Y.E.S. extended service contract - yes / no?

[SpeedStar]

Just in planning for expenses once the beast gets here, I am budgeting what parts I want to get and was wondering what everyone's experience has been on extended service contracts? I have one on my KTM and it has not been used to pay for itself but is nice to know it is there if needed.

I have looked into a few options and found one dealer offering the 4 year extended Yamaha Y.E.S. plan for $449 for a total of five years coverage.

Has anyone had good or bad experience with the Yamaha plan?
What are your opinions Teneremates?

 

[Venture]

Are you a gambler? Extended warranties are all about statistics. If you're a gambling man, this should make sense.

1. Whoever is offering the warranty will estimate the average cost of warranty repair work that will be paid for under the extended warranty program. This is an average, so some folks will never ever require a single dime of repair, while others will require major repairs. That's just how it is.

2. If the average is determined to be say, $500 in repairs over the course of the warranty, the offering party will price the warranty plan some amount above $500, in order to secure a profit from the sale of the warranty. If anybody thinks these things are offered because they care, you're nuts. They generate revenue, that's why. So now the price of the warranty is $500+X.

3. Some warranties are sold through a dealer. If so, the dealer has to make a profit, Y, from sale of said warranty, or else again, what would be the point? So now the price of the warranty to you the end buyer is $500+X+Y.

So, at the end of the day, if on average your bike will require $500 of repairs, you are paying a premium of X+Y for your peace of mind. A betting man would take the chance that they'll come in under $500 in repairs over the time period of the warranty, because that's the same bet that the party offering the warranty is making. Some people will end up having a major costly repair, but statistically speaking, your odds are better that you won't have to spend the amount of the warranty in repairs over the warranty period.

A better approach is to take the amount you would spend on the warranty and put it into an interest bearing account, so it is available if you do need a repair.

 

[markjenn]

If you can pick it up at a good discount (like your price, although I've heard D&H does even cheaper - $389, at least on the FJR), it's a pretty good value, although I don't know if you ruthlessly figured out your expected value of the policy (cost of repairs x probability of repairs) it still would pencil out economically. And keep in mind that these policies often have a lot of exclusions. (I haven't looked at the Y.E.S. specifically, but most think it is pretty good as these insurance policies go - I would avoid third-party (not with the importer) policies like the plague.) But even if it doesn't pencil out, it's cheap piece of mind.

Personally, I didn't get it for my FJR because I do all my own service (and do heresy things like use car oil) and if a major failure did occur, I suspect I'd at least have a catfight to get coverage, if not outright denial. I personally like the simplicity of keeping the money in my pocket, being able to do what I like with the bike with respect to service and mods without worrying about warranties, and just fixing things myself if the worst happens. And in 32K and five years, the FJR hasn't had so much as a burnt-out bulb. But I completely understand those who like the safety net.

- Mark

 

[Swagger]

I will not take up the extended warranty. I will exploit the standard warranty package as far as is necessary. The bike will be serviced by the dealership and no mods will be undertaken that may prejudice the standard guarantee terms and conditions. By year three I will not want the bike stifled by warranty stipulations and criteria ..... it's gonna get feckin' hammered ;D If I break it ... I'll pay for it. Bring it on .... that's why I got it ;D

 

[jajpko]

Swagger, are you getting a 3yr warranty as your main warranty? It looks like over here, we will only get a 1 year.
Also, what weight oil is required on the s10?

 

[markjenn]

In the US, I believe the standard warranty will be one year and Y.E.S. can extend it four years to five total.

- Mark

 

[SpeedStar]

All great points. I guess the question for me will be do I want the safety rope of security for the potential claim that is way over $400 in expenses? If so, I should shell out and get it.

Although, I have had my Strom for five years and not one issue, nothing, nada. Glad I did not get a warranty on that beyond the manufacturers supplied.

Does anyone have actual experience with the Y.E.S. policy and how easy they are to accept claims and make coverages?

 

[jajpko]

..... All great points ..... Does anyone have actual experience with the Y.E.S. policy and how easy they are to accept claims and make coverages?

