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Learn more about auto warranties with detailed research, rankings, and guides to protect your vehicle
Car warranties are contracts provided by automakers and third-party companies that give coverage for repairs and maintenance due to mechanical breakdowns
An extended car warranty is an optional vehicle protection plan that covers certain car repair and replacement costs due to a mechanical failure or breakdown
Whether bought from an automaker or a third-party provider, a car warranty covers expensive repair costs caused by defective parts or faulty workmanship
Car warranties are subject to some federal regulations, as well as laws that may vary by state. We cover a few of them below.
Passed in 1975, the Magnuson-Moss Warranty Act is a United States federal law. It allows the Federal Trade Commission (FTC) to establish disclosure laws and other regulations around warranties. It doesn’t require products to carry warranties, but those that do must comply with federal regulations.
This law created the distinction between warranties and service contracts. While warranties affirm the quality of a product, service contracts do not. Service contracts are simply agreements between two parties that one agrees to repair or replace a product or parts of that product. This is why the official terminology for most extended auto warranties is actually VSC.
States have their own regulations about vehicle warranties and product quality. In the used car world, “as-is” refers to a car being sold in its current condition with no agreements to fix anything prior to sale and with no responsibility on the seller to fix anything after the sale.
An “as-is” warranty means that a car either comes with a warranty or it doesn’t, depending on whether it currently has one. In this case, the seller offers no additional warranties or VSCs as part of the sales agreement.
While not a kind of warranty, a lemon law offers protection for consumers who have purchased “lemons,” or vehicles that have major manufacturing defects that result in the frequent need for repairs. These laws typically cover new cars, but in some places they also cover some used cars.
Endurance, Toco, autopom!, Everything Breaks and Omega Auto Care are the best extended car warranty providers based on coverage, cost and customer service
Owners can pick from seven different CarShield coverage plans that range from bumper-to-bumper extended warranties down to basic powertrain coverage
Our team gave Endurance 4.6 out of 5 for its superb coverage plans, while Carchex earned a 4.4 based on its strong auto industry partnerships
The Audi extended warranty, known as Audi Pure Protection, covers up to 10 years or 120,000 miles and offers exclusionary, mid-level and powertrain options
At MarketWatch Guides, we aim to help readers make informed decisions about how to spend and save their money. We spend hundreds of hours researching the products and services we cover and recommend multiple reliable companies in each category, allowing consumers to choose the brand that is right for their situation. Our key principles are below.
The average electricity bill for U.S. homes is $137 per month, adding up to $1,644 in annual energy costs.
The Chevy factory warranty gives new vehicles bumper-to-bumper coverage for 3 years/36,000 miles and powertrain coverage for at least 5 years/60,000 miles
Mechanical breakdown insurance is an optional coverage that provides protection for repairs not typically covered by standard car insurance
Porsche maintenance costs are higher than average, so drivers should prepare to pay for expensive maintenance and pricey repairs if their cars break down
An EV extended warranty provides continued protection for your electric vehicle’s battery and other key parts after your factory warranty expires
The Lincoln extended warranty comes in four coverage plans which pay for car repairs after defective parts fail for up to 10 years or 175,000 miles
A Jeep extended warranty can cover your vehicle for up to 8 years or 125,000 miles and offers complimentary roadside assistance.
Mopar offers three options for Alfa Romeo extended warranty coverage, with one tier protecting the brand’s vehicles for up to 8 years/150,000 miles.
