A warranty is a guarantee made to the consumer by the seller for a product that is sold. When a warranty pertains to a car, it is a contract that will provide coverage for the cost of repair and replacement of specific parts of the car for a certain amount of time.

New car warranties offer a variety of benefits. When a consumer purchases a car from a manufacturer, they receive a guarantee that if there are problems such as mechanical failures or defects, the cost to replace or repair those parts will be covered by the warranty. There are two types of new car warranties. The power train warranty covers the parts of the car that make it run, while a bumper-to-bumper warranty covers the parts of the car from the back bumper to the front bumper.

New car warranties provide motorists with peace of mind when they get those daunting repair bills from their mechanic.

It is wise to buy an auto warranty when investing in a new car. New car warranties can provide four kinds of coverage for your car:

1. The first kind of coverage that you can receive is basic coverage, or a bumper-to-bumper warranty. This kind of warranty provides coverage for the parts of the car from the front bumper to the back bumper.

2. Another kind of coverage that you can receive is a power train warranty. This provides coverage for the parts that make the car run. Such parts include the engine, the driveshaft, the drive axels, and the transmission.

3. In addition, your auto warranty can cover corrosion and rust. This will cover the rust-through problems that you may encounter later on.

4. A final kind of coverage that you can receive is roadside assistance. This is a service that may be given to you when your basic warranty is active. It offers professional assistance when you find yourself stranded on the side of the road due to a vehicle breakdown. It offers many beneficial services such as lockout assistance, refueling assistance, flat tire assistance, and towing.

If you wish to become even more familiar with the details of the coverage that come with your auto warranty, look at your warranty booklet or owner’s manual. If you still do not believe that you are receiving enough coverage and that you want more, it is smart to purchase an extended auto warranty for your car that will suit all of your needs.

There are many extended car warranty programs to choose from but it can be a bit tricky to find a “reputable” plan to suit your needs. The best way to choose a reliable extended car warranty program is to find a company that makes the following criteria…

1. Make sure the company is in business for 10 years or more. This assures you that they are not only in the business of selling coverage but also successfully paying claims.
2. You want to choose a company that has an A+ rating with the Better Business Bureau and perhaps more importantly, is accredited by the BBB which holds them to a much higher standard of excellent business practices and customer service.
3. You want the warranty program to be directly underwritten by a US-based insurance carrier holding at least an A rating with an industry rating service such as AM Best or Standard & Poors. This will assure you that if any part of the claims administration process fails the underwriter will directly pick up all claims if needed.

There are also many different levels of coverage available for your vehicle. These levels are Power train, Major Component Plus, High-Tech Component, Component Type Bumper-To-Bumper, or Exclusionary Bumper-To-Bumper coverage. Depending on the age and mileage of the vehicle all or most of these levels could be available. It is important to look through the different levels of coverage for any companies you are considering side-by-side to make sure that you are purchasing the best coverage available for your needs. Do not rely on plan names such as Platinum, Elite, or Gold as they do not always correctly define the level of coverage you are purchasing. Some less than reputable companies will take a very basic plan and label it with a very fancy name. You want to look at the actual list of what is covered to make sure you are getting what you’re paying for.

All in all, an extended car warranty is an excellent investment and can save you thousands of dollars over the term of the coverage. To begin researching the different types of coverage you can visit Auto Advantage and see what the choices are. It is a great idea to fill out the quote request form and let them send you the specifics including coverage details and pricing.