Auto Warranty News

Last week GM had a media introduction to its 2009 model line, in which Bob Lutz announced that the development of the new lithium-ion battery “is progressing nicely”. Lutz also said that GM had chosen a supplier, but hasn’t announced it yet. The lithium-ion battery technology is the key player of the electric car, the Chevrolet Volt, which GM promises to have out by 2010. The Volt will be able to drive for 40 miles on one charge before the gas-powered generator on board will be needed to extend its range.

Currently, lithium-ion batteries are commonly available in laptop computers and cell phones, but GM has taken it upon them to test and adapt the technology in the rough environment of automobiles. However, Lutz claims that no obstacles have gotten in the way so far, and that in fact the batteries are performing flawlessly.

These experimental batteries are being tested for temperature extremes and durability in a way that portable electronics never have to be subjected. Their thermal performance is under heavy scrutiny because of the technology’s history of having a tendency to overheat in some electronic applications.

The unanswered question is of longevity, according to Lutz. It is impossible to know at this time what the battery life will be. This would mean that an auto warranty would be essential for consumers to protect themselves against unknown expenses.

It’s time for BMW to clear out their 2008 models to make room for the new 2009s.  Believe it or not, BMW even has model-year-end sales, but they disguise it by using fancy expressions, such as 0.9% financing, in order to promote them.  Until September 2nd, most BMW models, except the M3, X6 and M5, will qualify for 0.9% financing.  So, what does this mean?

The average loan rate currently is 6.78%.  So if you wanted to finance a 328i sedan base model, which costs $32,700 over four years, you would pay $779.70 per month with nothing down.  In the end you would end up paying $37,426 including interest.

However, by lowering the rate to 0.9% your monthly payment will drop to $693.84, with the total term cost being $33,304.  So, do the math and you’ll find that BMW is offering a savings of $4,000 in this case.

Now is the time to take advantage of the price savings that BMW is offering.  With all of the car expenses consumers have to pay, such as new car warranties, gas costs, and car maintenance, every little bit of savings helps.

Watch out for some bright lights as the 2008 Cadillac Escalade Platinum edition arrives in town. The newest version of this SUV is well equipped and quite lavish. This will be the first vehicle with LED headlights that is mainstream. Light emitting diode technology (LED) has many advantages to conventional car lights. First and foremost, LED bulbs end up lasting much longer. In fact, they will likely survive throughout the life of the car. This cuts down on the hassle of motorists having to replace light bulbs. Another advantage is that LED lights are much brighter and have a clean look. The lighting can be intense, but it features a daylight color that looks natural.

LED lights are being used more commonly, but were only used in brake lamps, tail lamps, and the interior of cars until now.

Several high-end European carmakers have used LED lights in headlamps. However, they were only used in models with low volume. However, with the Platinum series, Cadillac has hopes of selling around 10,000 Escalades that will have the new LED headlights.

Motorists have made the Escalade a popular choice in the past, and are looking forward to this new version. And with new car warranties, consumers can rest assured that they are making a wise purchase.

Hyundai recently announced that it is going to sell its popular Sonata sedan in a hybrid version in the U.S.  This car will use a lithium-ion battery in order to store electricity.  Hyundai didn’t announce what the release date will be, however, this new hybrid will make a debut at the Los Angeles auto show in November, so it is likely that it will go on sale in 2009.

Currently, the four-cylinder Sonata, which was redesigned for the 2009 model, gets a very impressive 22-mpg in the city and 32-mpg on the highway.  There is yet to be a hybrid on sale that is powered by a lithium-ion battery, however, car companies like GM and Audi have plans to use them in their products.

Consumers are becoming more and more concerned with saving money on car costs, such as gas, an auto warranty, and car maintenance.  Hyundai is smart to get this new hybrid Sonata to America as soon as possible.

Drivers and politicians tend to be against road tolls because it is believed that they burden drivers with a lower income disproportionately.  However, a recent study by USC and UCLA has discovered that a sales tax may be a greater offender on that front.

The study looked at a 10-mile stretch of freeway in California that encompasses four express lanes on Route 91.  It discovered that, overall; the toll was used more by middle and upper income drivers than by drivers with a lower income.  It also discovered that charging more during hours that are peak helped alleviate traffic.

However, if the highway was financed by a sales tax, the study discovered that these same middle and upper income motorists would have shelled out $26 million less than they would have under a system of tolls.  In the meantime, drivers who are lower income would end up paying $3 million more.

Congestion pricing and tolls aren’t perfect, and the study made a suggestion that lower income motorists who have to travel during peak hours should be given discounted pricing.  After all, lower income drivers are already struggling to afford car costs, such as an auto warranty and car insurance.

