Is it an extended car warranty or an automotive service plan? When I was doing some research on extended car warranties I kept coming across automotive service plans during my searches. This intrigued me and I wanted to know what the difference was, if there was a difference. Turns out, no difference. There is a difference however between a car warranty and an extended car warranty or automotive service plan and this is where some confusion may set in for some.

When you buy a brand new car it is usually covered with a manufacture bumper to bumper warranty. This warranty covers nearly everything for the first three years or up to 36,000 miles, whichever comes first. Basically, this is to give the new car owner piece of mind  that when they are driving their brand new spiffy vehicle around that repairs or unforeseen malfunctions will be covered.

Now, an extended car warranty or automotive service plan, as it is also called, is great for the individual that keeps their car longer than three years or 36,000 miles, but still wants major repairs and maintenance costs covered or reduced. I find that this is a great way to keep your car running great without having to spend loads of cash on repairs or a new car. I think that in today’s economy people are finding that it is more feasible to keep the car they own maintained rather than buying a new car every few years.

There are many extended car warranty companies out there that offer great automotive service plans, but there are a few that will take advantage of your situation or try to hard sell you into buying a warranty that is not worth it’s weight in dollars. Check out some automotive warranty review sites before diving into an automotive service plan. Or call a representative and discuss your options.