Two Types of Extended Vehicle Warranties
An extended warranty is actually a type of car insurance that provides safeguards against costly and unforeseen repairs for a certain period of time and mileage. True warranties are automatically included in a vehicle purchase, while extended auto warranties are a separate product.
These days, you will find two primary types of extended warranties: original equipment manufacturer (OEM) and aftermarket. Toyota and Chevrolet are two examples of OEMs. Warranty or insurance providers having no direct connections with a car brand are considered third parties. One example of a third-party service warranty provider that is fast growing in popularity is Cars Protection Plus.
There are two kinds of warranties provided by OEMs, namely, powertrain and bumper to bumper. A powertrain warranty is meant to cover engine and transmission issues that directly stem from poor workmanship; a bumper to bumper warranty, on the other hand, covers most other problems that may crop up, including those that affect the car’s electronic systems (navigation, onboard computers, etc.).
An extended OEM warranty often offers benefits that come with a new vehicle purchase, with added services such as roadside assistance. It pays do your research on what these other services will be for different providers in your area. One of your best options – if not your best – in Murrysville, Pennsylvania is Cars Protection Plus.
Cars Protection Plus
As you choose the best warranty for you, you may have to select between a package that comes with or without a deductible. Like any other type of insurance out there, a bigger deductible will automatically reduce the policy’s total price. The good news is that OEM warranty deductibles are typically minimal – below $200.
In most cases, third-party or aftermarket warranty providers like Cars Protection Plus offer practically the same coverage that OEMs offer. But of course, these are still two different products, and even the actual coverage offered by third parties can be unique. They can also differ in terms of deductibles and general policies.
Another difference between OEM and third-party warranties concerns the administration of coverage. For example, with a third-party warranty, you may have to pay out-of-pocket for a repair and then file for reimbursement later on. The process won’t be always be quick, but if you choose a reputable provider such as Cars Protection Plus, this will rarely be a problem. In any case, always know the payment expectations up front.
What you may find most advantageous with third-party warranties compared to OEM warranties is that they are incredibly cheaper. Sometimes, a third-party warranty may even be your only option. So if you purchase a used Ford at a Hyundai dealership, for instance, you sure won’t be given a Ford OEM warranty.
If you’re thinking of buying an extended warranty, be sure to read the fine print to the letter. Most importantly, buy from a reputable provider, such as Cars Protection Plus.