Guaranteed Auto Protection and TFS Extended Service Coverage: Worth it?

[pistolpetey]

Hey guys--New to the forum and about to get my first 4Runner. On Friday I'll be picking up a Limited Black 4x4 V-8 in black. The car was the last shipment of '06 and just came into the Seattle port on Monday. Can you tell I'm excited? Anyway, I have negotiated a great price with the dealer (I think) and got the port installed options I was looking for. I was perusing the Toyota website and came across these two bits:

Guaranteed Auto Protection and TFS Extended Service Coverage

I couldn't find any more info on the Toyota site, nor through a search on this site, so wanted to know who here signed up for these, and whether they think they're worthwhile. Like most people, I'm generally skeptical of extended warranties, especially for brands with a reputation for reliability like Toyota, but wanted to make an informed choice on Friday. Anyway, any input would be greatly appreciated. I will be sure to post pics of my new 4Runner after I pick it up on Friday. Great to be a part of this forum.

Peter

 

[Uneek]

Unsure about what Guaranteed Auto Protection. But the TFS Extended Service Coverage, sounds like extended warranty from Toyota Financial Services. If it is in fact extended warranty from TFS, I recommend Platinum as it provides the most coverage and covers many components that isn't covered by the regular bumper to bumper warranty (one I think was water pump for the regular warranty, but not the seals, Platinum covers both).

I don't know what your dealer is charging you for the warranty, but mine offered money back guarantee if the extended warranty is never used. Check the Warranty and Problem sub-forum, there's a thread with a few finance reps from various dealers offering the Platinum warranty for much less than what dealers are charging, ~$800-1000 vs. $1100+.

Also, the extended warranty from TFS can be purchased as long as your Toyota is within the 3yr/36k factory bumper to bumper warranty. You don't have to purchase extended warranty at the time of delivery. If you want extended warranty, TFS offerings are the way to go, don't bother with third party insurance company warranties. If they fold, you're SOL.

Good luck and congrats on your purchase.

 

[Koz]

Welcome to the BEST 4Runner site on the internet! I have the TFS Platinum at about half the asking price. It was just under $1K.

Koz

 

[slyangel9]

I am not a big fan of extended warranties. Wouldn't you rather pay the $1,000 when the major damage happens instead of upfront. Also, you should read the coverage's carefully, I think that wear and tear items are still excluded.

 

[Bluto]

I will purchase the Toyota Platinum warranty at the end of my factory 3/36. You don't have to buy it when you buy the vehicle.

http://www.toyota-4runner.org/showthread.php?s=&threadid=10740


$876 + tax is cheap insurance.

The modern ABS, emissions, traction control, air bags, etc are expensive to repair.

 

[Uneek]

pistolpetey,

Actually, I found more information here.

Guaranteed Auto Protection is GAP insurance, didn't know that GAP was an acronym, but knew what it is. (Learn something new everyday.) If your financing it's a good idea to have, so you don't end up upside down with payments on the truck if there's a total loss. GAP info from TFS.

Like others said, extended warranty is cheap insurance. If you're leasing or trade every couple years, then factory warranty will be sufficient. TFS extended warranties are transferable. I plan on driving mine until the wheels fall off. The 4R isn't a small investment, IMO, at high $20k to mid $40k, unlike VCRs and DVD players which are disaposable appliances. If you opt for navigation, that alone is $2000+ for replacement. Toyotas are more reliable than other makes, but it's not the mechanical components that worry me, it's the electronics (VSC, TRAC, ECU, etc). Those are expensive and I wouldn't want to pay for the components or the diagnostics. (Though IMO it should be easy with figure out with scan tools.) More info on here on extended warranties. Check out the dropdown, it gives list of additional component coverage. Your dealer should also have a brochure on it and Platinum coverage is highlighted in red.

Maintenance and wear and tear items are not covered by Platinum.

 

[Koz]

I am not a big fan of extended warranties. Wouldn't you rather pay the $1,000 when the major damage happens instead of upfront. Also, you should read the coverage's carefully, I think that wear and tear items are still excluded.

I have a Limited with all the goodies and I felt better being protected for 7year/100Kmiles. The master cylinder alone goes for $1200.

Koz

 

[slyangel9]

I hear ya and maybe I'm in the minority, but in all the years I've owns cars, I haven't experienced any major damage. $1,200 for a master cylinder is extremely expensive, but I doubt that you would have to replace during the time of ownership. You might as well include items like power steering pump and brake boosters, but really, do they go? Maybe at 100k miles. Do you all keep your vehicles that long? IMO - I think that extended warranties are scams and merely a means for a dealership to make more $.

 

[pistolpetey]

Hey guys--Thanks for all this great info. I'll be reviewing it all today. The TFS sounds like it might be a good idea. I am getting the Limited pretty much fully loaded, so it wouldn't be surprising to see some electronic component go out in 100,000 miles. It is nice to know I can purchase this at any time. Is there any benefit to purchasing this protection when you buy the car? Easier to negotiate a better price on it? An interesting poll on the forum would be to see how many people have actually used their TFS. I'll let you know what I decide to do. Thanks again,

Peter

 

[toto]

I'd be inclined to think that it would be harder to negotiate the price of TFS at the time of purchase. I was quoted list price by the Finance Manager during the pitch.

