Decisions, decisions…I have a 2014 XJL-R which I literally think is the best car I ever owned. Bought with 60K and have had no issues, but now have 70K. A friend works for a top tier vehicle warranty company and can get me a 60K/60 Month like new car warranty which covers everything the original warranty did for $7,100. ( normally over $12k)

Question: Would you keep the $7,000 in a repair fund or buy the warranty?! Note: the car came with very limited repair history but was just 2 owners, guy must have had my Italian Grandmother’s plastic covers on the seats, they looked like they were never sat in and the car was very solid upon my mechanical inspection, needed an alignment is all.

So given that, my inquiring mind needs your opinion. :-)

 

Do you know the name of the provider on the policy? I have looked and looked for this type of coverage also, found one that was monthly for $280.00 with same features and never cancelled regardless of how many miles you had on the car. Basically a partial car payment extra every month for the "Privilage" of owning a JAG! Grrrrrr.....dang Engineers.....But the boss said no so here I am just waiting for that $$$$$$$$ expense to come due out in the middle of nowhere... Let me know what you find out please....
Ken

our 2013 XJ

 

I would keep the money in a fund and pay out of pocket. i had a warranty for my Jag and they gave me a headache every time I needed something. they never approved anything and when they DID approve something, they only covered 80%....so factor that into the $7k. it was quite furstrating

 

Mine was good, it was not Assurant. The dealer kept telling me it was the Jaguar warranty, but it was from a large network dealer who negotiated their own independent rates for their regional sales.
I paid 3600, they paid out $10k in repairs and I pretty much have a new suspension minus the rear airs. They gave me heartburn about replacing my leaking steering rack with OEM parts. The dealer wouldn't install aftermarket even though the rack was Bosch and an OEM replacement. Even after including that, I was positive. My engine seized which wasn't covered, and truthfully that was my fault. My dad passed away and I didn't check my oil for months after that. I paid that one myself and cancelled the policy, getting back around $1500 of the warranty value via a check. So, not bad in the grand scheme.

 

Keep in mind most people who have stories around "I paid x, warranty paid out 3x" that in many times mechanics know they're working with warranties so every little thing goes by the book. OEM parts prices instead of supplier part prices. If the book calls for XYZ subframe bolt kit, you're getting XYZ subframe bolt kit, regardless of if it is actually needed or not. So while you still are getting value, it isn't necessarily equivalent to what your out of pocket cost would be without it.

My vote is $7k in a fund all day and DIY what you can. Buy a code reader so you can research when the big bad CEL comes on.

 

This is true. But book labor is book labor. Parts Retail + Markup is what you or any customer off the street will pay which is your biggest source of variation. If I did it again, I'd probably just bank the funds and do it at an indy instead of the dealer, but then I'd have to order the wholesale parts to really get savings. Time vs money

A quote is a quote as long as you don't tell them you have special circumstances.

 

Sure, but the cost savings on parts can be enormous. Say fuel injectors. Go get that done at a Jaguar dealer and you, or the warranty, are billed $400 per injector just for the parts. The same exact Bosch injector is available from any parts provider for $80/injector. So across all 8 injectors, that's $2600 just in ordering the same parts from a non-OEM source. The warranty would pay that, but no smart customer would.

 

I'd vote for go for it. I had EasyCare TotalCare and they approved literally everything on the car, other than new engine mounts (They were previously replaced the year before, and they said it was too close to the last install). New suspension, interior items such as the steering wheel, waterpump....any little thing I could find.

 

UNDERSTAND THE DIFFERENCE BETWEEN A WARRANTY AND AN EXTENDED SERVICE CONTRACT


.
A "warranty" is a promise (a contract) by the manufacturer of a product to repair or replace it at their expense within a specified period of time for specific failures caused by defects in materials or workmanship. Only a manufacturer can issue a warranty. The Jaguar Select Certified Pre-Owned program IS a warranty because it is backed by the manufacturer, Jaguar. It extends the original manufacturer's warranty subject to certain limitations and exclusions. The Jaguar Select CPO Warranty is a real extended warranty.

So-called "Extended Warranties" that are sold by Jaguar dealers and by other sellers on the internet are not real warranties. They are extended service contracts issued by various companies unrelated to Jaguar, and are like an insurance policy for car repairs.

