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Found this on a forum somewhere:

2001-2004 Hyundai Santa Fe with AWD:

Problems are with leaking transfer cases, rear differential issues, transfer cases literally exploding and rear bearing failures. All problems we saw first hand and replaced on several AWD Santa Fe vehicles.

Hyundai originally covered the AWD system as part of the 10/100 powertrain but after numerous failures of the above items realized how expensive they would be to warranty for the full 10/100 warranty.

Solution for Hyundai was to no longer include the AWD system in the 10/100 powertrain warranty. What that means is if anything after the transmission (transfer case, driveshaft, rear differential, rear axles and rear bearings) should fail they will not cover the repairs after the 5/60 basic vehicle coverage ends.

Imagine taking a chance on a AWD Hyundai knowing you have 10/100 powertrain coverage and then finding out that there are too many problems with it so Hyundai is not going to cover it anymore.
 

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I'll belive it when I see it in writing from Hyundai.

The 10/100 warranty is a legal document from Hyundai which they would not be able just cut down to 5/60 on existing vehicles without massive, massive lawsuits following.
 

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I have never heard of this and never heard of all these major problems. the leaking trnsfer case was just bad seals, and everythign is still covered under regular warranty...a company cannot go back on their sold and advertised warranty. And Santa Fe's are definitely NOT a risky purchase.
 
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