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Reliability is what car buyers want. It is ranked high by 95 percent of new-and used-car shoppers when choosing a car. Yet, even knowing which cars are trustworthy isn’t enough for many consumers. What they want is protection. When consumers purchase a used car or wish to extend the bumper-to-bumper coverage of a new unit, an extended warranty or service contract is an attractive option. In any case, extended warranties limit financial risk for a specific period, providing peace of mind.
What Is An Extended Car Warranty?
Extended car warranties offer premium coverage for significant vehicle repairs or replacements over a set period. In most cases, the warranty begins when the manufacturer’s warranty is up, but sometimes the two overlap. Using a car extended warranty may require you to take your car to an authorized repair shop, pay for the work upfront, and request reimbursem*nt later.
Why An Extended Car Warranty Is Worth It
The following are five reasons why extended warranties are worthwhile:
Significant Cost Savings
Extended car warranties are often questioned since they are separate from the vehicle and purchased separately. However, you can typically save a significant amount of money with an extended auto warranty. An extended warranty on a luxury vehicle like a Lexus or BMW could save you thousands of dollars. For example, a BMW 328i cylinder head replacement can cost an astonishing 45,985 MYR, many times the cost of an extended warranty. Although Ford, Chevrolet, and Toyota vehicles may have lower prices, they add up quickly as your vehicle’s reliability continues to deteriorate with time. It is further exacerbated by delaying necessary repairs. The cost of extended warranties is worth it regardless of whether you own a new Mazda or a Toyota with more than 60,000 miles.
Having Peace Of Mind
Whether your car is a new or used model, extended warranties provide extra coverage if you need it or cannot afford the repairs. The price of repairs, replacement parts, and labor might be challenging to pay once a factory warranty expires. By purchasing an extended auto warranty, you eliminate this source of anxiety and will be protected from costly repairs. Additionally, it removes the hassle of filling out lengthy paperwork and haggling with mechanics for a fair price.
Benefits Often Overlooked
A car extended warranty can be beneficial in stressful situations in more minor well-known ways. For example, with an extended car warranty, you’ll get roadside assistance, rental car reimbursem*nt, towing, trip protection, and affordable payment options. Don’t worry about getting to a mechanic or accommodate yourself in the event of a mechanical breakdown with 24/7 roadside assistance.
Flexibility Like No Other
An extended car warranty provides unparalleled flexibility in comparison with manufacturer warranties. For example, a service contract allows you to take your car to any authorized repair shop. At the same time, a manufacturer’s warranty usually requires you to take the vehicle to a specific dealership. In addition, you can shop around for the most affordable coverage options by purchasing a third-party warranty.
An Increase In Resale Value
You can offer the new owner a comprehensive car extended warranty by transferring the extended warranty, usually inexpensive. However, your vehicle’s service contract may attract individual buyers, resulting in increased interest and a higher sale price.
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