Extended warranty
 

Just purchased a 2022 Certified es300h. Only has 5,009 mi. Came with 4 yrs warranty and they offered 3 more years for $5000. Do different Lexus dealers have different warranties? If so, can they be used at all dealers? Thanks

ff you bought the CPO from a Lexus dealer and they gave you an actual "Lexus Vehicle Service Agreement (VSA)” - their name for the extended warranty - then that is the factory authorized version that is valid at any Lexus dealership. There are a few levels, which are explained on their website. I would just be certain that it actually is from Lexus Financial Services and not some other third party name on it (in other words, genuine factory approved, not some side the dealer made with a warranty company).

https://www.lexusfinancial.com/us/en...greements.html

If it were me I'd put the money in a cd.

Yikes! You would be paying $1,600.00 for repairs every year whether you need any or not. The economics of extended warranties (which are prepaid service agreements) do not support them, especially with respect to highly reliable and well made vehicles. This issue has been discussed in many places, including this forum with respect to almost every model.

You have one of the most reliable cars out there. Extended warranty not needed, imo.

I’d invest the $5,000 in one of the AI stocks and apply your gain to another “good-as-new” CPO Lexus four years from now!

To answer your original question: YES different dealers will offer you a different cost for the exact same Lexus authorized warranty. Shop around.
That said, $5K is on the hiigh end I was offered a 10 year (6 addtional on top of facfory) 100K mile warranty for $3770 when I purchased my car.

yes. That was my question. Maybe I should just call around to get a sense. Thanks.

Here's some research you can do. Based on studies, the average annual repair cost for an ES350 is $468.00. The extended warranty you are considering costs $1,600.00 per year. That's about 4 times what you would pay yourself.
I've had 5 Lexus cars over the past 20 years or so, and I've never had to pay over $500 in a year for repairs that would have been covered under a warranty. Of course, we don't want to generalize from insufficient data, but paying $5,000.00 in repairs is very, very unusual, and the warranty companies, who have lots of data, are betting big time that it's not going to happen much at all.

I guess I thought the possibility existed that the Hybrid, I bought the ES 300h, could have more repairs in the long run then a gas version.

I don't believe that is the case. Remember, the hybrid does have the additional electrical bits, but it eliminates other components like the starter. I suspect in the long run they are very comparable, although there is a lot of concern about the cost of a battery replacement after the 10 year factory warranty expires. Purchasing an extended warranty won't likely help with those components since the factory warranty is so long. I have had 4 Lexus hybrids, and two Toyotas before that and never had any trouble with any of them. To be fair, I haven't had any of them beyond 5 years which is about when I get the itch to upgrade - although that may change now that I have retired. :cry: