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Extended Auto Warranty Insurance

Every time you decide to buy something you buy it and you know it will work the first time you use it, and for a decent number of times after that first one, or for a certain period of time at least.

Almost everything that you buy comes with a warranty in case the product stops working so that you'll get it fixed or replaced.

Obviously the same applies to cars: manufacturers or third party companies offer similar warranties: usually the first three years or 36000 miles, whichever comes first, are covered by the factory warranty.

After this initial warranty expires the repair costs are on you for everything, from the smallest things to the most expensive ones.

An extended car warranty can help you avoid paying for extremely costly repairs after the manufacturer warranty has expired.

Third party warranties are usually cheaper than those sold by the dealer (that are third party warranties as well, but dealers add their hefty commission in your price).

Warranties extensions are often sold as insurance policies. The warranty will pay for any repair that the car might need and that is covered in the warranty contract.

Extended warranties are usually rather expensive but well worth the price if a single major breakdown happens to your car. Purchasing extended warranties only by the way cuts the prices enormously.

Services like towing, forced hotel stays or car rentals due to a breakdown are often covered by the warranty company.

There are many companies that offer extended warranties on cars, click here to see the top five car warranties for the last month (updated monthly).