Subaru Outback Forums banner

1 - 20 of 28 Posts

·
Registered
Joined
·
13 Posts
Discussion Starter #1
Hello Everyone.
First time Subaru owner, last weekend I purchased the 2020 Outback Turbucharged Touring model. I LOVE it. The dealership in all was a good experience except when I got to the Finance Guy. We negated a decent price with the sales advisor but when we go to the finance guy he played the same old same old games.....with warranty and maintenance. I purchased the pre-paid maintenance (more peace of mind and ease) and paid a little over half of the car in cash, and refused to role the maintenance into my lease which I paid for separately. Then we got to the Extended Warranty (EA), at that point he was playing all the hardcore pressure games so much so that we have to get pretty aggressive on shutting him down. He told me if we walked away and did not let him know by Thursday I would not be able to get a good deal on the warranty.

I have purchased EA in the past and I am glad I did because it always seems after you hit 5 years something tends to break. So with that being said I think again you are just prepaying for the an issue in the future.

thanks to this forum I went comparison shopping and I got it down to the following:

10yr/100k/$0 decidable roughly $1,950
8yr/100k/$0 roughly $1,450

Both of these offers are out of state as I live in California.

I went back to the dealership I purchased one more time to the finance guy and said, I was comparison shopping (I did not tell him where) and gave him one more chance to put in a better offer he said the best he could do for 8yr/80k/$0 deducatable was almost 2k! He also warned me if I purchase a warranty out of state Subaru might not honor it. I have researched Subaru's website and it does not state that. It says I can purchase from any dealership. I also sent him an email.

I really need help getting the following questions answered:

1) Which warranty would be best for the above

2) Are the above prices a good deal?

4) Because I live in California do I have to purchase the EA in Califronia

5) If not and the above is not a good price...for those who bought the EA and got better in the last year can you refer?

The above prices include tax. Also, I am not asking if the I should buy the warranty so we do not need to cover that.

Any help ...would be great!
 

·
Registered
2008 OB Limited 2.5i, Portland OR USA
Joined
·
5,001 Posts
1) Which warranty would be best for the above?
Only you can answer that question - everyone has a unique situation.

2) Are the above prices a good deal?
No, per threads posted elsewhere on these forums.

4) Because I live in California do I have to purchase the EA in California?
Apparently, you're not obligated to do so, but I did find this on the state of California insurance regulatory website:


Short version of his legalese (and this is not legal advice): The insurance provider has to register with the state and meet some requirements if they want to sell these warranties to owners in California, and if they don't, they are committing a felony. So you're not in trouble for going online and buying a policy outside of California, although the insurance provider may be.
 

·
Registered
Joined
·
13 Posts
Discussion Starter #3
John RE
Thank you so much. How do I find these other threads and the dates...of these postings?
 

·
Registered
Joined
·
62 Posts
Couple of questions:

1. How long do you plan on keeping the car?

2. Is it bumper to bumper warranty? Can you provide a list of items they will cover and will NOT be covered?

The 2020 Outback is a new generation and god knows what new or old problems could arise with all their recent quality control and recall issues. Paying less than $2k with zero deductible till 100k miles seems pretty good but it depends on what is covered. The amount of repair bills we've encountered with 2 different Outbacks right at the 100k mile mark now is staggering. Well over $10k. These newer Subarus are basically on par with an expensive German vehicle to fix.
 

·
Registered
2008 OB Limited 2.5i, Portland OR USA
Joined
·
5,001 Posts
How do I find these other threads and the dates...of these postings?
Putting "extended warranty" into the search tool will get you lots of results; you'll have to filter through these for the ones that discuss pricing.
 

·
Registered
Joined
·
13 Posts
Discussion Starter #6
Couple of questions:

1. How long do you plan on keeping the car? 8+ years possibly give it to my daughter or will be my husbands surf mobile

2. Is it bumper to bumper warranty? Can you provide a list of items they will cover and will NOT be covered?
It is the Subaru Gold Plus package it is basically an extension of there 36k manufacturing warranty

The 2020 Outback is a new generation and god knows what new or old problems could arise with all their recent quality control and recall issues. Paying less than $2k with zero deductible till 100k miles seems pretty good but it depends on what is covered. The amount of repair bills we've encountered with 2 different Outbacks right at the 100k mile mark now is staggering. Well over $10k. These newer Subarus are basically on par with an expensive German vehicle to fix.
 

·
Registered
Joined
·
11 Posts
I didn't buy the extended warranty when I bought my Forester in 2013. It was a 2014 2.5 i Preminum for $27,000. Because there was a fill-in substitute cashier, EW wasn't even brought up at the time. I got a lot of solicitations to buy that EW in the mail over the years, including right around the time the manufacturer's warranty was due to expire.

I got the impression I could buy it at the end of three years for the same price as if I'd bought it when I bought the car. I figured it must still be a good bet for the company if they were willing to sell an extended warranty after the car was three years old, so I never bought it.

