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GM will cover some warranties for older Saabs

Consumer Reports News: December 21, 2011 04:38 PM

Following Saab’s announcement that new-car warranties would be suspended during its bankruptcy, General Motors said it would cover warranties for some cars in the meantime.

“If Saab can’t cover warranties, we will provide warranty reimbursement for Saab cars built while GM owned the brand,” says GM spokesman Jim Cain. That means cars built before Jan. 1, 2010, and includes mainly Saab 9-3s, but not new redesigned 9-5s or 9-4Xs.

Saab owners who have cars within the warranty period will be listed as creditors under the Saab bankruptcy proceeding, and could be offered some coverage from Saab’s assets once they’re sold. But with the company tied up in bankruptcy, that’s now up to the Dutch bankruptcy court. Saab itself doesn’t have control over any money to cover warranties.

In either case, our advice remains the same: There is no reason to go out and buy a new Saab with plenty of better competitors on the market that do offer warranties. On the other hand, if you’re considering a used 2008 or 2009 Saab that might still be under warranty, GM’s announcement means you could still factor the warranty coverage into your buying decision. Parts should still be available for some time. We don’t think they were great cars and there are other choices, but the price could be right.

Eric Evarts

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