One thing I’ve noticed when reviewing some extended car warranty contracts, is in the fine print that nearly everything is excluded. For instance, I was researching a new extended auto warranty company today and in doing so I decided to take a look at their most exclusive contract. This contract is supposed to mirror the manufacture’s contract and give you extended piece of mind. The part of the contract that I have found to look at first is the exclusions because if you only look at what is covered the wording makes it sound like more is covered than is really true. Here is a brief excerpt of the “exclusions” part of the contract.
Any repair required due to normal wear and tear. Repairs required due to overheating, regardless of the cause of overheating, or repairs required due to loss of fluids, regardless of the cause of the loss of fluids. These include, but are not limited to, loss of engine oil, coolant, transmission fluid, freon, power steering fluid, or axle grease. Repairs to be covered components that are performing the function for which they were designed……..Tires, battery, all glass, lenses, sealed beams, light bulbs, brake rotors and drums, shock absorbers, exhaust components, catalytic converter, charcoal canisters, door handle assemblies, speakers, telephones, televisions, AM/FM radio/cassette/CD players exceeding three hundred dollars ($300) repair or replacement costs, GPS/Navigation systems exceeding three hundred dollars ($300) repair or replacement costs, combination GPS/navigation amp; radio units exceeding three hundred dollars ($300) repair or replacement costs, DVD players, game centers, audio/video equipment, radar detectors, touch screens and/or voice activated accessories, voice recognition systems, safety restraint systems to include airbags and related components, fusable links and fuses, circuit boards, head light assemblies, tail light assemblies, shop supplies, hazardous waste charges, bolts, screws, nuts, washers…..
I would like to know what is covered. In defense of this contract, they do mention that repairs needed as a result of not properly maintaining your vehicle would not be covered. This makes sense to me; if you’re not going to take care of your car regularly then you shouldn’t get repairs covered. On the other hand, this contract also states that normal maintenance is NOT covered. So, what I’m getting from this is manufacture malfunctions are covered, but nothing else?
Remember to research different extended car warranties and read the excluded repairs before signing a contract.
- Find out how much of your repairs will be covered
- Read user reviews and ratings on different extended car warranty companies
- Call and discuss your needs with a reputable representative
