BMW Extended Warranty: Is It Worth it?

BMW - Manufacturer Extended Warranty Overview

Like most auto manufacturers, BMW offers extended vehicle warranties. BMW offers these warranties to buyers of new cars, those who purchase used, and those who purchase a certified pre-owned (CPO) BMW. Like many manufacturers, BMW offers a variety of levels of coverage and also a variety of time periods for that coverage.

Based on Car Talk's expert research of extended vehicle warranties offered by manufacturers, we have found that BMW’s plans offer a bit more coverage in some plans than do its competitors. For example, the induction system is covered by all plans.

BMW offers three plans. Platinum, Gold, and Powertrain Plus. They also feature a prepaid maintenance plan called Ultimate Care. BMW tries hard to make it clear which plan covers what breakdown in its online literature. Like all plans, BMW’s is an “exclusionary coverage” program. That means it only covers what it says it does, and not one lock-washer more. Be sure to read the full description of BMW’s plan offerings before making your selection.

Among BMW’s plans, there are two choices a shopper will make. First, the duration. For new and used buyers who purchase before the new car limited warranty expires, BMW offers plans that extend the coverage from the standard 4-years, 50,000-miles to five, six, or seven years, and either 75,000 miles or 100,000 miles. Be aware that the years are the total age of the vehicle, not the number added to the original four-year vehicle warranty.

BMW also offers to extend the certified pre-owned contracts of CPO vehicle owners either at the time of purchase or before the CPO warranty expires. It is important to understand that a CPO vehicle already comes with an extended warranty. That is the primary reason that shoppers pay the added premium for such vehicles, rather than just buy a used vehicle. BMW offers to add one or two years to the CPO warranty coverage. We suggest considering this closely and comparing the already included coverage side by side to see if there is added value.

The other advantage here is the shop that’s going to be performing the work. If your BMW breaks down, you want BMW parts and technicians to work on the vehicle. That is what BMW provides.

Specs / Key Features

• Simple plan options
• Administered by BMW directly
• Work performed by BMW dealers using only BMW part

What is Covered by a BMW Extended Warranty Plans?

BMW Platinum Warranty

BMW’s Platinum plan is very similar to the new car comprehensive warranty. It covers pretty much everything a vehicle warranty would cover. This coverage option offers protection for all major components like the eletrical system, the engine, transmission, cooling and fuel systems, braking and steering. This plan offers all the coverage offered in the Gold and Powertrain plans.

BMW Gold Warranty

The Gold Warranty plan seems to hit all the traditional worries. This plan offers protection for your engine, transmission, fuel system, steering, cooling and heating systems. This plan is considered the comprehensive offering by BMW.

BMW Powertrain Plus Warranty

The Powertrain Warranty plan includes just the engine, transmission and drive systems. This plan features limited coverage for major components in the vehicle. This plan is considered basic coverage for transmission, engine, cooling systems and fuel systems.

BMW Ultimate Care

The Ultimate Care plan offered by BMW is a prepaid maintenance offered for new purchases. This plan offers regular maintenance for 3 years or 36,000 miles, whichever comes first.

The Ultimate Car maintenance plan covers the following:

• Engine oil (Including the oil filter)
• Brake fluid (Replacement)
• Vehicle check (Inspection)
• 1,200 mile running-in service (Applicable BMW M vehicles only)
• BMW says that the below work may also be included in conjunction with one or more of the items listed above:
• Standard scope (Procedure)

Additionally, the following when they qualify to be performed:

• Cabin microfilter(s)
• Remote control key battery
• Engine air filter
• Spark plugs
• Final drive oil (Applicable M vehicles only)

What is Not Covered by a BMW Extended Warranty

This is an “exclusionary coverage” policy, so anything that’s not on the contract’s list is not covered. BMW’s plans do not include normal wear items like tires. These BMW plans are also not a pre-paid maintenance plan. You will still pay for oil changes, filters, and services for other normal wear items. Take careful note that the Gold and Powertrain Plus warranties do not cover infotainment systems. J.D. Power and Associates has found in both short-term and longer-term surveys of owners that infotainment systems are the single largest category of vehicle failures. Do you really want to buy an extended warranty that does not cover the most likely failure?

Average Costs for BMW Repairs in 2023

The chart below is taken from CarComplaints.com and reflects BMW owner-reported problems. Read more on BMW maintenance cost and repair schedules here.

Third-Party Extended Warranty Providers for BMWs

Third-party warranties are an option for any make or model vehicle. These plans are offered by companies who profit by selling used vehicle owners a plan that they know will cost them more on average than the cost of any repairs.

Pros and Cons of Third-Party Warranties

What Does a BMW Extended Warranty Cost?

If only there were one simple answer! Unfortunately, BMWs can range in prices from a $20K used 3 Series still under the original warranty, to a $160,000 new i8. That massive spread in prices means the warranty costs are all over the map. Examples we found when doing searches for BMW extended warranty costs ranged from under $1,000 to over $6,000.

Is a BMW Extended Warranty Worth It?

The short answer is “maybe.” The long answer is more complicated. BMW is a relatively low-volume manufacturer of premium vehicles. Some of its vehicles, like the i8, are basically custom-made near supercars. Others, like the 3 Series line, are more mainstream.

Ask yourself two questions:

• Is this a vehicle that I’m going to keep past the original warranty? If the answer is “no,” then an extended warranty isn’t much good to you.
• Do I have the money to cover an expensive repair after the warranty is up? A failed transmission can easily run into $5,000, but the likelihood of it happening between the end of the original warranty and 100,000 miles is exceedingly rare. But if you don’t have the money to pay for a repair like that, you’d be much better off folding the cost of the warranty into your original car loan.

Read our full recommendations for the Best Extended Warranty Companies here.