Car warranties come in all shapes and sizes. They can broadly be categorized under five major types which include bumper-to-bumper, powertrain, corrosion, emissions control, and accessory warranties. All these components are covered under the factory warranty program that most manufacturers offer with a new car and the duration for this coverage can vary from one to five years depending on the brand and the vehicle's segment.

Types of Warranties

After the factory warranty ends, you can opt for additional coverage. But no matter what kind of coverage it is that you opt for, always remember to look at the terms and conditions. Specifics may from based on your warranty provider so being aware of what your warranty offers can help you greatly in the long run.

Companies have come up with creative ways to make their warranty programs seem more attractive. For instance, some companies offer separate hybrid and battery warranties, Subaru even offers a lifetime "seatbelt coverage". Extended warranty providers like Endurance offer warranty plans that include routine maintenance for a hassle-free experience.


Types of Warranties on Cars

Details

Bumper-to-Bumper Warranty

This is the most comprehensive type of protection, covering most vehicle systems and parts. Routine maintenance services and wear-and-tear parts are not included.

Powertrain Warranty

This covers the parts of the car that make it move, including the engine, transaxle, driveshaft, transmission, and front- and rear-wheel drive systems.

Rust and Corrosion Warranty

This type of car warranty covers repairs or replacements of rusted-through body sheet metal.

Federal Emission Control or California Emission Control Warranty

The federal government requires automakers to offer a limited warranty on many emission-related parts. California has additional emissions laws, which many other states also elect to follow.

Accessory Warranty

A wide range of original equipment manufacturer (OEM) auxiliary components are covered, like airbags, sound and navigation systems, and seat belts. Sometimes, safety features are broken out into their warranty.


After the factory warranty ends, you can opt for additional coverage. But no matter what kind of coverage it is that you opt for, always remember to look at the terms and conditions. Specifics may from based on your warranty provider so being aware of what your warranty offers can help you greatly in the long run.

Companies have come up with creative ways to make their warranty programs seem more attractive. For instance, some companies offer separate hybrid and battery warranties, Subaru even offers a lifetime "seatbelt coverage". Extended warranty providers like Endurance offer warranty plans that include routine maintenance for a hassle-free experience.

Where Can You Buy An Extended Auto Warranty?

With new vehicles fitted with increasingly complex and expensive electronic systems, extended warranty programs are growing in popularity. Apart from the extended warranties offered by the manufacturers, there are a plethora of options available from third-party vendors.

Manufacturers generally require you to buy an extended warranty before the car's original factory warranty runs out. A factory warranty can last anywhere between 3-years to 5-years which gives people plenty of time to make a decision. However if you want the flexibility to opt for an extended warranty beyond that period or want more options and added benefits with your extended warranty, a third-party warranty might be a better bet.

Factory Vs. Independent Extended Warranty Coverage

Manufacturer Warranty:

All established auto manufacturers offer extended warranty programs and they insist their plans are the best suited for the vehicle and promise to offer a hassle-free experience when you do run into a problem. They can also be added at the time of purchase making it the least cumbersome option when it comes to extended warranties however you will end up paying interest on it if you go for any form of financing at the time of purchase. So consider a manufacturer plan in cases where you plan to pay for your car upfront.

Third-Party Warranty:

Third-party warranty providers just like any other policy tend to make their plans more attractive, at least on paper, by offering added benefits such as the convenience of choosing your preferred repair shop, affordable plans with flexible payment options, the ability to opt-in even after the manufacturer's factory warranty runs and more which isn't something that a manufacturer cannot match by design. However, processing claims and tying up with your local repair shops might not be as seamless an experience as the one offered by a dealership. So consider a third-party warranty only after studying the claim process and speak to your nearest repair shop for the best possible results.


Manufacturer Warranty

Third-Party Extended Warranty

Shorter periods of coverage

Limits up to 250,000 miles, plus specific typesof warranties on cars over 100,000 miles

Generally offers two to three plans to choose from

Usually between four and six plans to choose from

Repairs can only be made at dealership service centers

Drivers can choose any certified repair facility, including dealerships

May or may not come with added perks

Reputable extended car warranty companies offer added perks like roadside assistance, towing, and rental car reimbursement


Endurance:

- Endurance offers Coverage for cars up to 20 years old which makes it ideal for used car owners.

- Offers hassle-free inspection after which the claim can be filed, making the entire process foolproof

- They aim to ensure that you don't miss minor details which might cause you trouble in the future.

- They offer membership benefits.

CARCHEX:

- An established player with over two decades of experience.

- Offers coverage for cars with up to 250,000 miles makes it perfect for high mileage vehicles.

- They offer a wide range of policies some of which offer industry-leading claim filing processes.

- A+ rating from the Better Business Bureau.

Protect My Car

- Protect My Car is one of the top consumer-rated warranty providers in the business backed by high BBB.

- They offer combo plans that include maintenance packages along with the added warranty.

- Offer added services like Oil changes and tire rotation.

- Coverage for older vehicles and long-term payment options.

Used Car Warranties And CPO Warranties

Numerous vehicle brands offer Certified Pre-Owned vehicles (CPO) choices. These are vehicles that have been assessed and restored to near-factory condition by the manufacturer. For example, Hyundai’s CPO program lets a secondary buyer enjoy the full terms of both bumper-to-bumper and powertrain coverage. So, a two-year-old CPO Hyundai would have three years left on the bumper-to-bumper warranty and eight years left on the powertrain warranty. However, if the Hyundai is not CPO but just used, the next owner will only get 5 years or 60,000 miles on the powertrain warranty from the start date.