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Why would it state to only use it below -10 degrees? If it gets below freezing I would plug my truck in. It's not a must, but why make your engine work like that?
When I used to have my scangauge plugged into my truck I found I needed to have the block heater on for 3 hours minimum to warm it up (looking at coolant temperature). Colder and I would leave it on longer. My timer messed up though so last night I left it plugged in all night. It'll start fine cold, but why not have a little heat when it's 16 degrees out .
#1) How can I tell it's working? No idiot light does not make it ewasy to see if the thing actually works.
I have never heard a noise or sizzling, but you can use a cord with a light on the end to make sure it has power to that point.
#2) Is it ok to keep plugged in all night? I have to use a 50' outdoor extension chord (14 gauge).
Yes it is ok to do that. A timer would be better. I used to have it set to go on for 3 hours.
3) Any particualr testing methods to use to check operation?
Not sure, but you could get a scangauge and if the coolant temp is warmer than ambient you know it's working. I remember it being 80-110 degrees depending on ambient. Maybe a lighted cord to make sure power is getting to plug.