Just What IS an Auto Warranty?

A vehicle warranty is a policy that covers your vehicle against mechanical failures. You may also see an extended car warranty referred to as a Vehicle Service Agreement, or an Extended Service Agreement. All auto warranties are not the same, so it’s imperative that you do a bit of research before visiting the dealership. This will let you be sure that you’re getting the best deal on the car warranties you buy. It will also give you a good idea of the options that are available.
Warranties are normally good for a set period of time, 4 years for example. Any repairs that are needed because of mechanical failure and not negligence during that time can be covered. Some warranties may have a deductible, meaning you pay a portion out of pocket and then the remainder is covered. There are many auto warranties that offer a zero deductible, which means you pay nothing out of pocket. Some auto warranties require that you take the vehicle back to the dealership you purchased it from, while others will let you take it to certain repair shops. There are even some set up that allow you to take the vehicle practically anywhere from repairs. As long as that repair shop will work with your warranty company, you can bring it to their shop.
Keep in mind that an auto warranty is very different from most other types of warranties. Many warranties do not cover every little thing that may happen to the car if you don’t have the proper maintenance performed on the vehicle. If you purchase a used car, a warranty will not allow you to have the car completely reconditioned. It is in place to help you out with any mechanical problems that may come up. Read the contract thoroughly, and be sure to follow any requirements for maintenance or general car care. Not only is it a good idea so that the warranty isn’t voided, but it will help to keep the problems you encounter down to a minimum.
If you decide to purchase an auto warranty and then decide that it’s not for you, you may be able to get a refund. Most policies offer a full refund if you decide to cancel within 30 days. This can provide you with peace of mind, knowing that if you find a warranty that you like more than the one you’ve currently got, you can cancel one and switch to the other as long as it’d done within a month after signing up. Don’t cancel completely without replacing it, the consequences could end up being rather costly.