Are you trying to figure out whether it makes sense to purchase an extended car warranty? Before you break the bank, Nancy breaks down 5 questions to ask yourself before making a costly decision.
Transcript:
You made a major decision and bought a vehicle. Yay! You’re posed with another question as the salesman is trying to sell you an extended warranty.
- What do you do?
- What’s an extended warranty?
- Who offers the extended warranty?
- Do you even need the extended warranty?
- Is it worth getting?
- What does it cover?
- Who repairs your vehicle with the extended warranty?
Hi, I’m Nancy at Kneble’s Auto Service Center. There are clearly too many questions to ponder. I get how you must be confused as I was. Well, don’t be confused anymore in regards to your vehicle, as you can check out my other videos, such as what to consider when buying an after-market warranty. To view all our other videos, subscribe, like, and follow us on our newsletter, Facebook, Instagram, and YouTube. Choose your preference of choice for viewing.
Let’s break it down question by question.
What’s an extended warranty?
An extended auto warranty is what the name says. It covers a period of service after the manufacturer’s warranty has ended. For example, the extended warranty may cover the next 60,000 miles or for the next 24 months.
Extended warranties are optional and are available for new vehicles and used vehicles. They have an additional cost beyond the purchase price of the vehicle.
Who offers an extended warranty?
The manufacturer of the vehicle can offer an extended warranty, but also independent companies such as AAA also offer extended warranties. Shop around and do your due diligence before purchasing an extended warranty.
Now, do you need an extended warranty and is it worth getting?
Oh, that’s a loaded question. The answer is to toss a coin. Look into a crystal ball. It’s hard to advise because you can’t predict the future.
If you’re purchasing a new vehicle, I personally wouldn’t buy the extended warranty.
I recommend keeping up with your manufacturer’s recommended service. For the cost of an extended warranty, I feel you wouldn’t get your money’s worth, as vehicles are built much more reliable and dependable.
If you are buying a used vehicle, then you may want to consider it.
But understand the particulars of the extended warranty and the cost.
According to a Consumer Reports survey, more than half of individuals who purchase an extended warranty, well, never use it. And those who do use it end up paying more for it than they reap in savings.
What do extended warranties cover?
Well, it depends on the policy. This is where you need to do your due diligence that comes into play. Remember to check out my video on buying an after-market warranty to help with your decision. Know exactly what is covered, such as:
- Are electrical problems covered?
- Are emissions problems covered?
- Does the policy have a deductible?
- Does a policy pay the auto repair’s labor rate?
Just make sure you read the policy to know what you are responsible for.
We here at Kneble’s Auto would be happy to review any extended warranty you are interested in purchasing and answer any questions you may have.
Who repairs the vehicle with the extended warranty?
Well, we here at Kneble’s Auto Service Center, located at 5473 Somers Point Road in Mays Landing do accept extended warranties from independent companies. W
e are not able to accept manufacturers’ extended warranties, as they require you to go back to the manufacturer for the repairs while you’re under the manufacturer’s extended warranty.
Thank you for watching, and remember, we do weekly videos every Wednesday at 12:30.
Come see us for your next car care need at 5473 Somers Point Road in Mays Landing, or feel free to call us at (609) 625-3286. See you here.
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