FinancingWarrantiesInspecting CarInsuranceMaintenance

Warranties: Explaining Warranties

Let’s demystify the world of warranties and ensure you have the protection you need.

Extended vs. Original Warranties:

  • Original Warranty: Provided by the manufacturer and covers specific components for a set period or mileage.
  • Extended Warranty: Offered by third-party companies and extends coverage beyond the original warranty.

Which one is right for you?

Consider the following factors:

  • Age and mileage of the car: Older vehicles with higher mileage may benefit from an extended warranty for added peace of mind.
  • Reliability of the car: Research the car’s reliability history to gauge the likelihood of potential repairs.
  • Budget: Extended warranties can be expensive, so weigh the cost against the potential benefits.

What’s Covered and What’s Not:

Warranty jargon can be confusing. Here’s a breakdown:

  • Powertrain warranty: Covers major components like engine, transmission, and drivetrain.
  • Bumper-to-bumper warranty: Provides more comprehensive coverage, including electrical components and accessories.
  • Exclusion clause: Excludes specific components or repairs, such as wear-and-tear items.

Always read the fine print:

  • Understand covered components: Verify what is and isn’t covered to avoid unexpected repair costs.
  • Review deductibles and exclusions: Know the amount you’ll pay for covered repairs and what’s not included.
  • Ask questions: Don’t hesitate to clarify any confusing terms or conditions with the warranty provider.

Negotiating Warranties:

Extended warranties are often negotiable. Here are some tips:

  • Compare multiple quotes: Get offers from different companies to find the best coverage and price.
  • Highlight the car’s condition: Emphasize the car’s good condition and low mileage for potential discounts.
  • Ask about bundled services: Some companies offer packages that include roadside assistance and rental car coverage.
  • Negotiate the price: Don’t be afraid to bargain and explore different payment options.


  • An extended warranty is an optional investment. Consider your needs and budget before committing.
  • Choose a reputable warranty provider with a good track record of customer service.
  • Keep all warranty documents readily available for easy reference.

By understanding warranties and negotiating effectively, you can maximize value and enjoy peace of mind on the road.