I JUST PURCHASED EXTENDED WARRANTY

[cookiemonster]

"Supposedly Flood prices it at $100 over the cost of the warranty"

There are two chances that is true.
That's not a viable business model.
That is some clever underground marketing though.

The dealers just sell the warranties. The Ford ESP's are all actual Ford-backed plans. So Ford says to the dealers "the warranty costs you $X - do what you want, but you owe us $X for every customer you sign."

Most dealers just try to roll the warranty into the vehicle payments to muddy the waters on pricing. So they take a $3k hit on the car, but charged $4k more for the warranty, and they still come out ahead.

Flood decided to just sell warranties for a profit of $100 to anyone that wants one. Basically make it up in volume with very low acquisition cost.

 

[Jrod250]

I just buy a new truck every 2 years. That way I never run out of warranty. Hahahahaha.
and I’ll be the first to say. I’m an idiot

 

[Iron Man]

I think to buy that same warranty it's twice as much (or more!) in Florida.

Do you know. I just tried putting in Florida and it said Florida residents are not eligible to get a policy. Whatttttttt!!!!!!

 

[cookiemonster]

Here's the thread at Blue Oval Forums - it appears to be still active if someone is ready to buy and wants to check the supposed "at cost" price and compare to Flood, Lombard, Ziegler, and their local dealers.

I plan to reach out once I'm much closer to a delivery date.

Ford US ESP at Cost

This was moderator approved to post. For 8 years I've built a relationship with a Ford dealer for ESPs. He had originally misquoted my ESP and honored it without even telling he misquoted by $400. He ended up taking a $300 loss on the deal. So during these 8 years, I've been trying to refer peopl...

blueovalforums.com

 

[Loshad]

Bananawine, it's all hearsay until I see actual numbers, and I'm good with numbers. You give Ford $4000 for 3 years for no return and they grow that to $5000. They know the actuarial numbers that we could never find out so they know exactly how much risk they are underwriting. And since the engine is covered by the original warranty for 5 years now that $4000 has grown to $6000 with very little likelihood that anything huge is gonna occur. Why do you think insurance companies are so profitable? Cause people are willing to pay through the nose for 'peace of mind'. Ford/Flood/whoever is just playing the house in Vegas and they're dealing. If $4000 gives you good value for peace of mind then it's totally worth it, but don't try to tell me it makes financial sense.

 

[cookiemonster]

Bananawine, it's all hearsay until I see actual numbers, and I'm good with numbers. You give Ford $4000 for 3 years for no return and they grow that to $5000. They know the actuarial numbers that we could never find out so they know exactly how much risk they are underwriting. And since the engine is covered by the original warranty for 5 years now that $4000 has grown to $6000 with very little likelihood that anything huge is gonna occur. Why do you think insurance companies are so profitable? Cause people are willing to pay through the nose for 'peace of mind'. Ford/Flood/whoever is just playing the house in Vegas and they're dealing. If $4000 gives you good value for peace of mind then it's totally worth it, but don't try to tell me it makes financial sense.

I'm saying it's $100 over the dealer's cost, not the actual warranty cost/profit analysis. Absolutely Ford still comes out ahead on selling the warranty product and that's a different conversation that I've made no claims or comments about.

Right now we're talking about the cheapest someone could actually buy the warranty - and most everyone agrees Ziegler, Flood, and Lombard are taking only a $100 of profit on it.
I've not seen the supposed at cost pricing that the Blue Oval thread claims.

Since Blue Oval has strong Ford ties with many active Ford employees, then they'd likely only allow the thread to have lasted this many years if it was actually a true "at dealer cost" price.

 

[Iron Man]

Bananawine, it's all hearsay until I see actual numbers, and I'm good with numbers. You give Ford $4000 for 3 years for no return and they grow that to $5000. They know the actuarial numbers that we could never find out so they know exactly how much risk they are underwriting. And since the engine is covered by the original warranty for 5 years now that $4000 has grown to $6000 with very little likelihood that anything huge is gonna occur. Why do you think insurance companies are so profitable? Cause people are willing to pay through the nose for 'peace of mind'. Ford/Flood/whoever is just playing the house in Vegas and they're dealing. If $4000 gives you good value for peace of mind then it's totally worth it, but don't try to tell me it makes financial sense.

