I am picking up a 2011 Lexus RX 350 this week . It has 66k kms/ 41k miles. The regular warranty expires May 2/ 2015 and the power train warranty expires May of 2017. Yes I have checked the search function and not found anything that addresses my question.

I have just sold my 2001 Porsche Boxster and after owning it for three years of course I have had no warranty. To have any kind of warranty will be a luxury.

Now my question. I will be out of warranty in about 2.5 years from now. Do I need to have further warranty than this? Is this suv considered reliable? The dealership tells me that I have till Saturday to make a decision to take or not extended warranty for up to 96mo/160000kms for the cost of $4250 which is refundable if no claims are made. I am averse to extended warranty but I need your opinions! Thanks in advance. Cheers, Guy.
PS I had a PPI done on the car and it came up well.

 

Of course they are pressuring you to buy an extended warranty. It is easy money for them.

Do you plan on keeping the car for 8 years???

Plenty of options besides Lexus.

Read this :
http://www.consumerreports.org/cro/magazine/2014/04/extended-warranties-for-cars-are-an-expensive-game/index.htm

 

It is considered one of the most reliable vehicles around. Register your new purchase with Lexus.com so you can receive recall alerts and also view the service history. There was a very recent notice from Lexus regarding an extended warranty for the oil cooler hose, but I think it is only for vehicles with the tow package ( I could be wrong).

I would get the transmission flushed at the dealer with that many miles on it.

Enjoy your new ride.

 

Consumer Reports rates Lexus as the most reliable brand. 2011 RX 350 has a big red dot for reliability. Can't get any better. Don't waste your money on extended warranty.

 

It really depends on how much you value "peace of mind". Almost any Lexus repair is expensive, but I'm guessing it would take 4 or 5 average issues over the 8 years to make it pay off. Based on the RX reliability, you have to wonder if you would have that many issues.

Why not stick the $50 a month into a "repair fund" savings account, and use whatever you have left over after 8 years to help buy a new car? Do I think I would be disciplined enough to do that? Nope. but it sounds good to my lovely wife!

#notafinancialgenius

 

I doubt you would come close to spending half of $4250 out of pocket for repairs during your time of owning the car. Much of the time with these the item you need repaired is excluded for some reason or they call it a normal wear replacement item. It is a huge profit item. And you still have to pay for regular maintenance, batteries, brakes, tires, wipers, fluid changes. unless those are specifically included, which I doubt.

 

Dealership makes a ton of money selling you warranty. Is that 96 months/160000 from in-service date? So only til 2018 or 19?

If you are financing the purchase and thinking about adding the extended warranty in the contract you will be paying more with financing charges. Do they pay you back, with interest, if no claim is made?

I self insure by putting $ into my "repair fund" every month. Likely anything that is covered under "power train" warranty will have happened by now and within your 2.5 years. Its the other things like brakes, sensors, belts, etc that will need maintaining in the future. Warranty doesn't usually cover any of the maintenance items.

I certainly don't know your financial situation or risk aversion but based on the reliability of Lexus major components, IMHO save the $4250.