According to RL Polk the average age of vehicles on the road is 11 years and is trending upward. For consumers that purchase new or late model used vehicle and plan to drive their vehicle for more than a few years, then an extended warranty is something to consider.
When considering an extended warranty it is important to ask these five questions:
- What is and is not covered by the policy? Make sure the dealer fully discloses the terms and conditions so there are no surprises later.
- Who is backing the warranty? It’s important to know if it is from the manufacture or an independent company.
- Is it transferable if you need to sell the car in the future? Some warranties end once you sell the car. It has more value if it is transferable.
- Is there a deductible and is it per visit or per repair?
- Is a cash layout required? Some warranties require the consumer to send in for reimbursement. Asking these questions will help you get the best possible extended warranty.
If you need more information about warranties, contact us with any questions, comments or concerns.