DETROIT Chrysler Group is abandoning its lifetime powertrain warranty in favor of 5-year/100,000-mile coverage that is transferable to new owners. Spokesman Rick Deneau said the switch was made after discussions with the dealer council. The change is effective on 2010 models.
Customers will be able to transfer the warranty to new owners at no charge, Deneau said.
"The issue of transferability was something people found very appealing," he said. The lifetime powertrain warranty "wasn't as valuable to consumers as we might have hoped."
The new warranty also broadens the policy to some vehicles that weren't covered under the lifetime warranty: all SRT performance vehicles and the Dodge Viper sports car. It does not cover Dodge Sprinter commercial vans or Dodge Ram trucks with diesel engines, Deneau said.
Chrysler introduced the lifetime plan in July 2007, just before being acquired by Cerberus Capital Management. The automaker is now controlled by Fiat S.p.A.