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What is an Extended
Warranty/Service Contract?
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A contract purchased to protect a vehicle against the
unexpected costs of breakdowns, for a specific period of time.
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Allows repairs to be made in accordance with the level of
coverage you purchase.
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Ensures your vehicle is always in the best mechanical
condition.
Why purchase an Extended
Warranty/Service Contract?
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Peace of mind
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Allows repairs to be made when you need them
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Most include a Free Rental Car if your car is in the shop
for covered repairs
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Protects you against the rising costs of repairs
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Added resale value- most contracts are transferable upon
sale
What to look for when purchasing
an Extended Warranty
True Bumper-to-Bumper Coverage- if the plan lists the items
that are covered, it is Not a bumper-to-bumper plan. By definition, a
bumper to bumper plan is exclusionary, that is, it will only list the few
components that are not covered. Typically these include cosmetic and
maintenance items.
Wear and Tear Protection- This means that you are covered
for parts that break as well as those that wear out. All covered parts in a
policy should include a "wear and tear" provision. A lot of plans have wear
and tear exclusions, such as struts, piston rings, valves or other
expensive components that wear out and will not be covered. Beware of
"Mechanical Breakdown" plans, they often have wear-and-tear exclusions,
thus offering you less coverage.
Overheating - Look for
a plan that does not exclude damage due to overheating.
Roadside Assistance -
You want a plan that offers a Free nationwide Roadside Assistance plan. You
want to be covered per occurrence. Not an out of pocket reimbursement plan,
that is tied to only covered repairs. A good policy includes:
Emergency Road Service* Towing * Mechanical First Aid *
Emergency Tire Service * Battery Assistance * Gasoline Delivery * Fluid
Delivery * Emergency Lock-out Service * Nationwide Coverage * Toll Free 800
Number * 24 Hours a Day/365 Days a Year
Car Rental - Should
your vehicle have to remain overnight for a covered repair.
Trip Interruption -
Should your vehicle become disabled more than 100 miles away from home and
the repair is covered under your contract, reimbursement for lodging and
meals.
Nationwide Protection -
Repairs can be made at any repair facility in the US or Canada.
Choice of Deductibles -
Most automobile plans offer $0, $50 and $100 deductible options.
Renewals - A plan that
may be renewed for continuous one-year terms for as long as you own your
vehicle.
Transferable - The
ability to transfer your coverage when you sell your vehicle, for a modest
fee, which will increase your vehicle's resale value.
Warranty Direct
Warranty Direct is the nation's leading direct marketer of
extended warranties covering automobiles, recreational vehicles,
motorcycles, boats and more. When you buy from Warranty Direct, you are
buying from the source and eliminating the middlemen and additional
markups. You pay below retail prices and save up to 60% over what others
charge.
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