Warranty and residual values

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Bicster

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Joined
Apr 28, 2010
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Location
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This article claims Nissan has announced a warranty for the Leaf:

http://www.allcarselectric.com/blog/1046171_what-will-the-true-residual-value-of-a-used-ev-be-toyota-may-provide-the-answer

I suspect it's rumor, not fact. Anyone?
 
Warranty really could be a deciding factor on my purchase; battery failure and cost? How long will it be covered> This really should be answered by now....
 
Bicster said:
This article claims Nissan has announced a warranty for the Leaf:

http://www.allcarselectric.com/blog/1046171_what-will-the-true-residual-value-of-a-used-ev-be-toyota-may-provide-the-answer

I suspect it's rumor, not fact. Anyone?


That article is misleading on many fronts. As an example they fail to mention that RAV4 EV prices are dropping fast and the inflated price was a result of it being one of the few factory EVs available, now with the Leaf and others on the way the value will drop to a realistic level.
 
Doesn't the battery pack in California have to be warrantied for 10 years and 150,000 miles? I thought that was one of the drivers behind the 150k battery warranty of the Prius. Why have California as an initial launch area if you don't think you can make those number?
 
LakeLeaf said:
Doesn't the battery pack in California have to be warrantied for 10 years and 150,000 miles? I thought that was one of the drivers behind the 150k battery warranty of the Prius. Why have California as an initial launch area if you don't think you can make those number?

that warranty is only specified for hybrids, because the battery pack is conisdered "part of the emmisions" system, and if it fails, the vehicle will pollute more.. there is no such requirement for EVs.
 
mitch672 said:
that warranty is only specified for hybrids, because the battery pack is conisdered "part of the emmisions" system, and if it fails, the vehicle will pollute more.. there is no such requirement for EVs.

True - but I've to wonder whether Nissan will warranty for 10 years as a competetive measure vs Volt.
 
I get the feeling there won't be many Volts to compete with. Nissan will be cranking out many more LEAFs.

I wonder how such a warranty would be written. Warranty against module/cell failure but not range loss? Or a % capacity loss per year? Will it be prorated? They sure have a lot to consider.
 
Bicster said:
I get the feeling there won't be many Volts to compete with. Nissan will be cranking out many more LEAFs.

In the first 2 years Leaf & Volt volumes will be similar in the US.

I wonder how such a warranty would be written. Warranty against module/cell failure but not range loss? Or a % capacity loss per year? Will it be prorated? They sure have a lot to consider.

May be something like tire warranty ?
 
evnow said:
Bicster said:
I get the feeling there won't be many Volts to compete with. Nissan will be cranking out many more LEAFs.

In the first 2 years Leaf & Volt volumes will be similar in the US.

OK, but the Leaf will be available in more markets. In theory!

That may not matter if all the buyers are in California anyway. I'm feeling lonely over here.
 
Bicster said:
OK, but the Leaf will be available in more markets. In theory!

True. But, if Volt has higher demand in markets where both Leaf & Volt are available - then Nissan might be forced to compete by matching Volt's warranty.

I think that would also be an excellent way to shut the critics.

ps : If Volt has strong demand in first 2 years, you can bet they will increase production ...
 
Obviously getting a long warranty or a longer-than-warranty battery life would be great, but I tend to look at this issue differently. I figure that with the incentives, I'm getting a $32K car for $25K. So after five years let's assume there is no more battery warranty. Chances are my battery will last well past that, as pointed out earlier in the thread, since I drive low mileage. This means no problem, and it's still a bargain. If the battery fails right before the warranty is up, I'll probably get a brand new improved battery with greater range and life, if battery technology improves as we expect, although Nissan may pro-rate the battery the way regular car batteries are now, but my guess is they'll just give me a new one. Still no problem and it's a good deal. Worst case, after five years the battery fails and I have to buy a new one. By then, again, probably I'll get a better battery with longer range and longer life. So it will probably be a 7-year or more battery, and cost, say $7k. That means I've spent $32K on the car - what it was worth in the first place - and deferred $7k of that, and have a better car (due to longer range from the new battery) that will last a total of 12 years, a good long life expectancy for a car of that value, and of course even then, there will probably be even better batteries available to extend life even further if the rest of the car is in decent shape. In the meantime I've spent much less on repairs and fuel than I would have on an ICE car. Still a good deal in my book. I see it as no-lose.
 
Rat said:
Obviously getting a long warranty or a longer-than-warranty battery life would be great, but I tend to look at this issue differently. I figure that with the incentives, I'm getting a $32K car for $25K.

Or even $21k, if you're lucky enough to get an early CA delivery date! I've got my fingers and toes crossed!
 
Many battery "failures" will be just one weak cell of the 4 cells in just one of the 48 modules.

Since the modules (maybe even one cell inside the module) can be replaced, a typical battery warranty repair will not be a replacement battery, but just a replacement of one weak module (or one weak cell).

A module replacement might be $500 plus two hours of labor.
 
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