Is an extended warranty needed for Prius Prime Premium?

nope. just a sales pitch for unneeded insurance. sure things happen, and you can find plenty of sad stories right here on prius chat. but with toyota, less likely than most manufacturers.
plus, you get a pretty decent warranty for free, so to speak.

 

Extended warranty is just a profit center. Do they look like they NEED $2000 more profit?

 

If the extended warranty is believed to be a good deal then why buy that POS car?

 

Extended warranties have only one purpose. That's to make money for the company selling it. They figure out how much it would cost them, on average, per car and charge that plus whatever profit they think they can get away with. It's much like lottery tickets -- a tax on the mathematically challenged.

 

Chances are well above 50-50 that it's cheaper to not get it, but you never know for sure. I got one one time on a used Intrepid back in the 90's before I had thought this through. The warranty was $1,300. Some time later (in that warranty period) the transmission ate itself. Guess what it would have cost to fix it. Yup. $1,300. I broke even. I call that a win. I never bought a warranty again and have come out way ahead that way. I think, in the past 20 years, I've had about $3,000 total in two major repairs -- both were air conditioners. That doesn't count the hybrid battery I ruined all by myself; that's a whole 'nuther thread.

 

If you want to pay two grand for windshield protection go ahead, it doesn't cover windshields, save the money

 

It is a catch 22. I regretted not getting it when I had to have my 5 speed 2003 toyota matrix replaced at 70k out of pocket (which there was a bunch of us with the same exact issue) (I did keep the car till 333k miles without any other major or minor issues). I decided against buying it on my new prius as I just drive too much to get my money out of a few years warranty, when most of it is covered to 100k anyway.