Automobiles Tips for The Average Joe

Two Types of Extended Car Warranties

An extended warranty is essentially an insurance policy on your car that provides protection against costly unexpected repairs within a particular span of time and mileage. True warranties are automatically included in a vehicle purchase, while extended auto warranties are a separate product.

Two Types

When you talk about extended warranties, there are two key types: 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 company that provides third-party service warranty is Cars Protection Plus.

OEM Warranties

Powertrain and bumper to bumper are two kinds of OEM-provided warranties. A powertrain warranty covers engine and transmission issues that are related to workmanship, while a bumper to bumper warranty is intended for most other potential problems with the vehicle, including those involving the vehicle’s electronic systems (power seats, navigation.).

An extended OEM warranty often offers benefits that come with a new vehicle purchase, with added services such as roadside assistance. Research what such other services will be for various providers in your location. For example, in Murrysville, Pennsylvania, Cars Protection Plus is one of the best choices you have.

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 most other types of insurance, a higher deductible lowers the total cost of the policy. The good news is that OEM warranty deductibles are typically minimal – below $200.

Third-Party Warranties

A lot of third-party or aftermarket warranties, including those provided by Cars Protection Plus, provide similar coverage as those offered by OEMs. But of course, these two are still independent products, and third-party warranties can still vary, depending on the specific company. Policies and deductibles, for one, are usually different as well.

Original equipment manufacturer and third-party warranties may also differ in the way they administer coverage. With a third-party warranty, for example, you may have to pay for a repair out-of-pocket and then file for reimbursement after. The process may take some time, but if you choose a good provider like Cars Protection Plus, this will hardly be an issue. In any case, it’s crucial that yo know your costs right from the start.

What might be the biggest advantage of third-party warranties is that they are substantially cheaper compared to OEM warranties. Sometimes, you will even have no other option but a third-party warranty. 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 of all, pick a good provider like Cars Protection Plus.