Dealers of both new and used cars try to push extended warranty to their customers. Also referred as extended service contract, such a warranty can be useful or useless depending on several factors. On the surface of it, the offer is very appealing. You receive lots of riders and protections that you miss in the basic warranty. However, all these extra services do not come for free and that is why you have to evaluate the offer carefully. The benefits of American automotive service solutions like extended warranties depend on the type of vehicle you use, how many times you drive your vehicle, and what type of services you will need. Evaluate both pros and cons of extended service contract to decide if you should buy it.
Pros
Standard auto warranties have fixed features but extended warranties can be customized according to your specific needs. Original warranties from auto manufacturers cover only basic and limited services. Extended warranties like the ones offered by American Automotive Service Solutionscover many types of auto services. For example, auto manufacturers do not provide 24-hour roadside assistance, which is available only under the extended warranty coverage.
Modern vehicles have highly advanced parts, equipments and systems. Most vehicles now have computerized equipment that is difficult to repair. There are few mechanics with required training, expertise and experience to diagnose and repair such devices. When such systems fail, it can be very expensive to repair the defective unit. Such advanced technological systems may not be covered under the basic warranties. Extended warranties prove useful for such vehicles. Check the extended warranty features carefully to ensure these vehicle systems are covered. Some extended warranties allow you to get your vehicle repaired at any dealer authorized by your vehicle manufacturer.
Cons
Extended warranties can be expensive. It is like betting, especially if you do not use your vehicle frequently. You are betting that at some point of time your car will need services that are covered under the extended warranty. You may or may not need such services. The extended warranty does not cover all types of repairs. Check the exclusion list. You cannot get your vehicle repaired at any service center you wish. You have to follow the warranty provider guidelines and get your vehicle serviced only at the approved auto service centers. The warranty may not be in force when you are traveling in another part of the country. The warranty may become ineffective if you move to another state. It is possible that you never use the services available under the extended warranties.