How to make the most out of your car protection plan

Several years ago, I purchased a brand new "fresh off the boat" (from Japan) Subaru Impreza at a dealership in Colorado. Being a math geek and an amateur car buyer, I went into the dealership with an open mind and a financial calculator thinking if I knew nothing about buying a car, I could at least calculate my monthly car payment.

I walked into the dealership at around 4 p.m. and didn't come out until after 10 p.m. and ended up purchasing a bunch of random upgrades. Two of them have been my money makers:

1. The appearance protection plan (Cost: $450)

2. Windshield protection plan (Cost: $380)

These are both 5 year plans. The insurance company would have never thought how someone could maximize their benefits to such extend.

The appearance protection plan:

It protects anything that damages the outside paint of your car other than normal wear and tear. It also protects the upholstery inside the car from any permanent stains. 

This is how I use it:

They came and deep cleaned my front seats several times because: Princess spilled a medium size root beer all over my seat once, I left Indian food on my car seat and it leaked, I left Chinese food on my car seat and it leaked , my friend seat on the front seat and spilled more Chinese food, etc. (Total estimate cost of cleaning: $200)

Some random big bird decided to poop on my hood, to make it worst, the bird looked to have eaten some "kim chee" and his/her poop was extremely acidic. The poop ate through the paint, insurance company paid me a check to get my hood repainted and a new clean bra to be put on. (The check: $ 680)

The windshield protection plan:

It repairs chips and replace the windshield when necessary.

This is how I use it:

 They repaired 5 chips for me and replaced my heated windshield twice already. (Total cost: $1000)

Now a cost and benefit analysis tells me:

Cost: $830

Benefit: $ 1,880 (so far)

Profit: $1,050

The moral of the story is...

you need to be very unlucky to make money off your insurance company!