angrypengu

This is applicable to Audi Canada only, and is in reference to the extended warranty program. The official warranty package is called "Audi Mechanical Breakdown Protection". Information here is for those of you who are looking to buy this. This information was not given to me by the dealership I bought the car from in case Audi Canada is reading this thread. It was given to me by another dealership

General comments.

1) Mechanical breakdown protection comes in several packages, with several deductibles.
2) Mechanical breakdown protection is essentially extended warranty. This is underwritten by (essentially), Audi Canada. There are no aftermarket warranties available for purchase in Canada that covers what MBP will not, and this includes the usual wear and tear items, but notably, there is NO warranty available after 4 year 80k for the mild hybrid battery, the air struts, and any LED lights. These are the top 3 most expensive items I can think of that are NOT covered. So please note if you're going to finance the A8/buy the A8, to know that.
3) If you total the car before the 4 year 80k warranty is up, and thus before MBP kicks in, there are NO auto insurance options, even for those of you who buy depreciation insurance, that will reimburse the cost of the MBP.
4) Audi Canada will not refund the MBP if you total the car as well before the 4 year 80k is up. There are some means for you to get a small portion of the warranty costs back if you do not claim at all, but this must be until after the ENTIRE MBP period has passed.
5) Audi offers 3 packages. Sterling/Gold/Platinum. Obviously, platinum covers the most parts, and is an exclusionary policy, which means if a part is not excluded, it is listed.
6) Audi has 4 deductibles available. The higher the deductible, the cheaper the cost.
7) You can buy the MBP when the vehicle is new, or right up until 4 year 80k. All services MUST be done by Audi, and if you wait till later to buy the MBP, there's about a $150 "check" fee that must be done. That said, if your new vehicle warranty is in effect, you can buy the MBP. However, the longer you wait, the more the warranty cost is.
8) The MBP program will pay a total claim amount of the lesser of: the price of the car that you paid when you purchased it. For any given claim, the maximum per claim will not exceed the wholesale value of the price of the car. This last part is crucial. If you blow an engine 10 years in, you will NOT get more than $10K as that's roughly the price of the car (wholesale), 10 years from the time you purchased it. Upside though - you get the wholesale value, and you buy a new car....

Numbers provided below are for the Platinum plan, at $0 deductible.

Deductible changes:
$50 deductible: 13% off
$100 deductible: 20% off
$250 deductible: 30% off.



Prices are valid across Canada, and the same across Canada. The above has 0 taxes. The "price differentials" tab should be self explanatory. As you can see, sometimes it may make sense to buy the MBP nearer the end of the term! As far as I'm concerned, I'm not buying the MBP until later on in the car ownership period. Why? Insurance reasons as per above, and also because I don't know if my driving habits will change. Based on the savings above to buy the MBP when new, it's not worth the risk of buying it when the car is new.

NOTE: I am 100% in awareness of the profit margin of the MBP product based on the platinum plan at $0 deductible. I am not comfortable sharing that information publicly, so if you are negotiating for the MBP and want to know the dealer invoice cost, just send me a PM.

Cheers

hankscorpio

Hey,

Can you please help me with the dealer invoice cost as i'm negotiating a MBP . (sorry but I'm new to the forum and i'm not sure if this is a PM or not.)

I'm looking at the platinum 96 month 120,000 km MBP and i'm getting a 2017 A4 so i'm not sure if that alters the pricing of the warranty.

angrypengu

Margins are impacted by model. Please post to the B9 forum.

htodac

Any chance you could forward further details on the MBP. I was quoted $9400 for 72months or 160kms. seems a bit steep. thanks in advance

angrypengu

Off of a new car?

Keep in mind this stuff changes. I started this thread 2? years ago... Generally speaking the negotiable room is probably around the $1500-$2K mark.

Daniel Clozza

Good Afternoon,

I tried to send you a PM but was unable to do so. I realize this is not the B9 forum but didn't see a comparable post. I'm curious if you have a general idea on price for a 2018 B9 Mechanical Breakdown Protection. Car has around 60K and I've been quoted the following for Platinum coverage, the car is already CPO Tier 2 so the pricing below apparently takes that into account.

7 Years 120KM $2100
8 Years 140KM $3000
9 Years 160KM $3900
10 Years 180KM $4000

The 9 year makes no sense so I'm just trying to see if the 10 year price seems decent or if I could do better. Thank you so much in advance if you happen to see this.

angrypengu

The margins are model specific so I have no idea what the negotiating room is for an aftermarket warranty package on a B9. Sorry about that.

grbbenny

For some reason (perhaps because I have a low post count) I am unable to PM you. I would appreciate any insight you could provide for the dealer invoice cost matrix on a new 2021 A6 Allroad.

Thanks very much.

angrypengu

unhaggle.com or Car Cost Canada can help here. Long story short, all Audi models in Canada have a ~7% margin.

That said can we please keep this thread on topic :-)

grbbenny

Sorry about that - in looking back at my question it is not very clear, is it? What I was trying to ask is for the margin in the MBP pricing, not for the car itself.

Thanks.