Brand new to X5 and BMW - big difference between 20" and 22" wheels on stock susp.?

[josiahg52]

My take, I got a 1 year/12000 mile powertrain warranty only because it was included with the sale of my 2011 X5 xDrive35d. I've had one problem and it was not related to the powertrain and was not covered. The way the warranty contract was initially written did not include any of the SCR, DPF, EGR, etc. and so I had those items, among others, specifically added.

Hinting that the warranty company may refuse to pay or back out on their end of the deal? Hell yes! That's exactly what they will do and they are helped to that end with wishy-washy contracts, a large exclusion list or a small inclusion list. I guess I'm saying, read the contract very carefully and make sure you know what's covered and what's not.

Also consider that there are a lot of non-powertrain items that can break on the X5. If you are not a capable or at least willing DIY-er, it can be an expensive vehicle for sure. Or not. Personally, I just don't put much stock on these warranties. Some swear by them.

I'm not scared though; I've owned an E39 M5 for six years. I've put some money into that car but it's been perfectly manageable. I'm thinking the X5 will be too.

[ryanjoe13]

Originally Posted by Suge206

My warranty paid for itself in the first repair when the pano roof broke. Then it covered the coolant tank cracking, most of it anyway. And the steering angle sensor. I have bumper to bumper coverage. Just read the fine print and you may have to go back and forth with them but I've had a positive experience with warranties on my touareg and now on my E70. BMW repairs are astronomical. if you aren't a hobbyist repair guy get the warranty and sell the thing before the warranty is up.

This might be my safest bet. I'm not a repair guy at all.

I could get it covered for 4 years and sell it after 3 years or so and transfer the warranty

[josiahg52]

Originally Posted by ryanjoe13

This might be my safest bet. I'm not a repair guy at all.

I could get it covered for 4 years and sell it after 3 years or so and transfer the warranty

Keep in mind that the powertrain warranty you mentioned would likely not cover the pano roof, for example. It will only cover limited drivetrain items. Check the warranty paperwork. Caveat emptor.

[absentmathis]

"My warranty paid for itself"

These people are a minority. That is a simple fact. Warranty companies are not in the business of paying out more money than they make.

[bawareca]

Originally Posted by absentmathis

"My warranty paid for itself"

These people are a minority. That is a simple fact. Warranty companies are not in the business of paying out more money than they make.

Here is how i see it: the warranty companies are using some statistics for the model (X5 in our case generally). I dont believe they will have statistics for each trim or engine installed. So if you look at this forum you will see that if you have 07-10 3.0i the worst could happen is the water pump to fail or some sensor here and there. Contrary, 4.8i is a German horror story. Both will cancel in the statistics and the risk will be acceptable for the company. In reality, if i buy 3.0i i will not purchase extended warranty, but if I am buying 4.8i I will definitely get warranty.

[ryanjoe13]

Originally Posted by bawareca

Here is how i see it: the warranty companies are using some statistics for the model (X5 in our case generally). I dont believe they will have statistics for each trim or engine installed. So if you look at this forum you will see that if you have 07-10 3.0i the worst could happen is the water pump to fail or some sensor here and there. Contrary, 4.8i is a German horror story. Both will cancel in the statistics and the risk will be acceptable for the company. In reality, if i buy 3.0i i will not purchase extended warranty, but if I am buying 4.8i I will definitely get warranty.

This is what my friend who is in the business of buying and selling used BMWs said as well.

He said the companies wouldn't even offer the warranty on the 4.8i if it wasn't required because they actually lose money on this model/trim. But they make enough on other models to make up for the difference.

[ryanjoe13]

Originally Posted by josiahg52

Keep in mind that the powertrain warranty you mentioned would likely not cover the pano roof, for example. It will only cover limited drivetrain items. Check the warranty paperwork. Caveat emptor.

Definitely. Trying to search for more reviews on Cornerstone warranties but not finding a whole lot.

I'm having my friend send me the contract details tomorrow so I can read the fine print and see if it's suitable. Hell, I might even post it on here and see what you guys have to say. Most of you have way more knowledge of BMWs than I do!

[absentmathis]

Originally Posted by bawareca

Here is how i see it: the warranty companies are using some statistics for the model (X5 in our case generally). I dont believe they will have statistics for each trim or engine installed. So if you look at this forum you will see that if you have 07-10 3.0i the worst could happen is the water pump to fail or some sensor here and there. Contrary, 4.8i is a German horror story. Both will cancel in the statistics and the risk will be acceptable for the company. In reality, if i buy 3.0i i will not purchase extended warranty, but if I am buying 4.8i I will definitely get warranty.

My warranty company knows exactly what model I have. It is extremely easy to track costs by model/option.

Ryan, who is 'requiring' companies to issue these warranties?

[bawareca]

Originally Posted by absentmathis

My warranty company knows exactly what model I have. It is extremely easy to track costs by model/option.

How would they do that? I personally dont believe BMW or BMW NA will release such an information to a 3rd party. And if they have full and clear picture why in the world would they offer a warranty in 4.8i ?

[absentmathis]

Originally Posted by bawareca

How would they do that? I personally dont believe BMW or BMW NA will release such an information to a 3rd party. And if they have full and clear picture why in the world would they offer a warranty in 4.8i ?

For a while, some companies would not offer third party warranties. As for how they track info, warranty companies know they're covering and on what cars. Acquiring additional data on vehicle maintenance trends and costs isn't exactly impossible. I agree though that a manufacturer isn't going to release that data. They're offering warranties that are heavily stipulated to mitigate their their liability and at a cost at which - in more cases than not - they pay less than they make.

What makes more sense, a warranty (effectively insurance) company continually selling a product on which they continually lose money, or calculating their risk and adjusting accordingly?