I got an 8 yr policy, do that’s 5 yrs over the original warranty. Plus 125,000 miles with 0$ deductible got 3,735$. My dealer offered me 3,595$ for a 8 yr 125,000 mile with a 200$ deductible. He said it’s a 200$ above cost. As you can see Flood wanted 2,960$. That’s a 635$ difference. I told him I was going somewhere else and he didn’t flinch or come down. Just said he’d be losing money. So go figure. I’m extremely happy for the price I paid. It was simple and took 10 mins. Another dealer needed me to send him an application in the mail to save 50$ below Floods price. I’m extremely grateful for the people who said go to Flood Ford. Now I will push a recommendation towards this stand up RI dealership. No hassles quick and cheap. Here’s the bullshit warranty guy at Newins. Again this is a 200$ deductible??

???????
Donny Details ?

 

[Lgm1970]

I just ordered a King Ranch Tremor, went with the 7.3L, I haven't decided on the warranty, I am leaning against, especially since the warranty for the gas and diesel are the same price. I have never purchased and extended warranty and I am paying for it on my Jeep diesel now..lol. If I had went with the 6.7L, I definitely would be getting the warranty. I thought the powertrain on the diesels were 5yr, 100K miles, is that not the case anymore?

 

[Driftwood]

Pretty much same Ford ESP warranty I did. 7 year, 125k miles. Some say it's a waste, I say it's good peace of mind. Hoping this truck long outlives the warranty.

 

[NE AZ GUY]

I all...new to this forum, just ordered my 2021 Tremor, scheduled to build 2/22..I have been looking on line for extended warranties so I could have some knowledge when I go to pick up the truck since I know the Dealer will be pushing an extended warranty, so was very interested in Iron Mans post. But a little confused!!

Iron Man you said " I also know it doesn't start till after the first 3 yrs are up." But looking at the price list there is a statement at the top that says "Remember all Ford Protect plans start at the vehicles original retail date and 0 miles. You can find this date in the FordPass app(please see our faq for help)". In faq their response was the same. So I did a live chat with Fordflood this is what I asked and their response

Me "I have talked to a number of people who have this plan..their understanding is the warranty begins when the dealer warranty ends, so a five year plan would actually be a 8 year plan. but the wording in red at the top of the pricing sheet doesnt reflect that. it looks like the plan starts on the day the vehicle was sold new, so a 5 year plan actually becomes a 2 yr plan...can you clarify that thank you for your time."

Fordflood "We are correct, your people are wrong!"

Can anyone shed a little more light on this, did I ask the wrong question. What am I missing?

Thanks all I love this forum!!

 

[LT75]

I all...new to this forum, just ordered my 2021 Tremor, scheduled to build 2/22..I have been looking on line for extended warranties so I could have some knowledge when I go to pick up the truck since I know the Dealer will be pushing an extended warranty, so was very interested in Iron Mans post. But a little confused!!

Iron Man you said " I also know it doesn't start till after the first 3 yrs are up." But looking at the price list there is a statement at the top that says "Remember all Ford Protect plans start at the vehicles original retail date and 0 miles. You can find this date in the FordPass app(please see our faq for help)". In faq their response was the same. So I did a live chat with Fordflood this is what I asked and their response

Me "I have talked to a number of people who have this plan..their understanding is the warranty begins when the dealer warranty ends, so a five year plan would actually be a 8 year plan. but the wording in red at the top of the pricing sheet doesnt reflect that. it looks like the plan starts on the day the vehicle was sold new, so a 5 year plan actually becomes a 2 yr plan...can you clarify that thank you for your time."

Fordflood "We are correct, your people are wrong!"

Can anyone shed a little more light on this, did I ask the wrong question. What am I missing?

Thanks all I love this forum!!

