What does the extended car warranty cover?

An extended warranty is actually an insurance policy for your vehicle, a protection against costly and unforeseen repairs. Covers repairs for an agreed period of time and miles. However, real guarantees are included in the price of the product. The extended warranty takes effect after the manufacturer's comprehensive warranty has expired.

While the manufacturer's warranty is included in the purchase price, the extended warranty is sold separately. An extended car warranty works to help protect drivers after the factory warranty ends. However, according to the definition of the Vehicle Protection Association, an extended car warranty should be referred to as a vehicle service contract or vehicle protection plan. Extended car warranties cover repairs and replacements for breakdowns that come from normal use.

Depending on your plan, you can cover the powertrain, electrical system, air conditioning, and other systems. Whether you buy the extended warranty from the manufacturer or from a third-party vendor, you may be able to choose from several coverage plans. CARCHEX markets and sells extended warranties on behalf of third-party extended warranty providers, and your extended warranty will be between you and the supplier. The AAA Extended Warranty program is called the AAA Vehicle Protection Plan and covers the cost of repairs to the engine, transmission, suspension, steering, and brakes, among other things.

If you decide to buy an extended warranty, be sure to do your homework, watch out for auto warranty scams, and work with a reputable company. Similarly, you may not need an extended warranty if you already have a trusted mechanic or have insurance that offers similar benefits. Extended car warranties are worthwhile if a driver doesn't have enough savings to pay for vehicle system repairs or if they're concerned about the reliability of your car. The supplier is also known for its high reliability ratings, making it the best choice for factory warranties.

On average, vehicle owners who used the extended warranty spent more on warranty than they saved on repair costs. Warranty length varies by manufacturer, but many offer three-year or 36,000-mile warranties, whichever comes first. If your car isn't very reliable and you're not in a financial position to risk paying for repairs or replacing the car yourself, it might be worth paying a higher upfront cost for protection through an extended warranty. Specific contract terms, fees, taxes, charges and other charges are determined upon validation of vehicle information and supplier acceptance of the extended warranty, and Infinite Auto Protection is not responsible.

Many drivers choose to purchase an extended vehicle protection plan to get more affordable and customizable coverage from a trusted third-party provider such as CARCHEX. It's a good idea to review what an extended warranty covers before committing to that additional cost. For more information, see WalletHub's guides on mechanical breakdown insurance and extended warranties. Purchasing an extended warranty may provide coverage against breakdowns that you wouldn't have without the warranty.

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