GM is upgrading the base warranty for its vehicles by launching what it calls a “true” optional extended bumper-to-bumper warranty.
The keyword in there is of course “optional”, although as you’ll see, that’s all relative.
At the moment, the buyer of a Chevrolet or GMC vehicle benefits from a 3-year, 60,000-km warranty. In the case of a Buick or Cadillac, that warranty spans 4 years and 80,000 km. Now, GM says it is boosting the Chevy and GMC plan to 5 years and 100,000 km, and the warranty for Buicks and Cadillacs to 6 years and 120,000 km.
Where GM says its new offer is different is that claims will be accepted without question by all dealerships of its brands. It will no longer be necessary, in other words, for dealers to fill out a request with the manufacturer. What’s more, the warranty remains in effect no matter who is the owner of the vehicle, and it won’t be necessary to make a transfer during the sale of a vehicle that is still under warranty.
This is sure to help boost the resale values of GM’s vehicles, and it will, the company hopes, make getting the new warranty represent a net plus for consumers.
This doesn’t come without a price. In the United States, it’s estimated that it will cost between $1,000 and $2,000, depending on the model. It will actually be up to the individual dealers to set the price for the new optional extended warranty. It’s not impossible to imagine that some brands will ask more than others…
The consumer will have the option of incorporating the costs associated with this added warranty into their monthly costs.
While GM claims that its new warranty offer is unique, it should be mentioned that some other manufacturers offer similar warranties. Hyundai, for example, offers 5-year, 100,000-km protection, while Volkswagen’s coverage is for 6 years and 120,000 km.
The upshot of course is that the buyer of a GM vehicle will be able, if they so choose, to benefit from an improved warranty. With lease and purchase contracts often extending beyond five years, this is not to be scoffed at.
