Extended warranty is fairly popular among car owners, but people still feel skeptical about taking it. The main purpose of an extended warranty is to prolong the protection given by the factory warranty which came with your new car. They significantly minimize repair costs for any vehicle, which is why extended warranties have more pros than cons.
So if you are wondering if it is worth taking an extended warranty for any car, this article will tell you why you should go ahead. Here are some of the major benefits:
The major and most important benefit of getting extended warranties is saving on repairs. A warranty is an investment, given that you will have to pay for it upfront. The cost is also separate from that of your car, which makes a lot of owners hesitant. But if you compare the initial cost to the benefits you will have down the line, it seems like a purchase worth making.
If you own a luxury vehicle, make sure you get an extended warranty because it will save an immense amount of money when it comes to repairs or replacements of expensive auto parts. For standard brands, you might consider not taking extended warranties because the costs often break even. However, the older your car gets, the more repair and maintenance it needs to keep functioning optimally. Therefore extended warranties make for great cost savings in terms of repair as and when the need arises.
Many people miss out on the benefits of car warranties because they do not listen closely. There are a wide variety of benefits available with an extended warranty, much like roadside assistance in case of mechanical breakdown. Apart from the obvious cost savings, here are some of the additional benefits that are worth consideration:
- Feasible payment plans
- Towing needs
- Reimbursement for rental cars
- Transferable plans
- Trip protection
Every Corona has different needs and a subjective approach to how they view their car’s extended warranty and its benefits. Luckily, there are flexible packages offered to everyone so that each owner can select a plan which suits their needs the best. Flexibility in the packages essentially means that the owner can select areas they want to be covered under warranty.
All the major manufacturers are providing different benefits as well as add-on options so that the warranty plan can be customized as per individual needs. Flexibility directly impacts the affordability of a particular package, so it becomes applicable to buyers with different budgets. To understand the flexibility better, click here.
Rather than continuously working about service costs, maintenance schedules, and expenditures related to repairing and replacement, any car owner who has taken an extended warranty plan will have peace of mind, unlike those who did not get it. Expenses come up without warning. Since cars require immediate repairs if anything goes wrong, it can significantly impact your budget and finances. Preparing beforehand means taking a warranty and reducing costs in the long run. Paperwork is often reduced with extended warranties, so the comfortable experience has more meaning than one.
As mentioned above, an extended warranty significantly reduces the need for paperwork. There are two different types of car warranties available in the market. One is offered by the manufacturer of the vehicle you are driving, and the other is offered by third-party platforms. Both of these options have their own pros and cons, but an overlap lies in the reduction of paperwork.
Comparatively, if you take an extended warranty from your car’s manufacturer, you will have to do little to no paperwork as everything will be taken care of by the dealer. An extended warranty from third-party vendors is not a bad choice but will require vigilance so that you do not end up in trouble later.
Helps With Resale Value
A car is an asset that continuously decreases in value the more you use it. So if we tell you that getting an extended warranty will improve the resale value of your car, you will be more likely to invest in it. Vehicle protection is not good only for your security and reducing costs.
If you are planning on resetting your vehicle sometime in the future, getting an extended warranty goes to show that the car has been taken care of and has been maintained well. The service contract becomes an asset that will improve the valuation of your vehicle and will help you drive a good bargain at the time of selling.
Why Are People Skeptical?
Even though extended warranties have so many benefits, people are still skeptical about spending on it for multiple reasons. Since we have already covered the process of getting an extended warranty for any car, let us give you an overview of certain cons of an extended warranty.
- The cost of a warranty plan is a big deal for any owner, which drives people away.
- Even though extended warranties offer a number of benefits, not every part of your car is covered. Reading a contract beforehand is advised to manage expectations.
- There is always a chance that the warranty will not come in use because your car will remain in a good condition. Since any driver will be using their car with care, it is less likely that the warranty will have to be used.
- Most of the owners want to get the most out of their money. This becomes a drawback for many because they want to keep using their car for at least as long as the extended warranty lasts. If your priority were to sell, an extended warranty would make you keep using your vehicle for a longer duration.
To conclude, any expert would say that the benefits of an extended warranty outweigh any cons that are making people skeptical. Reading the contract and adjusting the plan as per your requirement will help you get the best deal.