Should You Get an Extended Vehicle Warranty?

So you’ve finally been able to purchase the car of your dreams. It doesn’t really matter to you that it’s a little used – after all, pre-owned cars don’t depreciate in value once they’re driven off the lot like brand-new vehicles do. Your car might also be a super reliable model, so you have peace of mind that you’ll enjoy a trustworthy ride for hopefully years to come. Now the real question is, should you purchase an extended vehicle warranty, such as the type offered by Autopom? Isn’t the manufacturer warranty enough?

Whether your car has 10,000 miles on it or 100,000, an extended warranty is something everyone should consider during purchase. This is especially true if your car’s factory warranty is due to expire soon. What if there are repair issues hiding in the engine that the last mechanic failed to notice, or issues that are just starting to pop up? Here are some of the reasons you might want to give an extended vehicle warranty a second look.

When Something Can Go Wrong...

Murphy’s Law dictates that a disaster will happen anytime something can go wrong, when you least expect it or are the least prepared. This is never more true than with vehicle ownership. Just as you make the last car payment and you’re free and clear, or the very day after the manufacturer warranty is up, your engine starts to develop this interesting knocking noise. The transmission might go out, a CV joint might break or a number of any other symptoms or repair issues might pop up. That extended warranty can make the difference between a sleepless night worrying about how you’ll be able to come up with the cash to repair your car, or laughing all the way to the mechanic’s.

Protecting Your Investment

What exactly is an extended warranty? First, you’ll need to understand what your vehicle’s manufacturer warranty is. This is the warranty that automatically comes with the purchase of a new car and is valid for a certain amount of time or mileage, whichever comes first. For example, an average warranty for a mid-size passenger vehicle might be four years or 50,000 miles. The warranty remains in effect for this period no matter how many times the car has changed hands. Once it’s expired, you’re on your own – unless you’ve negotiated an extended vehicle warranty with your dealer or a third party company. This warranty covers a certain number of repairs and maintenance issues, which may vary and would be outlined in your agreement contract.

So is an extended vehicle warranty a good idea? This would depend on how much time is left on the original warranty, how long you plan to own the car and your ability to pay out-of-pocket costs if an issue arises. You might also factor in the age of the vehicle and the type of condition it’s in at the time of purchase. It can help to remember that an extended warranty can cover several common repair issues at a time when you might otherwise be left high and dry.