Is Extended Warranty On Cars Worth The Money? | An Insight

Buying a car in India is nothing less than a family event. Well, considering this, car dealers assume that you are ready to spend a few extra bucks in the name of caring for your car. Be it a zero-dep insurance plan or the accessory kit on offer, they urge you to buy anything and everything they can. Within this package, they also offer you an extended warranty on your car which can cover your car under various circumstances. This is an additional warranty that covers your car once you are already done with the initial coverage period. In today’s featured, we tell you if the extended warranty on a car is really worth it! Let’s take you through all the pros and cons and let you make a better decision.

Pros of buying an extended warranty for your car

1. Can help you save significantly on repairs
   

   

   When you are at the showroom taking the delivery of your vehicle, you won’t expect a major failure right? Well, considering the present times, we have encountered many situations where customers have faced a major issue in new cars which has made them pay huge amounts which they wouldn’t have paid if their car was under warranty. Extended warranty on your car can be a boon if your car turns out to be one of those which are defective units which roll out from the plant unnoticed. Believe us, you can save huge on major repairs if your car is still under warranty.

   Read Financial Factors to consider while buying a New Car

2. Can let you retain the car
   

   

   Another advantage that this package can provide you is the assurance that can help you keep your vehicle for long. If you are one of those who care for your car and want to retain it for a long period of time, there is nothing bad in buying a warranty for your beloved machine. Alternatively, if you want to sell your vehicle in a short time span, you can get an additional cost if your car is still covered.

3. Flexible Packages Offered
   

   

   It’s 2020 and cars have got numerous technologies which you might not be aware of. In today’s world, the extended warranty plans are totally flexible and you get to choose what you want to be covered. Obviously, there are certain things which are covered by default, you can select from the add-on options provided by the manufacturer.

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4. No additional paperwork
   

   

   There are 2 types of extended warranties available in the market. One is provided by your car’s brand while the other comes through third-party vendors. If you have already decided on buying an extended warranty for your car, you should prefer buying it from the manufacturer/brand. This is because you get a better assurance of the product without the paperwork hassle. The dealer will take care of the paperwork and you won’t face any difficulty in case you file a claim. A third party extended warranty might be cheap but can land you in trouble at times. Going with the brand is strongly suggested.

Cons of buying an extended warranty for your car

1. Expensive Cost
   

   

   Buying an extended warranty can cost you a significant sum of money. It is just like an insurance premium but costs you way more than that. We agree the brand or even the third party covers expensive components under this warranty clause but you need to be sure about the fact if you really need it. Going for it is a good decision but considering your financial matters is a must. Don’t end up spending unnecessarily while buying a new car.

   Checkout 10 Things To Keep In Mind Before Buying A New Car!

2. You are forced to use the car for long
   

   

   If you are buying an extended warranty, you will obviously like to use the car for the time period till it is covered. Well, the longer you get it covered, the longer you would want to keep it right? If you are not one of those who drive and maintain cars for long time periods, the extended warranty is not your thing for sure.

3. Not everything is covered!
   

   

   Read everything very carefully before you sign the clause for your car’s extended warranty. This is because not everything that you think will be covered under the warranty terms. Checking the documents is a must as you should not feel disappointed once you sign the document because carmakers tend to exclude some major repair works from the clause. Don’t end up paying for the repair as well as the warranty. Be a very aware customer.

4. You may not use it at all!
   

   

   Visuals like these are not really common, right? Also, if you buy a new car, you are there because you trust the brand and their technology. Well, you might not be the unlucky one necessarily. Most of us don’t expect major repairs or failures in our car while it is new. In almost all of the cases, major failures don’t usually occur if the car is used with the utmost care. You can very well decide if you will really need an extended warranty. Have a check on the vehicle’s market history and customer reviews. They can help you decide better.

This was our insight on the extended warranty on a car. We have told you about all the possible pros and cons and now it is up to you if you really want to go for an extended warranty for your car. Share this article with all those planning to buy a new car and help them make a wise decision and have a better car ownership experience.