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Extended Warranty for Used Cars: Everything You Should Now

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Rob Bennett

You're not the only one who has ever questioned if an extended warranty on a used car is truly necessary. You could be wondering what an extended warranty is and whether purchasing one is actually required or useful.


Even if your new-to-you used automobile is in good condition, getting an extended warranty can assist to significantly lessen the stress and worry related to the purchase process. If you discover that you're visiting repair facilities frequently, purchasing an extended warranty for a used automobile is really beneficial.


Below is some information on what an extended warranty for a used car is, the many levels of coverage it offers, how much it will cost, and how to pick the best one fitting for your needs.


What is an Extended Warranty for Used Cars?


The manufacturing warranty is often expired by the time you buy a secondhand automobile. If that applies to your most recent purchase and you're concerned about having to pay for repairs and maintenance, getting an extended warranty is a smart decision because it will allow you to save money and offer you peace of mind.


Your extended warranty can help cover repair expenses, depending on the protection options you select. Instead of paying out-of-pocket for repairs that might cost hundreds, if not thousands of dollars, you will make monthly payments on your car service contract, a modest deductible amount in most cases.


What Does a Used Car Extended Warranty Cover?


Your subsequent protection, especially if the factory warranty has already run out, which is typical when buying a used car, goes beyond what the manufacturer guarantee covers when you purchase an extended warranty for used automobiles.


While the majority of extended warranties for used automobiles cover regular wear and tear, a guarantee that also covers powertrain warranties and other maintenance is most advantageous. Some companies also provide bumper to bumper coverage for items and parts that you might not have thought of. 


The following are some of the things covered by the top used car extended warranties.

  • Diagnostic Fee
  • Roadside assistance 
  • Towing
  • Rental Car Fee
  • Trip Cancellation Costs
  • Repairs and Replacements


Is a Used Car Extended Warranty Really Necessary?


You are not required by law to purchase an extended warranty. As long as you have car insurance to protect you, you are operating a vehicle in accordance with the rules of the road.


The purpose behind getting an extended warranty is to save you money and preserve the quality of your car for as long as feasible. Is getting a warranty really worth it if your car isn't that old? Before you make your ultimate choice, take into account the following:


  • How old is your car compared to others on the road? The older it grows, the more maintenance it could need. 
  • Does your vehicle need repairs frequently despite being newer? Some cars require more frequent maintenance than others.
  • Has your brand or model had a history of maintenance needs? If so, a good strategy could enable you to save money.
  • Do you desire the added benefits of extended warranties, such as fuel delivery or roadside assistance and pickup?


Benefits of Used Cars Extended Warranty


Your secondhand automobile can come with a factory-extended warranty if you purchase it from a buy here pay here dealership. On the other hand, if you purchased your used automobile from a private seller, you probably want to invest in your own extended warranty. Extended warranty from a reliable dealership or third-party supplier provide you following benefits:


  1. You don't have to pay for costly repairs out of pocket. A respectable used automobile extended warranty provider can cover approved repair expenditures on your behalf, less a modest deductible, if you are unable to pay a $1,000 or $2,000 repair bill out of pocket. 

 

  1. You don’t get stuck on the road. The majority of extended warranties also include coverage for roadside assistance, rental car reimbursement, and the expense of towing your vehicle to a repair facility.

 

  1. You get an added layer of safety. You may assume that the amount of your extended warranty minus your deductible will be all you have to spend to keep your car on the road if you have an extended warranty. In this sense, a warranty functions as a form of automobile insurance, guarding you against astronomical repair costs.

 

  1. You can keep your used car for many years knowing it is protected. An extended warranty will assist you in maintaining your used vehicle for many years by paying for any necessary repairs.


How Much is an Extended Warranty for Used Cars?


The price of extended warranties for used cars can vary a lot. The difference in price depends on your desired level of coverage, the type of vehicle, how it is used, and other factors.


No matter what brand or model you drive, every automobile owner must spend money on expensive repairs at some point over the lifespan of their vehicle. In actuality, at least one repair is required for almost 70% of the automobiles on the road. You can maintain your automobile in top condition without having to pay a lot out-of-pocket with the correct extended warranty.


Dealership-provided extended warranties for used cars can cost up to $1,500, with deductibles as low as zero dollars and as high as $250. You can opt for a more expensive premium to get a lower deductible, but it all depends on how much upfront cost you’re willing to pay and how many repair claims you think you’ll make.

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