Volvo To Offer Unlimited Mile Warranty

Volvo is rolling out a lifetime parts and labor warranty program. The German-based automaker has announced new Volvo vehicles will be covered by a new warranty that is meant to last the entire time a new Volvo buyer owns their car. The program is part of the Volvo Service Advantage program and is being marketed as a “pay once and never pay again” for parts and labor, related to a new Volvo purchase.

Scott Doering, vice president of customer service, of Volvo Cars of North America spoke about the initiative in a press release. Doering said in a statement, “We look forward to redefining the way manufacturers service and support their vehicles. The lifetime parts and labor warranty is a best in class offer from a luxury automaker.”

Edmunds.com reported that in addition to the parts and labor warranty, Volvo has other benefits in mind. That Edmunds.com report reads in part, “In addition to the lifetime parts-and-labor warranty, (Volvo) customers will receive free software updates, complimentary diagnostics, personal service, alternative transportation and a complimentary car wash.”

Volvo is hoping that their new warranty will serve as a strong contrast to Audi and BMW offering 4-year 50,000-mile warranties. Edmunds.com also contrasted Volvo’s latest offering with that of the Tesla Model S. In August 2014, Elon Musk announced an “infinite mile warranty” on Tesla Model S vehicles. However, All-electric vehicles typically require less service as they don’t use oil or have standard transmission setups.

What do you make of Volvos attempt to improve their warranty? Do you think competitors will have to improve their service warranty program? Do you think unlimited mile warranties are cost-effective for automakers long-term?