Re: A4 Quattro Extended Warranty

[Glenn Lawton <lawtonglenn@gsmai.com>]

ENEY@aol.com wrote:
> ...1997 A4 quattro...GE 7yr/100,000 mile extended warranty...$2500.

Presumably, it doesn't cover wear items like brakes and tires, so what
can you expect to go wrong between 50k and 100k miles

	exhaust		$800	-100 deductible
	turbo		no
	struts		$600	-100 ded
	engine		no
	a/c compressor	$800	-100 ded
	steering rack	no	-100 ded
	sunroof motor	no
	window motors	no
	brake bomb	$300	-100 ded
			----	----
			$2500	-500

Most of the stuff I've had to replace on my history of 5 quattros
has been on the older cars, after 150kmi, after 8 years

Also, you should think of the net present value of the expenses,
since you are spending the money now to get a benefit 4-7 years
from now. At an 8% discount rate, you would have to have $950
reimbursed (after the deductible), in each of years 4,5,6 and 7
to equal the value of $2500 today.

I'd get out of the extended warranty contract if I were you.

Glenn