Cars are complex machines with a lot of moving parts. Do you ever think about everything going on under the hood when your car starts? Internal combustion engines start when you turn the key right? Well, yes at a very basic level, but the process has many steps in it. It includes the gas that is fed through the injectors into the cylinder by the fuel pump. The fuel is ignited by the spark plugs.
The explosion forces the piston heads down which move the rods rotating the crankshaft. The force engages the transmission, clutch, driveshaft, axles, and wheels. This basic overview of how a car moves shows how complicated the process is! There are a lot of things that can go wrong with your car, but there are ways you can get help too. Car warranties are one option to repair your vehicle for covered situations.
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About Car Warranties
A warranty covers defects, problems, and non accident-related breakage on a vehicle’s factory equipped parts and accessories. This includes repairs in an attempt to make the car good as new. Cars come from the factory with a manufacturer’s warranty. These warranties usually last for a limited number of years or a specific number of miles.
For example, a Ford New Vehicle Limited Warranty on your new Ford Mustang may last around 3 years or 36,000 miles depending on how much the vehicle is driven. This is often referred to as a bumper-to-bumper warranty. It covers manufacturer-related defects and problems on parts located between both bumpers. If you encounter a defect or experience a problem, your warranty can handle it.
There are also powertrain warranties which cover the parts and components which move the vehicle. These parts include the engine, drivetrain, axles, differential, gearboxes, and other similar things. For example, Ford Powertrain Warranties on new vehicles provide coverage from a duration of around 5 years to 60,000 miles – whichever comes first. The reason why the powertrain and limited warranties are different is due to the fact that powertrain parts are built to endure higher levels of stress and use.
Unpacking Extended Warranties
About Extended Warranties & Service Plans
Extended warranties are often called extended service plans. They are just what they sound like. When the car’s factory manufacturer’s warranty ends, extended warranties can provide additional coverage for maintenance, unplanned services, and repairs. These warranties usually last for a limited number of years or a specific number of miles.
Extended Warranty Types
Several types of extended warranties may be available depending on the type of vehicle you have and the level of coverage you need. Talking to a qualified product representative can help you figure out how to get the most repair coverage for your car. The types of extended warranties include the following plans.
Limited Warranties
Limited warranties which cover a set number of parts, components, and vehicle systems.
Enhanced Warranties
Enhanced warranties which can cover additional systems, electrical units, subsystems, and more.
Comprehensive Warranties
Comprehensive warranties which cover most parts and components of the car. Bumper-to-bumper warranties fall into this type category.
Use Cases
Why Purchase an Extended Warranty?
There are a number of reasons you may want to consider getting an extended warranty or service contract. These include peace of mind, repair coverage, getting a mid-term rental, protection against repair cost increases, and vehicle resale value.
Extended warranties can help you keep peace of mind. Life can throw a lot of unexpected circumstances at you. Knowing that you have a plan which can help maintain your vehicle and cover problems with some of the parts is one less thing you have to worry about and keep track of.
Repair coverage is another factor. Vehicles need constant maintenance and upkeep. They should be maintained and repaired on schedule or you risk exacerbating the problem – potentially making things much worse at increased cost. Extended warranties can allow you to make repairs when you need without waiting for payday or using up your savings you were planning to use for the next vacation.
Extended warranties and also help to provide access to rental cars while your car is in the shop for covered repairs. This can be a great feature to have if you only have one car in your family or household. Some shops do offer courtesy vehicles you can drive if your car is there for repairs, but the number of courtesy vehicles is often very limited. Courtesy vehicle wait lists can be weeks or months – putting off your covered car repair by that much longer. Getting an extended warranty plan with rental coverage gives you a way to get around while waiting for your car to get out of the shop.
With inflation consistently increasing, more so than ever now, extended warranties can help protect against the rising costs of repairs. The prices of fuel, parts, and labor are increasing on a regular basis depending on the economy and supply chain disruptions. Extended warranty plans can help keep repair costs down when the parts and associated repairs fall under plan coverage.
Extended warranty plans are also transferable with most vehicles to the new owner at the time of sale. This means if you get a warranty plan on your current vehicle now, you can sell your car later with the plan adding increased value to the new owner. This can help you sell your used car for a better price due to the added resale value.
Extended Warranties Versus Service Contracts
When looking at either an extended car warranty or a vehicle service contract, it depends on which type of plan works best for you and is available in your area. Warranties and contracts are very similar and include repair coverage for many of the same car parts. Several of the differences are the terminology and how dealerships and service partners cover repairs. You usually only need one or the other. Do not need both an extended warranty and a vehicle service contract.

Extended Warranty FAQs
Looking for information about extended car warranties? Find out more about how a warranty can help you on the road.
Extended warranties can help you repair your car. The warranty usually includes or excludes a list of car parts. If your car has problems related to a covered part, the plan can help pay for getting you help on the road as well as the repair costs and labor.
Yes, some extended warranties come with roadside assistance. This allows you to get help on the road for covered car-related problems. If you have an uncovered problem, you can also get help for an extra cost.
How often you can use roadside assistance depends on your warranty plan. There may be limits to the service. For example, you may be able to use roadside assistance every few days.
The specific parts list depends on your warranty. If your warranty is more limited it will have an included parts list. If your warrant is more comprehensive like a bumper-to-bumper warranty, it will have an excluded parts list with everything else being included.
It depends on the warranty. Some may help with maintenance, but most warranties only cover problems with parts and not maintenance or repairs from normal wear and tear on parts.