[sabynag]

Originally Posted by AbhiJ

I hope bajaj has done their math right... because this could be a HUGE blunder on their part..

Insurance companies have no heart and hence no emotion or sentiment. They are driven purely by hard data and statistical models.

Also, since Skoda is not willing to extend this scheme to existing customers, I would assume that the scheme is cross-subsidized from Skoda's presales spending budget. Skoda may be sharing the risk with Bajaj. A simple (hypothetical) example may be that for every in-warranty replacement part, Bajaj may be entitled to a heavily discounted price. Arrangements could be made such that Skoda bleeds more than Bajaj for every in-warranty failure. That is a safety cushion for Bajaj.

[fi.robin]

TATA AIG and Vinayak Skoda have good relations. One of our fellow Bhpian had to get his windscreen and bumper replaced after a minor accident. His case was closed in less then 4 days. He got away paying only 800/-. Ofcourse he had depreciation reimbursement package.

@v.anand : Insist on 4 years warranty package. Even Bajaj has the depreciation reimbursement add-on which you can opt.

[sgiitk]

Originally Posted by Dose

Maybe because there is not enough publicity showcasing how badly Skoda treats its customers. For every Indian who reads the Skoda horror stories on Teambhp and refuses to buy one, there seems to be two or more who ignorantly dream of owning a Skoda in India and have never heard of Teambhp.

You are too logical. We are a strongly fatalist nation - so accidents always happen to someone else, and my local dealer is good (I hope they are assured that i. he will not rip-off for non-warranty work, and ii. accidents, if any, will happen only within his domain).

Wait and see. Insisting on BA through the dealer only already is highly suspect.

[alpha1]

Has anyone actually read the fine print?
Could anyone please upload it here?

I am sure there will be lots of catches.

[Ravich]

Originally Posted by sabynag

BTW, Skoda Laura TSI price is slashed again to 11.99L in BLR. Looks like the car is not moving fast enough even with "peace of mind" promise. About a year back, Laura TSI was 75K higher than Altis GL. Now, Altis GL is 100K+ higher than Laura TSI. In most reviews and customer test drives, Laura TSI gets higher overall rating than Altis GL, but it still fails to get even a comparable price. It shows how important "A-S-S" is in Indian buyers' purchase decisions and how much Skoda is losing out upfront (at point of sale) for consumers' perception about its service quality.

Skoda Laura TSI price in Mumbai has always been 11.99L before discounts...
As for why it does not sell, a petrol Skoda's resale value is likely to be very suspect. I dont really think it has to do with A.S.S perceptions as (IMHO) most visitors to Skoda showrooms are unaware of any unsavoury reports about Skoda After sales. So the TSI continues to remain an enthusiast's (a brave one at that) choice and Corolla will be a popular choice but unlikely to be an enthusiast's.

[sabynag]

Originally Posted by Ravich

Skoda Laura TSI price in Mumbai has always been 11.99L before discounts...
As for why it does not sell, a petrol Skoda's resale value is likely to be very suspect. I dont really think it has to do with A.S.S perceptions as (IMHO) most visitors to Skoda showrooms are unaware of any unsavoury reports about Skoda After sales. So the TSI continues to remain an enthusiast's (a brave one at that) choice and Corolla will be a popular choice but unlikely to be an enthusiast's.

If you look at Skoda pricelist in any Mumbai dealership or in their website, you will see that Laura TSI is priced at ~13L in Mumbai. This is the price on which insurance and registration/road-taxes are calculated.
11.99L is the gimmick price that Skoda announces in various markets from time to time. Fabia and Laura TSI are perpetually discounted - only the quantum of discount varies based on demand/supply. In Karnataka, Jan-Apr LTSI was at 11.99L, then it jumped to 12.49L and now it is back to 11.99L, even though the base price remains steady at ~13.3L.

Think what are the factors that dominate the resale value of a specific car model. What factor retains its value and what depreciates fast ?

[v.anand]

@sabynag, where did you get the ex-showroom price of 11.99L? Is it after Vat. and other taxes? I am asking because our car is reaching at the end of this week and planning to take delivery early next week. I was quoted 12.5L while booking and also there was a Times of India advertisement to this effect from Skoda a month back.

[anandpadhye]

Originally Posted by v.anand

@sabynag, where did you get the ex-showroom price of 11.99L? Is it after Vat. and other taxes? I am asking because our car is reaching at the end of this week and planning to take delivery early next week. I was quoted 12.5L while booking and also there was a Times of India advertisement to this effect from Skoda a month back.

How much is the discount you are getting. It should be minimum 1L.
And try to take the extended warranty by saying that you will take insurance and finance from your own sources. And tell us how it goes.

Have fun.

