View Single Post
  #5  
Old 11-09-2002, 08:41 PM
blackmercedes's Avatar
blackmercedes blackmercedes is offline
Just a guy
 
Join Date: Dec 2000
Location: St. Albert, Alberta, Canada
Posts: 3,492
Extended warranties are insurance policies. Whether you buy one depends on your tolerance for risk and the "expected return" for the monies paid.

Some people wouldn't think of driving a car out of warranty, others are much more willing to take a chance. Self insuring (as MB DOC suggested) is one way to buy insurance with a little more risk, as the repair costs might exceed the premium paid.

In my case, I would not buy a $5K warranty. I also wouldn't buy an older R129, as the potential costs of major repairs is beyond my risk tolerance. On our 1998 C230, I bought the Signature Class MB extended warranty simply because it was cheap ($1400) and when comparing the price to my individual risk profile, the premium made sense.
__________________
John Shellenberg
1998 C230 "Black Betty" 240K

http://img31.exs.cx/img31/4050/tophat6.gif
Reply With Quote