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Old 26th August 2014, 11:11   #211
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Received a reminder Extended Warranty quote for Brio S(O) from the dealership 5 days before my original warranty expires.

The price as of today would be as follows:-

No. Of Days. 3rd year/ Up to 60,000 kms. 3rd - 4th year/ Up to 80,000 kms.

UP TO 60 Days* Rs. 2700. Rs. 5650.
FROM 61 TO 300 Days* Rs. 2900. Rs. 6050.
FROM 301 TO 540 Days* Rs. 3100. Rs. 6450.
FROM 541 TO 730 Days* Rs. 3300. Rs. 6900.
*Number of days from the vehicle original warranty start date.

Car has 15K Kms on the ODO and is used by me when i am in country, mostly outstation trips.
I plan on keeping it for long, but haven't really seen cases of failures in Brio, which can be probably because the car is relatively new, only 3 years since launch.

Suggestions?
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Old 12th December 2014, 13:53   #212
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Dear Friends,
I have a Linea Diesel car which is in extended warranty, i took it to the trivandrum dealer for issues stated below,
1. Glow Plug failure.
2. Door wiring kit issue.(Wire broken)
3. Power window winder issue.(Winder need to be replaced)
4. Rear shock having sound.(need to replace the rear shock)
5. Rear door lock not opening from inside.

All these are claimable under extended warranty, but Fiat needs 5 days to process and confirm the claim. I am really shocked to hear this from the FASS. So I called Fiat CS and asked about it they also said the same.
My question is if my vehicle is in extended warranty why we need to wait 5 days for approval. Why cant FIAT approve the claim by simply checking the extended warranty status. Why the customers have to pay for the items and later they will reimburse the amount once FIAT approves it. Is this some sort of Insurance Claim??. My previous car was from TATA and during extended warranty they did not had a process like this. All issues were free of cost and approved at the same time. I am unaware about other manufactures, friends do share you experiences. I am totally unsatisfied by this act of FIAT.
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Old 12th December 2014, 15:53   #213
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Actually Fiat takes a bit of time to approve the work, I had work done under warranty a few months ago, it took some time, meaning about 6 hours. I guess in Kerala things work differently, I am talking about Vecto Motors, Hosur Road, Bangalore. Wear and tear are not covered under warranty and they decide what the parts are.
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Old 12th December 2014, 15:53   #214
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Quote:
Originally Posted by harryms View Post
My question is if my vehicle is in extended warranty why we need to wait 5 days for approval. Why cant FIAT approve the claim by simply checking the extended warranty status. Why the customers have to pay for the items and later they will reimburse the amount once FIAT approves it. Is this some sort of Insurance Claim??.
Extended warranties are usually insurance contracts. FIAT will file a claim with insurer that has underwritten the extended warranty contract. Insurer will have to approve the claims.

This approval process takes longer then the process that is completely controlled by manufacturer.

Some background on this business (I.e. Insurance companies providing extended warranty / service contract covers to automobile companies):

http://www.warrantyweek.com/archive/ww20100211.html
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Old 12th December 2014, 16:33   #215
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Default Re: ARTICLE: Extended Warranties. Yes or No?

OK. So how does TATA can do with in 30 minutes and Fiat take 5 days for it. So as a customer How can i know which parts are covered under Extended Warranty. If we have a contract then it should be transparent. The 5 day was told from Fiat customer support. I am going to take the vehicle from Mohandas motors now, will update you after few hours.

Last edited by harryms : 12th December 2014 at 16:34.
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Old 12th December 2014, 17:47   #216
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Default Re: ARTICLE: Extended Warranties. Yes or No?

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Originally Posted by harryms View Post
OK. So how does TATA can do with in 30 minutes and Fiat take 5 days for it.

TATA also has similar system. In some cases, system approves claims without any human intervention (E.g. Known Issues with parts that have failed in certain %of cars, values is below a certain threshold etc.). In such cases, work can be done immediately.

Otherwise, insurer has to approve manually and that takes few days.

