Does Extended Warranty Start After Manufacturer Warranty?

These days, almost all dealers offer extended warranties to their customers. Since the average consumer keeps a car for about seven years and the factory warranty is for just 3 or 4 years, extended warranties were introduced as a necessity for car owners. They are an optional additional cost that might benefit some while others may be saving money by not getting an extended warranty.  This is something you might want to consider before you Schedule Service.

The most common questions dealers get is when the extended warranty starts.

This happens mostly for new cars. Used cars, do not have a manufacturer warranty in most cases, depending on their age. For new cars, it can be a bit confusing. Some people think of extended warranties as something on top of the manufacturer warranty. In reality, extended warranties are very easy to understand. In fact, the most common case is for an extended warranty to start when the manufacturer warranty ends. This offers several additional years of coverage but the terms might be a bit different.

Some extended warranty programs allow the user to decide when it starts.

For example, a new car may come with a three-year warranty. The owner may decide after 4 years to get an extended warranty. Most dealers are flexible about extended warranties and may offer them after the purchase or after the manufacturer warranty expires. When getting the extended warranty from day one, what will end up happening is having a factory warranty for a longer period of time and for a small additional cost.

All these extended warranty programs can have different variations.

The best approach is to talk to the dealer to understand the details, what is covered and how much it costs. Even a used car owner may be eligible for an extended warranty. Because they offer similar coverage to manufacturer warranty, it does not make much sense for the extended one to start before the manufacturer one expires.