Two Types of Extended Auto Warranties
An extended warranty is basically car insurance that protects you against expensive unanticipated repairs within a specified period and mileage range. In contrast with true warranties, which are part of the vehicle price, extended warranties are purchased independently.
Original equipment manufacturer (OEM) and aftermarket are the two mind types of extended warranties available today. Examples of OEMs are Chevrolet and Ford. 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.
Powertrain and bumper to bumper are two kinds of OEM-provided warranties. 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. Know what these other services are with different providers in your area. For example, in Murrysville, Pennsylvania, Cars Protection Plus is one of the best choices you have.
Cars Protection Plus
When choosing the right warranty, you may have to decide if you want a plan that comes with or without a deductible. Like most other types of insurance, a higher deductible lowers the total cost of the policy. The great thing is OEM warranty deductibles are usually under $200.
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.
Another difference between OEM and third-party warranties concerns the administration of 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. This process is not always quick, but as long as you go with a well-reputed provider like Cars Protection Plus, this ceases to be a problem. In any case, it’s crucial that yo know your costs right from the start.
What you may find most advantageous with third-party warranties compared to OEM warranties is that they are incredibly cheaper. 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 planning to buy an extended warranty, make sure you read the fine print. Most of all, pick a good provider like Cars Protection Plus.