Not all warranties are created equal. Some people, when they purchase an extended warranty, go for the gusto and get as much coverage for their car as they can. Others might decide to spend a little less, and go with an auto powertrain warranty.
What does that mean? That is a warranty that covers only the powertrain of the vehicle – the engine, the transmission, and the drive train. Nothing else would be covered.
Why might that be a bad idea? If you have a newer car that you want to keep driving for many years, you might find parts failing that are not covered by your warranty, costing you hundreds or thousands of dollars in non-warranty repairs.
Why might it be a good idea? If you know your car, and the make, model and year you own is susceptible to little but powertrain issues, you might be smarter to pay for only the services you think you are going to need.
So why pay for a full bumper to bumper warranty if you strongly suspect you won’t need it? Instead, just cover the most expensive repair scenario with an auto powertrain warranty. Everything else on your particular car might be okay without the coverage.
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