Despite the fact that people in the U.S. have to wait at least one year on a waiting list for a Smart car, Smart is planning to go back to the Chicago Auto Show in February.

Smart hasn’t had a show exhibit since back in 2005, before it was even for sale in the U.S.  So, why is Smart going to spend money to get the word out when it appears that they word is out there already, and quite good?

This is particularly surprising since other small carmakers, such as Suzuki and Porsche have had to drop out of the Detroit auto show in order to save money.  Even several carmakers that are major have had to cut back there amount of exhibit space on the auto circuit.

So why does Smart need to generate added interest when they already have a waiting list a year long?

They claim that some areas of America have a year’s wait for a car, however in other areas it’s less.  They want people to continue making reservations forever.

Smart will likely have continued success because people are looking for small, affordable cars with a good auto warranty.

Imagine one day waking up to find that the only vehicles on the roads, in driveways, and in parking lots were electrics or hybrids.

CNW Marketing Research made some calculations to determine when America would become completely hybridized, and could stop depending on Middle Eastern powers for barrels of oil.

Based on the amount of people who live in America today (300 million), the number of cars driving on U.S. roads (11 million), the number of new cars that are sold in a year (15 million), and the number of those purchased cars that are hybrids, CNW calculated that in 2034 there is going to be:

• 357 million Americans
• 381 million cars, all hybrid or electric
• 15.7 million cars written off
• 18.1 new cars sold that are all hybrid or electric

It may seem like a long timetable, but it’s not unreasonable when you consider that every car being built and sold would have to be a hybrid, and every car on the road would have to be replaced with a hybrid vehicle. Also, many people are holding onto their old vehicles and buying used car warranties because of the poor economy, so that is slowing things down.

The economy isn’t just hurting Mom and Dad, teenagers, who are being told they have to pick up more of the tab on a new car purchase, are having to settle for less than in the last few years.

Gas prices have also caused a shift in the kinds of cars teens are purchasing, as they are now responsible for more of the gas tab than in the past. In addition, more people are protecting themselves with an auto warranty.

Approximately 400,000 new cars are bought for teenagers every year. Small and compact cars like the Ford Focus and Chevrolet Cobalt account for 24% of teen sales this year, which is up drastically from just 15% one year ago.

However, compact SUVs, such as the Jeep Wrangler, account for around 24% of all cars purchased for teenagers this year, but that’s drastically down from 33% of sales a year ago.

According to a study by CNW Marketing Research, it was discovered that teens are purchasing more low-end models thanks to the economy. The average transaction price in 2008 is $16,000, which is down from $19,200 in 2007. Also, more people are concerned with new car warranties to protect themselves from unnecessary repair expenses down the road.

Consumers have been more concerned than ever about saving money on their vehicles.  They are doing everything from purchasing small, fuel-efficient cars, to purchasing an auto warranty to ensure they don’t pay unnecessary repair expenses.  But are they willing to skip the amenities that come in new cars, such as air conditioning, an automatic transmission, and power locks and windows, to save money?  And are stripped cars even available?

The truth is that it can be hard to find a car stripped with crank windows and a manual transmission.

According to JATO Dynamics, 89% of vehicles sold in America last year came standard with automatic transmissions, which is up from 85% in 2003.  Also, power locks came standard on 87% of cars sold, compared to 80% in 2003.

The vehicles that offer these features as optional tend to be on small cars, yet economy-car buyers usually pick convenience and comfort over cost if given a choice.

For example, the cheapest model by Toyota is the Yaris, which begins at $11,550 for a 2008 base model hatchback with air-conditioning.  However, approximately 80% of Yaris buyers choose to pay an extra $900 for an automatic, and about 60% opt for a power windows and locks package, which costs an extra $1,680.

It appears that features, such as air conditioning, and automatic transmissions are necessities that most people aren’t willing to live without, just like new car warranties.

At a price of $60,000, including an auto warranty, this luxury SUV is made to impress.  And although this vehicle is much too dressy to be a true weekend athlete, it is capable of delivering the goods.

One good feature on this SUV is there is no clamshell hatch.  This is terrific because generally clamshell openings are difficult.  They make you lean over the clamshell to get you things, and this is hard no matter what size you are.  However, although the hatch is nicely designed, it isn’t ideal for short people because it opens high and is heavy.

This vehicle has plenty of cargo room for gear, but at this price and size, space should be a given.  And you will be fine camping with four people.

Finally, the interior is beautiful and luxurious, but it’s not a place where you feel like you can take off your muddy boots or sit after a long hard day biking.

All around, this is a terrific vehicle with plenty of room and amenities.  However, it isn’t the kind of vehicle you usually take to a campground.  It’s a bit to big, expensive, and beautiful.