Yes, you can always purchase an extended warranty after the manufacturer's warranty ends. However, most modern car manufacturers have a clause requiring car owners to enroll in an extended warranty program before the manufacturer's warranty program ends. Most extended dealer warranties usually allow you to include the cost of coverage in the price of the vehicle. While this may seem smart in theory, it will increase the total cost of the vehicle, causing you to pay interest on the policy and therefore increasing your monthly payment and the total cost of the vehicle.
You don't need or should buy an extended warranty when you buy the car from a dealer. Instead, you can look for third-party warranty providers to find more cost-effective coverage that better protects your car. It's usually best not to buy an extended warranty when buying a car, since you won't be using it for several years. Wait until the manufacturer's warranty is about to expire or the deadline for buying coverage approaches. Buying the warranty when buying the car is easier, of course; you can include the cost in your monthly payment.
And most warranties are transferable if you choose to sell them. According to the AAA, the best time to buy protection for newer vehicles is while they're still covered by the original factory warranty. This helps keep costs down and you can get a greater choice of longer terms of coverage. They are typically included in certified used cars sold at dealerships, along with a thorough inspection. If you plan to keep your car until its wheels fall off, you might consider buying an extended warranty to cover repairs in the fifth and sixth year or more.
Extended warranties can reduce financial stress, especially for those who own unreliable brand models. The length of the warranty varies by manufacturer, but many offer full warranties of three years or 36,000 miles, whichever comes first. Powertrain warranties cover the parts that set the vehicle in motion, including the engine, transmission, driveshaft, axles, and differential. If you want to buy an extended warranty, make sure you buy one from a company with a long history, such as through a car manufacturer, and that you understand the small print. On the other hand, if you plan to maintain your vehicle beyond the original factory warranty period or, as some like to say, “until the wheels fall off”, then having an extended warranty makes a lot of sense. If you're a driver who likes to have a new car every few years and sell or change the old model while it's still under factory warranty, an extended warranty may not make little or no sense to you. But while an extended car warranty can help you save a lot of money, how can you find the right one? As a wise friend of mine who knew the automotive industry well enough used to say: “I am willing to roll the dice.
If something goes wrong with the car's powertrain, the parts that move it along the road are covered. The cost of extended warranties varies depending on coverage, the length of the warranty, the expected reliability of the vehicle, and other factors. Used car warranties from outside companies are one way to get coverage if your vehicle's original factory warranty has expired. The national car club offers a vehicle service contract that combines warranty protections with additional services, such as battery replacement, trip reimbursement and car rental coverage. The AAA Extended Warranty Program is called the AAA Vehicle Protection Plan and covers the cost of engine, transmission, suspension, steering, and brake repairs, among other things.
Extended warranty coverage can vary greatly, so be sure to carefully review all details of any specific policy before making a purchase.