In Dec., I traded it for a 2020 Outback and again didn't buy the EW. The Forester only had 35,000 miles after six years and I know that's a lot lower than average, still I never had to put a penny into repairs for that six years. I intend to do the same thing this time. Consider after three years whether I think the EW is worth the investment. Most flaws will certainly turn up within three years. If it turned out to be buggy, I'd rather trade it than extend the warranty.

Larry
 

·
Registered
2018 Subaru Outback 3.6R Touring
Joined
·
21 Posts
Extended warranties are a ripoff. Take the extra money and put in a savings account for any repairs. There is a reason they push these things along w/ gap insurance, rim coverage, etc.
 

·
Registered
Joined
·
868 Posts
Extended warranties are a ripoff. Take the extra money and put in a savings account for any repairs. There is a reason they push these things along w/ gap insurance, rim coverage, etc.
Maybe yes...maybe no..... it’s an insurance against failure. Bought a 2013 OB with a 7-year, 100k mile, $0 deductible extended warranty for $1200.... as of last week we’ve had more than $2000 in covered repairs as of last week, including, backup camera, air conditioning compressor, RSB end links, outboard mirror switch and front suspension bushings........ SO, it’s a net gain. Warrantees are a rip off if purchased at extraordinary prices. Putting that money aside in a savings account would have come up short. Gap Ins, Rim coverage, etc are nothing but a money grab.
 

·
Registered
'10 3.6R Outback Limited, 2zr swapped Toyota Yaris track toy, '05 AWD Pontiac Vibe
Joined
·
343 Posts
t
Extended warranties are a ripoff. Take the extra money and put in a savings account for any repairs. There is a reason they push these things along w/ gap insurance, rim coverage, etc.
Typically I would agree as these are ways for the dealership to make more money per sale hence why they are pushed so hard. If there was a net gain to the consumer then the dealership would lose money, so there is obviously a net loss to the consumer.

However this doesn't always mean it is a rip off for every buyer. If you happen to get stuck with a Subaru that needs a lot of work and you do not do any work on your own or have a reputable indie mechanic then you are stuck paying inflated dealership shop prices. This could easily cost upwards of a few thousand as some people have reported on here. IMO it would be better to buy a vehicle where you don't need the piece of mind of an EW and save the cash, but if you are dead set on a vehicle you feel you need an EW to give you that piece of mind then it may be in your best interest.

FWIW I come from the camp of "what warranty?...I am the warranty" and am typically not a fan of relying on warranty's to convince you to purchase a certain car. However insurance is always a rip off until you need it, then once you jump through their hoops enough cross your fingers that they will actually cover you.
 

·
Registered
Joined
·
515 Posts
buy the car and shop the Subaru Dealers for warranty... some will sell it for as little as $900 for gold 7 year 100K

as for extended warranty through Subaru, it paid for it's self already.
 

·
Registered
Joined
·
15 Posts
If your car is new, not CPO, then it doesn't have the extended power train warranty so maybe that's why it's closer to $2k instead and you've seen people like me get it for less. I was quoted $1295 for a 7yr/100k wrap bumper type $100 deductible on a CPO car that already comes with an extended power train warranty.... $460 more for a $0 deductible. I got him to do the $0 deductible for the $100 price. You have until the end of your 3yr warranty to buy an extended one!
 

·
Registered
Joined
·
13 Posts
Discussion Starter #13
Maybe yes...maybe no..... it’s an insurance against failure. Bought a 2013 OB with a 7-year, 100k mile, $0 deductible extended warranty for $1200.... as of last week we’ve had more than $2000 in covered repairs as of last week, including, backup camera, air conditioning compressor, RSB end links, outboard mirror switch and front suspension bushings........ SO, it’s a net gain. Warrantees are a rip off if purchased at extraordinary prices. Putting that money aside in a savings account would have come up short. Gap Ins, Rim coverage, etc are nothing but a money grab.
I totally agree.......with you because I had owned a VW SW Jetta and purchased the warranty (before I knew I could work the price) and still came out ahead ahead a fuel filter failure 3 months before it expired...and on diesel cars that gets $$ plus a window failure on both backs of windows...
 

·
Registered
2017 2.5i Premium Lapis Blue
Joined
·
3,379 Posts
I wonder if those who consider the extended warranty a ripoff also avoid buying collision insurance. The house always wins in both cases but both are simply insurance against risk. Of course the side selling the insurance is going to come out ahead in the big picture, but it is still going to be a winner for the unfortunate minority who end up needing it. I'm not a fan of extended warranties on most things, and I've never bought one on a car before, but I plan to get the 10/100/0 when I buy my Outback at lease end. To me it will be worth the peace of mind to have it, even if I never need to use it. In fact, I hope it turns out that every dollar I spend on the warranty turns out to be profit for them and they never have to give me a penny of free repairs.
 

·
Registered
Joined
·
5 Posts
With all the electronics on the 2020's I think the extended warranty makes a ton of sense. But you have 3 years or 36k miles to decide so there is plenty of time to find a great price and great coverage.
 

