Hot take: hitting 100k miles without a major repair isn't always a win for warranty decisions

I rolled past 100,000 miles on my 2018 Honda last month with zero breakdowns, but that made me second-guess my extended warranty purchase. The thing is, I paid $1,200 for coverage that I haven't needed yet, while my buddy skipped the warranty and pocketed that cash. Does hitting a high-mileage milestone with no repairs make the warranty a waste, or does it prove you got lucky and still needed the safety net?

2 comments

2 Comments

david73912d ago

Wouldn't you say that $1,200 spent on something you never used is exactly what makes it a bad deal? Your buddy now has that money in his pocket, plus the extra year or two of investment growth or just cash to use for other things. A 2018 Honda is one of the most reliable cars on the road, and statistically it was very likely to go 100k without major trouble, so the warranty company was betting on that too. You basically paid them for the peace of mind, but the real winner here is your friend who kept his money.

margaretshah12d ago

Come on @david739, you're forgetting what happens when that 2018 Honda's transmission starts acting up at 95k miles. My cousin had an Accord that needed a new AC compressor at 80k and then the alternator died six months later. That would have been over $2,000 out of pocket easy. The warranty paid for itself twice over on two separate repairs. Your buddy with the cash is one bad luck breakdown away from being the one who regrets it.