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Is Extended Warranty a Good Deal?

Apr - 19 - 2013

generic-red-toyotaThe warranty that your newly purchased car comes with is always going to be limited. In fact, even manufacturers such as Vauxhall that offer ‘lifetime warranty’, do in fact impose a warranty limitation – they consider the lifetime of a car to extend to 100,000 miles, at which point the warranty expires.

This is still a good standard warranty however, as most manufacturers will only offer a 3 year or 36,000 mile-odd deal. Either way, you will definitely want to look in to either renewing your warranty or signing up for a new warranty deal with a different provider before your old one expires.

So, how do you get the best deal on your extended warranty? Well, there are basically three sources that you will want to consider. First of all, contact your car manufacturer or the dealer who sold you the car and ask what they might be able to offer in terms of extended warranty.

Reading the policy agreement will give you a good idea of the sort of coverage that is on offer, and what you might want or not want to include in when searching for alternative policies. Second, search out an online warranty comparison website. A good warranty comparison site will allow you to enter details about yourself as a driver, as well as define the type of policy you are looking for, and will bring back a list of price quotes from a wide range of warranty providers. Note down the best price offerings available. Finally, call your home insurer and ask if they offer car warranty deals, in which case you may be able to negotiate a better deal with them as you are an existing customer. Again, ask them to send out a detailed policy agreement.

Once you have gathered enough information from all possible alternatives, sit down and compare the various options available to you – this will ensure that you get the best deal possible.

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