Extended warranty experiences?

[DcnDog]

My 2010 GSA warranty is almost up so I have been considering purchasing an extended warranty. I have been looking at Bob's BMW Zurich Insurance plan, RPM One, and Interstate StarSport. I wonder if anyone has experience with any of these companies, or others, and if you would share your thoughts pro or con?
Thanks,

 

[kantuckid]

Old question & old response-they make money selling them so that might suggest how the odds are "stacked" with ext warrtys.-in their favor...

 

[dbrick]

Of course the odds are stacked against you, that's why they're in the business. It's always that way with "insurance" - I use quotes because these contracts are almost never actual insurance, but only a civil contract between you and the other party.

Still, whether one should buy depends much on how easily you could stand the hit if there were a catastrophic failure. I'd guess that we buy auto insurance because (in addition to state law requiring it) there's a chance, albeit small, that we could in a moment of inattention run over an early-30s brain surgeon and infant twins as they cross the street. For those of us with something to protect (like a house), that'd be a lot of liability, and tougher to bear than the cost of a new rear drive.

 

[32232]

The best explanation I have heard for any type of insurance is that the insurance company is betting you that they they will collect more in premiums than you will ever collect from them.

Their actuaries know the payout rate and set the rates accordingly. I always consider that when considering questions like yours.

 

[lkchris]

You can start a personal savings account earmarked for future unexpected bike repair.

You can start with the amount you'd pay for a policy ... wait, warranty.