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Hey, you're in the vehicle / car zone--YOUR HANDYMAN ZONE!

Cars / Trucks / Vans Category: Miscellaneous Informational Topics

Informational Topic:

Warranties in general, you should consider them for what they truly are.

The Information You Need:

In general, the best way to look at purchasing a vehicle / auto warranty is to identify it as purchasing an insurance policy because, at the end of the day, that is essentially what you are getting:  Coverage to cover you for any failures, defects or losses you may sustain during the warranty period (so long as none of the exclusions of the warranty apply) for having paid an initial warranty cost.

Say this initial warranty cost is $640.00 for a period of 3 years or 36,000 miles, whichever comes first.  If, during your warranty period, something goes wrong, such as transmission failure and a bad drive axle (that are covered), amounting to over $640.00, you'll be glad that you got the warranty.

However, if, on the other hand, during the warranty period, nothing goes wrong with your vehicle (or at least nothing that is covered), or that what does go wrong and is covered does not amount to the your warranty cost of $640.00, you may regretfully regard your having paid the $640.00 as a waste of your hard-earned money.

So, with this in mind, when considering purchasing a warranty, or an extended warranty (much like an insurance renewal policy), be considerate of what you really need, what is


best for you under your unique circumstances--how much do you drive, whether the cost of the warranty far exceeds the probable cost of any common repairs during the warranty period, etc.  Be sure, too, that your warranty purchase does not act to provide unnecessary double coverage of what your manufacturer-issued warranty already covers.  Similarly, be careful not to pay for a warranty that covers the emission system of your new vehicle, since federal law already mandates that the vehicle manufacturer be responsible for the operability of the emission system for a certain amount of years or accrued mileage.  (Click here for information on the applicable federal law and mandated emission system warranty coverage by manufacturer.)  Also, understand that practically all warranties exclude coverage for any wear and tear of any vehicle part.  Also, realize that any issued warranty lasts for as long as the agreed upon terms is still in effect, provided of course that the warranty-issuing company still exists to make good on the warrant; if the warranty period has not yet ended, but the company no longer exists, the warranty is worthless.  (Click here for information on warranties and their existence being dependent upon the fact that the issuing company is still in business.)  In more direct words, if you feel an a warranty is needed, be mindful of what you actually need, and not what the warranty salesman is attempting to pitch to you.

In short, when thinking of purchasing a warranty, have the mindset of purchasing an insurance policy.

Ed the Handyman


Your Handyman Zone Team


 Click here to apply for person to person auto financing.



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