Upon the expiration of the original factory warranty, Jaguar dealers will offer to sell you an "extended warranty" for various lengths of time and miles at varying prices. Jaguar dealers sell them because they're highly profitable. But they're not real warranties.

Salespeople often intentionally confuse consumers by saying "extended warranty", when what they're really selling is an "extended service contract". Even if that so-called "extended warranty" is summarized on a Jaguar dealer's letterhead, it is an extended service contract, and not a warranty. BUYER BEWARE! Aftermarket extended service contracts contain deductibles, exclusions and limitations. Note that those contracts often include "fine print" provisions that are intentionally ambiguous and vague that enable the Administrator to interpret the contract to deny claims. YOU MUST GET THE ENTIRE CONTRACT AND READ THE FINE PRINT BEFORE YOU SIGN AND PAY FOR IT! A sales brochure is not enough to make an informed decision. You must do your own due diligence. Those contracts typically state that the contract itself is the sole governing authority, and that you cannot rely on anything said to you or given to you in writing by or from anyone else.

If you think a particular extended service contract is attractive, be sure to Google it for complaints before you buy it.

Companies that underwrite extended service contracts are in business to make money. They have mountains of data, know the likelihood and cost of repairs by vehicle and component, and how to price their products. They also know how to write the fine print to deny claims. Any extended service contract company that loses money won't stay in business.

Think of it this way. It's like a casino in Las Vegas; the House always wins. Why? Because it's their game and they make sure that the odds are in their favor. Sure, once in a while someone hits the Jackpot. But that's just how the House keeps everyone else in the game - to make them think that they, too, will be winners. That's the same business plan for companies that sell extended service contracts.

Buying an extended service contract is a crapshoot. Just know that the odds are against you. And if you make a claim, get ready for an uphill battle.

And some are total scams.
https://www.realsimple.com/work-life...rvice-contract

So, is there anything else that I can do? Yes. Assume that the cost of the extended service contract is $5,000. Instead of paying that money to the seller, put it in a separate savings account in your bank and use it only to pay for repairs that would have been covered by that extended service contract. If the exclusions and limitations would have denied or limited payment of that claim, treat that repair money the same way. Odds are that at the end of the term of that contract, you'll still have money left over in that bank account. That's the equivalent of the company's profit.

Forum members will tell you about their great experiences with their aftermarket extended service contracts, but few, if any, will tell you about getting ripped off because their claims were denied. That's because they sold "that POS Jaguar" and left the Forum.

As I said earlier, it's a crapshoot. Although occasionally someone will hit the jackpot, the House always wins. Jackpots are a psychological warfare tool the House uses to make losers think that they can win, too. Don't forget that you're the amateur playing against the pro and the odds are against you.

It's your car, your money, and your choice. If buying an extended service contract helps you to sleep better at night, then maybe it's worth the cost. Unless those pleasant dreams turn into a nightmare.

Stuart

 

and they are Assurant and EFG, most of the rest are indeed a waste of money; my acquaintance has worked in high end dealerships for over 30 years, these are the only two companies that pay based on the repair shops recommendation, and with dealerships nearly 100%. I love to do my own wrenching, but I work way too many hours presently; but soon will move where I can install a lift.., my retirement present to myself, and all will be right with the world.

I concur with most of the statements here including the ones regarding most warranties as a waste if money--but a 4-Star warranty (which is like the new car warranty) from either of the above most always pays. I have been buying from both companies for 30 years.., but the reason I ask is because the warranty for this particular car is almost 2x the others I have purchased ( well same as an Audi S8!) And, I can’t believe the delta between OEM parts off dealership vs. Dealership price.., biggest delta I have seen with most any brand I have known--as was mentioned. Which is nice actually when I can get my hands greasy again! Cheers.

Thanks for the feedback, always loved Jsgs never owned one till now, so not as familiar with this brand as I am with Mercedes and Porsche.

 

Stuart,

Well laid out, I was using short-hand in my nomenclature, your specific terms are spot on and it is a crap shoot, but with a reputable extended contact provider, I have never had to fight a claim There are also 4 to 5 levels of these contracts each covering more and more as the price goes up, at the top-level which most people do not buy because of cost, everything but wipers, tires, brake pads and clutch, exhaust system, spark plugs, etc all the usual maintenance items are the only thing excluded--but everything else is covered.

