Everything You Need To Know About Car Warranties


Whether you’re buying a new, or new-to-you, vehicle, the car warranty options can be extremely confusing for many people. You’ll automatically get your car covered to a certain extent, but then you get to choose whether you want an extended warranty or not. You’ll have the option to choose between different types of extended warranties, and when it comes down to it, everything can be a bit chaotic, especially if you’re making these decisions on the spur of the moment while you’re trying to make your purchase. A bit of education here can go a long way toward ensuring you make a great decision.


Manufacturer Warranties

When you initially purchase a brand new vehicle, you’ll have a manufacturer’s warranty. This warranty comes straight from the manufacturer of the vehicle and is usually good only for a specific amount of time or mileage. Although every manufacturer has their own warranties, it’s common to have a warranty for a new vehicle that covers the first 3 years or covers until the car reaches 60,000 miles. This usually covers what’s considered non-consumable parts (this means things like the brakes and the clutch) as well as pretty much everything on the vehicle, so you shouldn’t have to worry about paying any repair bills until this warranty ends.

Dealer Warranties 

If you purchase a used vehicle, your dealer will likely give you a dealer warranty. Dealer warranties are just what you expect: warranties offered by the dealer of your vehicle to help cover any unexpected surprises that may pop up. The warranty offered by your dealer could be almost anything, as every dealer has a different amount of coverage they’ll offer for a used vehicle.

Extended Warranties

During the purchasing process, no matter whether you’re buying a brand new car or a used vehicle, you’ll be offered an extended warranty. Unlike a manufacturer’s warranty or a dealer’s warranty, an extended warranty costs an extra amount of money. You may be required to pay this extra amount up front or it may be rolled into your monthly payments, it all depends on how your dealership does things. The extended warranty can be fairly pricey, leaving many to wonder if it is a good option to get it.

Should I Get an Extended Warranty?

This answer to this question really depends on the type of vehicle you purchase. How old is it? How many miles does it have on it? A vehicle with higher miles is more likely to have something break on it, and some vehicles tend to be more prone to needing repair than others. Make sure you do your research on any vehicle you’re thinking about buying so that you can know, before you go into the dealer’s office, if the vehicle that you’re going to purchase has anything specific that goes wrong with it regularly. There are often exclusions to any extended warranty; things like tires or brakes or clutches tend not to be covered. The more comprehensive your coverage is, the more you’re going to be likely to pay. If you can afford an extended warranty, and you plan on keeping your vehicle for a number of years, it might be a good idea to think about investing in one.

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