Extended YES Warranty after 5 years

[Captbob]

Yamaha just offered me a 1 or 2 year warranty beyond the 5 year period for $ 1350 for 1 year or $ 1580 for 2 years. My initial 5 year YES warranty is up in August. Has anyone else gone for the second warranty offer? If so, was it worth it?

 

[Glassman]

I didn't go for the first warranty offer and YES, it was worth it!

 

[Captbob]

Under the 1st YES warranty I had both oil coolers replaced and 3 cushions replaced. I assume that if I had to pay for that it would have cost as much as the warranty.

 

[McMark]

@Captbob

What happened to your cushions?

 

[Captbob]

The small one in the front of the boat broke when my heavy 112lb daughter stepped on it. Two of the cushions on the engine cover came apart at the seams.

 

[Geiger41]

Shop around you could probably cut that price in half

 

[Captbob]

The dealer offered $100 less.

 

[SCSTWG]

IMO, the question comes down to do you think there is a strong chance the warranty will be used for expenses significantly greater than the cost of the warranty? There are (3) scenario's, you spend less and you lose, you spend around the cost and you essentially provided them an interest free loan and the third scenario in which you have very expensive repairs and you benefit. Obviously as the boat gets older the potential value of the warranty goes up because you are more likely to have repairs. If you look at others that own the same boat you probably have an idea of the reliability. The big issue with this model year boat is the oil coolers and you already had them done. If it were me, I wouldn't purchase it unless you were not in a position to cover a major repair that you feel would be covered by the warranty in the worst case scenario.

 

[dan_hoog]

I purchased the initial warranty for a couple of reasons. I would likely buy further extensions if offered.

First, it would likely be a plus if I decide to sell the boat during the warranty period.

Second, I wanted my boating hobby expense to be a little more predictable.

In Florida, I believe the warranty is technically insurance, which it essentially is, regardless of terminology. Generally, Yamaha wouldn't offer the warranty at a price below the expected repair costs. They do have the advantage of possibly using a lower cost base on parts, though they must reimburse dealers for labor, also likely at a rate lower than retail. My guess is they factor the parts cost at the dealer cost (rather than retail) and labor is 10-15% below retail.

If you buy a hundred new boats in your lifetime, you'd most likely come out ahead not buying extended warranty plans. However, on a single purchase, you have the cost disadvantages above and could end up spending much more than the warranty if a rare issue shows up. I believe the boats are well engineered and will be reliable, but don't want to worry about the potential extended warranty issue that could happen.

In other words, typical costs are most likely less than the warranty cost, but you are taking the risk without the warranty. You pay a little premium for coverage and Yamaha takes the risk.

If I am offered an extended warranty beyond the base period, I would take it at the price levels you indicate. It doesn't take much to spend $1-2K on a boat.

Enjoy your boat,
Dan

 

[Geiger41]

Just checked my old emails for when I bought my initial 4 yr extended warranty. I priced out multiple dealers over the phone as you do not have to go to the physical dealership for the paperwork. Highest I was given for the 4 yrs was 2500 !!!! Lowest was 1300..obviously I went with the 1300 for the same warranty. Amazing the mark up and profit some of these dealers are getting. So like I was saying before you could probably save a lot if you shop around. My place was 3 hrs away and we did everything over email/phone/fax/mail.

 

[dan144k]

Also considering the 2 year extension on the warranty. Spoke with dealer and it must be done 15 days before current warranty expires (renewal cutoff).

2 year $2400 list and $1580 sell price.

Which dealers offer the better warranty discounts?
@geiger41

 

[Britboater]

Thing is, I'd want the warranty for peace of mind, but after 12 months you know if you have a Friday afternoon boat or not.

 

[Geiger41]

@Britboater Im wrkn on a trip to Saint Martins. How was that beach with the planes. Thats basically the only reason I want to go. Looking to stay at the Sonesta Beach front, about a few hundred yards from that beach

 

[Britboater]

Awesome @geiger41 except when you stand in the blast from a jumbo take off, it's like being grit blasted with 1000 degree sand, so funny though when peoples gear are floating off in the sea .