It’s a fact that car owners are staying with their vehicles for longer periods of time. New cars come with more advanced technology and more electronic features, which makes it more appealing to them to keep them for as long as possible. This is why extended warranties can be appealing. All warranties expire, on average, after 3 years or 36,000 miles. This article highlights all the extended car warranty benefits that you can get.
Defining an Extended Warranty
You can purchase an extended warranty, also known as a vehicle service contract, to cover the cost of any parts or labor that your car might need. The warranty begins after the manufacturer’s warranty ends. They may not cover all the warranties available, so make sure to be educated and work with a reputable company.
An extended warranty may be the best option if you purchase a used vehicle from a dealer. You will get the coverage you require. Telephone solicitors who sell extended warranties are not recommended.
Cost of Extended Warranties
Extended warranties have different coverage and costs depending on the car you own and what it covers. While it is not cheap, the warranty will give you peace of mind as well as help with more expensive repairs that may be necessary.
You can roll the warranty into your loan or not depending on whether you do. In either case, you will have to pay interest and sometimes a deductible. You may have to pay a deductible for a repair or service visit. It is important to know what the deductibles are for your plan. You can include the warranty cost if you purchase or lease a vehicle in your loan amount.
Benefits of Extended Warranties
1. You can tailor the warranty to your specific needs.
Original warranties can vary in terms of mileage and time. Companies that offer extended warranties may be able to offer more products and services than before. For example, a 24-hour roadside service for new cars that don’t have this coverage could be an option. An extended warranty can be helpful if your warranty covers the powertrain but not the bumper-to-bumper.
Depending on the coverage you have, you can decide how long your extended warranty should last. Be sure to understand the differences between a powertrain warranty and an extended comprehensive warranty. Don’t assume that a bumper-to-bumper warranty covers the entire vehicle as they rarely do.
2. They provide coverage for additional technology and expensive repairs.
Modern vehicles are equipped with more technology than ever before. This means that there is more electronic and computerized equipment. It can lead to system failures that can prove costly to repair. This is where an extended warranty can be helpful. It allows you to include expensive and complicated features as well as other systems.
3. Dealers handle all the complicated paperwork.
Although an extended warranty purchased from a dealer or sponsored by the manufacturer may be more costly, it has the advantage that they can handle all the paperwork and pay the dealer directly for the services provided. The warranty usually allows the owner of the vehicle to have it repaired at any dealership that sells the same brand anywhere in the country. This removes restrictions that may be exempted by third-party warranty providers.
An extended warranty gives you peace of mind, which is the most important out of the many car warranty benefits. Extended warranties are like car insurance—we don’t enjoy paying for them, but we love knowing we have it when we need it.