Auto Repair Insurance vs. Extended Car Warranty Benefits
Blog > Auto Repair Insurance vs. Extended Car Warranty Benefits
Dealing with unexpected auto repairs can be stressful (not to mention expensive!), which is why many drivers choose to purchase auto repair insurance or extended car warranties as a way of alleviating their worries. Auto repair insurance provides coverage for mechanical breakdowns and saves drivers from bearing the cost of major repairs like a blown engine or transmission. An extended car warranty typically goes into effect after the manufacturer’s warranty expires and offsets repair costs. Although these services are similar, determining which one you need depends on a variety of factors.
One benefit of auto repair insurance is that payments are made over time. This is ideal for those who don’t want to finance the cost of an extended car warranty which is taken out in the car loan. However, extended warranties are negotiable, making it an ideal choice for those who excel at bargaining. Prorated refunds are generally available with extended warranties.