How Can an Auto Warranty Help Me Save?

An auto warranty can mean several things depending on who is offering the agreement. Common auto deals can include a standard manufacturer warranty, a car care warranty, a service agreement and a maintenance contract.

A warranty is a contract that promises something, such as a repair or replacement, in case something happens, like your car breaking down. It is a type of guarantee. So, should the product not work as promised, the guarantee will fix or replace it.

What Is a Manufacturer’s Warranty?
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With a big expense like a car, a warranty may save you thousands of dollars, and of course, lots of frustration, if something were to happen to your vehicle. Vehicle manufacturers offer guarantees on new cars that will repair or replace the majority of parts for a few years. Since the vehicles are fresh from the factory, dealers may refer to manufacturer warranties as factory warranties. 

Manufacturers only guarantee the quality of their vehicle and will cover factory errors to the vehicle’s parts and system. It will not replace or repair damage from an accident or from wear and tear.

It will also not cover the following:

·      Standard car maintenance, like oil changes and replacing brake pads

·      Damage from outside factors, such as an accident and weather damage

·      Damage from improper care, like not getting regular maintenance 

Depending on the make and model, factory warranties typically last no longer than five years. Or, until the car reaches 60,000 miles. However, most are up to three years, or 36,000 miles. 

Once your factory warranty expires, you can choose to get an extended warranty. The manufacturer may have rules for extended contracts, such as being able to purchase one while still under the original factory warranty. It can be difficult to get an extension from the manufacturer if there is a lapse in coverage.

However, you can purchase an extended warranty from reputable extended car warranty companies if your warranty already expired or the manufacturer does not offer one. If your factory warranty is still valid, you may be able to save money on your extended warranty.

An extended warranty can cover repairs and replacements like a factory warranty. If you are purchasing one from an entity other than the manufacturer, you should keep some things in mind.

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By Admin