I’m confident that the majority of consumers out there would never be tricked into thinking that ALL repair expenses will be covered under their extended auto warranty. However, I hope you also understand that with some warranty companies, there may be a whole lot less covered than you originally realized. So here are some things to keep your eyes peeled for:
- Never assume that both parts and labor are covered. While they both should be, many times you’ll be caught off guard when handed a bill to cover part of the labor or maybe even all of it. And with hourly rates as much as $70 to $100 an hour, it can add up quickly.
- Never assume that car rental fees are going to be taken care of. This one expense alone can become very costly (especially for a lengthy repair or one where the warranty company is dragging their feet to pay), leaving you with a high out-of-pocket cost you’ll never see again.
- Never assume that just because a part isn’t excluded from coverage that it’s automatically covered. For example, most good warranties are “exclusionary plans” because it’s easier to list what’s not covered than going through everything that is. But, there are still ways around non-excluded items, such as only covering mechanical breakdown and not wear and tear.
Having an extended auto warranty shouldn’t cause additional financial stress, because that kind of defeats the purpose. That’s why at DCI Warranty Services our service agreements cover each of these 3 areas, so you never have to worry about being blindsided with additional expenses.
