Auto Warranty News

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 and gas prices are high, people are happy to buy a two-seater with a good auto warranty.

The EPA is the arm of the government that is responsible for testing fuel economy, and its results are now posted on the stickers on new vehicles. This is a different rating than the government’s CAFÉ numbers, which you might have heard about in Washington.

The real numbers by the EPA are predicted to go up an average of 0.2 mpg for 2009, compared to last year, the EPA claims, which will be about 20.8 mpg.

The final statistics won’t be in until the early part of 2009, but according to the EPA, these predictions demonstrate the fourth rise in a row in the average fuel efficiency of light trucks and cars. In fact, trucks have actually had the largest impact of all. Although their market share has gone down from 52% in 2004, to 48% in 2008, overall, their fuel-efficiency has gone up.

The figure of 20.8 mpg is the largest since the year 1993, and the EPA is predicting that the final number is going to be even higher because people have shifted to smaller cars because of high fuel prices. Consumers are trying to protect their wallets by purchasing more fuel-efficient vehicles and new car warranties.

The National Association of Insurance Commissioners recently performed a study researching the best and worst places in the U.S. for car insurance.  The study determined that Northeast drivers are paying the highest premiums.

The most expensive state was New Jersey.  The average premiums there were more than $1,300 a year.  Washington D.C., our nations capital, was in second place with average premiums of over $1,185.  New York took third place with premiums on the average being over $1,100.

The study stated that the reason for the elevated costs for insurance in those areas is because of urban driving matters, dense traffic, and high salaries.  In addition, costs for average liability insurance premiums are high in the Northeast.

Midwestern and Northern states were ranked as having the lowest insurance premium costs.  Iowa was the state with the lowest insurance overall, at $530 a year.  Maine took second place at $560 a year, and North Dakota came in third at $570 a year.

This study proves that location is key when it comes to your car insurance costs.  Motorists have to pay high vehicle costs these days with the costs of new car warranties, insurance, and maintenance.

Pontiac is planning to add a four-door version of the Chevrolet Aveo hatchback to the spring lineup, which will be called the G3.  In Canada, Pontiac currently markets a G3 Wave, but in the U.S. they will simply market it as the G3.

According to Jim Hopson, who is a Pontiac spokesman, “The G3 gives us a credible new high-mileage entry-level car at a time when small cars are the fastest-growing segment in the industry.”

But Pontiac is supposedly the exciting high-performance division of General Motors.

Susan Docherty, who is the VP of the Buick, Pontiac, GMC group, claims that fuel-efficiency is a huge factor in the style and performance of Pontiac’s formula.  With the addition of the G3, Pontiac will have four models that get more than 30 mpg of highway driving: the G5, G3 and G6.

Consumers are demanding small, fuel-efficient vehicles with good new car warranties, so it looks like Pontiac has made a smart move.  But what about their performance cars?

Hopson says, “We still have G8 and Solstice rear-drive performance sports cars, as well as the front-drive G5 and Vibe that are sporty and get good mileage, and now we’ll have the G3 that’s sporty and gets very good mileage and is very fuel-efficient at the entry-level car range.”

Although certified pre-owned warranties are very similar, they do vary some depending on the car manufacturer.  They combine the manufacturers original auto warranty with a certified pre-owned auto warranty, and then offer roadside assistance along with other benefits.  The advantages are apparent: instead of taking a risk with a used car that you know nothing about, you get a car with a complete history and an auto warranty.

Chrysler decided to go one step further and offer extended service contracts for Jeep, Chrysler, and Dodge certified pre-owned vehicles.  The contracts will be divided depending on what they cover.  For instance, the Lifetime Powertrain Care will cover transmissions, engines, and drivelines; the Lifetime Added Care Plus will cover those mechanisms and also electrical functions in the interior, suspensions, and fuel systems; and the Lifetime Maximum Care plan will cover all of the above with just a few exclusions.

Chrysler has not yet announced pricing plans for these contracts, so it isn’t clear how much more consumers will have to pay to get a lifetime component auto warranty, or whether consumers will want the used car warranties at all.

Ford recently announced what the pricing will be for the 2009 F-150.  A regular cab XL with a two-valve V-8 engine will start at $21,345, which doesn’t include the destination charge of $975.  To compare, the 2008 regular cab that had a 4.2-liter V-6 engine and an automatic transmission began at $19,990.  For the 2009 model, the V-6 was eliminated.