So yes a crap shoot to be sure, but over 30 years have been pretty lucky, with coverage of items ‘breaking’ exceeding the cost of the program, at least with the F&F plan I have had access to, would I pay full retail? Probably not... Thanks for the in-depth dive, well written!

The question for me was to get a poll of others expense from say 70K mileage to 120K, did they spend more than $7,000 in non-maintenance related repairs? I am coming to learn the Jag is a much more reliable car than the car press pundits give it credit for to be sure. particularly the Gen III 5 L engine. Cheers.

 

Asking Forum members about their extended service contract experience is not a valid survey because the sample size is too small. It's likely that anyone who had a bad experience got rid of their Jaguar and is long gone from this Forum. The only responses you received so far are from Forum members with good experiences.

Those contracts are written with exclusions that are intentionally vague and ambiguous so coverage can be denied. Dealers and underwriters know that most car owners won't read the contract and will rely on the slick brochure and what the salesman told them.

Dealers who sell those extended service contracts are in cahoots with the third-party providers. Dealers make a healthy profit, as do those providers. To keep the revenue stream flowing, customers must be kept happy ... until it becomes too expensive. The dealer's service department is the gatekeeper and knows which claims won't be paid without a fight.

You may think that your 30 years experience buying cars and extended service contracts puts you on a level playing field with the dealer. The fact that you're asking us about our experiences proves that you're not, because you're unsure of what to do.

How many employees of Jaguar dealers buy the extended service contracts that they sell?

We agree that it's a crapshoot. And yes, every once in a while somebody hits the jackpot. That gets everyone excited and they stay in the game. But the house always wins. What are your odds of hitting the extended service contract jackpot?

Google "customer complaints (name of contract provider)".

 

Definitely agree. I had them do the work because it was covered and my time is worth more than $400/hr. Since then I've replaced the entire cooling system myself and paid a shop to R&R my supercharger snout at very minimal cost. I still wrench every weekend on my wife's/friends'/my car now that my warranty (or call it a service contract) is expired, just depends on the situation. The wholesale parts price compared to retail markup is insanity with JLR. Same parts/different channel cost and each region controls their own, plus dealer individually will mark up every single time.

 

Read the small print before you whack-out a load of money ! I took out a 3 year warranty here in the UK. All the warranties including that sold by Jaguar, have a maximum claim limit, and this is based on the market value (selling) of the car at the time of claim. So as time goes on, the maximum amount you can claim goes down as the car's value goes down with depreciation.

 

Which service plans did you use? I would like to review for my own potential consideration.

 

…that I have used. Comments from all on this thread are valid perhaps in varying degrees, but getting the Gold, that is top of the line warranty with both companies, literally covers everything but brakes pads/rotors, wipers and tires. Since I wrote this I have had a leaking timing chain cover leak covered (small $ on parts and large dollars on labor) so this is where the contracts can really pay well in high labor/low parts cost situations. Additionally there was a leaking a/c pipe again low cost parts/high labor (albeit the refrigerant is not cheap nor easy to find), both front tie rod ends, coil covers (4 of 8), leaking coolant pipe to super-charger—all done at a private Jaguar/LR shop $5,500; all covered by the warranty no negotiation except the shop had to lower their labor rate a bit to meet typical area levels, which for the work they were happy to do. I work 80 hours a week at my profession and make good money, so for me it works and always has. But you have to buy the very best contract offered, sometimes referred to a 3, 4 or 5 star coverage—get the 5 star. Look I love wrenching on cars but without a lift and time, many jobs are next to impossible to do on my own—I will retire in 2 years, will be installing a two pole lift in my garage and will be happy doing my own wrenching then when time allows. Cheers.

 

Yes, but what is the name of the company/plan?

 

…EFG Gold Plan, I also have the Assurant 5 Star program on two other cars purchased at a Lithia Motors, I am at 60% of the cost on one and 80% of the cost on the other with 3 and 2 years remaining, the latter going in with a claim this week that will likely max out what I spend in the contract?! Some might argue than what is the point? For me it is just pre-paying for work I know the cars will need…would I buy a contract for a Lexus ES 350, no probably not, but on a Mercedes, BMW or now Jag…yes.

 

Perfect, thanks. I'll look into those.