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Stay Within Budget By Buying an Extended Car Warranty

Family-CarYear after year, the average cost of driving a car keeps on rising. In 2010, driving 15,000 miles per years means spending at least $400 more than last year due to the increasing costs of fuel, insurance and tires. As the cost of paying for wear and tear in a vehicle rises, it might be a wise choice for car owners to buy an extended auto warranty to stay within their budget.

The American Automobile Association has released its annual “Your Driving Costs” report, which showed that driving a new sedan in 2010, running at 15,000 miles per year, costs $8,487, up by $392 compared to 2009. The increase is much higher for gas-guzzling SUVs, which rose to $11,085 annually, an increase of $826 compared to last year.

Of course, the costs computed by the AAA are the averages, which mean some car owners may pay significantly higher than that. Such uncertainties may send shivers down the spine of some motorists who strictly follow a monthly budget, for instance, and who does do not want to be surprised by unexpected monthly bills.

Car dealers usually provide a limited warranty for tire repairs, replacements, or adjustments, but only if the problem is factory-related. What happens after that period, including defects due to wear and tear, becomes the responsibility of the owner. Average tire prices range from a little less than $100 to $250, and the price fluctuates with swings in oil prices.

An extended auto warranty makes sure that any wear-and-tear-related claims are covered, and that motorists pay a fixed annual cost, sparing them from worrying too much that an unexpected car breakdown might ruin the family budget.

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By |2017-05-28T05:21:40-05:00January 10th, 2011|Auto Warranties|

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