But here's an idea. I was quoted $1150 for Platinum 7/75 $0 deductible. A good price for that is about $700 - $800 based on stuff I've read here. When you negotiate the price for your new truck, come up that $700-800 from your price and make them throw in the warranty. Essentially, negotiate with the sales guys - not the Finance Manager. That might work.

 

[pistolpetey]

Thanks Toto. I was thinking of adding the service contract as well, so perhaps by doing the both I can negotiate a better pkg deal. Anyone done this? Is the service contract a good value? I would get the one with 5k oil change intervals, major service included, and the tire rotations.

Peter

 

[dum8ss1236]

isn't it true that if you don't end up using the coverage then at the end you would get your full refund??

 

[nauticalniremor]

Hey guys. I got the GAP insurance at time of purchase. It was only like 300 total. It will cover the "gap" between what your insurance will cover if a total loss and what you owe on the car so you arent screwed. I figured better safe than sorry!! If you are considering it, i would go for it. Thats my 2 cents worth!!:happens:

 

[toto]

As for the pre-paid service plan, you've got to read the fine print.
See this recent thread:
http://www.toyota-4runner.org/showthread.php?s=&threadid=21147
Before you buy gap insurance, figure out how upside-down you will be on day one. The new car will lose a couple thousand dollars of value as soon as you drive off the lot. But if you had at least a few thousand dollars in equity in your trade-in, you're probably OK unless you finance for longer than 5 years. On a 5-year loan, you're always very close to owing what the car is worth unless you had a decent percentage of cash down. If you go longer (many dealers are now pushing 6 years), then you could end up upside-down at any time. I'd also discuss it with your own auto insurance agent first. They might offer the same plan for less money, or you might already have some amount of coverage.

 

[toto]

isn't it true that if you don't end up using the coverage then at the end you would get your full refund??

You would get a pro-rated refund, so yes, an extended warranty often has some amount of cash value if you trade the car in before that warranty expires.
I agree that the extended warranty is mainly a cash cow for the dealer, but if you plan to keep the car that long, it's cheap insurance as long as the coverage is useful and it's direct from the manufacturer, not some outfit that could go out of business.

Again, check the fine print first! The Platinum plan sounds pretty good in my opinion, but of course there are things it doesn't cover. Examples: anything remotely considered a wear item (such as brake parts or clutch parts), any sort of decorative parts (body panels, carpet, interior trim, glass, exterior trim pieces), the frame, rubber hoses, or fluids. Since fluids aren't covered, if they have to drop a fluid to replace a covered part, plan on paying for the fluid change! The full list of things not covered is on the back of the brochure, so you can check it out before you buy.
Toyota also has the brochure online here:
http://www.toyotaownersonline.com/parts-service/service-center.php?support=service_agreements

 

[pistolpetey]

Thanks for the info guys. I think I will probably go with the extended service warranty just for the peace of mind, and as I plan on keeping the car for quite some time. As for the pre-paid service, that seems a little debatable. From reading the Toyota website, it appears that if you opt for the Premium plan, all (3) major services are paid for. The 4 year 55,000 mile policy has an MSRP of $995, with oil change intervals of every 5000 miles and includes three major services. This obviously appears to be a fairly good value--I'm guessing the cost of the major services alone is equal to this amount. From the other thread mentioned, where someone had a bad experience with this program, it sounds like they might have been on the classic program. Or not. Would be interesting to know. Of course the other big question is: how frequently do you change your oil? I"m a big advocate of every 3000 miles, though I know this may be overkill. Is the recommended interval for the 4Runner every 5k?

Peter

 

[Uneek]

isn't it true that if you don't end up using the coverage then at the end you would get your full refund??

This is offered by the selling dealer. My dealer offered it, but they also charge full pop for the warranty at $1600-1700. I don't think the internet contacts are offering it though.

 

[pistolpetey]

An update. I ended out getting the 6 year/100,000 mile Platinum coverage for $1180 (normally around 1700 I believe). The dealer where I purchased the car didn't sell the pre-paind maintenance program, so I'm calling around for quotes. Let me also say that they 4-Runner is awesome. Toyota really knows how to build a car. Many materials are similar in quality to my brother's Lexus GS430. My only gripes are the seats are not as comfortable as my old Saab (but you can't beat Saab seats) and the placement of the window swithces. The Nav is awesome and the car is smooth and looks great. Going through break-in period now so I haven't really stretched it out, but I can tell there's a lot of power there (V-8). How closely did you guys observe the break-in period. I will post pics soon. Getting front windows tinted and 3M Clear Bra installed Monday.

Peter

 

[nauticalniremor]

Getting front windows tinted and 3M Clear Bra installed Monday.

Peter

Where are you getting the 3M clear bra installed and how much is it??

Anyone out there have it?? Does it really help?? Thanks!! -always looking to spend money!! Erin

 

[pistolpetey]

At a place called Alexia's auto tint in Portland, OR. They are one of the best in the Northwest at this stuff. I guess they brought a guy up from California to do these 3M installations as he is a real artist at it. It isn't cheap ($510) but supposedly he is the best. That includes rear view mirrors and leading edges of doors. He also does the entire front in a single piece. Supposedly it is a $1500 job. My car is black, so the application will have to be pretty much flawless for it not to show. We'll see...

Peter