FCA shift leaves only Hyundai-Kia with 100,000-mile warranty

Fiat Chrysler's decision a week ago to cut back its small powertrain warranty protection from 100,000 miles to 60,000 miles delivers it in-line with its Detroit-based rivals. The auto-maker 2016 versions will have 5-yr/60,000-mile power-train warranties, rather of 5-yr/100,000-mile guarantees, FCA US mentioned. That leaves Hyundai and Kia as the sole mass market manufacturers with 100,000-mile power-train warranties in the U.S. Derek Joyce, a spokesman for Hyundai department, said the guarantee "remains an essential part of our brand promise to our clients." FCA's guarantee rollback will probably really have a small effect on sales, claims Blake Helfman, revenue supervisor of River Oaks Chrysler-Dodge-Jeep-Ram in Houston. "Most folks do not inquire about about the powertrain guarantee because there simply are not that several issues anymore," Helfman stated. He added the move could assist the car dealer sell more service contracts.

"Most individuals do not inquire about about the powertrain guarantee because there simply are not that several issues anymore."Blake HelfmanRiver Oaks Chrysler Dodge Jeep Ram in HoustonFCA's selection followed a related change in March by Gm, which paid off the 5-yr power-train guarantees on Chevy and GMC automobiles from 100,000 miles to 60,000 miles. FCA said in a statement to Automotive Information: "Following adjustments previously produced by opponents, FCA US is fixing powertrain guarantee protection for 2016 model-year automobiles to be more in line with with business practices."Most mass market manufacturers, like Toyota, Ford and Honda, take 60,000-mile power-train warranties. An FCA spokeswoman stated the bumper to bumper guarantee for Chrysler, Jeep, Dodge and Ram automobiles will stay at 36 months/36,000 miles. Fiat automobiles take 4-yr/50,000-mile guarantees. She also mentioned power-train guarantee statements after 60,000 miles represented "less than 5%" of the firm's absolute amount of guarantee claims. According to Guarantee Week, a publication that monitors guarantee prices, car companies' guarantee prices shot up 20 per cent in 2014 to almost $16 billion mainly due to a spike in recalls. FCA's guarantee prices in 2014 were up 32%, compared using a 2 4% leap for Ford Motor Co. and a 41% rise for General Motors Corporation, the publication said. This is also not the first-time FCA or among its corporate predecessors has juggled the conditions of its own powertrain warranty. Before Chrysler's 2009 insolvency, the automaker attempted to foster religion in its products by offering a life limited power-train warranty on its automobiles. That guarantee applied and then the car 's first owner, yet. After emerging from bankruptcy last year, the auto-maker dialed back its powertrain warranty to FIVE years/100,000 miles, which was in-line with some other auto makers' offers at the time. The change for the 2016 model-year will not apply to the auto-maker Fiat, Alfa Romeo or diesel-driven automobiles.

It's possible for you to reach Larry P. Vellequette at [email protected].

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01.06.2015
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