Extend Your Warranty

There are so many different kinds, types, and levels of extended vehicle warranties, that it can be hard to separate rumor from truth. We've taken a couple of the most popular warranty myths and given you the straight answer so you can make your purchase with greater confidence.

MYTH -You can only buy an extended car warranty from the dealer that sold the car.

FACT - You have many choices in buying an extended car warranty. Yes, dealers are one source; but they're not the only source. Make sure you look for the most complete, reliable coverage at the fairest price, no matter who is selling it. Dealers typically offer the most comprehensive factory coverage and are the easiest to get straight answers from but do not hesitate to ask for the fine print.

MYTH - All extended auto warranties are basically the same; just get the cheapest.

FACT - There are hundreds of different types of extended auto warranties. Some are better than others. The only way to know how much you're getting for your money is to review the actual warranty contract. If a company won't let you see the contract, or includes questionable contract clauses, it doesn't matter what the price is. Walk away.

Some "red flag" contract language:
- At the sole discretion of the Administrator
- Parts may be used or recycled
- Vehicles must be maintained according to severe requirements of manufacturer (this can double your maintenance costs)
- Any covered part that has not failed (you want coverage for parts that fail, too). This includes seepage of seals and gaskets.
- Gradual reduction in operating performance not covered

MYTH - I don't need to buy an extended vehicle warranty until my manufacturer's warranty expires.

FACT - The newer your vehicle, the lower your rates will be. A common misconception is that you are buying double coverage if you purchase extended vehicle warranty coverage before your manufacturer's warranty expires. You are simply locking in the costs and rates now and protecting against increases in the future. You can also enjoy a much lower cost and additional features like roadside assistance until your extended auto warranty coverage goes into effect.

MYTH - A "mechanical breakdown" warranty offers the same coverage as a "wear and tear" warranty.

FACT - The best warranties offer wear and tear. Wear and tear plans provide a higher level of protection. Many extended car warranties define "mechanical breakdowns" as defective parts or workmanship. Wear and tear however, includes parts that wear out over time from normal use. The older your vehicle is, the more important wear and tear coverage becomes.

MYTH - Extended auto warranties mean you never have to worry about a vehicle.

FACT - Whether it's a manufacturer warranty or an extended auto warranty, you're still expected to care for your vehicle and provide proper maintenance like regular oil changes and the like. If you haven't been caring for your vehicle as outlined in the owner's manual your vehicle may end up with a lot of problems that may not be covered by your plan. Be sure not only to do the routine upkeep on your vehicle, but also to keep accurate maintenance records and receipts.