Do Any Florida Dealerships Offer Extended Warranties At A Price That Is Remotely Close To What Granger/Flood/Zeigler Charge?

[HalifaxDC]

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[Jerrytball]

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I don’t know about Florida, I know when I lived in Florida I never looked into one because I always got rid of the car after two years. But where I live right now, whatever is covered under the warranty of the car, no matter what it is, powertrain battery motors on the wheels the dealership I bought mine from it’s covered as long as you own the car, no matter how long , that’s why I buy them all the time.

 

[HuntingPudel]

We are in the same position in CA and the prices from the dealers out here are much higher than Flood’s and Granger’s. I was thinking of buying an extended warranty a couple of months before the change went into effect here, but I didn’t pull the trigger in time. Now I am most likely must going to not get one.

 

[macchiaz-o]

I don’t know about Florida, I know when I lived in Florida I never looked into one because I always got rid of the car after two years. But where I live right now, whatever is covered under the warranty of the car, no matter what it is, powertrain battery motors on the wheels the dealership I bought mine from it’s covered as long as you own the car, no matter how long , that’s why I buy them all the time.

How is it accomplished? Do they just add $6-10k additional markup above MSRP at time of sale?

 

[RyZt]

For CA, I’ve heard that the warranty sale restriction can be bypassed by using a non-CA mailing address. Don’t know about FL

 

[AKgrampy]

Shows me how little I know. I figured an extended warranty was good in any state no matter where you purchased it.

 

[HalifaxDC]

Shows me how little I know. I figured an extended warranty was good in any state no matter where you purchased it.

I think you are right in that a Ford extended warranty, purchased in any state, is good in Florida (Florida Ford dealers will honor it).

The problem is that Florida residents are not allowed to purchase a warranty from out-of-state sellers, so they are basically stuck having to buy them from overpriced dealers in Florida.

 

[AKgrampy]

I think you are right in that a Ford extended warranty, purchased in any state, is good in Florida (Florida Ford dealers will honor it).

The problem is that Florida residents are not allowed to purchase a warranty from out-of-state sellers, so they are basically stuck having to buy them from overpriced dealers in Florida.

I see - I have always purchased them at dealer cost (my wife was an employee) and have never used them. I will have to think very hard on my next purchase as my wife has retired.

 

[Jerrytball]

How is it accomplished? Do they just add $6-10k additional markup above MSRP at time of sale?

Not that I could tell I mean, I paid 53 out the door for the car MSRP was 68 I think or 65. It’s just what the dealer does down here he owns Mazda Toyota Ford. I think the beverage company got huge customer their vehicles don’t hang onto them for 10 to 15 years so they probably bet on that. For two years, you don’t pay for maintenance on any kind of any vehicle, oil changes all that stuff.

 

[RickMachE]

?

No, because they have no reason to.

 

[Chuck]

We are in the same position in CA and the prices from the dealers out here are much higher than Flood’s and Granger’s. I was thinking of buying an extended warranty a couple of months before the change went into effect here, but I didn’t pull the trigger in time. Now I am most likely must going to not get one.

I'm in California and bought my extended warranty from Lombard Ford in Connecticut. It was about half what my selling dealer (Galpin) wanted for it.

 

[HalifaxDC]

No, because they have no reason to.

Why not? Two or three major dealers nationally decided to go the low margin, high volume route and sell the extended warranties at low prices, and now they have a ton of extended warranty customers, which they could easily convert to new vehicle buyers by also offering high volume, low margin pricing on new Ford vehicles.

If a Ford dealership in Florida decided to do the same thing, they would capture a large portion of the extended warranty (and maybe new vehicle) business within a state with the population base similar to a medium-sized European country.

 

[HuntingPudel]

I'm in California and bought my extended warranty from Lombard Ford in Connecticut. It was about half what my selling dealer (Galpin) wanted for it.

Just recently? They changed the law in CA this year.

 

[Chuck]

Just recently? They changed the law in CA this year.

No, it was 3 years ago. What was the change in law?

 

[RickMachE]

Why not? Two or three major dealers nationally decided to go the low margin, high volume route and sell the extended warranties at low prices, and now they have a ton of extended warranty customers, which they could easily convert to new vehicle buyers by also offering high volume, low margin pricing on new Ford vehicles.

If a Ford dealership in Florida decided to do the same thing, they would capture a large portion of the extended warranty (and maybe new vehicle) business within a state with the population base similar to a medium-sized European country.

My perspective on things differs from above.

Florida dealers have no incentive to discount vehicle warranties because the vast majority (i.e. nearly all) customers that buy them have no idea that a) they are a bad purchase and b) that the price is negotiable (as are most prices). The evidence of this is that customers often buy 3rd party warranties which are even more profitable for the dealership and worse for the customer.

As to selling high volume / low margin on vehicles, most dealerships rely on the customer being poorly informed, wanted to buy "local", etc. Driving 3 hours in a state to get a cheaper price wouldn't be considered by most. We did it in Florida for my mother, had my son meet here there, 90 minutes from her house, 90 minutes from his, and you would have thought the oceans had to be parted for all the complaining she did...

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