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Are you deciding whether or not to purchase a BMW extended warranty? In this article, our review team discusses BMW’s extended warranty plans and how these plans compare to other leading third-party warranty providers.

BMW Extended Warranty:

A BMW extended warranty extends the 4-year/50,000-mile bumper-to-bumper warranty that protects new BMWs from manufacturing defects. The company offers additional protection up to 3 years/50,000 miles.

Table of Contents:

BMW Factory Warranty

Before we analyze BMW’s extended warranty plans, it is worth getting to know the factory warranty that BMW provides its customers.

Every new BMW comes with the following warranties:

  • Basic Coverage: 4 years/50,000 miles (all components other than normal wear and maintenance items)
  • Powertrain Coverage: 4 years/50,000 miles
  • Corrosion Coverage: 12 years/unlimited miles
  • Roadside Assistance: 4 years/unlimited miles

BMW certified pre-owned vehicles come with the factory warranty plus another year of coverage with unlimited miles.

One weakness of BMW’s factory warranty is that it does not offer additional powertrain coverage beyond its basic coverage that other luxury brands like Cadillac and Genesis do. For that reason, many BMW owners seek additional coverage through an extended warranty to cover their vehicle from costly powertrain repairs after their factory warranty ends.

Powertrain issues generally occur with older vehicles, and they are notoriously among the most expensive repairs. For example, RepairPal estimates that a rack and pinion replacement on a BMW 528i typically costs between $3,125 and $3,342.

For that reason, specifically considering an extended warranty to cover your BMW’s powertrain is a wise decision.

BMW Extended Warranty

Coverage

BMW offers three different extended warranty plans: Powertrain Plus, Gold, and Platinum. These plans can be purchased before or after your factory BMW warranty expires. It is generally recommended to purchase an extended warranty plan before your factory warranty expires in case a costly repair occurs shortly after the factory warranty ends.

Here are details on what each plan does and does not cover: 

  • Powertrain Plus: 
    • Covers the engine, fuel and cooling systems, transmission and drive axle. It does not cover the all-wheel-drive transfer case and the engine induction system.
    • These components are only covered by the Gold and Platinum plans.
  • Gold:
    • Covers everything in the Powertrain Plus plan and also covers items such as steering, anti-lock brakes, heating and air conditioning systems. 
    • There is no coverage for audio, entertainment and navigation systems under this plan.
  • Platinum: 
    • Covers everything in the first two plans and includes coverage for the navigation system, entertainment system and audio system. 
    • It also covers parts of your BMW’s exterior and interior.

Below are the coverage terms for each of BMW’s extended warranty plans. 

Extended Warranty Coverage Name Extended Warranty Coverage Terms for A New BMW
Powertrain Plus Flexible: Additional 1 year/75,000 total miles to 3 years/100,000 total miles
Gold Flexible: Additional 1 year/75,000 total miles to 3 years/100,000 total miles
Platinum Flexible: Additional 1 year/75,000 total miles to 3 years/100,000 total miles

Cost

The cost of a BMW extended warranty depends on several factors, including the model, age, and mileage of your vehicle. BMW’s dealerships are free to set their own prices for each customer.

According to CARCHEX, if you purchase an extended warranty from BMW directly, it will likely cost you between $1,000 to $1,500 per year.

BMW also charges a $50 deductible for any needed repairs while under its extended warranty.

Is A BMW Extended Warranty Worth It?

Whether purchasing an extended warranty for your BMW is worth it or not depends on your individual situation and personal goals.

It is smart to consider purchasing an extended warranty if you cannot afford unexpected $2,000 to $4,000 repairs to your vehicle. For more information on this topic, read our article on whether extended car warranties are worth it.

While an extended warranty for your vehicle may be worth it, we do not believe that purchasing an extended warranty directly from BMW is worth the cost.

Dealership Vs. Third-Party Extended Warranty

While BMW’s plans are compelling, our review team believes that reputable extended car warranty companies such as CARCHEX and Endurance offer a better value than BMW’s own extended warranty.

Purchasing an extended warranty for your BMW from a BMW dealership will cost more than an extended warranty from a third-party provider due to BMW’s prestige and brand recognition. An advantage of purchasing an extended warranty directly from BMW is that you get BMW replacement parts whenever your vehicle needs a repair.

However, when comparing BMW’s extended warranty directly to CARCHEX and Endurance, purchasing directly from BMW is probably not worth the additional cost.

CARCHEX and Endurance beat BMW on four extended warranty comparison categories:

  1. Maximum length of coverage
  2. Number of coverage plans
  3. Repair network
  4. Accessibility of free quote

 

Provider Name Maximum Length of Coverage Number of Coverage Plans Repair Network  Accessibility of Free Quote
BMW 7 years/100,000 miles 3 Only BMW dealerships Have to call dealership for quote
CARCHEX 10 years/150,000 miles 5 Any licensed repair facility Free, customized quote online
Endurance 20 years/200,000 miles  5 ASE-Certified® repair facilities Free, customized quote online

Our Recommended Providers

CARCHEX and Endurance both provide excellent and affordable extended car warranties.

CARCHEX was named Best Overall Provider by our review team for its strong industry partnerships, national media recognition, and BBB rating. Endurance was named Best Direct Service Provider by our review team for its excellent customer service, awards, and direct-to-customer business model. 

We recommend that you reach out to both providers for a free quote and sample contract to compare their offerings. 

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