GM announced yesterday that it will increase warranties to 100,000 miles or five years across its entire car and light truck range in the US and Canada, claiming the ‘best warranty of any full-line automaker’.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The move is designed to bring customers back to the GM brands, at a time when they are switching to Japanese makes.
GM is also extending its roadside assistance and courtesy transportation programmes to match the term of the new warranty term.
GM claims the warranty is the best of the industry, and that it can afford to make the provision because of dramatic improvements in the quality and durability of its vehicles.
“We’ve been telling everyone how strong GM’s cars and trucks are in terms of value, design, quality and durability. Now we’re going to back it up,” Chairman and CEO Rick Wagoner said.
The warranty is described as a fully transferable, 100,000 mile powertrain limited warranty with no deductible, that relates to more than 900 components related to the engine, transmission, transfer case (if applicable) and final drive assemblies on all 2007 model-year Chevrolet, Pontiac, Buick, GMC, Hummer, Saturn, Saab and Cadillac cars and light-duty trucks sold in the United States and Canada.
The new warranty will apply retroactively to 2007 GM cars and trucks already sold.
For non-powertrain components, GM’s Bumper-to-Bumper New Vehicle Limited Warranty remains in effect: four years or 50,000 miles for Buicks, Cadillacs, Hummers and Saabs, and three years or 36,000 miles for Chevrolets, GMCs, Pontiacs and Saturns.
The new warranty package is part of GM’s North American turnaround plan that should now also see reduced incentives and improved residual values of GM cars and trucks.
