Common Areas Of Concern On Warranty Plans
Tuesday, November 18th, 2008
If you’re buying an older model car, then extended warranty plans might be a smart idea. However, many newer vehicles from General Motors, Acura, BMW, Saab, Cadillac, Volvo, Lexus and Jaguar have replaced their old 3 year/36,000 mile warranty plans for 4 or 5 year/100,000 mile plans. In addition, many used cars have warranties that transfer over from the original owner to you, so be sure to find out the details. You can avoid classic auto scams by doing your research online and getting an extended warranty quote or two, prior to visiting the dealership.
One common problem people run into is to fail to read and understand the agreement before they get work done. Knowing the right questions to ask your warranty company is crucial, experts say. For instance, ask if you can get the work done at any shop, or do you have to look for a certain certification, or in some cases return to the dealer? Additionally, is your car covered for “wear and tear” damage or just mechanical failure?
You should have a comprehensive list of all the parts that are/aren’t covered! Sometimes you’ll get a “bumper to bumper” warranty that covers everything except for the wear items, like brakes and tires, while other times you’ll get a “power train” warranty, which covers the engine and transmission. While it’s rare to find a company that offers coverage for everything, you should ensure that some of the most expensive repairs will be taken care of.
Secondly, you should find out if there are certain stipulations that would make you ineligible for utilizing purchased warranty plans. In some cases, consumers have had their claims denied because they continued driving after their engines overheated or they attached unauthorized tow hitches to their cars. Sometimes, if you don’t get regular oil changes or fluid top-ups, then you could be at risk for vetoing your right to coverage as well. Know the rules and stick to them!
Some people need warranty plans, while others can get by simply saving money each month for anticipated repairs. Regardless, the best way to protect your investment is to get regular oil changes, air filter changes, fluid top-ups and tire rotations. Don’t let things wear down until they wreak havoc on other parts of your vehicle. Before you visit your dealership to buy a car, do a little bit of internet research and get an extended warranty quote. You’ll be happy you had that bartering chip later.