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Auto warranties can be purchased from several
different sources. Each provider has pros and
cons so it pays to carefully consider which is
best for your situation.
Car dealers offer warranties that can be used
at dealership repair facilities across the country.
They may or may not be backed by the manufacturer.
Either way, the dealer tends to be the most expensive
option. Dealer plans also provide less flexibility
about where the plan may be used.
Independent warranty companies are a lower cost
alternative (up to 60 percent less than manufacturers’
plans) and offer a wide range of options. The
downside is that many of these companies have
questionable reputations because they do not pay
claims. Worse, some of these companies have gone
out of business.
Warranty brokers offer the lower cost associated
with direct warranty providers. The consumer often
pays less because the broker negotiates volume
discounts for customers. Further, they are in
a unique position to find the best fit for your
situation by representing a wide range of products,
one of which is bound to serve your specific needs.
For more information:
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Auto Warranty Plans
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