What Does a Car Warranty Cover

Mar 25, 2021Auto0 comments

You’ve been saving up for that dream set of wheels, and the day has finally come to drive it off the lot. Whether you’re buying a brand-new vehicle or a reliable used one, unforeseen vehicle issues are bound to arise. Will you be covered when they do? No matter where you are in the buying process, or if you are already a vehicle owner, this is a key question to ask yourself.

Warranties are available for products both big and small, across a variety of industries. Purchasing a warranty means that the manufacturer or warranty company will repair, replace, or provide a monetary sum to cover you should certain parts become faulty or stop functioning altogether. So, what does a car warranty cover? We’re here to tell you exactly that (and more)!

What is the purpose of a car warranty?

Car warranties were created to help ease the minds of drivers everywhere. Repairs and full replacements of vehicle parts can be prohibitively expensive. When you purchase a car warranty, it usually provides you with coverage for a specified number of years or miles, whichever comes first. That means, through the indicated timeframe, if any major parts break, you won’t have to pay outrageous amounts to fix them. Before investing in a warranty, whether it’s through a manufacturer or a third party, make sure you understand exactly what that specific car warranty covers.

There is a big misconception that having car insurance is the same thing as having a car warranty. It is not. In fact, they are two very different forms of protection. Car insurance protects you from vehicle damage caused by an accident, fire, or other disasters. On the other hand, a car warranty protects you from having to cover high out-of-pocket costs due to equipment failures, breakdowns, and overall mechanical issues.

What type of car warranties are available?

What type of car warranties are available?

Factory or Manufacturer Warranty

  • The factory or manufacturer warranty comes from the carmaker itself. Factory warranties provide a guarantee from the initial car manufacturer to repair or replace the most critical components of the vehicle should there be a mechanical problem. There are a few types of warranties that fall under this category:

Powertrain Warranty

  • Powertrain warranties cover the major parts of your car that allow it to drive properly like the engine, transmission, and other critical components.

Bumper-to-Bumper Warranty

  • The most all-inclusive coverage provided by a manufacturer is the bumper-to-bumper warranty coverage. This includes pretty much all vehicle systems from the front to the rear bumper. The average bumper-to-bumper warranty covers the vehicle for three years or 36,000 miles, though some car companies like Kia and Hyundai offer an attractive coverage plan for ten years or 100,000 miles.

Corrosion Warranty

  • This type of auto warranty covers necessary repairs due to premature rust and corrosion of the car’s body paint or metal.

Extended Warranty

  • An extended car warranty helps continue coverage for your vehicle past the expiration of the manufacturer warranty. It is important to note, however, that the policies for these warranties can vary tremendously, and may or may not match what was covered previously.

How do car warranties work?

Within each type of car warranty, there are a number of unique coverage plans, depending on your budget and the scope of what you’d like covered. The American First Auto Protect online warranty form is a great tool to compare pricing and coverage options across several warranties. When you’re ready to buy an extended warranty, use it to get a free customized quote based on your vehicle’s make, model, year, and mileage.

What’s Included

While each policy varies, the majority of warranties cover:

  • Engines
  • Transmissions
  • Electrical mechanisms
  • Heating and cooling systems
  • Steering parts

What’s Not Included

Again, this may vary depending on the manufacturer or third-party warranty company, however, typically, the following normal wear-and-tear items are not included:

  • Tires
  • Seat leather or fabric
  • Windshield wipers
  • Brake pads
  • Headlights


How do car warranties work

Is it worth having a car warranty?

This is one of the most common questions new vehicle owners have. While auto warranties may feel like a big investment, they can save you thousands of dollars-worth of repairs (and an immeasurable amount of stress) in the long-run. When you work with a third-party auto warranty provider like American First Auto Protect, it’s easy to see that the benefits make the cost well worth it. Here are just a few:

  1. You will have peace-of-mind knowing that you are always protected, no matter what unforeseen mechanical issues may arise over the life of your vehicle.
  2. If you’re unsatisfied for any reason, all plans have a 30-day money-back guarantee.
  3. All American First Auto Protect warranties cover repairs made by any ASE-Certified mechanic across the U.S.; so, you’ll never be limited when it comes to fixing covered parts.
  4. You have a variety of flexible, customizable plans to choose from, so sticking to your budget is actually possible.
  5. With more than 14 years of experience, American First Auto Protect is the expert in securing extended warranty coverage for its customers through a quick, comprehensive, and painless process.

Are you considering purchasing a car warranty? It’s important to be educated about all the options available to you. When reviewing rates, make sure you compare the scope of each coverage policy to fully understand what it entails. Contact our team of experts today, and we’ll tell you everything you need to know!


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