Every new car comes with a factory warranty — but those don’t last forever. Rather than protecting your vehicle in perpetuity, most factory warranties for cars last a certain number of miles or years. And once you pass that threshold, you’ll have to pay for any repairs out-of-pocket. Unfortunately, those repairs can be costly depending on what kind of malfunctioning we’re talking about.

That’s why many people opt for extended car warranties; they help vehicle owners avoid substantial repair costs. However, not all car warranty providers are created equal — you need to choose one carefully if you want to get the best possible deal. With that in mind,

Choosing The Right Coverage

The first thing you need to do is to choose the coverage you need. There are different extended auto warranties. And while most of them are designed to cover the costs of malfunctions due to general wear and tear, not all apply to all car components. So, you need to see which parts will probably need fixing and find the right plan that provides adequate coverage.

For instance, choosing a drivetrain warranty means getting coverage for many vital components, like your drive axle, transmission, drive shaft, transfer and differential case, etc. However, that coverage doesn’t include the engine. If you want the extended warranty to cover these parts, you’ll need a powertrain warranty.

There are also exclusionary warranties, which define the covered parts differently — they cover all parts except those specifically mentioned in the contract.

As a general rule, more coverage means a higher price tag—but that’s something to be expected with any insurance or warranty.

Ensure The Warranty Provider Suits You

Next, consider whether your warranty company is an excellent fit for you in practice. For instance, if they don’t work with mechanics near your area, that might make using the warranty impractical and cumbersome. Also, see whether the warranty providers cover cars that match your vehicle’s mileage, make, and age.

Learn if there are any maintenance requirements, like oil changes — and whether those make sense considering your overall budget.

Read Online Reviews

Whenever we look for any product or service provider, what’s the first place we turn to? That’s right — the Internet. Sure, word-of-mouth and advice from your brother-in-law still count for something, but even if you get a recommendation, you’ll probably check out the company online and see what other people say about it.

It’s only logical — there are scammers and malicious actors in every industry, and car warranty providers are no exception. You can’t just trust the company’s marketing and website; you must be sure you’re giving your hard-earned money to a bona fide warranty provider.

That’s why reading every auto warranty review you can get your hands on is so important. These will help you learn more about how the company functions in practice and whether it treats its clients well. Whenever you find a company you think might be a great fit, make sure to read reviews that outline their claims process, customer service, and payment options.

Ideally, you want to hear from people who drive a car similar to yours and live in your general area — but that might be a tall order. If those aren’t available, look at the reviews posted by any past customers and try to get a feel for the company.

However, looking out for fake positive and unrealistic negative reviews is also essential. While we say that the “customer is always right,” that’s not always the case. Sometimes people’s grievances are unfounded, and they vent their frustrations through a particularly scolding online review.

On the other hand, companies realized how important online marketing was years ago — these days, they invest millions of dollars into online ads, top-notch website designs, and even fake reviews. Some people are paid to write fake positive reviews to prop up a company’s brand value on the Internet, so you should also try to get past those.

The bottom line is, read every review — don’t just rely on a 1-5 star score because it might not be realistic or representative of the actual customers’ experiences.

Get A Bunch Of Quotes

You want to get the best possible deal when you’re looking for an extended car warranty. With that in mind, never go for the first warranty provider that gives you a quote. Instead, get a bunch of quotes and compare them first.

That way, you’ll get a market context and know what a great deal is. You won’t find many providers that post prices for car service contracts online, so the only way to know the actual prices is to get an offer.

Also, before you sign an extended warranty contract, read it thoroughly and see what the fine print says; don’t rely on any pamphlets or brochures you’ve been given before, as the contract is the only legally binding thing here.