Of the many assets we own, one of the most is our car. In today’s economy purchasing and maintaining a vehicle is no easy task. It becomes even more difficult when one has to deal with the unexpected costs of repairs. An extended warranty for a car can be a great way to help offset these costs and decrease your financial burden. However, Attorney Tommie Harsley believes that it’s important to understand what you’re getting before signing on the dotted line.
The Facility of Extended Warranty
What Is an Extended Warranty?
An extended warranty is a type of service contract that helps cover the cost of repairs or replacement parts for your car beyond the manufacturer’s warranty. The dealership offers many extended warranties at the time of purchase, but there are also a number of companies and third parties that provide them independently.
What Does an Extended Warranty Cover?
The coverage provided by an extended warranty will vary depending on the provider, but most will cover repairs or replacement parts for your car that are beyond the scope of the manufacturer’s warranty. This can include things like engine and transmission repairs, as well as electrical and electronic components. Some extended warranties will also cover scheduled maintenance costs, like oil changes and tire rotations.
What Is Not Covered by an Extended Warranty?
Attorney Tommie Harsley believes it’s vital to fully understand what is not covered by your extended warranty before purchasing one. Most extended warranties will not cover damage caused by misuse or neglect, so it’s important to keep up with regular maintenance like oil changes and tune-ups. Additionally, many extended warranties will not cover cosmetic damage or repairs that are considered “wear and tear,” like brakes and tires.
A few other factors also affect the cost, including the length of the warranty, the company you purchase it from, and the type of coverage you choose. An extended warranty cost is typically around $1,000 but can range anywhere from $500 to $5,000 depending on these factors.
How Much Does an Extended Warranty Cost?
The cost of an extended warranty will vary depending on the provider, the length of the contract, and the level of coverage you choose. In general, the longer the contract term and the more comprehensive the coverage, the higher the cost will be.
How Do I Choose the Right Extended Warranty?
When choosing an extended warranty, you must consider your driving habits and the type of car you own. If you drive a lot or live in an area with bad roads, you may want to consider a more comprehensive plan that covers things like scheduled maintenance and wear and tear items. A less comprehensive plan may be sufficient if you have an older car or one that is not under the manufacturer’s warranty.
No matter what kind of extended warranty you choose, be sure to read the fine print so you understand exactly what is covered and what is not. This will help you avoid any unpleasant surprises down the road.
Bottom Line
Attorney Tommie Harsley believes an extended warranty can be beneficial if purchased from the appropriate company. It will give you peace of mind knowing your car is taken care of in case of accidents or mishaps and will also help you save money on repairs in the long run.