Extended Service Warranties Sold In Florida

[oggiedoggie]

We are moving up from a fiver to a coach soon and am in negotiations (oh happy days) with several dealers, a few of which are located in Florida. The Florida dealers are telling me that since extended service warranties are "regulated" by the state, the costs of such warranties they quote are set by the state as well as the other terms and conditions and that these costs are the same from dealer to dealer…and that the price is non-negotiable.

This sounds a little hokie to me since any extended warranty I have ever purchased on a vehicle or appliance has been negotiated. They are high profit items for the sellers but I have never paid quoted price (usually a minimum of 50% off).

After some googling, I discovered that warranties are regulated by Florida's Department of Insurance in that the warranty companies must be licensed and prove they are following accepted business practices, thus keeping fly by night groups out of their state.

But their website explicitly states that "rates are not filed nor approved by the Office of Insurance". A spokesman I talked to said that the cost of extended warranties is as negotiable as the price of the coach.

I sent an email to Florida's Attorney General for additional clarification but it's been too soon to hear back.

So it has been suggested I put this out of this forum for feedback. Florida dealers are either part of some vast conspiracy or there is something to what they are telling me…although I cannot find anything to verify their stories.

So…...

[manholt]

I live in Texas and I don't do extended warranties on anything! Put the $$ in a separate account and you will save $$! Think of Insurance as a casino. Who makes $$ and why. they all bet on the pass line and win big!

Carl

[bobkatgifts]

I live in Florida and have quite a bit of experience on this subject. ALL service contract (car, RV, etc) are treated as Insurance Contracts by the State of Florida and are thus regulated by price. EVERY dealer must sell at the same price. Many Reputable nationwide companies do not sell policies in Florida because of the many restrictions. Shop the internet and other sources and you can find a wide variety of contracts. And, an equally diverse range of coverage. IF you can use a non-Florida address, then you can shop wherever and whenever you wish for the best policy and coverage's to suit your needs. When you compare prices - you will amazed at the cost difference between a Florida policy and a non-Florida policy. Your policy will be good anywhere you are - just maintain a non-Florida address for any correspondence. Some people who live in Florida - will just use the address of a relative living elsewhere. As a general rule - the companies do not care where you live or where you buy your policy - just do not use Florida as the permanent address.

[wildebill308]

I self insure. There is a reason they all want to sell you an add on insurance policy, they make money doing it.

Bill

[HAPPY HOBOS]

Just finishing up the purchase of a 2004 Newmar in Florida this week 1-24-17.  Dealer is really pushing the RVDA Recreational Vehicle Dealers Association plan for extended coverage of the Coach not the insurance required to register the vehicle.  We believe we will go with Good Sam's Extended Service Plan.  Purchasing an older top of the line coach comes with some risk to the appliances and systems that just can't be quantified.  I believe the basics of the Chassis, Motor, Transmission Suspension, Etc. can more likely be accessed through inspection for wear and tare and maintenance records.  Though those items are covered in the plans we have looked at.  Will accept the Basic Extended Service Agreement 60 Months  Roadside Assist, Trip Interruption and Rental Reimbursement offered an no additional cost and add the Appearance Protection At $1595 that lasts for 5 years.  The appearance protection includes the application of protective coatings at the time of purchase then a 5 year warrantee on that protection.  We are addressing the obvious exterior appearance issues prior to picking up the coach, worked out a good deal through the Dealers contractor for this work.  The interior of the coach is pristine, (thank you original owner).

The sales rep has stated that repair facilities don't like to deal with Good Sam's Insurance because of the delay in receiving payment.  Sounds similar to some comments posted here.  And I agree with the comments about Camping World, it depends on the quality of the Service Manager and the Service Tech's working on your coach.  If they are competent, well trained and have the support they need to do excellent work then you have a much better chance of receiving quality results and proper documentation for insurance claims.  If they are not competent, well trained and have the support they need they will be moving on to a different employer and the Franchisee just finds another body to fill the slot .  As compared to a private (my name is on the building) established service facility the OWNER has a larger stake in the satisfaction of their customers.  Camping World is the Big Box player in the RV Industry.

Reasons for selecting a different plan:

Monthly premiums vs pay for two years up front.

Must purchase the RVDA policy at time of purchase of the coach.  Kinda a high pressure tactic.

Not renewable after the initial two years.  I'll be dealing with some one else any way after two years, they are taking the least likely two years of risk.

Ability to cancel policy with out fighting for our money back.  Possession of the funds is 10 tent's of the battle.

That's the Plan.  Having a plan means I can re-access and make adjustments as we go.

Craig & Jane FMCA # 52319

[hermanmullins]

Craig,  are you saying that RVDA will give, sell, you coverage on 12 year old coach? Just for kicks I asked GS for a quote,  and after many exhausting questions they asked the year of our coach. They said that there was no way they would or could insure a 14 year old coach and they accused me of wasting their time.

So you might asked about age.

Herman 

[wildebill308]

Welcome to the forum. How much are they trying to charge for this insurance? I believe Herman is right and I doubt they will do a coach over 10 years old or the price gets silly high. I would take the money and put it in the bank. Have you had the coach checked out by a competent inspector? 

Bill

[cauffield]

I use USA out of Miami, Florida. Bought the coach from Buddy Gregg Knoxville, Tn.  They offered me a warranty plan for 5 years $100.00 deductible for a reasonable price. Hard decision to make but I figured a coach that was 6 years old would have some problems down the road. Thank goodness we purchased the plan; The washing machine stopped working and I was told it was not repairable. Second we were in a campground in Georgia and the front hydraulic jack got stuck in the down position, internal failure figured previous owner tried to drive off without inspecting to make sure jacks were completely up.

They repaired the washer and then the jack, had to get a quote first. I am a believer in extended warranties and insurance policies. If you think I am foolish, do some price checking on the steering wheel, engine problems, hydraulic jack problems, and Oasis hot water heaters and the labor to repair them.

Happy Travels

[manholt]

Cauffield.  With a five digit F number, you have seen the good, bad and the ugly!  They stopped making good, solid, "cookie cutter" Motorhomes, a long time ago!  I'm on my second F#, the first was four digit, wife kept her name when we got married.  Now I have a 6 digit and travel alone in my coach and my girl friend in her DP.  I'm in my 17th coach since 1967!  The one thing I never got, was a extended service contract, just put the $$$ in a separate account, on everything I have bought over the last 50 years! 

In the 32 years, that I have been retired, I have learned things from friends in different industry's.  All Insurance Companies are betting (and they have the statistics to prove it) that they will pay out far less, than you pay in!

You don't say what model, chassis or engine your Newmar is..Oh, your dealer makes a good % of any extended insurance and insurance they sell you!  Also, the protective coating is a 3M product and they have their own warranty!

Carl