Looking On The Bright Side of Services

Two Types of Extended Car 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. True warranties are automatically included in a vehicle purchase, while extended auto warranties are a separate product.

Two Types

When you talk about extended warranties, there are two key types: original equipment manufacturer (OEM) and aftermarket. Toyota and Chevrolet are two 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 third-party service warranty provider that is fast growing in popularity is Cars Protection Plus.

OEM Warranties

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.).

In most cases, an extended OEM warranty’s features are similar to those that are provided with a new vehicle purchases, plus additional services like roadside assistance. It pays do your research on what these other services will be for different providers in your area. Cars Protection Plus is one of the best choices – if not the best – you have if you are somewhere in Murrysville, Pennsylvania.

Cars Protection Plus

When choosing the right warranty, you may have to decide if you want a plan 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.

Third-Party Warranties

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, you’re still talking about two different products, and even third-party warranties can be unique, depending on the provider. There will be different policies and different deductibles too.

How coverage is administered constitutes another significant difference between OEM and third-party warranties. 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 might be the biggest advantage of third-party warranties is that they are substantially cheaper compared to OEM warranties. Sometimes, a third-party warranty may even be your only option. 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 intend to buy an extended warranty from a third party, make it a point to review the fine print thoroughly. Most importantly, choose a good provider such as Cars Protection Plus.