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Re: Service contract

On Tue, 7 Nov 1995, EREC - DUNCAN, CAMERON wrote:

> I JUST purchased a gem of a used 1991 Audi 200S Turbo sedan, 57k miles, new 
> brakes & tires. The dealer said I could purchase a Service Contract (through 
> Warrantech Automotive) for 3 years/36k/$100 deductible at $1603.00. 

5 years ago, i bought a 3yr/50K/$0 ded "contract" for my V8. cost
$800.  i don't think you are getting a great deal..  mine has more
than paid itself off after just a handful of claims,  so i am pretty
happy i got it...


>I have 
> not been impressed with service contracts, typical dealer service, etc. on 
> one hand, but I understand an Audi is a high maintenance vehicle prone to 
> expensive repair. 

you are correct.

>Can anyone help me 
> evaluate this? recommendations/suggestions?

my experience has been that the insurance company that writes the
policy will do everything they can to turn you down.  the way it
happens is if your car needs a part replaced whose description does
not match exactly what is printed on the policy, they will attempt to
deny you the claim.

e.g. the brake pressure accumulator is a pretty unusual part that
tends to fail.  the policy will typically cover "brake booster".  in
my case they denied it, but after a bit of sweet talk to convince them
that it is indeed part of the "brake booster" system they agreed to
cover it.

there was also a temperature regulator that needed replacing in the
climate control system.. same scenario, but i got it covered as well.

you will need the cooperation of the dealer to help you get things
covered.  they can massage the repair description to match what your
policy covers.  the dealer has little incentive to help you as well,
because they can charge you more if you are paying out of your own
pocket,  while an insurance adjustor will dicker with them.

also, negotiate a lower price for the "service contract".  if the
dealer can make 1000% profit instead of 2000%, they will still 
sell it to you.

> Why do so many mechanics laugh when you suggest purchasing an Audi? They 
> feel "maaarrveluusss." 
maybe these guys don't know how to work on them.. at my dealership,
lots of the mechanics drive audis (mostly 5000s, 100s & 200s), because
they are good cars to be had for a very very low price.  something to
be said about that.