Tractor Mike's video: Should I Buy the Extended Warranty on a New Kubota or any other brand

Got a question from a viewer who is buying a new Kubota and wanted to know if he should purchase an extended warranty. Wouldn't matter to me if it were a Kubota, Deere, Mahindra, Massey, New Holland, Kioti, TYM, LS, Branson, Case, or Yanmar tractor. I'm not a big fan of extended warranties. Before even thinking about an extended warranty, I'd want to know what's in the tractor's base warranty. Most of the time, half of it covers everything but wear items, the other half covers the power train, or anything oil touches. So the second half of the warranty doesn't cover as much as the first half, and generally, any extended warranty will just extend the power train warranty. So it's not like everything from the grill to the lower link arms is covered. Sometimes the salesperson forgets to tell you that. Extended warranties are high margin profit items for both the company offering them and the dealer. I don't think they're a great deal for the customer. If, more often than not, the warranty covered a major failure and came out in the favor of the customer, no one would offer them. Outside of that fact, there are a couple of big problems I have with extended warranties. First is when they're offered by an outside company. Let's say I bought a new Kubota with a 4-year warranty and bought an additional 3 year extended warranty. If that extra warranty were administered by Kubota and I had a major failure, they'd be hard pressed not to cover it. They would want to keep me as a Kubota customer and maintain a good reputation. If the warranty were offered by ACME Financial (or any outside source), and they decided there was a reason they could get out of paying, they wouldn't have any skin in the game. I could yell at them and the dealer that sold it to me, short of suing them, it would be difficult to resolve. Second, let's say you have a major failure in year six of a seven year warranty. The warranty company may claim that if it held together for six years without failing, the breakdown wasn't a manufacturer's defect, therefore it wouldn't be covered. That's hard for me to argue. In the end, if you can get the dealer to throw in extended warranty as a negotiation ploy, do it. If you can get him to offer it at half price, I'd consider it. Otherwise, I'm not a fan...UNLESS you're someone who gets peace of mind from having extended warranty on everything. If that's you, by all means, buy the extended warranty. Otherwise, I vote to pass... LINKS YOU NEED TO KNOW ABOUT... The Tractor Fun Store: https://asktractormike.com/products-for-sale/ Support the Tractor Mike Channel: https://www.patreon.com/TractorMike Visit the Tractor Mike website: http://asktractormike.com/ Visit Facebook Page: https://www.facebook.com/Ask-Tractor-Mike-312112962245304/ Copyright 2020 Tractor Mike LLC