Extended warranty plans generally cover your vehicle for 2 to 7 years. If you're hoping to keep your car for several years, a longer-term plan might make sense for you. Even if you sell your car before the warranty runs out, your extended protection plan may be transferable. A good time to consider the value of an extended warranty is when your vehicle's manufacturer's warranty has expired or will expire soon.
This usually happens after three years or 36,000 miles, depending on which one occurs first. If you plan to keep your car beyond the manufacturer's warranty expiration, buying an extended warranty can give you peace of mind in the future. Do I need to buy an extended warranty? Extended warranty providers often offer multiple levels of coverage including benefits such as towing services, rental vehicle coverage, and travel insurance. The best way to find the right extended warranty is to think about your needs and research options ahead of time.
However, after the initial car warranty has expired, it is possible to purchase additional coverage in the form of an extended car warranty. We'll also discuss the benefits of extending your coverage, one of the best extended auto warranty plans in the industry. Mechanical breakdown insurance (MBI), also known as auto repair insurance, is a type of vehicle protection insurance policy that actually comes closer to the coverage of an extended warranty than normal car insurance. Other common factory coverages include corrosion warranties, emissions and safety restraint systems (SRS).
It can be tempting to buy an extended car warranty when your vehicle actually has to do some repair work. Drivers can purchase an extended warranty from an external company, such as Carchex or Endurance, or directly from their vehicle manufacturer. It's not uncommon for extended factory warranties to require you to follow a specific maintenance schedule to maintain your coverage. Car manufacturers and car dealers promote the importance of warranties all the time without explaining what they are.
Coverage typically includes parts and labor costs, and many extended warranties come with additional benefits such as roadside assistance, rental vehicle reimbursement, and trip interruption reimbursement, regardless of which provider you choose. In general, extended warranties are intended to prevent drivers from paying out of pocket for sudden repairs, since mechanical problems are not covered by other types of auto insurance. Most people look for an extended warranty when buying a used vehicle that has an expired manufacturer's warranty. If you're ready to get the best extended warranty for cars over 100,000 miles, don't sign anything yet.
With so much information that is contradictory or misleading, it's easy to buy an extended warranty that doesn't actually give you the coverage you want or need.