[v.anand]

Hi anandpadhye, sure will tell you people more about skoda shield after I finish the actual dealings. I have been promised a discount of Rs.1.15L on the on-road price and the car is supposedly in transit and must reach by Saturday. There have been other freebies thrown in like sun film, additional rubber mats, teflon coating, mud flaps and stuff. I don't intend to get teflon done though, but was looking at possibility of changing wheels to 16inch. What do you think of it and the price quoted verbally is Rs.45,000 for this change.

The terms for Skoda shield is to purchase Bajaj Alliance insurance from the dealer and opt for it only during the purchase of vehicle and not later. The additional amount to be paid is a little over Rs.18,000 for the extended warranty. Additionally, Bajaj also has this engine protection (from accidental water and oil damage), 100% coverage from depreciation and bumper to bumper complete coverage along with 24X7 breakdown assistance for a price of Rs.12,000. Is this deal any good and is it worth paying the additional Rs.12,000 for complete cover?

Originally Posted by v.anand

The terms for Skoda shield is to purchase Bajaj Alliance insurance from the dealer and opt for it only during the purchase of vehicle and not later. The additional amount to be paid is a little over Rs.18,000 for the extended warranty. Additionally, Bajaj also has this engine protection (from accidental water and oil damage), 100% coverage from depreciation and bumper to bumper complete coverage along with 24X7 breakdown assistance for a price of Rs.12,000. Is this deal any good and is it worth paying the additional Rs.12,000 for complete cover?

The depreciation reimbursement makes a lot of sense. Protects you from expensive repair cost in case of an accident. Imagine the cost of repairing airbags. There is 50% depreciation on them. Tyres are not completely covered by Bajaj though.


Note from the Team-BHP Support Team: Please use the "edit" button if posting within 20 minutes of the first post, instead of creating another back-to-back post.

[fi.robin]

Originally Posted by v.anand

The terms for Skoda shield is to purchase Bajaj Alliance insurance from the dealer and opt for it only during the purchase of vehicle and not later. The additional amount to be paid is a little over Rs.18,000 for the extended warranty. Additionally, Bajaj also has this engine protection (from accidental water and oil damage), 100% coverage from depreciation and bumper to bumper complete coverage along with 24X7 breakdown assistance for a price of Rs.12,000. Is this deal any good and is it worth paying the additional Rs.12,000 for complete cover?

The depreciation reimbursement makes a lot of sense. Protects you from expensive repair cost in case of an accident. Imagine the cost of repairing airbags. There is 50% depreciation on them. Tyres are not completely covered by Bajaj though.

[ajmat]

End of the day, the extended warranty is an insurance policy offered by both Skoda and Bajaj. Ideally, both should be separate. It can actually be an MRTP issue like how Windows and Explorer got separated!

[anandpadhye]

Originally Posted by ajmat

End of the day, the extended warranty is an insurance policy offered by both Skoda and Bajaj. Ideally, both should be separate. It can actually be an MRTP issue like how Windows and Explorer got separated!

Exactly.

I don't mind Skoda covering their extended warranty risk with Bajaj Allianz, but then they should call it what it is.

BTW, @v.anand, so if you switch over to other insurance company from next year, will your extended warranty remain valid? Is Skoda giving you written confirmation of this?

[v.anand]

Thanks anandpadhye for your views. Agree with you ajmat that its not extended warranty per se by Skoda and they are directly covering their risk under Bajaj. As per my casual inquiry with the dealer, the insurance must be taken from them during the period of warranty. Will conform again formally though and reply back regarding this. Anyway, what am I going to gain or lose if I continue the insurance through the dealer? I had a NCB of 65% from my previous car through Tata AIG which I intend to transfer to this. So, effectively I may not be spending too much for these additions.

[sgiitk]

@v.anand: 65% NCB, afaik the max is 50% for some time.

Also you can check whether they are ripping you off on the insurance. Approx 2.5% of IDV +Rs.900 (Act) + service tax. I have taken a 5000 exclusion (Rs.1500 off after NCB on Handacare-Sundaram).

[GTO]

Originally Posted by Ravich

As for why it does not sell, a petrol Skoda's resale value is likely to be very suspect.

Skoda also sells the petrol Laura in one basic trim. The lack of goodies could also put customers off. Customers who are accustomed to "feature-laden" Skodas.

Originally Posted by v.anand

As per my casual inquiry with the dealer, the insurance must be taken from them during the period of warranty.

Good that you have 65% NCB, won't make much of a difference. Remember, the Europeans have major long-term reliability issues. I highly recommend the 4 year warranty to you.

However, for those without such a strong NCB, the difference in insurance premiums (dealer quote & from outside) could easily work out to 5,000 per year (for a car like the Laura). That's 4 (years) x 5,000 = Rs. 20,000 additional cost.

Originally Posted by sgiitk

@v.anand: 65% NCB, afaik the max is 50% for some time.

Those who have accumulated 65% (before the 50% rule came into force) continue to enjoy the same benefit.