5 Important Questions To Ask For The Right Car Warranty

1. Do I need a warranty?

It is true that not everybody uses a warranty plan for their car and often this can lead to the question of whether the cost is justified in the first place or not. However, if you were to look at a warranty plan like you would do insurance for health or life, then you will realize that it can give you:

• Peace of mind.
• The ability to deal with unexpected repair costs.
• Repair facilities that you can trust.

2. What kind of warranty should I purchase?

Broadly speaking, you can choose between:

• Stated component coverage which will include specific components as stated in the policy.
• Comprehensive coverage which covers almost everything and states what is excluded from the policy.
• Power train coverage which covers the main components of your car without which it simply cannot run.

3. How do I find the right car warranty dealer?

It is most convenient for you to look online but you can also ask for referrals from people you know. Your online research should include:

• Reading information on the dealer’s website.
• Social media research.
• Finding more information on online forums and chats.

4. Who administers the plan?

This is an important question you should ask the dealer. In most cases, the dealer would have tied up with leading insurance companies so that you can rest assured about the veracity and reliability of the plan, the claims settlement process and so on.

The details of the administrators of the plan will be available on the websites of the dealers but even otherwise, you can ask for the same when you meet with their representatives.

5. What are the deductibles?

Every car warranty has different terms and conditions and it is a good idea for you to read the fine print on the same. For instance, the deductibles may be on a per repair basis or on a per visit basis. Some plans may not have deductibles at all.

For some plans, you may have to pay the repair bill upfront and then put in a claim for reimbursement of the same. Yet others may settle the bills directly when you go to a repair facility that is recommended. So, you may be restricted to availing the repair facilities of only the networked centers.

The above are the important questions that you must ask – either yourself or the dealer. It is also helpful to ask for more information because it is key to choosing wisely.