An auto warranty aims at protecting you from unexpected bills for repair in case of an electrical failure or a mechanical breakdown. Some warranties also cover tear and wear.
The car warranty type is mostly defined by the age of the car (whether it is new or old). Sometimes the auto insurance is included when buying a vehicle.
Extended Auto Warranty
After the new car warranty is expired (check how to renew car insurance policy), you can either pay for repairs out of your pocket or buy an extended warranty. It is possible to get an extended warranty either from aftermarket warranty companies or vehicle manufacturers. Extended auto warranty operates similarly to the insurance policy: you pay for coverage and hope that nothing bad occurs but are prepared if something happens.
Every auto extended warranty has a list of exclusions defined by the policy you select. Generally, widespread problems that aren’t covered by the insurance are:
- hose leaks;
- belt problems;
- tire wear of replacement;
- regular maintenance problems (like changing oil);
- wearable brake parts.
In case any of the conditions from this list happens, you will have sole responsibility for the repair costs.
Endurance Auto Warranty
If the warranty of your auto manufacturer has expired, Endurance auto warranty can protect you from paying thousands of dollars for auto repairs. It proposes a vehicle protection plan that will make a direct payment to the mechanic for car parts and labor.
Unlike other auto warranty companies, Endurance is the direct obligation of the most plans offered. It means they do not need a middleman and the company can follow your every step – from quote to claim. Endurance proposes the best customer service in the industry.
You will get protection from an accident or theft. Yet, the mechanical breakdowns are not covered. If you add an insurance plan (learn how to save on car insurance), you will be protected against the breakdowns as well. Insurance plus Endurance will provide you with total protection.
How to Define Your Best Auto Warranty Option?
To choose the best auto warranty, you have to follow these points:
Define the coverage type you need
- Decide between an aftermarket company and the manufacturer: manufacturers always want your car to be repaired in their franchised dealers. The problem appears if you don’t have any dealers nearby. Aftermarket companies allow you to choose the mechanic solely.
- Decide between limited and comprehensive coverage.
Define the length of the coverage terms
- Think about how often you replace your car: if you change your vehicle often, there is no sense to purchase the warranty for the long term.
- Consider your budget: the longer the term is, the higher the cost will be.
Define the mileage limit of your car extended warranty
- Identify your typical driving habits: if you don’t drive daily, don’t choose a high mileage limit.
- Reconsider your budget: the best auto warranty companies propose coverage up to 150,000 miles, but the cost goes up.
- Reconsider how often you replace a car: if you are used to driving your car until a high mileage, it will be more beneficial for you to choose the extended warranty.
Select a deductible for your coverage plan
- Examine the deductible options: they often coincide with your mileage lengths and term.
- Think about how often you’re going to make a claim: no matter how hard you try to avoid problems with your vehicle, you will probably need an extended warranty once or twice. The more often you make claims, the bigger sums you’ll spend on the deductible.
- Consider your car’s level of options: in case your car has advanced technology, like a DVD player or navigation, or power options like heated seats, air conditioning system or multi-zone heating, select a low deductible value, while the chances on making repairs skyrocket.
If you don’t plan to keep your vehicle beyond the new warranty, it may not be necessary to invest in an extended auto warranty. If you don’t know whether you want to keep the vehicle for a longer period and want to get coverage, the best-extended auto warranty for you will be the one with an option to refund the unused part of your purchase price or transfer it to the new owner.