Is It Worth Extending Your Car’s Warranty?

Have you ever wondered whether it’s worth extending the warranty on your car beyond its original duration? Lots of people have, yet few have an answer readily to hand. Most must go away and carry out a lot of time-consuming and confusing research, which is why we thought it might be easier to compile all of this information for you in a single article.

If you’re wondering whether an extended warranty could be of benefit to you, here is a brief summary of the many associated advantages…

Extended Car Warranties Explained

We’ll begin by explaining what an extended car warranty actually is. Available from companies like ALA, they are essentially an insurance policy, much like the one you might take out to cover the contents of your home.

Whether purchasing one is right for you therefore comes down to two things: your approach to risk, and the value of your vehicle. If you’ve bought a cheap run-around with a street value of £500, it probably isn’t worth taking out a warranty; if there’s more money at stake, however, it may well be a different story.

The Benefits of Taking Out an Extended Car Warranty

So what benefits are you weighing up when it’s time to make your decision? Here are just a few of them…

#1: Increased Longevity

Certain makes and models are notorious for not lasting very long, or are prone to well-documented problems with certain parts. This increases the risk of owning them, and means that their average lifespan is likely to be significantly reduced compared to other vehicles. If you want to avoid this, then taking out an extended warranty is a good idea, as it means any issues will be taken care of as part of your policy.

#2: Peace of Mind

Taking out an extended warranty will also give you peace of mind, in the same way that insuring your home, mobile phone, or laptop does. Unlike car insurance, none of these are legal necessities, but they’re beneficial all the same. If you appreciate the security of knowing that everything will be taken care of if you run into problems, then a carefully chosen policy may well be the perfect option for you.

#3: Economy

What’s more, the right warranty can arguably be an economic investment. Saving you the cost of repairing or replacing parts, the price of taking one out may well be lower than paying for such work yourself, and with over 50 percent of people claiming on theirs, there’s a good chance of it being a financially-savvy decision in the future.

Is an extended warranty the right option for you?

~ by velofinds on September 1, 2009.

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