What is the Warranty Waiting Period?
Everyone needs to know that they are covered in case of a mechanical failure with their vehicle. Repair costs can be up to thousands of dollars. An extended car warranty is specifically meant to keep your car covered for parts and labor should you have a breakdown. In this article, we are going to take a look at extended car warranties and what the warranty waiting period is.
What is an extended car warranty?
An extended car warranty is rather similar to a manufacturer warranty. The difference is that “extended car warranty” is actually a colloquial term for a Vehicle Service Contract (VSC). A VSC plan is offered by third-party providers that also offer a variety of perks and optional coverage with the plans. The plans have better flexibility than factory warranties as well. The VSC plan is a contract between you and the provider whereby both sides must ensure they keep up their side of the contract. For you, this would entail keeping to the proper maintenance schedule. These extended car warranties are a great investment that could end up saving you from hefty repair costs.
What is the warranty waiting period?
Every contract has an initial trial period that the contract must remain in place for a certain amount of time before benefits and-or claims can be made. In the case of extended car warranties, this initial period is called the waiting period. This clause has been put in place to ensure that warranties are not taken out for pre-existing conditions. The warranty period lasts for 30 days or 1000 miles, whichever comes first. This means that once you have purchased your warranty you will have to comply with the waiting period and only after the 30 days or 1000 miles has been reached will you be able to access your coverage.
What are the different types of car warranties?
There are two main types of car warranties on the market. The powertrain warranty plans offer basic coverage and ensure that the most critical parts of your car are covered. The most comprehensive coverage or bumper-to-bumper coverage covers the majority of your car’s parts. Below you will find a list of what is typically covered under a powertrain warranty plan and what is not covered under the most comprehensive coverage level.
- Powertrain warranty typically covers:
- Transfer case
- Drive box
- Most Comprehensive warranty typically covers all parts but NOT the following:
- Wiper Blades
- Brake Pads
- Body Panels
- Interior Trims
- Turn Signals
- Brake Lights
- Regular Maintenance
- Accidental Damage
Is an extended car warranty worth it?
Well, let’s take a look at how extended car warranties can benefit you. The plan provides protection against mechanical breakdowns as listed above and lends to saving you thousands in repair bills. The make and model also influence the cost of repairs and labor, but bills can range from $200 to $2,000 depending on the damage.
Extended warranties prevent you from having to fork out thousands of dollars for car repairs. Mechanical breakdowns tend to happen in an unforeseen manner. This generally means you need to have sizable savings to be sure you can cover the repair costs. Bare in mind that you will still need to pay for any further services such as towing.
Overall there are a few good reasons to have an extended warranty, even outside of the savings aspect:
- Repairs on critical parts are covered
- If you travel frequently by car
- If you are buying a used car outside of warranty
- Option of added benefits
- Being prepared for inevitable mechanical problems