Why Do You Need a Car Extended Warranty?

Let's talk car damage. Your gearbox falls apart. Your engine explodes. The electrical system in your car stops working. There is a lot of mechanical damage that could happen to your car and unfortunately, your Car Insurance won't cover these damages. If you're in a car accident or your car is stolen, your insurance will have you covered, but mechanical and electrical damage won't be. This is where a Car Extended Warranty will cover the costs of the damage.

What is a Car Extended Warranty?

A Car Extended Warranty exists to protect certain car parts once a Manufacturer's Warranty has expired. A Manufacturer's Warranty covers unexpected mechanical damage or electrical failure that occurs to a car, thereby saving the owner money and boosting the car's re-sale value. In a nutshell, once a car's Manufacturer Warranty expires, an Extended Warranty will continue to cover the car for any major mechanical damage or electrical fault. These are factors that are not covered by a Maintenance Plan or Service Plan.

Why is it different from a Service Plan and Maintenance Plan?

Service and Maintenance Plans are all about the wear and tear. They will both cover your vehicle for scheduled services, and a Maintenance Plan will also cover your car for a range of unscheduled maintenance items. Every car experiences wear and tear, and these plans that take care of those problems. An Extended Warranty however, will cover you for unexpected mechanical and electrical problems that are severe. These are often the most urgent and costly repairs your car will experience that is not an accident.

What are the benefits of an Extended Warranty

The biggest benefit is obvious - your car will be taken care of financially by the service provider of the Extended Warranty, if your car has one. Mechanical and electrical damage can be ridiculously expensive, and if you haven't planned or budgeted for it, the costs can really knock you sideways. An Extended Warranty is a great way to ensure that you always have peace of mind when looking after your car is concerned. You no longer need to worry about those surprise bills for major problems. Gearbox failure? Engine failure? Your warranty has it covered.

The second benefit of having a warranty is that it can maximise the resale value of your car. Extended Warranties can be transferred to new and subsequent owners. If you decide to sell your car while your plan is still active, it show potential buyers that your car is in excellent shape and also that, in the event of any mechanical problems after the sale, the repairs will be covered by the warranty. You will also be seen as a more conscientious car owner; something that goes a long way when selling a car.

If you have a Manufacturer's Warranty and you want your car to continue to be covered for major mechanical and electrical faults, you should get an Extended Car Warranty. It will make your life simpler, less stressful and kinder to your wallet and vehicle.


  1. Well I think for expensive things like cars consumer products and gadgets one should purchase extended warranty to make our self relaxed from the cost of repair and maintenance,edifying post as you have discussed all the pros and cons of extended warranty


  2. Any type of insurance eliminates risk, resulting in peace of mind. Nobody likes paying for it, but they sure want the finest policy possible, when a peril happens.

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  3. This is such a good post. Thank you for sharing this information. Keep it up!

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  4. I think the things you covered through the post are quiet impressive,

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  5. Every car needs a extend warranty whether it is new or used. Because it protect us from the expensive car repair bills.

  6. Really nice and definitely it will be useful for many people. Kindly keep update like this.

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