My Fleep:
Automotive
Automotive
How To Shop For Auto Warranties
Shopping for auto warranties can be difficult if you don't
know how to evaluate the auto warranty contract. One of
the reasons car warranties get a bad rap is that people buy
them without reading the contract. Then, when a repair
isn't covered, their naturally upset. Yes, unscrupulous
companies will take advantage of a buyer who doesn't read
the contract before buying.
All auto warranty contracts are divided into several
sections and while the format may vary, they all contain
the same information. If all the information isn't in the
document, it's not likely a contract, but a sales brochure.
Make sure you're reviewing the auto warranty contract.
Most auto warranty contacts will have at least the
following sections: Definitions, Terms and Conditions,
Coverage, Filing a Claim, Service Department Guidelines,
Cancellation Procedure, and Exclusions.
Each section is important and you need to be able to
determine if a section is favorable or not. Once you have
evaluated each section, you're ready to make a decision.
Securing an excellent auto warranty can be easy if you take
this approach. With an understanding of auto warranty
contracts, there's no reason to depend solely on what
you're told by a salesman.
Let's look at the Definitions Section.
In this section you'll find the term "failure" and/or
"mechanical breakdown". Warranties providing less coverage
only pay for mechanical breakdown . These extended auto
warranties define mechanical breakdown as a defect in parts
and workmanship of the manufacture's supplied part, or a
defect that makes the part unable to perform the function
for which it was designed. It's reasonable to believe that
if a part was poorly manufactured, it will break within the
first few years when the vehicle is still under the factory
warranty. The broadest auto warranty coverage will also
pay for a failure of a part. Failure coverage includes
repairs needed because of wear-and-tear. Usually defined
as: "a failure will be deemed to have occurred when a
covered part has worn beyond the manufacturer's
tolerances". Mechanical breakdown extended warranties will
not cover repairs needed because a part's performance has
gradually deteriorated because of normal wear and tear,
unless a mechanical breakdown has occurred first.
Some companies don't offer failure coverage while others
only offer failure coverage until the vehicle reaches
50,000 miles.
Considering as much as 25% of all repairs needed are
because of wear-and-tear failures, this auto warranty
coverage is important. Extended auto warranties without
wear-and-tear coverage are often priced the same as those
that include it, so be careful and know what you're getting.
Last year there were 37 new companies selling auto
warranties and by the end of the year 28 were no longer in
business. How do you protect yourself? First, make sure
you are buying from a direct seller rather than a broker or
car dealership. There's no reason to pay the increased
price or assume the risk of a middleman when you can buy
direct from the warranty company. Second, make sure
they've been in business at least 10 years. If you do
these two things, you'll be in good shape.
----------------------------------------------------
For twenty-five years, Tom Andrews sold auto warranties and
insurance policies direct to consumers. He knows the
difficulties faced by consumers when buying auto warranties
and the scams that are waiting for them. Retired, he now
writes to inform consumers on how to get their monies'
worth and avoid scams. For more information on how to buy
auto warranties, go to:
http://www.auto-warranty-spy.com
Shopping for auto warranties can be difficult if you don't
know how to evaluate the auto warranty contract. One of
the reasons car warranties get a bad rap is that people buy
them without reading the contract. Then, when a repair
isn't covered, their naturally upset. Yes, unscrupulous
companies will take advantage of a buyer who doesn't read
the contract before buying.
All auto warranty contracts are divided into several
sections and while the format may vary, they all contain
the same information. If all the information isn't in the
document, it's not likely a contract, but a sales brochure.
Make sure you're reviewing the auto warranty contract.
Most auto warranty contacts will have at least the
following sections: Definitions, Terms and Conditions,
Coverage, Filing a Claim, Service Department Guidelines,
Cancellation Procedure, and Exclusions.
Each section is important and you need to be able to
determine if a section is favorable or not. Once you have
evaluated each section, you're ready to make a decision.
Securing an excellent auto warranty can be easy if you take
this approach. With an understanding of auto warranty
contracts, there's no reason to depend solely on what
you're told by a salesman.
Let's look at the Definitions Section.
In this section you'll find the term "failure" and/or
"mechanical breakdown". Warranties providing less coverage
only pay for mechanical breakdown . These extended auto
warranties define mechanical breakdown as a defect in parts
and workmanship of the manufacture's supplied part, or a
defect that makes the part unable to perform the function
for which it was designed. It's reasonable to believe that
if a part was poorly manufactured, it will break within the
first few years when the vehicle is still under the factory
warranty. The broadest auto warranty coverage will also
pay for a failure of a part. Failure coverage includes
repairs needed because of wear-and-tear. Usually defined
as: "a failure will be deemed to have occurred when a
covered part has worn beyond the manufacturer's
tolerances". Mechanical breakdown extended warranties will
not cover repairs needed because a part's performance has
gradually deteriorated because of normal wear and tear,
unless a mechanical breakdown has occurred first.
Some companies don't offer failure coverage while others
only offer failure coverage until the vehicle reaches
50,000 miles.
Considering as much as 25% of all repairs needed are
because of wear-and-tear failures, this auto warranty
coverage is important. Extended auto warranties without
wear-and-tear coverage are often priced the same as those
that include it, so be careful and know what you're getting.
Last year there were 37 new companies selling auto
warranties and by the end of the year 28 were no longer in
business. How do you protect yourself? First, make sure
you are buying from a direct seller rather than a broker or
car dealership. There's no reason to pay the increased
price or assume the risk of a middleman when you can buy
direct from the warranty company. Second, make sure
they've been in business at least 10 years. If you do
these two things, you'll be in good shape.
----------------------------------------------------
For twenty-five years, Tom Andrews sold auto warranties and
insurance policies direct to consumers. He knows the
difficulties faced by consumers when buying auto warranties
and the scams that are waiting for them. Retired, he now
writes to inform consumers on how to get their monies'
worth and avoid scams. For more information on how to buy
auto warranties, go to:
http://www.auto-warranty-spy.com