Example of TATA on this forum:

http://www.team-bhp.com/forum/indian...vista-tdi.html (Tata Motors - Extended Warranty Woes (Vista TDi))

Quote:
vendor wouldn't take responsibility and United India insurance(they provide extended warranty), who said that I had to claim parts warranty, I managed to figure out that if I could find out exactly which parts within the alternator were repaired in Mysore and which parts failed this time, I could put in another application for extended warranty and get at least a partial claim. However, this information is not readily available. The vendor who did the alternator repair lists this out on their bill which is kept by the service center. The final bill that the customer gets has no mention of this. And after 8 months, finding this little bit of information would have been difficult.
Quote:
A little on the subject of extended warranty. Extended warranty is basically third party modified insurance. Apart from the limited coverage there are a lot of unknown clauses that you never signed up for. I don't know if that's even legal. I actually talked to Global administration on the phone. Global administration provides administrative services for United India insurance, who provide extended warranty for Tata Motors (and perhaps others too). I found out later that if this problem had occurred under first party (Tata) warranty, I would have been able to make a claim anywhere in India without issues and that Tata would have taken care of the back end paperwork and funds. I can attest to this. After the first accident and shoddy work at Concorde Motors in Hyderabad, I got things like the entire radiator assembly and turbocharger peripherals (oil hoses, etc. etc.) replaced under warranty at Urs Kar in Mysore even though the repairs were done at Concorde motors in Hyderabad.
Quote:
Originally Posted by harryms View Post
So as a customer How can i know which parts are covered under Extended Warranty.
You need to ask for underlying contract copy that has mote detailed terms from FIAT. This is something that Regional FIAT office can provide.
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Old 12th December 2014, 19:27   #217
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Default Re: ARTICLE: Extended Warranties. Yes or No?

I took the car after paying around 4500.00, the SA told he will inform when the warranty is approved. I asked him to give me reference number but he said that tomorrow only they will claim for the warranty.
Another question in my mind does this extended warranty includes the labor cost? sorry for asking more questions like a child
From the above list the claimed details are as follows,

1. Glow Plug failure. -- Claimed for EX Warranty
2. Door wiring kit issue.(Wire broken) -- Claimed for EX Warranty
3. Power window winder issue.(Winder need to be replaced)-- I said not to replace it.
4. Rear shock having sound.(need to replace the rear shock)-- This they were unable to find from where the sound comes, SA told the studs are good.
5. Rear door lock not opening from inside. this was repaired, i think it was a minor issue.

Last edited by harryms : 12th December 2014 at 19:31.
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Old 13th December 2014, 07:16   #218
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Default Re: ARTICLE: Extended Warranties. Yes or No?

My Dads Hyundai I20 is about to complete One Year of age in Jan.
This vehicle was purchased and an extended warranty was purchased along with it.
The Extended Warranty is valid for 5 years from the date of purchase of the vehicle.
His Insurance renewal becomes due any time now.
While the insurance itself is being renewed and is a comprehensive policy, we considered it sensible to invest in an additional Zero Depreciation Policy as well.
The thing is, our surmise is that one day, when the Extended Warranty Runs out, if we are still covered by the Zero Depreciation Insurance policy, we may receive some benefit from the same, in case of need.


I have followed the same principle in my Yeti. I bought the Extended Warranty along with the vehicle and at the same time, have invested in the Zero Depreciation policy too. The logic for this is the same as I have outlined above.

Only, with each passing year, the cost of Insurance + Zero Dep, pretty much ensures that one has to outlay a significant sum of money to "feel safe". The operative phrase being "feel safe". Given the increasing complexities and troublesomeness of our Indian driving conditions, I feel that it is a worthwhile investment to make, in return for a lot of peace of mind.

Hope I never have to ever "test" the utility of these though!
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Old 15th February 2015, 19:38   #219
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Default Re: ARTICLE: Extended Warranties. Yes or No?

I have a question that perplexes me.

How do brands like Kia (in Australia) offer 7 year unlimited km warranty while every tom dick and harry brand is offering 5 year unlimited warranties here.

