MB extended warranty

[MacCLS500]

Isn't the Mercedes warranty an insured warranty now?
So the same as all the others like Mondial etc. who do the cover for BMW, Audi and loads more?
Just that it is all done through the dealer so seems like it is Mercedes UK covering it?

You are correct just another a legal and above board total SCAM with price fixing.

 

[gIzzE]

So there really is no reason to go with them over Warranty Direct, as at least WD say their policy is an insurance policy against things going wrong or wearing out.

I know when I was looking into covering our S4 Avant a couple of years back the price went from just under £600 a year to just over £1800 a year in the the space of getting a quote and 3 months later when I went to get the warranty.
I was obviously pretty shocked at this but Audi explained that due to a European rule change they were no longer allowed to supply the warranty themselves, it had to be done through a 3rd party, and this had put the prices through the roof. I don't doubt this, but has it put it through the roof as they no longer offer them discounts on the work carried out and charge full whack on workshop time? When you are managing it yourself you can control costs far easier.

One of the problems was also how they structured the pricing, Audi had a price for the A4 series, A6 series, A8 series etc. and then for S and RS cars, where as the new cover was done based on engine size, so a V8 S4 which was arguable more reliable than the 2.0t was costing the same as a big 4.2 S8 with a never ending list of electronics that could, and frequently did, go wrong.

At least people like WD base their costs and actual percentages of cars that go wrong and the average price it costs them to fix.

 

[John]

I guess i am most concerned re engine and transmission failures... how often does that happen?

According to my inde - very rare the engine dies in an E55K and he'd never known an W/S211 gearbox not be running smoothly again after a £1500 refurb.

 

[Kingy68]

On BMW it costs more if you let it lapse.

Yes, thats because they put the cost up annually.
If you pay a year in advance (not montly dd) you see the increase every year on renewal.
If you pay montly there is a little loop hole, as you just carry on paying the same amount by dd. They don't have an annual renewal for monthly dd so don't increase what they are taking. It's the cheapest way to do it. Only issue (as you mention^^) comes if you cancel the dd/warranty - because if you then take it out again at a later date your price is based on the upto date amount which is always more expensive.
This becomes more of a saving (monthly continual dd) if your car hits 60k as BMW/Mondail load their policies then.

 

[raymont]

Isn't the Mercedes warranty an insured warranty now?
So the same as all the others like Mondial etc. who do the cover for BMW, Audi and loads more?
Just that it is all done through the dealer so seems like it is Mercedes UK covering it?

It's not all done through the dealer. Dealer not involved in my purchase of Tier 1.

Don't see anyone pretending it's not insurance, look at the first couple of pages of this:

http://www.mercedes-benzwarranty.co.uk/PDF/MERCEDES_Q2B_PolicyHandbook.pdf

 

[raymont]

.....Tier 1 on CLS500 is about £1100 Warranty Direct including a lot more than MB cover..............

What did WD include that MB didn't?

 

[gIzzE]

Yes, thats because they put the cost up annually.
If you pay a year in advance (not montly dd) you see the increase every year on renewal.
If you pay montly there is a little loop hole, as you just carry on paying the same amount by dd. They don't have an annual renewal for monthly dd so don't increase what they are taking. It's the cheapest way to do it. Only issue (as you mention^^) comes if you cancel the dd/warranty - because if you then take it out again at a later date your price is based on the upto date amount which is always more expensive.
This becomes more of a saving (monthly continual dd) if your car hits 60k as BMW/Mondail load their policies then.

And also if you know you are getting to 60k miles you are again better to do it monthly as it stays the same rate, where as annually they will ask you mileage each year. And the jump after 60k miles is significant.

 

[gIzzE]

It's not all done through the dealer. Dealer not involved in my purchase of Tier 1.

Don't see anyone pretending it's not insurance, look at the first couple of pages of this:

http://www.mercedes-benzwarranty.co.uk/PDF/MERCEDES_Q2B_PolicyHandbook.pdf

I didn't mean just Mercedes, they all make light of the fact it is actually a third party warranty on the website, whether it be Mercedes, BMW, Audi etc.
On first reading it they alway make it sound so much more than something you would get from Warranty Direct etc.

You talk to the dealer about the warranty when buying used and ask about extending it after 12 months and they say 'No problem, we offer a fully comprehensive warranty....." and again you think it is backed by BMW UK or Mercedes UK etc.

If they said 'we deal with Modial, we have an arranged fee with them.' I think customers may view it differently?

 

[Kingy68]

And also if you know you are getting to 60k miles you are again better to do it monthly as it stays the same rate, where as annually they will ask you mileage each year. And the jump after 60k miles is significant.

