Is it worth buying extended car warranty?

Cars are becoming more and more reliable, with longer warranty periods. So the question is – is it worth buying extended car warranty?

These are 3 things to consider when deciding if buying an extended car warranty is right for you:

1. Type of car you own

If you own a more expensive or less reliable vehicle, then having your car under extended warranty coverage could pay for itself many times over in the event of a claim. 

2. Amount of driving you do

If you drive your vehicle infrequently, your risk of a failure naturally declines. However, if you drive your vehicle very regularly, it’s could prove very beneficial to have a car extended warranty.

3. How long you plan to own your vehicle for

If you are planning to hold on to your vehicle past the manufacturer warranty – it makes sense to get your car extended warranty cover. 

Currently, there are long wait times on new cars and increasing used car prices – so more Australian’s are holding on to their vehicle for a bit longer. 

Extended car warranty cover can help limit your financial risk and is transferrable to the new owner if you sell your car.

Is it worth it?

Purchasing an extended warranty offered by Auto Auto protects you against failure of the covered mechanical components, up to the market value of your vehicle, that would have been covered by the original manufacturer’s warranty if it had not expired. Issues not covered for your car by an extended warranty, include anything that isn’t a manufacturing defect such as wear and tear items and paint, panel and trim.

Repair costs are going up, in the event of a defect or failure – it doesn’t take long for your extended car warranty to pay for itself.