Extended warranty from dealer, conflict of interest?

[ponytuning]

We purchased platinum extended warranties for both the x5 and x6 from the same dealer, it's not through a 3rd party but the dealer owns it (ie Lithia of Portland)
Does anyone have experience with these types of warranties? I mean, it's in their interest to deny coverage since they"re footing the costs, the warranty was chump change at 3k a pop considering that even for an oil service they charged $600, most being labor.
When I had warranty through a 3rd party and car went in for repairs my SA actually told me to take them to the cleaners LoL... Them being the other company.

[smyles]

I think you missaunderstand and/or haven't read the policy itself.

[ponytuning]

Originally Posted by smyles

I think you missaunderstand and/or haven't read the policy itself.

Misunderstood what?

[wjdunn3]

I doubt the dealer is underwriting the warranty themselves. Most likely there is a some other company that actually backs the warranty.

If the dealer is charging you $600us to change the oil, then you need to find another dealer or independent. United BMW here in Atlanta on charges me $118 or so for my X5

[quick]

Originally Posted by ponytuning

Misunderstood what?

Dealer warranties are usually through an independent company. If you have doubts, call the service department and ask them who the under writer is for you policy and that would explain everything

[ponytuning]

Originally Posted by quick

Dealer warranties are usually through an independent company. If you have doubts, call the service department and ask them who the under writer is for you policy and that would explain everything

Ah I see. As for regular maintenance, I do that myself now. Did oil changes and break flush, next up is the coolant flush. Already saved $$$ in parts and labor.

[mikado463]

Originally Posted by quick

Dealer warranties are usually through an independent company. If you have doubts, call the service department and ask them who the under writer is for you policy and that would explain everything

that's what I know as well, be sure there is nationwide coverage if you travel much beyond your 'home' shop

[RED_Y_]

I suggest you check your warranty contract first to see who is actually providing you warranty service.

[CT335xi]

Originally Posted by wjdunn3

I doubt the dealer is underwriting the warranty themselves. Most likely there is a some other company that actually backs the warranty.

If the dealer is charging you $600us to change the oil, then you need to find another dealer or independent. United BMW here in Atlanta on charges me $118 or so for my X5

Yeah $600 is outrageous!! I get my changed for about $100-120 at my BMW dealership and labor is the cheapest part. My last oil change there was $99.99 - 79 parts and $20.99 for labor plus tax, disposal fee = $112 and change.

[ponytuning]

Originally Posted by CT335xi

Yeah $600 is outrageous!! I get my changed for about $100-120 at my BMW dealership and labor is the cheapest part. My last oil change there was $99.99 - 79 parts and $20.99 for labor plus tax, disposal fee = $112 and change.

$20.99 for labor, WOW! They charged me $220 to replace each filter, $120 for the cabin air filter labor and another $120 for the recirculation air filter labor, not to mention the labor for oil change and all the parts which came at a markup over sticker (filters and oil). That's how it got to $600 quickly. That's Kuni BMW for you, it was the last time I stepped into that dealership.
It was a blessing it disguise though, after that experience I started doing my own service on both the x5 and the x6 so they lost $$$$$$ going forward and a customer for being greedy.

[CT335xi]

Originally Posted by ponytuning

$20.99 for labor, WOW! They charged me $220 to replace each filter, $120 for the cabin air filter labor and another $120 for the recirculation air filter labor, not to mention the labor for oil change and all the parts which came at a markup over sticker (filters and oil). That's how it got to $600 quickly. That's Kuni BMW for you, it was the last time I stepped into that dealership.
It was a blessing it disguise though, after that experience I started doing my own service on both the x5 and the x6 so they lost $$$$$$ going forward and a customer for being greedy.

Also they come to my house and pick up my vehicle and drop it back off, it’s a pilot service they offer for free.