Warranty Value Calculator Calculator
Frequently Asked Questions
Are extended warranties worth the cost?
Extended warranties can be worth it if: the vehicle has a history of expensive repairs, you plan to keep it beyond manufacturer warranty, you drive high mileage, or the warranty cost is less than expected repair costs. However, many extended warranties are overpriced relative to actual repair risk. Calculate expected repair costs vs warranty cost.
How much should an extended warranty cost?
Extended warranties typically cost 8-12% of vehicle price. For a $30,000 vehicle, expect $2,400-$3,600 for a 5-year warranty. Dealer warranties are often 30-50% higher than third-party providers. Shop around - reputable third-party companies often offer similar coverage for less.
What's covered by extended warranties?
Coverage varies by type: Bumper-to-bumper (most comprehensive, 80-90% of repairs), Powertrain (engine, transmission, drivetrain only, 30-40% of repairs), Comprehensive (major systems, 60-70% of repairs), Basic (limited coverage, 40-50% of repairs). Always read the fine print - many warranties exclude wear items and have deductibles.
When does an extended warranty make sense?
Extended warranties make sense if: you buy a vehicle with known reliability issues, you drive 15,000+ miles/year, you plan to keep the vehicle 5+ years, you want peace of mind, or the warranty is reasonably priced (<10% of vehicle value). They're less valuable for reliable vehicles or if you trade frequently.
