It is without question that many professional relationships we engage with begin well but end poorly. The same is true with automobiles, namely with auto warranty. However, this doesn’t need to be the case if care is taken in identifying the absolute perfect situation for you and your personal specifications. You need to locate the perfect extended warranty—and by doing so you can make certain your car doesn’t become a waste of cash.
Essentially, all an extended warranty is is an insurance policy you take on your automobile. It is just a way to avoid those unpredictably but outrageous repair expenses. The term warranty is less accurate than insurance, in this way. However, similar to auto warranties, these do cover repairs or any sort of maintenance you encounter during the time period the policy is instated. But with the traditional warranty, you’ll purchase them as part of the product price. Extended auto warranties, on the other hand, are more like contracts. Service contracts if you will—they’ll run a separate cost and you’ll need to buy them separately as well.
Now, that doesn’t mean it needs to be done on a different day or place. In fact, you can purchase the extended warranty at the same place and day you purchase your vehicle, or even many days or months later. If you are the kind of person who needs full preparation at all times, just in case—the extended auto warranty is undeniably right for you. Especially when you consider the always rising cost of vehicular repair, the benefits of being protected are not difficult to see.
Once you determine that an extended auto warranty is the right decision for you, you’ll need to select a plan that addresses your needs. We understand this can seem a tad daunting, so we’ve listed a few points to consider below.
Your Pre-Existing Warranty:
Suppose you just purchased your vehicle brand new—examine its factory warranty and determine its value to you. For instance, suppose your warranty is for a couple of years or pre-determined amount of miles.
Well that’s fine, unless you plan on keeping it for more than a couple of years or driving more miles than what is pre-determined. If you do plan on keeping the car for a short period of time, then an extended warranty is hardly necessary. At the end of the day, it’s all about how long you choose to use the car. If you can predict your utilization of the vehicle to transcend the parameters of the original warranty, an extended plan is certainly in order. When buying a used vehicle, be aware that inherent warranties are usually packed with much less coverage. If purchasing a late-model pre-used vehicle, it may still be under original warranty or be part of a “Certified Used” program. These usually extend factory warranted to pre-owned automobiles. If your vehicle is under no (or just insufficient) warranty, the extended warranty is simply the natural choice.
The Reliability of Your Model:
It’s always a good idea to do some research before you buy. Even after you buy, it can be effective in figuring out of the extended warranty plan is a good bet. Look at how reliable the model vehicle you are buying is. While this might not be the one stop answer to determining your future repairs, it does give you a hint of what to expect, so keep it in mind when making important warranty decisions.
Warranty Provider:
Keep in mind that most warranties are only as good those who provide it to you. With an extended auto warranty, it can be backed either by an independent warranty company (or an aftermarket) or alternatively by the manufacturer of the vehicle. You’ll find that just knowing who is underwriting your policy can provide you with insight into the strengths and weaknesses of contracts you are considering. For instance, warranties backed by the manufacturer are generally much easier to use, while aftermarket values are typically cheaper. Always do additional research into the warranty practices and offerings of either the manufacturer or the aftermarket company, as the quality can differ from brand to brand, instance to instance.
Reparation Policies:
There are a few extended auto warranties that require your repairs to be done at the dealership from which it was purchased. This is nothing but restrictive and often becomes inconvenient for you. It’s ideal that you prefer a warrant that allows you some selective freedoms when choosing a repair facility, one that is more convenient for you. For instance, if you’re on vacation or a road trip and you need a repair, is it really practical to drive all the way back to the original dealership just to receive repairs? This can be a deal breaker.
Exact Coverage:
You’ll need to know exactly what is covered, and what is not, by whichever extended warranty you choose.
Does your service contract cover breakdowns and just usual wear and tear, and what are the specifics of a “breakdown warranty?” Also, a few entry level contracts won’t cover ABS brakes, which is an amenity gaining rapid popularity. If your vehicle employs the ABS feature, you’ll need to find an appropriate extended auto warranty. Additionally, overheating is usually not covered by warranties, even if it is proves to be not your fault. If an overheating fiasco is caused by a faulty radiator, you’d have quite an expensive repair bill to pay. Before investing in any warranty contract, make sure to familiarize yourself with its areas of coverage and regulations. While some contract-to-contract instances differ only in subtly, they can make all the difference in certain instances.
Cash for Repairs:
There a few different ways in which warranties can operate. With some, you pay the bill, and then send them a receipt so they can compensate you accordingly. However, as you could expect, the warranty companies relax and take a few months before sending you these hefty sums. For best results, find a warranty that pays the dealership directly via credit card.
In the long run, you just need to compare all options and weigh the odds before making a final decision in regards to warranty. Thankfully, the internet makes this considerably easy, many companies sell these contracts directly online, or at least offer instance quotes. With these features, you’ll be able to obtain a decent idea of what your desired plan will cost you. But at the end of the day it’s just like anything else, you best bet is to be very well informed.