Auto Warranty News

Satellite navigation devices, or the popular GPS interfaces that many motorists have in their vehicles, are, partly responsible for a large share of accidents and driving practices that are risky.

With about half of the motorists on the roads having access to devices such as these in their vehicles, it appears that this technology has penetrated the market.  Drivers who have satellite navigation devices are much more likely to be involved in a minor accident or risky behaviors.  In fact, 1.5 million say that they have engaged in sudden maneuvers, and approximately 5 million admit to going against the flow of traffic.

GPS systems fall into the same category as other car distractions, such as cell phones, kids, the radio, or passengers.  This might be one of the reasons that road safety campaigns say that ‘Good Drivers Just Drive’.

Drivers should pre-plan their trips in order to avoid distractions by GPSs.  In addition, drivers should protect themselves by purchasing used car warranties, and avoiding other in car distractions.

If you’re considering buying a new vehicle this year you need to consider the worth of the car in a few years, when you’re ready to trade it in for another car.  Consider these four factors that determine the resale value of a vehicle.

Supply and demand is a big factor.  Vehicles that have a high volume of production, such as Chevrolet and Ford pickup trucks don’t hold a high resale value because they are so numerous.

Next, brand image is key.  For instance, Toyota, Porsche, and Honda have great images, which is the reason they end up on the high end of the table every year.  Regardless of whether the vehicle deserves it or not, brand name is a huge factor in the resale price of a car.

If there is a high incentive for spending on a new car, the residual value will be lower on a recent model.  Just remember, there is a reason for high incentives.

Also investigate the number of units of a certain model that were sold to rental and commercial fleets.  If there was a great number sold, the resale value will be less.

Look at these factors when buying a new car.  A vehicle is only a good deal if it is worth something when it comes time to trade it in.  In addition, purchase an auto warranty to protect your wallet against unnecessary expenses.

The 2009 Pontiac G8 GXP with 402 hp now has a price tag, and it will give performance sedans that are already established a run for their money.  The GXP will be listed at $37,610, which is at least $1,000 cheaper than the Dodge Charger SRT8 and you still get an impressive auto warranty.  Consumers can expect to see this car in showrooms this February.

The GXP has a 402 hp, 6.2-liter V-8 engine with 402 pounds of torque, which is the most powerful Pontiac of all time.  This vehicle has a six-speed automatic transmission that comes standard, however you can also get a six-speed manual for an extra $695.

For those of you who might think the 361-hp G8 GT already had enough power under the hood, don’t forget added horsepower isn’t the only impressive change to the GXP.  This car has a track-tuned suspension and steering, a unique interior, Brembro brakes and new car warranties.

Some people have suggested that the GXP is a BMW M5 killer, however, this car is such a great bargain that you could purchase one for you and your friend and still end up shelling out less than you would for a M5.

Here’s a question for car shoppers:  What has the low sticker price of a pre-owned vehicle with the auto warranty and reliability of a new vehicle?  The answer is a certified pre-owned vehicle.

CPO is a term that the auto industry uses to describe used vehicles with low-mileage that are late models.  These vehicles have passed a rigorous inspection and therefore have a factory auto warranty to back them up.  CPOs are typically in much better shape than a regular used vehicle and come with a regular maintenance schedule that a consumer can verify through Carfax.

Most certified pre-owned programs are offered with an auto warranty, inspection, as well as a return option if you end up not liking the vehicle.  However, what consumers end up receiving for the extra money they spend on a CPO car varies a lot.  For example, Lexus gives a 100,000 total vehicle; 3 year limited warranty on its COO vehicles.  However, Chrysler offers an inspection along with a return policy, yet only offers a 3,000-mile, 3 month limited auto warranty.

Customers need to ensure that they receive an extension of the auto warranty offered by the factory, which will give them the same service of a new car owner.

Unfortunately, bad news keeps coming from Chrysler.  The carmaker just made an announcement that its assembly plant in Newark, Del. will shut down at the end of 2008 indefinitely.  The shutdown of this complex will result in 1,000 people losing their jobs.  This plant produces the Chrysler Aspen and the Dodge Durango, which are two full-size SUVs.

Chrysler officials haven’t yet said if this will be the end of those SUVs, or if they are going to be produced at another plant.  However, knowing that it would be costly to move production of the SUVS, it is likely that the two might be discontinued.

What does this mean for motorists?  This is likely, the elimination of two SUVs in an already diminishing segment.  In the meantime, the Dodge Durango and the Chrysler Aspen Hybrid were launched last August as Chrysler’s first attempt at hybrid cars.  These are the least expensive full-size hybrid SUVs out there, which each start at around $45,000 including new car warranties.

