Our Trusted Providers

What is an extended warranty for cars?

An extended auto warranty is basically a contract that covers your vehicle in case it needs repairs or breaks down due to normal use. Different types of plans may cover the car’s powertrain, air conditioning, electrical system, and more. The best extended warranties for cars provide comprehensive coverage for repairs to your vehicle and may offer some added perks as well.

What types of extended warranties are there?

Extended car warranties fall into 5 main categories:

1. Bumper-to-bumper warranties offer the most comprehensive coverage around. Most bumper-to-bumper plans include repairs to a car’s major mechanical systems. Any exclusions to a bumper-to-bumper plan should be listed in the contract.   
   
2. Powertrain warranties cover most internal parts of your engine and transmission. If your vehicle is older or has a lot of mileage on it, this type of coverage may be a good bet.   
   
3. Drivetrain warranties cover the parts that make your vehicle move, like the transmission, driveshaft, axle shafts, and wheels. The car’s engine is not covered in a drivetrain warranty.   
   
4. Named component warranties cover only the specific parts listed in the contract. Unlike a bumper-to-bumper warranty, which covers everything except what’s listed, a named component warranty details the items that are under warranty.   
   
5. Wrap policies extend a bumper-to-bumper warranty to cover the parts of your vehicle after the bumper-to-bumper policy has expired.