Meanwhile, if you move up to the other trim levels, the 2009 F-150 Lariat SuperCrew trim starts at $35,820.  Ford claims that that truck is equipped comparably to the 2009 Dodge Ram Laramie cab, which begins at $41,320.

Ford is offering competitive pricing, which will make consumers happy.  Motorists aren’t purchasing as many expensive pickup trucks, due to the economy and fuel prices.  However, consumers will be more likely to purchase Ford trucks because of the sticker prices and new car warranties that come with them.

Do you find that you are apprehensive about negotiating with an auto dealer?  Are you unsure about topics such as car loans and an auto warranty? Shopping for a vehicle doesn’t have to be nerve-racking, however, you need to be aware of a few things that you shouldn’t say to a dealer.

First, you shouldn’t start talking about monthly payments, instead focus on negotiating the purchase price.  It can become confusing when you’re discussing monthly payments because it might be unclear whether the payment is for 24 or 36 months.

Don’t tell the dealer right away if you’re willing to trade-in your car.  If the dealer is aware of this he will know that you want to get as much money for your car as possible.  The dealer might agree to give you a lot for your trade-in, but usually it’s a smokescreen because then they will fix the price of the new car.

Don’t tell the dealer if you’re planning on paying for the car in cash.  They count on making a lot of money in financing, and if they know that they won’t be able to count on that money, chances are they won’t negotiate on the sticker price.

Do your homework before showing up at a dealership.  Be prepared with information about new car warranties, financing, and vehicle prices.  This will help you negotiate a successful deal on a car.

According to dealers, you may have a hard time getting a car loan these days, unless of course you are Bill Gates.

It isn’t the high fuel prices that are discouraging people from buying vehicles, carmakers say, it’s consumers’ inability to get car loans that is causing them to leave showrooms without making a purchase.

Credit is tight, and many banks have to tread water because they already carry too many mortgages that are high-risk.  This is causing them to shy away from additional auto loans.  And when Lehman Brothers filed for bankruptcy on Monday, troubles with credit puffed up.

Gas costing $4 per gallon did change the types of cars that consumers buy.  People are looking for small, fuel-efficient cars with a good auto warranty.  However, the credit crunch has changed people’s ability to make a car purchase.  When motorists do get approved for a loan, it’s often for less money than they hoped for.

General Motors just unveiled the upcoming Chevrolet Volt, which is an electric plug-in hybrid.  This four-door hatchback appears very different from the concept car in the 2007 Detroit Auto Show.  GM claims that the production Volt had to be more aerodynamic to provide the efficiency that GM was aiming for.

Just like GM announced previously, the Volt will be able to travel 40 miles on an electric charge.  After that, a gas/E85 capable engine will come on in order to recharge the battery.  All the power that goes to the drive system is electric, so the fuel engine acts like a generator.

General Motors recently revealed some specifications.  The electric motor will be able to attain the equivalent of 150 hp and be able to reach a speed of 100 mph.  Also, there is going to be 220 lithium-ion battery cells that will power the unit.

Unfortunately, GM said that the Volt’s future hinges on help by the government for emerging technology.  Hopefully, if all goes as planned the Chevrolet Volt will make it to showrooms.  However, as with any car purchase, make sure you have new car warranties to protect yourself.

General Motors is going to halt production of the Chevy Corvette during the week beginning October 6th. When the Bowling Green, Kentucky assembly plant goes back to work after the hiatus, it will employ 75 fewer workers and manufacture 3.5 fewer vehicles an hour.

Last month GM had some excellent deals on new Corvettes, as it was trying to boost its sales by making the car part of its employee pricing deal. This deal will continue through September 30th, and offers big savings. For example, you can get around $10,000 off of the original price of a Corvette Z06, however, in this poor market this kind of reduction isn’t going to turn things around.

Though the discount caused sales to jump, they are way off of the mark last year. In fact sales were down 8.5% through the month of August. Cars that haven’t sold are crowding dealer’s lots, which are causing production cuts. But, the good news is, if you’re in the market for a Corvette, this is the time to get a good deal with a hefty auto warranty.