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Product Warranty and Recall Campaigns
3 Months Ended
Mar. 31, 2019
Product Warranties Disclosures [Abstract]  
Product Warranty and Recall Campaigns
Product Warranty and Recall Campaigns
The Company currently provides a standard two-year limited warranty on all new motorcycles sold worldwide, except for Japan, where the Company currently provides a standard three-year limited warranty on all new motorcycles sold. In addition, the Company provides a one-year warranty for Parts & Accessories (P&A). The warranty coverage for the retail customer generally begins when the product is sold to a retail customer. The Company accrues for future warranty claims using an estimated cost based primarily on historical Company claim information. Additionally, the Company has from time to time initiated certain voluntary recall campaigns. The Company accrues for the estimated cost associated with voluntary recalls in the period that management approves and commits to the recall. Changes in the Company’s warranty and recall liability were as follows (in thousands):
 
Three months ended
 
March 31,
2019
 
April 1,
2018
Balance, beginning of period
$
131,740

 
$
94,202

Warranties issued during the period
11,617

 
14,606

Settlements made during the period
(19,617
)
 
(16,638
)
Recalls and changes to pre-existing warranty liabilities
(1,353
)
 
2,905

Balance, end of period
$
122,387

 
$
95,075


The liability for recall campaigns was $64.1 million, $73.3 million and $32.3 million as of March 31, 2019, December 31, 2018 and April 1, 2018, respectively. The Company recorded supplier recoveries within operating expenses separate from the amounts disclosed above of $28.0 million for the three months ended March 31, 2019.