Owning a car is expensive. As soon as you sign the purchase agreement and drive off the lot, all future expenses like car payments, insurance, gas, and routine maintenance become your responsibility. In the long term, these expenses can cost thousands of dollars and add up quickly. But a vehicle service contract (VSC)—the proper name for an extended auto warranty—is one car expense that can be well worth the money.
Why Buy an Extended Car Warranty?
Finding a breakdown coverage plan that fits your needs and budget isn’t always the most straightforward process. Some companies are more generous with their perks than others, and the range of coverage and prices can vary significantly between providers and contracts. But there can be great value in buying an extended car warranty from a reliable provider who offers transparent coverage tailored to your needs and budget. Why? Consider the following 3 reasons:
#1. You Gain Peace of Mind Behind the Wheel.
One of the greatest advantages of owning an extended car warranty is the emotional comfort and security you get by having it. Instead of worrying about repair costs you can’t afford, you can relax knowing your contract is there to protect you when you need it. If a covered part deteriorates or breaks, the expense won’t come out of your pocket. At most, you’ll pay a deductible if your plan requires one.
Depending on your provider, you’ll likely have additional perks like 24/7 roadside services for towing, flat tire changes, battery jumps, and gas or oil delivery just for being a member. You’ll no longer have to fear being stranded on the road if you face a mechanical failure. Instead, you can rest easy knowing professional help is a phone call away. You might even receive free or low-cost rental services while your mechanic works on repairs that take longer to complete. Knowing you won’t have to adjust your routine or find alternative transportation while your car is out of commission can ease stress and support your budget.
#2. You Get To Save Money on Future Car Repairs.
Although facing an unexpected expense is a normal part of life, sometimes the surprise comes at the worst time possible—when you don’t have the money to pay for it. Unfortunately, this reality rings true for most Americans. In fact, data shows that over 50% of U.S. adults cannot afford to pay a $1,000 bill that isn’t in their budget.
But as we all know, life happens, and even the most reliable vehicles experience mechanical failures. When the inevitable happens, and you don’t prepare for the expense ahead of time, you end up with a broken car and a bill you can’t pay.
On the flip side, you can preserve your bank account and vehicle with a comprehensive car warranty. The money you save on high-cost repairs is presumably the most significant perk of having an extended car warranty, and the amount you can save can be extensive. With the option to customize your coverage, you can protect some of the most expensive car components—i.e., alternator, timing belt, starter, fuel injector, etc. One of these repairs could save you hundreds and even thousands of dollars.
If your provider offers a policy with preventative maintenance, you can save even more. Companies like Endurance offer coverage plans that include maintenance benefits like oil and filter changes, brake pad and wiper blade replacements, and tire rotations. Remember, every expense adds up, and eventually, the warranty pays for itself.
#3. You Can Increase Your Car’s Resale Value and Appeal.
While a comprehensive car warranty can protect you from high repair costs and even general maintenance expenses, it can also add value to your automobile. Think about it. Because you’ll have a contract that covers the bill, you’ll be more likely to keep up with preventative care and document the services your certified mechanic completes. As a result, you’ll be able to keep your vehicle in tip-top condition and prove its worth and reliability. If you decide to sell, your vehicle will have extra appeal to buyers because you took care of it. And if your contract is transferable, you’ll be able to maximize its value even more by passing your coverage to the next owner.
Explore Top Vehicle Warranty Programs Today
Doing your research and learning what options are available to you is a great way to start your car warranty search. Consider the level of coverage you want and what fits into your budget. Determine who the administrator is and the process you must take to file a claim. Does the company pay the mechanic directly, or do you have to pay upfront and receive reimbursement later? Once you know the coverage you’re getting is what you want and need, you can move forward with your contract and start reducing your expenses and your stress.