How Much Does a Car Extended Warranty Cost?
A car extended warranty is an additional warranty purchased by car owners to further provide coverage to the vehicle. A car extended warranty provides the same type of coverage as the original warranty the car came provides. This includes coverage for repairs from accidents and regular maintenance for a specified period of time. The price of car extended warranty depends on the make and model of the car, the mileage of the car, and the specific terms of the warranty.
How Much Is It?
- On average, an extended warranty can cost anywhere from $35 to as much as $110 per month.
- For example, WarrantyDirect.com offers 3 types of extended warranty that have varying coverage. Their standard MBI plan, which includes coverage for hundreds of specific components such as engine parts, transmissions, drive axles, and others, can cost anywhere from $44 to $80 per month.
- Another type of extended warranty is an Elite+ package, which promises maximum protection to keep the vehicle in working order with extensive coverage with a few minor exclusions. This extended warranty is the next best thing to the manufacturer’s warranty. This is priced anywhere from $48 to $84 per month again depending on the factors mentioned above.
What are the extra costs?
- Covered part cause of loss is an optional coverage that you can get from the company. This can cost extra and can add at least $30 a month.
- Emissions coverage can add to the cost as this is also an optional coverage in the event a breakdown occurs due to a failure of emission component. This can cost up to $50 a month additional.
- Additional riders such as tow truck assistance, rental car insurance, and more can add more to the overall monthly price tag.
What is going to be included?
- Depending on the package of car extended warranty that you purchase, the coverage can be different. But mostly, it will cover any breakdown from engine failure as well as roadside assistance in case your car breaks down.
- Extended car warranties will cover your normal malfunctioning parts that the original warranty will not cover. You’ll only be responsible for the deductible.
Tips to know:
- Don’t just compare the prices on car warranties, but also know what kind of coverage that you’re going get for the quoted price. Never go with the cheapest warranty.
- Always check with the BBB to research each extended warranty. It’s best to know what the company is about, as well if people have been ripped off in the past.
- If purchasing a warranty through a dealer, keep in mind that many make you getand repairs done there.
How can I save money?
- Several companies offer car extended warranty so search for a balance of the cheapest price yet best coverage. Sites such as SmartAutoWarranty and more offer quotes for your vehicle.
- Try to get coverage that would suit your basic needs since it will be more expensive to get a warranty that covers more.
- Check with your car dealership to see what kind of car warranties they have to offer. You can haggle the price of these warranties with the car dealership the same way you haggle the price of a car.