If you read my post that was what I said!

 

[raymont]

I didn't mean just Mercedes, they all make light of the fact it is actually a third party warranty on the website, whether it be Mercedes, BMW, Audi etc.
On first reading it they alway make it sound so much more than something you would get from Warranty Direct etc.

You talk to the dealer about the warranty when buying used and ask about extending it after 12 months and they say 'No problem, we offer a fully comprehensive warranty....." and again you think it is backed by BMW UK or Mercedes UK etc.

If they said 'we deal with Modial, we have an arranged fee with them.' I think customers may view it differently?

I suppose, and this might be rather naïve, that the fact that it is offered with MB sanction and support provides a modicum of hope that because of that involvement the warranty will not be plagued by lots of small print reasons not to pay up. Explains part of the extra cost?

I suppose you can also involve MB in the event of a dispute, with a company such as WD there’s nowhere to go without a lot of expense and or hassle.

I considered WD as they were cheaper, can’t remember WD numbers but I pay £950 for Tier 1 on my GL420CDI.
Rejected WD because the paperwork they sent excluded 4WD(!) and Comand from the scope of cover despite this being requested. They said it was an admin error and the cover would be provided, probably true but if they can’t get the sale right what chance of a claim going smoothly? Also disliked the ‘double glazing salesman’ approach of providing a quote and then offering to reduce the premium or flex the coverage / condtions when you tell them it’s too expensive.

In event of a claim with MB cover I am not involved, all handled by dealer.

Will look around again at end of cover and possibly ‘self insure’ as car seems to reliable and mileage is lower than previously.

 

[khooni]

thanks for the replies..

I have erred in thinking that the bmw warranty has to be continuous.. Does anyone know if porsche has to be continuous as well?

In any case, my c63 covers about 5,000 miles annually. I bought it 18 months ago at 18000 miles and now it has 26,000 miles. I would rather build up a piggy bank for any repairs than fork out for a warranty. The only thing i am worried about is the drivetrain (ie engine and transmission) but since the cost is close to £1200 annually, it seems that i am better off just putting it off and probably factoring into the price once resale comes around. The car will only be serviced by MB anyway.

I think the same goes for my bmw z4m... 12000 miles, 5y old car.

still if i were using the car as a daily driver, I'd probably consider taking WD because of the substantial savings.

 

[gIzzE]

If you read my post that was what I said!

Yeah, see that now!!

 

[gIzzE]

thanks for the replies..

I have erred in thinking that the bmw warranty has to be continuous.. Does anyone know if porsche has to be continuous as well?

In any case, my c63 covers about 5,000 miles annually. I bought it 18 months ago at 18000 miles and now it has 26,000 miles. I would rather build up a piggy bank for any repairs than fork out for a warranty. The only thing i am worried about is the drivetrain (ie engine and transmission) but since the cost is close to £1200 annually, it seems that i am better off just putting it off and probably factoring into the price once resale comes around. The car will only be serviced by MB anyway.

I think the same goes for my bmw z4m... 12000 miles, 5y old car.

still if i were using the car as a daily driver, I'd probably consider taking WD because of the substantial savings.

With Porsche you can take it out if it has slipped, but you need to do their 112 point check first and any faults found to be repaired before cover starts.


The other thing with MB, BMW etc. warranties is they then stipulate that all servicing has to be done at the dealer, not a problem for those that do, but for those that prefer an indi garage this can be a little annoying.


I have nothing against the manufacturers warranties, but the price has to be realistic, asking £1500 for a 2004 E320cdi that is worth around £5k, just doesn't make sense, especially when you could buy a whole car from a breaker for not much more.
£500 would be a fair amount, the same as WD etc. ask for. I think they would be surprised at how much extra business they get, plus people would use them for servicing too bringing in more business, plus it keeps people coming into the dealership and builds a relationship, so when it comes to new car time, they just might give you £40,000.

 

[crockers]

Have had WD for 3 years. They have paid out for every claim without any hassle. Each year on renewal I call up to cancel and they reduce premium to same level. Each year they offer a renewal on a worse policy but upon my cancellation call I get same cover reinstated.
When I broke down in France I called them and they said just get the car fixed and we'll sort out paperwork on your return.
Claims dept very easy to deal with.

Oh and they even covered glow plugs which surprised my dealer as MB wouldn't.

 

[gIzzE]

Oh and they even covered glow plugs which surprised my dealer as MB wouldn't.

That is what I like about them, you are being sold an insurance policy which covers wear and tear.
They have covered suspension for me before, and all done at the the main dealer, my dealer was amazed that they would even consider it, as he said they wouldn't have.