Saab North America Suspends All Warranty Coverage After Bankruptcy
Saab Cars North America has halted all warranty processing for vehicles sold in the US and Canada, leaving buyers of 2010 and 2011 models without coverage as of December 2011.
Saab Cars North America has suspended all warranty coverage for its vehicles in the United States and Canada, following the bankruptcy of its Swedish parent company in December 2011. The decision, effective from 19 December 2011, leaves buyers of new 2010 and 2011 Saab vehicles without manufacturer support for repairs, parts, or recalls.
The suspension covers new-car warranties, powertrain and emission warranties, parts warranties, safety systems, towing, goodwill, and recall campaigns. Dealers were instructed to remove warranty booklets from owner information packs and to sell all remaining vehicles strictly on an "as is" basis. Saab North America told its dealers that it would stop processing and paying all warranty claims until further notice.
Which Saab vehicles are affected?
All new 2011 Saab models in US inventories were previously covered by a 4-year, 50,000-mile warranty, including roadside assistance and three years or 36,000 miles of scheduled maintenance. As of December 2011, fewer than 3,000 unsold Saab vehicles remained in US dealer stock, mostly 9-3 and 9-5 models. Customers purchasing any of these cars after the bankruptcy receive no manufacturer warranty at all.
General Motors' position on Saab warranties
General Motors, which owned Saab until early 2010, confirmed that it would honour warranties for vehicles sold during its tenure. This commitment applies to 2009 and older model-year Saabs, and a small number of 2010 models sold in Canada. GM said it would take steps to ensure warranty obligations are met for these vehicles if Saab cannot or will not fulfil them. Owners of newer Saabs, however, are not covered by GM and remain in limbo.
Saab Cars North America's next steps
Saab Cars North America stated it would pursue an out-of-court solution to keep its operations running and to find a way to provide warranty coverage for 2010 and 2011 models. The company hired financial advisers to oversee the process and is also exploring options to reinstate its parts business in North America. Saab Parts Company in Sweden continues to operate and is not directly affected by the bankruptcy, so parts supply may continue in the short term.
Implications for Saab owners and dealers
Saab's 204 US dealerships remain able to provide service and parts for existing vehicles, but without manufacturer reimbursement for warranty work. Dealers and customers are advised to keep receipts for any repair or maintenance work done during this period. The future of warranty support for owners of 2010 and 2011 Saabs remains uncertain, with the company seeking a solution but unable to provide guarantees.
For further details on GM's stance regarding warranty coverage for recent Saab models, seeGM Refuses Warranty Support for 2010–2011 Saab Models in US
