Do you have your eye on a new-to-you set of wheels and are trying to decide whether an extended warranty is worth it? Quick advice? Take it!
Buying a car is probably one of the most significant purchases you’ll make in your lifetime, second to only homeownership.
With such a substantial investment at stake, you should seriously consider protecting your purchase with a pre-owned car warranty.
An extended warranty is a service contract between you and an insurer. The contract allows for certain repairs, replacements, and maintenance on your used car at an additional cost.
Reasons to buy an aftermarket auto warranty
Here are 4 reasons why you should buy an aftermarket auto warranty for a used car:
1. Peace of Mind
According to a recent study by car search engine iSeeCars.com, the average length of new car ownership is 8.4 years. Car owners are keeping their prized possessions for longer, driving them consistently for 100k miles and above.
While some drivers might take excellent care of their cars by fixing problems as soon as they occur and performing routine maintenance, not all drivers fit this description. You might inherit problems as a car’s reliability deteriorates over time.
Yes, new cars come with factory warranties from the dealership, but they’re limited by the number of miles or years of ownership.
Once a factory warranty expires, paying for the cost of necessary repairs, replacement parts, and labor might be difficult. This leaves your car unprotected.
An aftermarket auto warranty helps you avoid the pain of lengthy paperwork and negotiating for a fair price with mechanics.
If you like to play it safe or enjoy being protected and backed up, purchasing an extended warranty for your pre-owned car eliminates unnecessary anxiety. Even if you feel you’ll never need to use it, better safe than sorry.
2. Your Extended Warranty Can Pay for Itself After a Major Repair
No matter how well a car is manufactured, it will eventually break down.
Car repairs are expensive. This is especially true if you’re planning to buy a luxury brand like Mercedes Benz or BMW.
Modern cars are a complex web of software and mechanical engineering. Fixing them when broken can easily cost serious money. What used to be an easy-to-diagnose issue now involves tracing steps through multiple systems and following long diagnostic flow charts.
By purchasing an extended auto warranty for a pre-owned car upfront, these costly repair costs don’t have to be paid out of pocket.
While they don’t cover you bumper-to-bumper, the cost of a major repair may be more than you forked out for your entire warranty, meaning you’ll save some serious cash in the long run.
In this economy, who doesn’t want to save money?
3. An Extended Warranty Can Include Perks Not Available in Factory Warranties
Extended warranties usually have extra coverage not found in basic factory warranty plans.
The less-known ways extended car warranties prove their worth include:
- Rental car reimbursement
- Trip interruptions benefits
- 24/7 roadside assistance
- Complimentary towing
- Lodging and meal benefits
- Seal and gasket coverage
- Affordable payment plans.
- Increased Resale Value
If you decide to part with your used car before the expiry of the extended warranty, you can transfer it to the new owner for a small fee.
The comprehensive car protection will give the buyer much-needed peace of mind, leading to increased interest and a greater overall selling price.
4. Unparalleled Flexibility
Unlike factory warranties, extended warranties provide unmatched flexibility.
While manufacturer warranties typically require damaged cars to be taken to a specific dealership, extended warranties allow car owners to take their cars to any authorized repair shop.
A third-party warranty also lets you shop around to find the most affordable coverage options.
Things to Consider Before Buying An Aftermarket Auto Warranty:
Not all extended warranties are created equal, and the things that are covered depend on your policy.
Be sure to go through the contract carefully before you sign anything.
Here are a few things to watch for in your extended warranty:
- Is there a deductible for repairs?
- What repairs are covered and not covered?
- How is the repair bill paid?
- How long does your extended warranty coverage last?
An extended auto warranty on a used car is a good choice if you want to protect your investment and avoid the nasty surprises of expensive repairs.
If you already know you want a pre-owned car warranty, visit this site for a great deal. Happy driving!