Why do I need a used car extended warranty?

July 19, 2022
min. read
hand on a steering wheel

Having an extended car warranty in place is generally a good idea. When a new car is purchased they are sold with a factory car warranty. The warranty covers mechanical failures that were caused by events out of your control. An extended warranty for a used car provides similar protection in the event that you have experienced a mechanical breakdown. And when it comes to extended auto protection, there are a few avenues that you choose from. Read on as we explore the answer to the question: Why do I need a used car extended warranty?

What is an extended car warranty?

Over the years there has been some misinformation about what exactly an extended car warranty is and how they benefit car owners. Well, we are here to put the confusion to rest. An extended car warranty is a protection for mechanical failures beyond your factory warranty. A new vehicle is sold with a factory warranty and typically it is a good idea to ensure that you have the extended warranty in place before the factory warranty expires. However, when buying a pre-owned or used vehicle you may find the car to be out of warranty.

Extended warranties are sold by the manufacturer of the vehicle only. Each manufacturer has their specific offering and method of purchase. Certain vehicle makers require you to purchase the extended warranty at the original purchase of the vehicle. While others have extended warranty options that can be taken out toward the end of the factory warranty and some even offer certified pre-owned extended warranties.

As for other options, a vehicle service contract will be your best bet for something that offers coverage in the event of a mechanical breakdown. Vehicle service contracts are coverage plans offered by third-party providers. They have much greater flexibility and in many cases are more affordable than the manufacturer extended warranties. All of the plans come with some level of roadside assistance making the deal that much sweeter.

What are the used car extended warranty options?

There are two main options when it comes to extended auto protection for used vehicles. The first is to find out whether or not the manufacturer offers a certified pre-owned warranty option and whether or not it will work for you. The second would be a vehicle service contract that can be bought through dealerships or right here on Chaiz.  

What does Chaiz Offer?

Chaiz is the first entirely online vehicle service contract comparison website, offering excellent coverage with more flexibility, transparency, and at much better rates than other sellers. The entire process is online and requires no phone calls unless you specifically request one. It is well within anyone’s means and provides the driver with peace of mind that you are totally covered in the event of a mechanical breakdown. Extended auto protection has never been more accessible or affordable.

Should I buy a vehicle service contract for a used vehicle?

The quick answer is yes. A protection plan will cover you for the most critical components in the event of a mechanical breakdown. More comprehensive plans will give you better coverage options and ensure that you have roadside assistance when you need it.

Depending on what repairs are needed, bills can range from $200 to $4,000. The make and model also influence the cost of repairs and labor. Mechanical breakdowns also tend to happen in an unforeseen manner. Which can make budgeting for sudden repairs quite tricky. Keep in mind that you will still need to pay for any further services such as towing or car rentals as well. A vehicle service contract gives you the opportunity of choosing a plan best fit to your budget and driving needs. Along with awesome perks like roadside assistance, you will have the service you need without delay and not have to fork out thousands of dollars for repair bills.

Overall there are a few good reasons to have a vehicle service contract, even outside of the savings aspect:

Chaiz offers customers the opportunity to research, review, compare, and purchase vehicle service contracts through our online marketplace. Here you will find online quotes from the top providers throughout the country.
Plus you can save up to 60% on your quote versus those from dealerships or call centers.

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