Basic and Extended Warranties

Almost everyone who purchases an automobile also purchases in auto warranty. However, have you ever really thought about what was actually included in your car warranty when it comes to making repairs? You may be surprised to find out that your vehicle warranty typically varies between a basic warranty and an extended warranty. The type of warranty that you purchase has a great deal to do with the types of repairs that are covered, as well as those that are not. It also has a dramatic impact on the amount of time that you have to ensure that repairs that are covered in the warranty will still be effective if a problem occurs with your automobile, as these warranties essentially expire after a certain number of miles or a certain period of time has gone by.

Basic Warranties

Most new cars and even some cars that are pre owned come with basic warranties. As the name implies, these types of warranties typically cover only the most basic of needs. Usually, they cover major components that are associated with the drivetrain, such as the engine and transmission. Other things, however, such as the water pump or sensors that affects how the engine operates, as well as power windows or the stereo system are typically not covered in these types of warranties. This can make a big difference in the amount of money that you spend for maintenance, especially if you are driving a relatively new car.

Extended Warranties

On the other hand, you may be given the option to purchase an extended warranty from an extended auto warranty company. This not only extends the amount of time that the warranty for your particular vehicle is in force, but it also gives you additional options when it comes to the particular items that are covered in the warranty itself. For example, a good extended warranty can cover the cost of repairs or replacement of the stereo, as well as speakers and wiring. The same holds true for the air conditioner, the heater and any power windows or power seats that are included in the vehicle. Other items that are under the hood but are not included in the powertrain warranty, such as the water pump, are typically included in extended warranties. However, items that are considered regular maintenance items are not included in either the basic or the extended warranties. This would include replacing car fan belts as well as brakes and tires.

The most important thing to remember when you are considering which type of warranty to purchase is the cost effectiveness of purchasing an extended warranty versus purchasing only a basic warranty. More often than not, the cost of the warranty is actually factored into the cost of the automobile and becomes part of your monthly payment. Therefore, you will pay more each month when you purchase an extended warranty but it can save you thousands of dollars if you have mechanical issues. It is also important to remember that these types of warranties typically last for a period of at least five years and no less than 100,000 miles on most automobiles, giving you peace of mind for several years after you purchase the car. A good place to start is looking at auto warranty reviews. Finding applicable car warranty reviews will give you an opportunity to determine how well a warranty has worked for other people that have found themselves in a similar situation. Ultimately, you have to decide if it is worth spending the extra money every month or if you want to risk it and hope that you do not have any costly repairs for at least several months after you purchase a car.