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2006-2009 Range Rover MkIII / L322
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Greetings all! I wanted to chime in on the warranty question for Range Rovers. My intent is to share what I have learned in the past 60 days of shopping for an extended warranty and to further expand on certain FACTS regarding Warranties4Wheels and/or Genuine Warranty Solutions.

A. DO YOURSELF A FAVOR

If you are considering an extended warranty for your Range Rover, purchase the factory extended warranty WHILE you are still under the factory coverage. Once your factory coverage expires, your options in the marketplace become very limited. I cannot stress this point strong enough!!!!!!!!!


B. AFTERMARKET OPTIONS

If you are like me and left to shop the open market for an extended warranty, here are several viable options (brokers that still offer coverage for recent model Range Rovers as of August 2009):

>>> AAAutowarranty.com (Broker)
>>> Carchex.com (Broker)
>>> Warranties4Wheels.com (Broker)

All other big names like Warranty Direct and US Fidelis no longer provide coverage for Land Rovers in general.


C. TO BUY OR NOT TO BUY

Plunking down $$$ for an extended warranties is a delicate issue. It may make sense for the extra security and piece-of-mind but you have to evaluate this decision against what that piece-of-mind will cost you. For example, in my personal opinion, buying a Toyota vehicle is a low risk option. The manufacturing process and quality rigor that Toyota undertakes in every vehicle represents less of a risk in unexpected major repairs later on compared to other manufacturers.

So, again, in my personal opinion, I would rather not purchase an extended vehicle warranty for a Toyota and save $$$. This is based on my own opinion, personal experience and appetite for risks - YMMV (Your Mileage May Vary).

Sidebar: You are better off upgrading your theft and loss insurance policy as various Toyotas are consistently in the Top 10 cars stolen in America (search on msn or bing.com).

I have owned Toyotas, Hondas, BMWs and several Land Rovers (currently a 2005 Range Rover Westminster in my stable). As owners, Land Rover is a LOVE/HATE thing. You love it because it is a Land Rover, you hate it for the very same reason. Owning a recent model Range Rover and purchasing an extended warranty is a prudent choice. The chance of a major/unexpected repair is inevitable over the long term.


D. DO YOUR HOMEWORK

Due to the recent rash of scams/fraudulent business practices in the automotive warranty business, it is best to arm yourself with knowledge. As with everything on the internet, trust but verify:

1. Consult the BBB (Better Business Bureau) at BBB.org
2. Consult with WarrantyBestPractices.com

The site is hosted by VPA which is a voluntary trade association for consumers and industry professionals in the vehicle warranty services business. VPA was formerly known as the Automotive Warranty Services Association. The mission of the Vehicle Protection Association is to promote regulatory transparency, educaton and accountability compliance and stability for marketing and servicing of vehicle service contracts.


E. UNDERSTAND THE CONTRACT

When purchasing an extended automotive warranty, you need to understand that many parties come into play ... There is You, a Broker, the Administrator and an Underwriter involved.

The Broker is the agent selling you a product - re: extended warranty contract. The Administrator is the person/company managing and paying claims in accordance with the extended warranty contract. The underwriter is a group of people that excel in math and run analysis (actuarial) on data and create the product that the agents sell and the administers administrate in the hopes it is profitable (take more premiums in that claims paid-out).

In a real life example, Carchex.com is a broker that sells Extended Warranties (IAP OEM underwritten by Lyndon Property Insurance Company) and administered by Royal Administration Services. Problems can be attributed to any one or all of these parties working together (or not) in the deliverance on the extended warranty contract. The last party in this relationship is YOU. You need to understand what you are buying and what you are required to do in order to keep the contract in force.

You cannot have the expectation of paying for an extended warranty and get upset when your engine fails and you cannot demonstrate that you have, for example, kept up with the manufacturer's recommended service intervals as required in the vehicle services contract. After you understand all the moving parts in this, you need to carry your responsibility in your contract and minimize your risks with the other components of the contract: the broker, the administrator and underwriter.


F. WHICH PRODUCT TO BUY?

The forum is peppered with questions about which company or product to go with. I just wish it was simple but it is not that cut and dry when you think about dropping thousands of dollars on something you may or may not need, and when you need it, if you are covered or not.

As I mentioned early, your aftermarket options for EXCLUSIONARY/BUMPER-TO-BUMPER coverage is limited once the factory coverage expires.

Both AAAutowarranty.com and Carchex.com offered Royal Administration Services as the Administrator and IAP OEM as the warranty product at different price points. Carchex.com being the least expensive of the two at $4100 for 5-years, 100K miles.

Here is the CarChex offering:

[attachment=3:300o3ntl]IAP2007.pdf[/attachment:300o3ntl]

Warranties4Wheels offered a much more comprehensive factory warranty that included wear-tear and the air bladders, 3-year, unlimited miles, for about $3200. W4W is the broker, and Genuine Warranty Solutions is the administrator and American Capital Underwriting is the underwriter.

Here is the W4W/Genuine Warranty Solutions offering:

[attachment=2:300o3ntl]GWS_Motor_Vehicle_Service_Contract_Application_05_09_21.pdf[/attachment:300o3ntl]

[attachment=1:300o3ntl]genuine-auto-inspection1.pdf[/attachment:300o3ntl]

[attachment=0:300o3ntl]Wear & Tear.pdf[/attachment:300o3ntl]

On paper, the Genuine Warranty Solutions Contract trumps the IAP OEM contract.

The IAP OEM product provides protection and coverage when there is a mechanical and/or electrical breakdown only. For example, if you have a valve cover leak that is considered wear/tear. It is NOT covered even though it may eventually lead to compression loss and engine failure. According to Royal Administration, a mechanical breakdown has not occurred. Similarly, according to W4W, on paper - wear and tear is covered. To me, this was the key selling point. W4W had a couple of stipulations:

(a) no claim will be paid out until all premiums have been paid and
(b) the vehicle passes an inspection that was accepted by the underwriter [and the list was very comprehensive].

This all seems above board and reasonable.

In my next post, I will expand on Warranties4Wheels (Broker), Genuine Warranty Solutions (Administrator) and American Capital Underwriting (Underwriter). Search for "Warranties4Wheels/Genuine Warranty Solutions - In Depth Look" in this forum.
 

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