Here's a data point from a good friend who was part owner in and ran the finance desk at a dealership in Queens, NY.
They sold aftermarket warranties for $1000-$1500 (asked 1500, would settle for 1000 with "tough customers").
Their cost: $275.
He sold thousands of them over the decade+ he ran the desk before they sold the dealership. It was his single highest % source of profit at the dealership, above all other sales items (road hazard, "true-coat", no fee service plans, etc.).
Full disclosure: I paid $3800 for Hyundai platinum extended warranties on two Hyundai Genesis cars, an '09 and a '12 for coverage to 120k/10 years, zero deductible. Total repairs covered under warranty over 6 years on 2 cars: $450+250+400+2477+2190: $5767, so ~$2k to the good in my case with these two cars. In Florida, extended warranties are legally insurance, so pro-rata refundable and in my case, balance-transferrable since I used the same dealer for both.
The cost of the Chevy plan for my Z was too high, and it's not a daily driver and parts/service are MUCH easier to get on a Chevy, so I passed.
YM as they say MV...
