Not all car warranties are the same especially ones sold by car dealers.
One key difference is “mechanical breakdown” versus “wear and tear”. For example, the extended warranty sold by car dealers is a mystifying mechanical breakdown insurance policy that will cost over $4000. But you need both “wear & tear” AND “mechanical breakdown” coverage in your contract. Many items wear down, they do not break so they’re not covered by most mechanical breakdown warranties.
Some car dealer warranties require you have them do all repairs, but the coverage doesn’t include reimbursement for towing. What if you are unable to get your vehicle to the dealer? It’s the fine print in a warranty contract that most people don’t read until it’s too late.
Before purchasing a vehicle service contract review what’s covered and not covered to determine if damage claims are excluded from coverage. Make sure you’re getting the coverage you expect so when you need a repair you’re not getting more surprises than you need…like a big, fat repair bill.
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