New Car without a Warranty?
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Interesting question. Steverino's $20k suggestion seems about right--because you know that's how much cost-reduction will be done for the pre-marked "no warranty" cars.
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If they aren't interested in standing behind the product with a warranty, then it would have a value of $0. To me, the longer the warranty the higher the confidence the manufacturer has in the quality of the product.
VIN # B0985
VIN # B0985
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747 Posts
I would never take a new car without a warranty regardless of the discount - especially a first year/first generation version like the current Bolt.
According to Consumer Reports, the Bolt EV is Chevrolet's most reliable vehicle.
https://insideevs.com/chevy-bolt-is-chevrolets-most-reliable-vehicle/
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Actually, that really isn't a hard question at all. It is called "Rebuilt" title.
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It's a hard question when you're asked on the spot and you haven't ever thought about it, I mean, what product bought new doesn't have a warranty? I suppose the reason for the question is warranty becomes an option. Pay for what you think you will need like an extended warranty is now.
GM takes answers seriously. They ask Volt owners what's the #1 most important thing and they say "electric only range". There goes the power seats and moon roof.
GM takes answers seriously. They ask Volt owners what's the #1 most important thing and they say "electric only range". There goes the power seats and moon roof.
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147 Posts
I'd venture to say 25% off MSRP. I know I can fix wear items on a car and do some other significant mechanical repairs, however what worries me most is the electronics. Radio, lights, etc. all run off computers that I wouldn't be able to fix without dealer-level scan tools.
I think the answer is different depending on why the warranty is missing.
1) the car is a salvage vehicle, buyback, or similar
2) a manufacturer decides to sell all of its cars that way to lower their prices
3) most units are sold with a warranty, but buyer can choose to delete it for a discount
I think I would be most comfortable with #3, and I would seriously consider doing it to save a couple thousand dollars. I am assuming this is a reliable model from a reputable manufacturer (for instance a Honda Accord), which are normally the only cars I shop for anyway.
You can think of a warranty as an insurance policy. Insurance policies are priced higher than their expected value to the consumer. So if you can afford to self insure, you can save money on average. Plus, warranties are very expensive to administer because you get all kinds of people wanting solutions to the most insignificant flaws like they think they heard a slight rattle once, or there is a tiny drip in the paint inside the trunk lid. And they demand a loaner car for those. That all gets priced into the cost of a warranty. I'd really rather not pay for other people's right to make trivial claims.
1) the car is a salvage vehicle, buyback, or similar
2) a manufacturer decides to sell all of its cars that way to lower their prices
3) most units are sold with a warranty, but buyer can choose to delete it for a discount
I think I would be most comfortable with #3, and I would seriously consider doing it to save a couple thousand dollars. I am assuming this is a reliable model from a reputable manufacturer (for instance a Honda Accord), which are normally the only cars I shop for anyway.
You can think of a warranty as an insurance policy. Insurance policies are priced higher than their expected value to the consumer. So if you can afford to self insure, you can save money on average. Plus, warranties are very expensive to administer because you get all kinds of people wanting solutions to the most insignificant flaws like they think they heard a slight rattle once, or there is a tiny drip in the paint inside the trunk lid. And they demand a loaner car for those. That all gets priced into the cost of a warranty. I'd really rather not pay for other people's right to make trivial claims.
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Auto companies have employee suggestion programs and this is a question that gets asked. Legal Dept says warranties cut down on the number of lawsuits. Marketing would say you wouldn't get as high a price for the car because of lower consumer confidence.
I suspect this question is being floated around dealerships because EVs have much lower service which is tempting some service departments to invent more warranty work.
Another suggestion is to sell cars unpainted. Marketing says unpainted cars are ugly and wouldn't return the cost savings.
I suspect this question is being floated around dealerships because EVs have much lower service which is tempting some service departments to invent more warranty work.
Another suggestion is to sell cars unpainted. Marketing says unpainted cars are ugly and wouldn't return the cost savings.
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