What You Should Be Aware Of When Picking An Extended Warranty Service

automobile warranty

Customers who like to be prepared for everything should purchase extended warranty service, especially if the automotive warranty is only for 3 years/36,000 miles. For a good car that has been taken care of, most trouble surfaces around the 80,000 mile mark when new transmissions, new brakes, new calipers or inner gaskets and seals are required, due to regular wear and tear usage. Therefore, it's important for consumers who are looking for an extended car warranty to search for comprehensive coverage that includes "wear and tear" and lasts long enough. It's equally important that the vehicle being purchased is free from defects as well.

First, consumers should check to find out who is backing the extended warranty service. Is it an independent company or the vehicle manufacturer? Generally, manufacturer-based used car warranties are ideal, known for the easy-to-use guarantee. With an after-market extended car warranty, the owner will need to read the stipulations to ensure that everything is covered.

For example, some companies require that owners call before the work is done. Some companies require regular oil changes and fluid top-ups for work to be covered. Depending on the arrangement, sometimes the company pays the auto mechanic directly, whereas other times the warranty company pays the car owner back later. Reading and understanding the agreement is crucial in preventing unpaid claims.

Secondly, find out exactly what is covered and what is not covered. The things for consumers to look out for here are "breakdown coverage" versus "wear and tear" extended warranty service. While a breakdown automotive warranty may cost a little less, it could be costly over time. Many parts fail due to wearing down and not outright "breaking." Not all contracts cover instances like anti-lock break system failure or engine overheating. At the end of the day, these seemingly inconsequential distinctions can mean the difference between a reasonable plan and a waste of money.

At the end of the day, it's up to the owner whether or not extended warranty service is needed. Some people are perfectly comfortable setting money aside to save for possible repairs, whereas others want to feel that they can call on someone to help, no matter what happens. Extended warranty plans may not be essential for every computer, iPod or blender purchased, but for a car worth $10,000 or more, it's certainly a smart consideration for that extra peace of mind.