New cars come with a warranty that protects your investment for its first year of use. But what happens after that? If your car breaks down, what do you do? Do you take it to the dealer or do you risk getting a less-than-stellar outcome? There are several different types of extended car warranty coverage available to help you protect your investment and make sure that you’re taken care of in the event of a breakdown. However, it isn’t necessary to purchase an extended service plan. Most used vehicles don’t come with a warranty, so if your car has been previously owned it might not come with any coverage. If you’re unsure about whether extended car warranty coverage is right for you, read on for more information on how these plans work, and whether they’re worth the money.
What is an extended car warranty?
An extended car warranty is a type of contract that covers repairs to your vehicle, including parts and labor, in the event of a breakdown. Most extended car warranties are for a set period of time, like 36 months, and your car must be insured to be eligible. The coverage period and amount of coverage vary by company and plan.What separates an extended car warranty from a standard warranty is that extended warranties cover more than just your car’s mechanical issues. Extended warranties can cover more than just your engine and transmission. They can also cover the cost of towing to the repair shop, car rental fees (if applicable), and even towing your car back home if you live in a remote area or have a faulty tire.
Which type of extended car warranty is right for you?
The type of extended car warranty that’s right for you will depend on your situation and needs. Each type of extended car warranty has its own advantages and disadvantages, so you’ll want to think about your situation to figure out which one is best for you. Here are a few things to consider when comparing extended car warranties:The main difference between an extended car warranty and a standard warranty is the length of time you’re covered. Most extended car warranties are between 36 and 60 months long, while standard warranties are usually 12 to 60 months long. Extended car warranties usually come with a higher monthly payment than standard warranties, but the coverage period is longer.
How much does an extended car warranty cost?
The cost of an extended car warranty varies by company and plan. The average cost of an extended car warranty is $500 to $2000 per year, depending on the type of coverage and features that are included. Your car’s make and model will also affect the cost of an extended car warranty. Some types of vehicles are more prone to breakdowns than others, so this could also affect the cost.How much you pay for an extended car warranty will depend on how much coverage you want and how much risk you’re willing to take. If your car has been previously owned, it might not come with any coverage. If you’re not sure about the coverage you’re getting, you can always get a written estimate of the coverage and repairs that are included.
Cash Advance Protection
If your vehicle is less than 10 years old, it might already be under a manufacturer’s warranty. However, even if your car is under warranty, you should still get an extended car warranty. Having an extended car warranty is a good idea, but don’t spend the entire amount on the warranty. You should also get an extended car warranty with cash advance protection.Cash advance protection is an optional feature that gives you an extra source of funding if your car breaks down. The idea behind this feature is that many people won’t have the funds to take their car to the repair shop if it breaks down and needs to be fixed. Having cash advance protection will help you get the repairs you need without having to sell your car or take out a loan.
Roadside Assistance and Towing
If you live in a rural area and have a car that’s difficult to get to, an extended car warranty with roadside assistance and towing coverage might be right for you. Roadside assistance can come in handy if something happens to your car, like a flat tire or a mechanical issue, and you don’t have the resources to take it to the repair shop. Towing coverage covers the cost of towing your car to the repair shop if it breaks down.Towing coverage is recommended if your car is older than 10 years old. You should also get roadside assistance coverage if your car is older than 10 years old.
Protection Against Natural Disasters
A car that’s covered by an extended car warranty will be covered if a natural disaster occurs that causes a breakdown. Natural disaster coverage is available on most extended car warranties and can cover a wide range of natural disasters, like floods and hurricanes. Natural disaster coverage is usually optional and will affect the cost of the extended car warranty.If a natural disaster occurs, your car’s manufacturer will cover the cost of repairs. However, if you have an extended car warranty that includes protection against natural disasters, the manufacturer will repair the car and then pay you what’s left out of your extended car warranty.
The cost of an extended car warranty is relatively low, at around $500 to $2000 per year. You can cover a wide range of repairs with an extended car warranty, including repairs for your engine and transmission, as well as repairs for your brakes, wheels, and tires. Make sure to compare several quotes to get the best deal on your extended car warranty.If you’re not sure about whether an extended car warranty is right for you, compare different companies and features. There are several different types of extended car warranties available. You can even purchase an extended car warranty with cash advance protection. The extended car warranty you choose will depend on your needs and budget.