Why do players in the Indian market offer such limited coverage? AFAIK none goes beyond a four year period for most cars.
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Old 15th February 2015, 21:14   #220
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Default

Third world conditions vs first world.
Everything from the fuel quality to the road and air quality.
These guys do a lot of tea research about these things.
I know one brand tests cars for 100k km before launching it in India.
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Old 15th February 2015, 21:18   #221
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Default Re: ARTICLE: Extended Warranties. Yes or No?

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Originally Posted by phamilyman View Post
How do brands like Kia (in Australia) offer 7 year unlimited km warranty while every tom dick and harry brand is offering 5 year unlimited warranties here.
That is primarily due to cost. Ford can afford to give 5 year warranty on "Made in India" cars that are exported. When same car is sold in India, cost of 5 year warranty will be too high.

GAAP et el. require manufacturer to recognize the estimated warranty expense in the same period that of sale.

That expense is added to retail price and customer will have to pay 50% tax on that price in India.

Similar tax is 7 - 12% in Australia.

Example of Tax in Mumbai:

Excise 24%
VAT 12%
RTO 10%
LBT (Octroi) 5%


Total 51%

Extended warranty is taxed as service or insurance (depending on terms and who is underwriting the risk) and is taxed at much lower rate. It is also inherently cheaper due to lower amount of coverage (E.g.: ICE would not be covered).
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Old 15th February 2015, 22:23   #222
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Quote:
Originally Posted by phamilyman View Post
I have a question that perplexes me.

How do brands like Kia (in Australia) offer 7 year unlimited km warranty while every tom dick and harry brand is offering 5 year unlimited warranties here.

Why do players in the Indian market offer such limited coverage? AFAIK none goes beyond a four year period for most cars.
Its only 2 or maybe 3 years at max! Which is the Standard warranty. Anything more has to be purchased separately. And most parts aren't covered in the so called Additional warranty.

Toyota Offers only 3 years warranty and no option to extend.
India's favorite Maruti Suzuki offers only 2 years warranty and that too for a meesly 40,000 KM! This is even on their Flag ship model the Kizashi! Shame on you Maruti

Quote:
Our primary warranty, as of now, is for a period of 24 months or 40,000 kms (whichever comes first) from the date the first owner takes delivery.
Warranty can be extended -
http://www.marutisuzuki.com/plan1.htm
OR
http://www.marutisuzuki.com/plan2.htm

Where as in Australia the same cars including the Kishazi get
Quote:
Every new Suzuki comes with a 3 year or 100,000 km warranty (whichever comes first) as standard.

Last edited by Captain Slow : 15th February 2015 at 22:25.
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Old 16th February 2015, 12:44   #223
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Quote:
Originally Posted by avira_tk View Post
Actually Fiat takes a bit of time to approve the work, I had work done under warranty a few months ago, it took some time, meaning about 6 hours. I guess in Kerala things work differently, I am talking about Vecto Motors, Hosur Road, Bangalore. Wear and tear are not covered under warranty and they decide what the parts are.
Yes I agree too with Vecto Motors Bangalore.

Quote:
Originally Posted by harryms View Post
OK. So how does TATA can do with in 30 minutes and Fiat take 5 days for it. So as a customer How can i know which parts are covered under Extended Warranty. If we have a contract then it should be transparent.
IMHO it was relatively simple and fast
I recently claimed for the following parts under Ex-Warranty
1. Glow plugs (4 No's)
2. Water pump

It took Vecto Motors, Mysore Road not more than 3 hours to process it.
Although the limit for the claim was < 7000 Rs
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Old 18th February 2015, 11:24   #224
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Update: The ex-warranty was declined at first for the wiring harness of the door. Then I asked the service manager why this happened and told them that I will escalate since this is a clear cut issue of quality of the wire. The service manager informed me that he will push it once more and see. But the second time he got the approval. The amount was reimbursed since i have already paid for it.
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Old 8th March 2015, 10:17   #225
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Default Re: ARTICLE: Extended Warranties. Yes or No?

Do we have to pay for labour charges while getting a faulty part changed under extended warranty? Shouldn't it be free too when it is clearly evident that the company's quality is at fault here and hence they should do the necessary repairs or replacement.
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