Wheel/tyre insurance - too good to be true?
Discussion
Looking for some help from the PH masses about wheel/tyre insurance from dealers on new/used cars.
Essentially I've been offered cover for up to 5 punctures and 5 wheel refurbs over a 3 year period for £500.
Given that the cost of a tyre is likely to be nearly £200 (260x35x19) and a wheel refurb is at least £100, it seems like a no-brainer as the premium is pretty much assured to pay for itself.
So, what's the catch? If the policy pays for itself, why is the dealer offering it?
Essentially I've been offered cover for up to 5 punctures and 5 wheel refurbs over a 3 year period for £500.
Given that the cost of a tyre is likely to be nearly £200 (260x35x19) and a wheel refurb is at least £100, it seems like a no-brainer as the premium is pretty much assured to pay for itself.
So, what's the catch? If the policy pays for itself, why is the dealer offering it?
youngsyr said:
Looking for some help from the PH masses about wheel/tyre insurance from dealers on new/used cars.
Essentially I've been offered cover for up to 5 punctures and 5 wheel refurbs over a 3 year period for £500.
Given that the cost of a tyre is likely to be nearly £200 (260x35x19) and a wheel refurb is at least £100, it seems like a no-brainer as the premium is pretty much assured to pay for itself.
So, what's the catch? If the policy pays for itself, why is the dealer offering it?
I have driven over 1 million miles in the last 20 years and never picked up a puncture, wheel refurbs are a different matterEssentially I've been offered cover for up to 5 punctures and 5 wheel refurbs over a 3 year period for £500.
Given that the cost of a tyre is likely to be nearly £200 (260x35x19) and a wheel refurb is at least £100, it seems like a no-brainer as the premium is pretty much assured to pay for itself.
So, what's the catch? If the policy pays for itself, why is the dealer offering it?
Insurance is all risk - I work with a couple of insurers who offer this and it is profitable for them. Three year cover for £500 is steep though
Andy665 said:
I have driven over 1 million miles in the last 20 years and never picked up a puncture, wheel refurbs are a different matter
Insurance is all risk - I work with a couple of insurers who offer this and it is profitable for them. Three year cover for £500 is steep though
I have had 7 punctures in 6 years driving in London Insurance is all risk - I work with a couple of insurers who offer this and it is profitable for them. Three year cover for £500 is steep though
youngsyr said:
So, what's the catch? If the policy pays for itself, why is the dealer offering it?
What you've said there probably answers your question: read all the T&Cs - it''ll probably be lengthy and be printed in small to tiny text. Wear and tear will probably be deductible/excluded - damage?; most likely serious potholes only.Well, the tyres are extremely low profile so curbing the alloys is quite a possibility. A couple of those and one puncture over 3 years pays for the premium.
I'm thinking it must be the exclusions that make it not as good as it seems.
The dealer pointed to a tyre with a nail in it in the showroom, it had apparently been taken off a brand new Ferrari Italia within 2 weeks of it driving away from the dealership. He reckoned that this one puncture covered the premium.
This seems a little far fetched (unless the tyre was lined with gold), but if it's above board, then it does seem like a good deal.
I'm thinking it must be the exclusions that make it not as good as it seems.
The dealer pointed to a tyre with a nail in it in the showroom, it had apparently been taken off a brand new Ferrari Italia within 2 weeks of it driving away from the dealership. He reckoned that this one puncture covered the premium.
This seems a little far fetched (unless the tyre was lined with gold), but if it's above board, then it does seem like a good deal.
I turned it down on an X5 I just bought... then proceeded to puncture a rear tyre (315 section 20" RFT) and scuff an alloy within a fortnight 
the scrape clearly my fault (very tight entry to a basement car park) but the puncture was the first I've had in years. £400 combined to replace tyre and repair wheel. I think Sod's law dictates that if you buy the insurance, you won't need it... but if you turn it down, expect something similar to my story 
the scrape clearly my fault (very tight entry to a basement car park) but the puncture was the first I've had in years. £400 combined to replace tyre and repair wheel. I think Sod's law dictates that if you buy the insurance, you won't need it... but if you turn it down, expect something similar to my story A wheel refurb is £72 at Lepsons and a nail in the tyre can be repaired for a tenner. So if you look at it now , its rather expensive. They are also clued upto the scam of hammering a nail into a worn tyre and I`d assume that the tyre must exhibit some sort of minimum tread depth in the T&C`s.
I did get a puncture a few weeks ago, but, touch wood, it's the first one I've had for many, many years.
Agree with others on the alloy refurb price. Plus, will they do a full refurb, or a smart repair?
If you really want it, is this something, like GAP, that you can buy elsewhere for a third of the price the dealer is asking?
Agree with others on the alloy refurb price. Plus, will they do a full refurb, or a smart repair?
If you really want it, is this something, like GAP, that you can buy elsewhere for a third of the price the dealer is asking?
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