Starts at time of purchase. So if you have a 5y/125k it expires at which ever comes first from time of purchase.

 

[Iron Man]

I all...new to this forum, just ordered my 2021 Tremor, scheduled to build 2/22..I have been looking on line for extended warranties so I could have some knowledge when I go to pick up the truck since I know the Dealer will be pushing an extended warranty, so was very interested in Iron Mans post. But a little confused!!

Iron Man you said " I also know it doesn't start till after the first 3 yrs are up." But looking at the price list there is a statement at the top that says "Remember all Ford Protect plans start at the vehicles original retail date and 0 miles. You can find this date in the FordPass app(please see our faq for help)". In faq their response was the same. So I did a live chat with Fordflood this is what I asked and their response

Me "I have talked to a number of people who have this plan..their understanding is the warranty begins when the dealer warranty ends, so a five year plan would actually be a 8 year plan. but the wording in red at the top of the pricing sheet doesnt reflect that. it looks like the plan starts on the day the vehicle was sold new, so a 5 year plan actually becomes a 2 yr plan...can you clarify that thank you for your time."

Fordflood "We are correct, your people are wrong!"

Can anyone shed a little more light on this, did I ask the wrong question. What am I missing?

Thanks all I love this forum!!

My understanding is that you have a warranty from Ford. It’s 3 yrs 36,000 miles. Most things if not just about all things will be covered do the extended warranty protects after the fact.
I’m not entirely certain. I looked and said to myself why would you purchase a 3yr extended warranty. I assumed it was the miles after 36,000 miles.
If anyone else has some info that would be helpful. ???????

 

[Iron Man]

Here's the thread at Blue Oval Forums - it appears to be still active if someone is ready to buy and wants to check the supposed "at cost" price and compare to Flood, Lombard, Ziegler, and their local dealers.

I plan to reach out once I'm much closer to a delivery date.

Ford US ESP at Cost

This was moderator approved to post. For 8 years I've built a relationship with a Ford dealer for ESPs. He had originally misquoted my ESP and honored it without even telling he misquoted by $400. He ended up taking a $300 loss on the deal. So during these 8 years, I've been trying to refer peopl...

blueovalforums.com

FUCK FACEBOOK.
I Tried Seeing What The Price Would Be For My Warranty But Its Through Facebook
I Have Not Signed Up To Facebook And I Will Never Sign Up To Support That Horrible Corporate Organization That Says Who Can Post What They Feel Is OK
FUCK FACEBOOK

 

[Mako]

I work in an industry that serves car dealers which includes auditing car deals. My thoughts on Extended warranties especially involving something like a Tremor is to wait until you are close to the end of the bumper to bumper factory warranty and see what the repair costs are looking like. and then decide if you feel and extended warranty would be justified. You can buy the ESP warranty up to the point the factory warranty expires.

 

[Lgm1970]

FUCK FACEBOOK.
I Tried Seeing What The Price Would Be For My Warranty But Its Through Facebook
I Have Not Signed Up To Facebook And I Will Never Sign Up To Support That Horrible Corporate Organization That Says Who Can Post What They Feel Is OK
FUCK FACEBOOK

++++++10000000 on Facebook...fuck'em.

So my understanding is the Ford offers a 3/36,000 mile bumper to bumper warranty and a 5yr/60,000 mile powertrain warranty on the Gas engines and 5yr/100,000 mile powertrain warranty on the diesel engines (includes most engine components, transmission, 4wd system, emission crap for diesels, etc). See link for what is covered (if it works):

https://www.ford.com/cmslibs/content/dam/brand_ford/en_us/brand/resources/general/pdf/warranty/2021-Ford-Car-LT-Truck-Hybrid-Warranty-version-2_frdwa_EN-US_07_2020.pdf

When I spoke with Flood, the Ford ESP starts at original purchase date and zero miles. Also this is posted on their website "Remember all Ford Protect plans start at the vehicles original retail date and 0 miles. You can find this date in the FordPass app".