Smart, which is a Daimler-Benz subsidiary, has been able to sell around 17,000 ForTwos since they launched the small two-seater in America in January.  However, there are approximately 30,000 potential buyers who have been put on waiting lists.

Even so, the carmaker doesn’t intend on increasing their output in order to put supply in line with the demand, according to Dave Schembri, who is the Smart USA president.  Schembri claims that car graveyards are littered with car companies that reacted with too much too soon.

Just a year ago Smart didn’t even have a car or dealership in the U.S.  Smart is willing to grow in volume, but only after it makes sure everything is in place.  The profit margins are pretty thin on small cars, so they want to always be one car short.

Smart’s success has been a surprise for everyone.  But in a time when the economy is poor, people are happy to buy a two-seater with a good auto warranty.

More motorists are deciding to switch to hybrid cars for better fuel-efficiency, however, just like any car; hybrids need common maintenance and occasional repairs.  A regular mechanic can do work that is routine, yet you will need hybrid-certified mechanics for jobs that are more extensive.

According to a Toyota service director in Tampa, hybrid work at the dealership has been small.  There are some vehicles with issues, but for the most part repairs are the result of accidents.  The most costly repair on hybrids is for battery replacement.  In a vehicle that isn’t covered by an auto warranty, you will pay approximately $3,000 just on the part.

The best thing to do is to find a technician to repair your car before you really need it.  This way you won’t have to make last minute decisions.  Also, make sure that the technician is certified in hybrid repair.

Finally, most new car warranties for hybrids cover 100,000 miles or 8-10 years.  Make sure you know if your auto warranty requires that you get service from a specific repair shop.

Microsoft’s latest attempt at vehicle technology appears to be promising.  Vi-Fi, or vehicle Wi-Fi, is Wi-Fi connections in vehicles.  Microsoft has partnered up with the University of Washington and the University of Massachusetts in order to make Wi-Fi connections a reliable and steady experience, which hasn’t happened with offerings by cell phone makers and their cards for laptops.

This new system allows for multiple Wi-Fi signals to come in and out at any given time in order for the signal to remain strong and steer clear of “hand-offs”, which are known to fumble and lead to spotty service.

But many people might ask, “Why do we need Wi-Fi in cars anyway?”  Do we really need to net surf behind the wheel?  Well, Wi-Fi- would be a good addition to technology in cars because it would replace satellite subscription services that are expensive, and it would allow us to have an unlimited amount of applications.  With Wi-Fi in cars, the weather and movie times could be displayed, as well as Internet radio, live stock quotes, instant messaging, and pretty much anything else you could access on a laptop.

For this to be an option for the everyday driver, there will need to be a larger infrastructure for Wi-Fi, but Microsoft has proven they can produce terrific technology in cars with the Sync system.  However, drivers should protect themselves by purchasing new car warranties to avoid unnecessary repair costs, after all, the latest technology can be expensive to repair.

The number of vehicle repossessions has gone up drastically this year, which is about to top 1.9 million, which is a significant jump of 15% since 2007.  Chances are that a large number of those vehicles were large SUVs and trucks or luxury cars that mortgage brokers purchased when they thought the good times would keep on rolling forever.

Now that the housing bubble has popped, the large monthly payments and gas costs are practically unaffordable.  People are opting for used cars with used car warranties and staying away from new cars.  Unlike many other lenders, carmakers can’t really be blamed for giving out loans that are risky.  Borrowers who have great credit scores are having their Mercedes’ yanked away, just like the people who got Honda Civics.

This is terrible news for carmakers, as if they haven’t had enough, because for a repossessed car the average loss is around $10,000.  Then the repos that have been heavily discounted end up on dealership lots and give the small amount of car shoppers out there a good reason to buy a discounted repo with the addition of an auto warranty, instead of a new car.

Car dealers have haggled with their customers for years.  This practice has allowed salesmen to con buyers into buying cars and new car warranties, using all kinds of negotiating strategies.  But car dealers have paid for it by being known as untrustworthy.

Some dealers are changing their ways by dumping haggling.  The eighth largest chain of dealers in America, Lithia Automotive Group, announced that they are going to make all 108 of their stores haggle-free within three years.

Toyota’s Scion has implemented a policy for no negotiation from its onset four years ago.  This has prompted dealers who sell Toyota vehicles to apply the one-price approach.

And all over the country, independent dealers who carry various brands of domestic and foreign vehicles are teaching their employees to sell cars like the rest of the retail world.  In other words, cars come with a price tag and a smile from the salesperson.

This no-haggle method will make buying a more pleasant experience for consumers.  Now that people can look up a car’s base price online, they don’t have patience for haggling.  In addition, people are able to compare the prices of new car warranties online.