Auto Repair Warranty Coverage
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The Many Different Levels of Extended Warranty Coverage
When you buy an extended auto warranty, just like with any other important purchase, it is important to educate yourself on the product that you are buying before making a decision. Before you decide on an extended warranty, you should take the time to fully explore all the details of the various coverage plans that will be offered to you.
Here are some common questions that you should have answered before you make your decision.
What is an automobile warranty worth?
People buy auto warranties for many reasons. The main one is due to the costs that it could save. The labor rates for a mechanic can go up to $100 per hour in certain locales. Extended car warranties will give you peace of mind, as you will know that you only pay the price of the warranty, no matter how many times your car needs repairs.
Who exactly is behind my
car warranty
?
An extended warranty could be backed by the car’s manufacturer or a third-party company. By knowing who exactly stands behind the warranty, you will have a clearer picture on the reliability of the coverage.
One important thing to consider if you are buying a third-party extended warranty is whether the company that backs it will have sufficient financial resources to pay for all claims. There are many sites on the Internet where you can do research on a company and it’s track record, such as the Better Business Bureau and WebAssured.com. Also, make sure they are a member of the VPA (Vehicle Protection Association).
You need to remember that while there are a lot of websites offering you extended car warranties, very few of them are directly backing the warranties themselves, as many are merely brokers or affiliates of auto warranty companies. It is very important to find out exactly who will be paying the claims should the need arise.
What exactly is covered in the auto warranty?
The levels of coverage that you will get will vary from one provider to the over. You should thoroughly read the details of the coverage that is offered to you and ask any questions that you may have before buying.
Can I transfer the warranty to a new owner?
If you plan to sell your vehicle later on, having an
extended warranty
that is transferable could add some value to the sale price of your car. Some warranties can be transferred, while others may not. Make sure you check this out before purchasing one.
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Auto Repair Warranty
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