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When Should You Buy Additional Warranty Coverage?


Whether your car is brand new and just rolling off the lot, or pre-owned, you've probably been offered an extended warranty on it, or have heard about the benefits of extended warranties, and wonder if you really need one. The fact is that if you have a brand spanking new car, it already comes with a warranty. But, unless you plan to trade that car in, or sell it to someone else before the warranty runs out, you may very well want to have an extended warranty on it. If you're buying a pre-owned car, or if the car warranty is ready to run out on your car, you will also want to give strong consideration to purchasing an extended warranty. Even if you have a car that you’re planning to sell outright, if it has an extended auto warranty on it, that's added value and a great selling point you can use. What exactly is an extended car warranty? Basically, it's a warranty that starts when the warranty that came with the new car ends. In the case of used cars, some used car dealers offer a warranty that will last anywhere from one month to a year or more. An extended warranty can pick up where that warranty leaves off. For anyone who is planning to drive a car beyond the extent of the warranty it came with when it was bought, an extended warranty can be a lifesaver. Consider this: An extended warranty may cost you anywhere from a couple of hundred to several hundred dollars. Sounds like a lot of money, right? But after your car hits a certain mileage mark, say anywhere from 80,000 miles and up, maybe even earlier, the things that can go wrong could cost anywhere from several hundred to thousands of dollars to repair. In this case, an extended warranty would pay for itself immediately. An extended auto warranty can be very valuable. One thing to keep in mind about extended car warranties is that they aren't all the same. You want to do your research and get one that is going to really benefit you when you need it. Some warranties cover some repairs, but not other types of repairs. Some are very comprehensive and cover just about everything under the sun. Depending on the type of car you're buying the warranty for, you'll be able to choose one that makes sense for you. Some models of car are notorious for having transmissions that go bad, and some typically have engine problems after a while. Buy an extended warranty that covers what you need it to cover. Should you buy and extended car warranty? The answer depends on your needs, but for many, extended car warranties are worth every penny. If you're planning to keep your car after the original warranty runs out, it's a great idea to get an extended warranty, and often you'll find that the warranty pays for itself with just one needed repair.

 


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