·
Registered
2018 Subaru Outback 3.6R Touring
Joined
·
21 Posts
Are there some cases where it makes sense, sure but people win at the slot machine too (but they don't go around saying everyone should play slots cause everyone wins). However, the vast majority of extended warranties are not utlized for the amount paid. I think i will play the odds and keep the money myself for any repair. Why lock that money down on a roulette table when not sure if you will ever use. My peace of mind is in my account and not the dealer.
 

·
Registered
2017 2.5i Premium Lapis Blue
Joined
·
3,379 Posts
Are there some cases where it makes sense, sure but people win at the slot machine too (but they don't go around saying everyone should play slots cause everyone wins). However, the vast majority of extended warranties are not utlized for the amount paid. I think i will play the odds and keep the money myself for any repair. Why lock that money down on a roulette table when not sure if you will ever use. My peace of mind is in my account and not the dealer.
Do you pay for collision insurance? Most people never use that either.
 

·
Registered
2018 Subaru Outback 3.6R Touring
Joined
·
21 Posts
Do you pay for collision insurance? Most people never use that either.
Yes i do, and its only $20 more per month than not. And its also a law to have it when vehicle is financed. Also, a wreck is in the 10s of thousands where a maintence is a few hundred. Did you not know this? Full coverage is mainly for the idiot driver that blows red lights and wreckless driving, what does this have to do w/ warranty again????? Are we going to discuss Home Insurance next??
 

·
Registered
2008 OB Limited 2.5i, Portland OR USA
Joined
·
5,001 Posts
Do you pay for collision insurance? Most people never use that either.
These are never black-and-white, all or nothing considerations, as you have posed this question. There are always several parameters involved in any insurance policy, all of which affect whether it is "worth it" or not to a given buyer:
  • risk of occurrence
  • frequency of failure
  • cost of occurrence
  • cost of premium
  • amount of deductible, or other form of self-coverage
  • any requirements that services must be done by a given provider in order to maintain coverage
  • business cost and profit model built in for the insurer
Note there is only one item on the list that is somewhat under the control of the insured, which is the deductible. The rest is given to us by statistical averages, costs of services / parts, profit models, etc. And in fact as a thought experiment one can consider self coverage as just one extreme endpoint of this model, i.e. the deductible is 100%, the cost of the premium is zero, the insurer profit is zero.

So one might choose to cover only the high risk, low frequency, high cost items, but assume a high deductible, expecting to never get into the need for that level of coverage. The opposite end of the scale, i.e. covering low risk, high frequency, and low cost with a zero deductible, is a ridiculous policy to purchase - that's just putting the insurer's overhead and profit model unnecessarily into the picture. Everything in-between depends upon one's situation and tolerance for risk.

Like some here, I tend to like some coverage for high risk, low frequency, high cost items, but assume a high deductible - examples are collision insurance on a vehicle and fire insurance on a home. The low risk, high frequency, low cost I tend to self insure - examples are consumer product warranties. Vehicle extended warranties have never been my thing, but I suppose I might think it over at some point, considering the higher costs involved nowadays.
 

·
Registered
Joined
·
235 Posts
Con
Hello Everyone.
First time Subaru owner, last weekend I purchased the 2020 Outback Turbucharged Touring model. I LOVE it. The dealership in all was a good experience except when I got to the Finance Guy. We negated a decent price with the sales advisor but when we go to the finance guy he played the same old same old games.....with warranty and maintenance. I purchased the pre-paid maintenance (more peace of mind and ease) and paid a little over half of the car in cash, and refused to role the maintenance into my lease which I paid for separately. Then we got to the Extended Warranty (EA), at that point he was playing all the hardcore pressure games so much so that we have to get pretty aggressive on shutting him down. He told me if we walked away and did not let him know by Thursday I would not be able to get a good deal on the warranty.

I have purchased EA in the past and I am glad I did because it always seems after you hit 5 years something tends to break. So with that being said I think again you are just prepaying for the an issue in the future.

thanks to this forum I went comparison shopping and I got it down to the following:

10yr/100k/$0 decidable roughly $1,950
8yr/100k/$0 roughly $1,450

Both of these offers are out of state as I live in California.

I went back to the dealership I purchased one more time to the finance guy and said, I was comparison shopping (I did not tell him where) and gave him one more chance to put in a better offer he said the best he could do for 8yr/80k/$0 deducatable was almost 2k! He also warned me if I purchase a warranty out of state Subaru might not honor it. I have researched Subaru's website and it does not state that. It says I can purchase from any dealership. I also sent him an email.

I really need help getting the following questions answered:

1) Which warranty would be best for the above

2) Are the above prices a good deal?

4) Because I live in California do I have to purchase the EA in Califronia

5) If not and the above is not a good price...for those who bought the EA and got better in the last year can you refer?

The above prices include tax. Also, I am not asking if the I should buy the warranty so we do not need to cover that.

Any help ...would be great!
Contact Dan Meola at Liberty Subaru in NJ...$1650. for 10yr/100,000. mile ext warranty...with zero deductible.
 
1 - 20 of 28 Posts
Top