When you purchase a car you will be offered various options to in terms of features, which includes an extended auto warranty. Lots of car owners feel it is not really needed and look at it as an additional expense. But you should be aware of the benefits as well, in order to make a decision regarding it.
Benefits of an Extended Automobile Warranty
Paying for car repairs
Did you know purchasing extended warranties mean it can pay for itself after a major repair? Vehicle repairs are expensive, especially with sophisticated systems and technologies these days. By buying an extended auto warranty upfront, these unexpected costs don’t need to be paid out of pocket. The cost of one major repair may be more than you paid for your entire warranty, so you are saving some serious cash in the long run.
Protection after factory warranty ends
Since 2006, the average length of new vehicle ownership has increased almost 2 years. People are keeping their cars longer, driving them consistently over 100,000 miles and above. While most new vehicles come with factory warranties from the dealership, they are limited by the amount of miles or years of ownership. That is why you need an extended auto warranty so your vehicle is protected for longer.
Lock in savings for a new car
Just like life insurance, the cost of an extended warranty increases as a car ages. If you purchase this plan with your new car, it costs less than if you decided to purchase the extended warranty after your factory warranty ends. Sheridan Ford can walk you through all the different plans they have.
Increase resale value
If you do decide to sell your car before the extended warranty ends, the warranty is usually transferable for a small fee to the new owner. Since the warranty gives the buyer extra peace of mind when buying a used vehicle, it can increase the resale value for the seller.
Should you get it?
When determining if this type of warranty is feasible, you must look at a few of the finer points. For example, if the warranty covers only replacement parts but not time and labor expenses then perhaps obtaining this policy may not be a good investment for you since labor can be quite pricey. On the other hand, if the warranty includes all the necessary repair costs you could possibly imagine yourself having to pay in the future then getting the extended warranty would be a wise choice.
To put it in a nutshell, extended auto warranties are a great choice for the buyer who is on a fixed budget, wants to protect their investment, and not be surprised by costly repairs down the line.
Are you or anyone in your family looking for a new, or used car head on over to Sheridan Ford. Not only do they have a great selection of vehicles they will make sure they help you in every way they can.