Two Types of Extended Vehicle Warranties
An extended warranty is essentially an insurance policy on your car that provides protection against costly unexpected repairs within a particular span of time and mileage. 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. Ford and Toyota are examples of OEMs. Warranty or insurance companies are considered third parties when they have no direct business relations with an automobile brand. One example of a company that provides third-party service warranty is Cars Protection Plus.
Two types of warranties that OEMs offer are powertrain and bumper to bumper. A powertrain warranty covers engine and transmission issues that are related to workmanship, while a bumper to bumper warranty is intended for most other potential problems with the vehicle, including those involving the vehicle’s electronic systems (power seats, navigation.).
An extended OEM warranty often offers benefits that come with a new vehicle purchase, with added services such as roadside assistance. Research what such other services will be for various providers in your location. Cars Protection Plus is one of the best choices – if not the best – you have if you are somewhere in Murrysville, Pennsylvania.
As you choose the best warranty for you, you may have to select between a package that comes with or without a deductible. Like most other types of insurance, a higher deductible lowers the total cost of the policy. The good news is that OEM warranty deductibles are typically minimal – below $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. They can also differ in terms of deductibles and general policies.
Original equipment manufacturer and third-party warranties may also differ in the way they administer coverage. For instance, a third-party warranty may require you to pay out-of-pocket for a repair, and them file a claim to be reimbursed later. 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, payment expectations should be known to you right from the beginning.
What you may find most advantageous with third-party warranties compared to OEM warranties is that they are incredibly cheaper. There are even cases where a third-party warranty becomes the only option you have. So for example, if you bought a used Chevrolet from a Toyota dealership, it’s unlikely that you will get a Chevrolet 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.