You have an older model BMW and you recently noticed an advertisement for service repair insurance. This type of insurance would essentially help pay for engine, transmission, and other major repairs that may be necessary as the vehicle gets older.
Many people have a common question about whether this would even be worth the investment. That depends on a number of factors.
First and foremost, even though you own a BMW, if you bought it used you don’t know how well it was treated by the previous owner or owners. The previous owner might have brought it in for Inspection I, inspection II, oil changes regularly, and other services and that will help prolong the life expectancy of the engine, transmission, and other vital components.
At the other end of the spectrum, you might’ve purchased a BMW from somebody who rarely ever changed the oil or did anything else for general maintenance. That can certainly increase the risk of having problems in the future.
Your BMW may be too old to actually qualify for this type of repair service insurance. Some insurance companies won’t take on vehicles that are over 15 or 20 years old.
It’s similar to supplemental health insurance in that the older you are, the less you pay attention to your health, the more costly that supplemental health insurance is going to be. The older your vehicle, the higher the kilometers that are on it, and other factors can certainly increase the monthly price of that particular insurance. When you consider an engine replacement or repair can cost several thousand dollars, as well as a transmission repair, depending on your financial situation this may be a practical option for you.
If you have plenty of savings to tap into in the event you need a major repair done on your BMW, then this type of insurance is certainly not worth the investment.