How to Compare Car Warranty Coverage

Your car's warranty should save you money. Knowing the types of warranties and comparing the coverage available can offer peace of mind. Though comparison-shopping may seem like a simple matter, there are many things to consider if you want to do it right.

Instructions

Ask Questions Before You Buy a Car

1

Research your warranty options early. You should begin your warranty comparison when determining which car to buy.

2

Ask the dealer for a detailed breakdown of what each warranty covers and for how long.

3

Ask whether the car warranty covers wear and tear or just broken parts. This is particularly important for extended warranties.

4

Ask whether the warranty is transferable. A warranty that is transferable might get you some extra cash should you decide to sell your car.

5

Ask about and compare perks like roadside assistance and car rental service.

6

Ask about any deductibles you will have to pay if your car needs service.

7

Research each car's reliability. If you know a make or model that has a history of electrical problems, make sure the warranty will cover them before making a final decision on which car to buy.

Compare Options and Buy an Extended Warranty

8

Determine whether you will need an extended warranty. Keep in mind how long you plan to keep the car. Many shoppers are wooed by long warranties, but few people keep their cars long enough to need them.

9

Don't feel pressured at the dealership if you're not ready to purchase an extended warranty. You can always buy the manufacturer's extended warranty later, although some dealers will tell you that you cannot do so, as they are anxious to boost their profits.

10

Buy an extended warranty as soon as you are sure you want one. The older your car is, the more expensive an extended warranty will be.

11

Take your car in for regular service. No matter how good your coverage is, warranties won't cover damage if you fail to maintain your car properly. Pay attention to the manufacturer's guidelines that are listed in your owner's manual and seek help from a professional mechanic.