What types of repairs are covered by an extended auto warranty?

The primary purpose of an extended warranty is to cover major mechanical repairs. This can include the engine, transmission, electrical system, and more. The more premium extended warranties will also cover the car entertainment system, such as the radio and GPS, and the climate control system. The extended car warranty covers the cost of repairing or replacing parts of your vehicle that break down over time.

A plan is useful if you're not prepared to pay for repairs, especially those that cost hundreds or thousands of dollars. Yes, AAA offers an extended warranty type. 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. Keep all your service records no matter who performs the service.

This includes oil changes, tire rotations, belt replacement, new brake pads, and inspections. Create a file to keep track of repairs; it will be useful if you need to use your warranty. If you ever have a warranty claim and it appears that you haven't maintained your vehicle, the claim may be denied. This type of warranty is normally offered for new vehicles and certified used vehicles (CPO), but the details may vary accordingly.

If someone installs a recycled or after-sale part that is defective or that wasn't properly installed, it could damage another part that's covered by the warranty. Many insurance companies also offer an alternative to extended warranties called mechanical fault insurance (MBI). You might get a phone call offering to sell you an extended car warranty or even asking to be paid to renew an extended warranty on a car that you don't remember buying. Hybrid component warranties and electric vehicle (EV) component warranties cover repairs to the battery, electric motor, and other unique components found in an electric or hybrid car.

It might also be worth extending your warranty if you're concerned about your ability to pay for major mechanical repairs in the future. It's also worth noting that the AAA Vehicle Protection Plan is technically a service plan for vehicles, offering the same coverage as an extended warranty. The industry standard of equating one year of warranty coverage to 12,000 miles of driving is a little out of date. Likewise, you may not need an extended warranty if you already have a reliable mechanic or have insurance that offers similar benefits.

Dealership CPO vehicles usually include warranties, and you can also get coverage from one of the best used car warranty companies.

Car warranties

do not cover damage caused by accidents, theft, weather conditions, or similar factors that have nothing to do with the quality of the car. It's probably a smart decision to wait until the manufacturer's warranty is about to expire to assess your situation and determine if you want to pay for an extended warranty. That's why many car owners choose to purchase extended powertrain warranties, even though they are the lowest level of coverage.

The specific details may vary depending on the CarShield plan that drivers purchase, but this list provides a good example of CarShield coverage.