Info re UK warranty from 1 Feb - IMPORTANT - The Unofficial BMW M5 Messageboard (m5board.com)

sumo69 · 24th January 2006, 17:03

I now have obtained details regarding the "official" warranty for all new polocies or renewals from 1 February.

Currently, there is no excess payable and the annual premium is £970.

The new rules are that there will be an excess of £250 per visit so faults that do not stop safe and enjoyable driving should not be dealt with until a fundamental fault arises. Additionally, there is to be a 2 tier price dependant on mileage at renewal - £1050 up to 60,000 miles and £1868 for 60k to £100k.

Furthermore, there will be no cover on exhaust system or battery and the MOT insurance is also deleted.

Apparently, you can also opt to have just "Emergency Response" cover in case of break down.

I questioned why these changes have been introduced - apparently, the current underwriter has told BMW that the product must become "cost effective" !! For whom???

I added that this will force a number of owners to maintain their vehicles outside of the official network with 3rd party warranties with the side effect of reducing car values and lost business to the dealerships - whilst acknowledging this may happen, the warranty is an insurance policy and is not a compulsory purchase.

My opinion is that the gross mark up on parts (ie MAFS £210 app each) that BMW UK makes together with the "st"ealerships labour rate of up to £170 per hour has given the underwriter a major loss...as do us owners under this new regime.

Lets hope the stealerships feel the pinch of these changes!

David (Sumo69)

DavidS · 25th January 2006, 06:57

How big is the spread in labour cost between different dealers?

David

Rampage · 25th January 2006, 09:04

The cheapest I found was £85 p/h, most come in around £125 p/h with stealers in London charging upto £175ukp due allegedly to very high ground rents. My local dealer Sytner in High Wycombe recently built a new dealership complex at a cost of over £70 million, now who is really paying for that... mmmm I wonder...

I don't think I will be renewing my warranty in June. I watched it go up from £460 in 2003 to £620 in 2004 then £970 in 2005 now over £1000 for less cover...
Why should we be paying for design faults and dodgy parts failing??? I think the "fit for purpose" argument should be used more, then BMW might get the message? We have just be spoilt with what was an excellent warranty...

BMW obviuosly have no interest in the old vehicles out there, to them it is a license to print money on spares at ridiculous prices and in turn get the old cars off the road... to be replaced as they see it with another BMW.

-Steve

maxm5 · 26th January 2006, 19:20

Any idea how much they are going to charge for cars will over 100K on the clock?
I renewed my warranty in Nov with 80k on the clock and might be breaking 100k next time.

Max

PS One of the reasons I bought my beast was because of the renewable warranty.

gmajor · 26th January 2006, 20:38

I was quoted about GBP1000 for my renewal in December, with ever more restrictions on what's covered...looked to me like all the likely candidates were being taken out of warranty scope.

That's too expensive for a 90,000 mile car I cannot sell. I have chosen to save the 1000/year and accept the consequences. I can do just about every job apart from engine/gearbox internals and no longer pay them to do services either (GBP500-600/year)- it's all easy-peasy, unless something big goes bang.

But it goes very well and seems as good as new so here's hoping I get another 90,000 miles.

Rampage · 26th January 2006, 21:45

Quote:

Originally Posted by maxm5

Any idea how much they are going to charge for cars will over 100K on the clock?
I renewed my warranty in Nov with 80k on the clock and might be breaking 100k next time.

Max

PS One of the reasons I bought my beast was because of the renewable warranty.

Even with the old warranty I thought it wasn't available at 100k+?

cableguy · 26th January 2006, 21:55

With the old warranty I was told by my Dealer that there was no mileage restrictions, however under the new restrictions & regulations, they will no longer cover cars with over 100k miles.

C.

welsh_willo · 27th January 2006, 00:19

I have asked some brokers to look into this this is
apparantly its all down to the collapse of the big warranty agents who under write the BMW warranty

other manufactures are doing the same thing ....

pretty pissed of with BMW actions though .... 250 excess for every claim ...
big isse is the real nasty problems .. especially at the cost of new engine if it all went bang .. will shortly devalue the cars BIGTIME

for me its having the benefit of keeping the safety lid on the engine , gearbox diff and aircon

just look at the walkaway effect on 850s

4 year old e60 M5 hhoooeeee now that's going to be problem

so I'll let you know what i can find as options : numbers of us M5 owners all together will create options ...

Welsh