These days, we can get warranty plans on our dishwashers, our iPods, our television sets and our automobiles. But how many of these extended warranty plans are really necessary? Is it all just a scheme to milk a little more out of the consumer, while industry standards allow the “build-it-to-break” model to continue? When it comes to big ticket items like your vehicle, you may want to consider the benefits of extended warranty coverage.

One common problem people run into is to fail to read and understand the agreement before they get work done. Knowing the right questions to ask your warranty company is crucial, experts say. For instance, ask if you can get the work done at any shop, or do you have to look for a certain certification, or in some cases return to the dealer? Additionally, is your car covered for “wear and tear” damage or just mechanical failure? You should have a comprehensive list of all the parts that are/aren’t covered!

Sometimes you’ll get a “bumper to bumper” warranty that covers everything except for the wear items, like brakes and tires, while other times you’ll get a “power train” warranty, which covers the engine and transmission. While it’s rare to find a company that offers coverage for everything, you should ensure that some of the most expensive repairs will be taken care of.

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This entry was posted on Monday, September 8th, 2008 at 5:30 pm and is filed under Automotive. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.