Service Contract Opinions

[The Rocketman]

I've read many threads about service contracts and/or extended maintenance warranties. Looking for opinions as to the benefits or drawbacks, rather than which one to get.

 

Narrowed it down to RPM One and Zurich. A BMW dealer in New Hampshire has great things to say about both with respect to claims, etc. and offered me:

 

$1,040 for a 2 year contract with RPM One, or

$2,099 for a 3 year contract with Zurich.

 

Each one has no deductible, unlimited mileage, covers everything fender-to-fender (including engine, transmission, final drive, electrical, etc.) except normal maintenance items, and are almost identical. Requires a trip to New Hampshire for an inspection beforehand (not a bad thing!)

 

I bought an '09 RT with about 20,000 miles, well maintained by the PO, which purrs like a kitten and has no issues at all but is out of BMW's warranty. I'm a decent wrench, and aside from major repairs can do most things myself, and with your help

 

Mostly thinking about ABS modules, final drives, etc. (the high ticket items).

 

I know later model Hexheads are pretty reliable, but I also know how much I spent on 4 final drive rebuilds on my R1200C and an output shaft seal, and don't want to go through that ever again.

 

I know its an insurance policy at best, but I plan on keeping the bike for a long time.

 

Any opinions as to whether you think this is worthwhile would be appreciated. It amounts to $500/yr for one, or $700/yr for the other, or rolling the dice and hoping I never have a catastrophic expensive failure.

 

Thanks....

[Tri750]

Bear in mind talking to the sales department gets you no real world info. They get a commission if they sell you the policy.

Talking to the service manager or warranty administrator tells you just how the company performs during a claim.

Quick communication, low hassle dealing with adjusters, quick authorization to do the repairs and quick and fair payment.

You can also negotiate the price with the sales department or in most cases, buy the same coverage for less money online from your chosen warranty company's website.

 

[aggieengineer]

Seems rather expensive for what you get. You can have an ABS module rebuilt for a few hundred bucks, and for two thousand, you can buy a brand new final drive. Personally, I'd be willing to bet that those items will outlast the service contract. Even if they don't, you still have the money you would have spent on the policy to help cover parts.

 

In the final analysis, it really only depends on what you're most comfortable with.

[Dave_in_TX]

I agree with agieengineer that the price sounds high for what you get. I added four years to the warranty with unlimited mileage for about $1100. I also had an extended warranty on my 2007 RT. It paid for two transmission oil seals, the lockout switch in the clutch and a new fuel pump (at 135k, it was exhibiting the cracking that finally resulted in a recall). At the price quoted to the OP, I think the risk/reward ratio might not be that good. Particularly if one isn't really ranking up the miles.

[Ponch]

That's a lot of dough. For what one year costs on a BMW, 3-4 years can be added to a Kawasaki. That should tell you something right there.

[RTinNC]

I suspect the somewhat high cost is due to the bike being out of factory warranty? When I bought my '12 GSA I got the Zurich which ads 4 years to the 3 year BMW warranty so a total of 7 years all in and that cost about $1400. Even the cheaper one you quoted was over $500 per year. I might just put that money in the bank and self insure. But would not go with the higher cost option. But have to say Zurich seems to be a good company. Had one issue and was fully covered and no deductible. Hope this helps.

[The Rocketman]

All these opinions help.

[Heck]

Rocketman:

In the last 25 or so years I have never bought a vehicle without an extended warranty. With the exception of a Toyota Tercel that I only kept for 6 months, I have got my money back on each of the vehicles I spent Xtended warranty money on...

I'm a believer....

[Tri750]

Yes, it's more expensive becaise the bike is not new, has 20k miles on it, and

There is no factory warranty left to take the brunt of the risk. Doesn't that make sense?

 

[Hank R1200RT]

Does BMW offer an extended warranty? Any experience?

[The Rocketman]

BMW does not offer any extended warranty after the original warranty has expired. Several dealers told me that it is being discussed, but they have no idea if, or when it might be available.

[Nesbocaj]

Ask your closest dealer if they would honor the coverage should they have to do work on the bike.

[The Rocketman]

I'm told any dealer can work on the bike. Either a BMW authorized dealer or an independent, as long as there's a BMW master mechanic on staff.