I don't have actual experience but a friend did, and did not have a problem. I think it is the dealer that makes or breaks the warranty experience. We have a very good dealer with great techs that you can actually talk to, and, they will listen.

I have read the sample warranty and it is not that bad. If you do the work yourself and keep the receipts and log what you have done, it should be good for Yamaha. But again, it is the dealer that can make or break the deal, in my opinion.

 

[fjr1300]

I like the Extended from a re-sale stand point. They have always been willing to pay a little more for a Bike, Sled or ATV that has 1-2 years of warranty.

 

[AVGeek]

I had Y.E.S. on my 04 FJR and on my 05 YFZ; I used it for both bikes , and had no issues either time (FJR had a couple of bad starter motors, and I lost the water pump on the YFZ).

 

[roy]

No extended contract for me. Extended warranties are just a waste of money. Have you no faith in the mother ship?

 

[HoebSTer]

This past January, I local guy bought my previously owned 2003 HOnda ST1300A from a third party. I was in touch with the new owner and mentioned to him the Extended warranty was about to end at the end of Jan 2010. He had the fork seals done, the water pump mechanics seal done all under warranty. The bike was 7 years old and just shy of 50k miles.

Now, I will have to say the first dealer he took the bike into and asked if they would fix the items under warranty, they said NOPE Sorry!!! I told him it was a BIG BULLSH_T line!!! GOTO Another dealer!!!! He did and had it covered no problem. SO, I STRONGLY agree that not all dealers are in the customer service business, and don't give a rats ass about us or a factory covered warranty!!!!

 

[jly51]

As a semi retired salesperson at a dealership i can testify that the dealer makes all the difference on warranty repaires.The shops hands are tied on a lot off claims,though a good service manager will work to get all claims paid.I will be adding the YES on my raven,thats a change for me.The mechanicals don`t worry me,it`s the electronics i can`t work on.

 

[HoebSTer]

Yeah me too on the mechanics, but the electrical, no way man!!!! If i know a sensor is bad, i can unbolt and bolt it back on, but even the cost of some sensors look out wallet $$$$$$$!!!!!

 

[oldrolex]

"Have you no faith in the mother ship" sorry NO!!!!!!!

 

[apetoid]

Had a lot of jap bikes,never an extended warranty. Never had reason to buy one. On my 06' BMW 1200 GS I DID buy one (3 years,1200$) after several reliability issues during it's initial warranty. Had I kept that bike I've no doubt I'd used it's extended warranty. Ordered a Tenere. Kinda doubt I'll bother with the extended warranty.

 

[bvail]

YES on my 2003 FJR via D&H (they have good prices)
Extended factory warranty on my 06 GL1800 - gobs of electronics and some have experienced tranny issues.
Extended warranty on my 07 Honda Ridgeline - ditto on electronics.

The piece of mind is worth a few bucks, IMHO.

I use Rotella T in my cars, motorcycles, lawnmowers, etc. and whatever SuperTech (Walmart) oil filters appropriate.

 

[markjenn]

The piece of mind is worth a few bucks, IMHO.....I use Rotella T in my cars, motorcycles, lawnmowers, etc. and whatever SuperTech (Walmart) oil filters appropriate.

I like Rotella and Walmart filters too, but I'd bet your extended warranties would be toast if you ever had an engine problem that could be construed to be related to your choice of engine oil/filter.

- Mark

 

[jajpko]

I would not want to go after a large corp. but, if you use the correct filter and oil, or any other part, you are covered by this act..

http://en.wikipedia.org/wiki/Magnuson%E2%80%93Moss_Warranty_Act

 

[martinh]

I say yes on the extended warranty. I had a Suzuki DL1000 and wasn't going to take it and my dealer talked me into it. After having it for 3 years my electrical system went. They replaced the Staider and Rectifier all under warranty. The DL was a proven bike in the states and very reliable but you never know. It saved me some money having it and piece of mind. As for the ST It might be a proven bike over seas but it is coming to the States for the first time. They have already changed the suspension for the states and who knows what else will me changed. I fell for a piece of mind it is worth the extra money to have the extended service plan.