 

[Dissident]

I all...new to this forum, just ordered my 2021 Tremor, scheduled to build 2/22..I have been looking on line for extended warranties so I could have some knowledge when I go to pick up the truck since I know the Dealer will be pushing an extended warranty, so was very interested in Iron Mans post. But a little confused!!

Iron Man you said " I also know it doesn't start till after the first 3 yrs are up." But looking at the price list there is a statement at the top that says "Remember all Ford Protect plans start at the vehicles original retail date and 0 miles. You can find this date in the FordPass app(please see our faq for help)". In faq their response was the same. So I did a live chat with Fordflood this is what I asked and their response

Me "I have talked to a number of people who have this plan..their understanding is the warranty begins when the dealer warranty ends, so a five year plan would actually be a 8 year plan. but the wording in red at the top of the pricing sheet doesnt reflect that. it looks like the plan starts on the day the vehicle was sold new, so a 5 year plan actually becomes a 2 yr plan...can you clarify that thank you for your time."

Fordflood "We are correct, your people are wrong!"

Can anyone shed a little more light on this, did I ask the wrong question. What am I missing?

Thanks all I love this forum!!

The plan covers things that are covered on the 3 year 36000 mile bumper to bumper warranty so the plan starts at the orignation date of the vehicle but isn't really being used until after 3 years or 36000 miles.

 

[Dissident]

I work in an industry that serves car dealers which includes auditing car deals. My thoughts on Extended warranties especially involving something like a Tremor is to wait until you are close to the end of the bumper to bumper factory warranty and see what the repair costs are looking like. and then decide if you feel and extended warranty would be justified. You can buy the ESP warranty up to the point the factory warranty expires.

This is the way I have recommended in the past and how am handling it personally.

 

[5.8 Venom]

Yeah ESP’s aren’t for everyone, you need to evaluate your situation and keep in mind they run concurrently, but an ESP or Service Plan may cover some items not covered in the original warranty, such as lights, bake pads etc.

So for me they have worked, especially on my GT500, if something major happens to the engine, that’s $18k for a short block, $28k long and or building and install costs. Some folks are good with playing the odds, but these aren’t the engines of yesterday where you can get the Chilton out and tackle it over the weekend. So, for me it’s time or money, pick one.
But if you are in the market, Flood usually had the best $ and can’t be beat. Just my .02

 

[Tx-Tremor6.7]

I just bought an 8 year 36,000 miles Premium Care ESP Plan for my 2018 GT350 and it cost me $1660. As others have stated, the 8 years and the 36,000 miles start from when the vehicle was first purchased new. I did not buy the car new, but I waited until just before the factory 3/36 was about to expire before spending my money. This means I really paid for a 5 year 34,000 miles end-to-end warranty at the cost of $332 per year. The 5.2L voodoo engines in the GT350 are known to have issues due to their high strung nature, so it was perfect insurance for me against a $10K+ bill down the road. If I never use it, it will definitely help me sell the car to the next owner who will know it is fully covered by Ford.

I will do the same thing on my Diesel Tremor. If I still have it after 3 years and plan to keep it, I will get the best online pricing based on how long I plan to keep it and how many miles I have racked up to that point.

The folks who say they will “save” the money and let it “build” to more money down the road through some magical formula of investing in something that will never go down are fooling themselves, and they know it. I tried that in my younger years and life ALWAYS gets in the way long before you get a chance to use your meager savings to fund the repairs on your own.

 

[cookiemonster]

FUCK FACEBOOK.
I Tried Seeing What The Price Would Be For My Warranty But Its Through Facebook
I Have Not Signed Up To Facebook And I Will Never Sign Up To Support That Horrible Corporate Organization That Says Who Can Post What They Feel Is OK
FUCK FACEBOOK

Ok. This worried me, so I just went through the process of signing up for Blue Oval, reaching out to blwnsmoke account, and getting the contact info. I never had to interact with facebook for any of these steps.

I have not reached out to the dealers email yet - is that when they say to go through Facebook? After you email the dealer contact directly?