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I am interested in purchasing the extended warranty coverage offered through GEICO insurance which claims to be better than what is offered by manufacturers. I recently purchased a 2008 Mercedes Benz C300 4matic and would be eligible for GEICO

Answers from the Automotive Experts

Becky Chernek, President and Founder at Chernek Consulting Inc. Hi Pauline- I am sure Geico has an OK policy however I did not realize that Geico would adjust the cost of a service contract the older the vehicle became? I would recommend purchasing a service contract from the dealer or manufacturer- you generally can not go wrong! Make sure you review the policy and that you purchase a contract that covers all the components with exception to wear and tear. (some policies can actually cover some wear and tear items)The price of the service is fixed and the costs do not vary during the term of the policy. You are always better off going with the dealership service contract than an outside source. Remember the dealer can not help you if your service policy is through an outside vendor- especially when they turn down a claim. Generally if you have purchased the service contract through the dealership the "dealer" will have more pull to get the repair covered. I am uncomfortable with "adjusting cost"... I like a fixed expense on a service contract policy throughout my ownership! I hope I was able to help you out. Becky Chernek

Shelly LoCascio, Dealer Principal  at Irwin Lincoln Mercury Mazda Geico may sell extended service plans but I don

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