on it. Most likely we will keep it since residual value probably is low (V8 engine)

I can't decide on extended warranty-my dealer quoted around $3700 for 80K miles /7 year warrany -can anyone post what you paid and if it was worth it?

Thank you very much.

 

hi m1964,

We also have the '05 with the V-8 and did not buy the extended warranty. Having been in sales to the auto industry and also having soldextended warranties, I know from the inside that its typically a much better deal for the seller of the warranty than the coverage it really provides.

Youmight be better off to save that money, invest it in a money market certificate and draw it out if/when you need it. This way its still your money, and the best part about that is,its still your money if you dont end up with any costly repairs. We're at 70K miles on ours and its still going strong. Given that you only have 33K miles on yours, another 80K would put you at 113K miles when it expires. I wouldn'texpect (my opinion here) the V8 Volvo XC90 to have any kind of major failures during that period.

Somethings to consider are:

are you risk averse enough not toneed that peace of mind?

can you force yourself to save the $3700 and hold that money as rainy day funds to repair a trans failure or similarfor several years? (unlikely on theV-8, but can happen)?

Here's some additional info I posted some time ago cut and pasted, and also two links here on the forums that also talk about extended warranties. As you'll see, some are strongly for them, myself and others like JPN are strongly against them.

Good luck in your decision either way,

bluemagicbus


Extended warranties? They aren't for everyone. Some post on here extolling their virtues and benefits to have. Others, myself included (and having been in the extended warranty game) steer clear of them. Ultimately it should be an a personal decision. You should decidewhether you want to fork over as much as several thousand dollars now, in hopes that you will get coverage when you need it (read the fine print, there are many loopholes), or whether you are capable to save that same amount of money and hold it asmaintenance fund should you need a costly repair in the future. Also, do some research. Google "extended warranty" and similar and read a bit about them to help make up your mind. Consumers Reports here in the U.S. recommends not getting them, and I happen to agree. Others will just as strongly say that it is the best thing going for peace of mind and so on.


https://volvoforums.com/m_111924/tm.htm

https://volvoforums.com/m_98229/tm.htm

 

Bluemagicbus,

Thank you very much for your advice - I was leaning towards not buying an extended warranty, but wanted another opinion.
I can afford not to buy it-in the worst case I will just pay for repair (if neded).

 

Good luck to you, m1964,

The best of all worlds will be no failures on your Volvo and you were able to have saved somemoney!

[8D]