Over the past years extended warranty contracts for new and used vehicles have become popular. The purpose of these contracts is to cover needed vehicle repairs that are not covered by factory warranty.
These contracts also continue warranty coverage on the vehicle after the factory warranty has expired. Customers buy extended warranty contracts to eliminate unexpected, out of pocket automobile repair bills. Like an insurance policy, extended warranty contracts can vary greatly according to cost vs. coverage.
At A Street Automotive we have dealt with many extended warranty contract repairs over the years. We have found extended warranty contract coverage can range from excellent to very poor at the time of need. We find that most of our customers purchased their extended warranty contracts under the assumption that the contract will cover all unexpected repairs to their vehicle wherever they choose to have it serviced. Many times this is not the case and the customer ends up paying an unexpected repair bill.
Making an informed consumer decision up front is the best way to be sure the contract will cover your auto repair needs and protect your money investment. Contract sales persons make a commission and they will want to sell you an extended warranty contact at the time of a vehicle purchase.
Before purchasing any contract you should be completely aware of Cost vs. Coverage, also the conditions under which the repairs can be performed. We have found that warranty contracts are very complicated with coverages and exclusions intertwined within. Many contracts only cover certain components under certain conditions. We have also found that some contracts are only valid for repairs at the dealership, this can be extremely inconvenient and untimely. Many contracts also require a deductible payment that customers may not be aware of.
Although there are many extended warranty contracts that are cost effective and user friendly it may be next to impossible to tell if the contract is worthy of your investment unless you are a master auto technician with a degree in law.
At A Street Automotive we gladly deal with all extended warranty contracts to answer your contract questions. We have found that calling in mock repairs to specific warranty companies is a productive way to verify contract coverages and circumstances. We invite you to bring in any extended warranty contracts before purchase so we can help you evaluate contract coverages at no cost to you. A small amount of investigation up front can save you the disappointment of a bad investment when you need repair coverage.