GM Scaling Back On Length Of Warranty, Reining In Free Maintenance Program

Offering a perk is only valuable to the company if it’s getting something in return in exchange, and for General Motors, it seems the car maker isn’t convinced that its free maintenance program and warranty is worth the effort. As such, GM is cutting the length of its warranty and pulling back on its free maintenance offers, saying those perks don’t sway people to choose one brand of vehicle over another.

Instead of GM’s five-year or 100,000-mile powertrain coverage on Chevrolet and GMC vehicles, the company will now offer either five years or 60,000 models starting with 2016 models, reports the Wall Street Journal.

GM’s two-year free maintenance program including oil changes and tire rotations on the house will now be limited to two service visits instead of four, with changes going into effect for 2016 model year Chevrolet, Buick and GMC vehicles.

“We talked to our customers and learned that free scheduled maintenance and warranty coverage don’t rank high as a reason to purchase a vehicle among buyers of nonluxury brands,” the company said in a statement. “We will reinvest the savings we will realize into other retail programs that our customers have told us they value more than these.”

GM to Curtail Warranty, Free Maintenance Offers [The Wall Street Journal]