A Brief Rundown of Services

A Brief Rundown of Services

Two Types of Extended Car Warranties

An extended warranty is actually a type of car insurance that provides safeguards against costly and unforeseen repairs for a certain period 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. Ford and Toyota are examples of OEMs. A third party would be a warranty or insurance company that has no direct affiliations with a vehicle brand. One example of a company that provides third-party service warranty is Cars Protection Plus.

OEM Warranties

There are two kinds of warranties provided by OEMs, namely, powertrain and bumper to bumper. A powertrain warranty covers your engine and transmission against workmanship-related problems, while a bumper to bumper warranty takes care of most other issues, including those involving electronic systems in the car (power seats, onboard computers, etc.).

An extended OEM warranty generally has features that are similar to the benefits offered by a new vehicle purchase, but with the addition of other services like roadside assistance. Know what these other services are with different providers in your area. For example, in Murrysville, Pennsylvania, Cars Protection Plus is one of the best choices you have.

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. As with other insurance types out there, a bigger deductible automatically decreases the policy’s overall cost. The great thing is OEM warranty deductibles are usually under $200.

Third-Party Warranties

Usually, third-party or aftermarket warranty companies, such as Cars Protection Plus, provide mainly the same coverage that you can expect from OEMs. But of course, you’re still talking about two different products, and even third-party warranties can be unique, depending on the provider. They can also differ in terms of deductibles and general policies.

Another difference between OEM and third-party warranties concerns the administration of coverage. For example, with a third-party warranty, you may have to pay out-of-pocket for a repair and then file for reimbursement later on. The process won’t be always be quick, but if you choose a reputable provider such as Cars Protection Plus, this will rarely 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. There are even cases where a third-party warranty becomes the only option you have. 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, buy from a reputable provider, such as Cars Protection Plus.

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