How Does A Vehicle Warranty Work?

Automobiles are incredibly expensive and they can cost a fortune to repair. It is for this reason why warranties are so important and why every motorist needs to know if they have coverage, how long the coverage lasts and what their options are when it ends. A warranty is an insurance policy that will cover the cost of repairs if there were to be any mechanical or electrical issues. These can occur at any moment so it is important to always have coverage.

Manufacturer & Extended Warranties

Brand new automobiles will be covered by a manufacturer warranty where the cost of repairs and labour will be met by the manufacturer. These warranties usually last for three years or 60,000 miles (although sometimes longer), after which the motorist has a decision to make. They can either start motoring without a warranty in place and risk having to pay for labour, parts, recovery, onwards travel etc if they break down or they can take out an extended warranty. An extended warranty will provide coverage with the associated costs of a breakdown being covered by the provider of the policy.


When you consider that mechanical and electrical issues can occur at any moment and they can be incredibly costly to fix, most would agree that an extended warranty is a smart investment once the original manufacturer warranty expires. In addition to the financial advantages, this can also give you peace of mind when behind the wheel. As with any type of insurance, no two policies are the same and it is important to shop around to get the best deal and a comprehensive level of cover.

Where to Find Good Policies

You may be offered an extended warranty when you purchase a used car but you are much better off shopping at a specialist where you can get brand specific cover, such as BMW warranty. This will provide the best and most flexible cover with fewest exclusions. Typically, you will want component such as engine parts and labour, timing belts, turbocharger, cooling, fuel system and drivelines covered, plus there should also be additional features like the cost of a hire car covered or money for onwards travel.

Driving with a warranty in place is intelligent because mechanical and electrical issues can occur at any time. Additionally, the cost of repairs can be extremely high particularly when the automobile has specialist parts or a lot of technology. If the original manufacturer warranty has ended then it is highly worth looking into taking out an extended warranty.


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