Buying a used car that comes with an extended warranty for used cars is a cost-friendly way of owning your dream car. In the modern era where manufacturers are updating their models every year, you can save a big chunk of your budget by choosing to purchase the older version.
On most occasions, the car manufacturers run a car generation for several years, only making slight changes to the appearance and performance of the latest model with everything else remaining the same. For example, the BMW i3 has been in the market since 2014 with the manufacturer making slight changes every year.
The BMW i3 2014 model featured all-electric four seats, carbon fiber reinforced plastic and aluminum construction and a three-hour recharge time on level 2 service. The 2015 model saw the introduction of heated seats and DC fast charging while the 2016 model witnessed the introduction of a new sports edition.
The 2017 model was refreshed with a new power moonroof and higher capacity battery pack that ensure longer use. The 2018 BMW i3 Model came with greater changes that included an updated styling and a new performance-based i3s trim. The 2019 version had the least changes, with the notable difference being the introduction of bigger battery boosts with a range of up to 153 miles.
The current listing price for the BMW i3 generation include
- 2020 Model – $44,450 to $51,500
- 2019 Model – $29,607 to $58,545
- 2018 Model – $19,374 to $38,682
- 2017 Model – $17,168 to $26,976
- 2016 Model – $14,873 to $22,517
- 2015 Model – $13,324 to $21,256
- 2014 Model – $12,087 to $18,171
In the case of the BMW i3, you will save more if you purchase the 2014 model as it is available at a fraction of what you would pay for the 2020 model. Opting for the 2014 BMW i3 model would help you save up to $32,363, but you will have to give up on the latest styling and upgrade the 2020 model offers, including a bigger capacity battery.
If you do not mind the latest upgrades, you can enjoy the performance and reliability of the BMW i3 without stretching your budget by opting for one of the older versions.
However, since earlier models are likely to experience frequent repair issues, you should safeguard your peace of mind with a BMW extended warranty. An extended warranty for BMW cars comes in Platinum, Gold and Powertrain Plus options covering up to 7 years and 100,000 miles.
Why Should You Consider Extended Warranty For Used Cars
When viewing a used car, you will tend to question yourself the reasons why the seller is selling the car. The question of whether the used car has a technical or underlying problem that would cost you a lot to repair is usually at the back of the mind of every buyer.
Even with thorough mechanical inspections, the worry remains a reality, which makes getting an extended used car warranty a no brainer. The warranty ensures that your car remains protected for a specific period to cushion you from costly repair trips to the repair shops.
A good extended warranty for used cars should go beyond the benefits of a standard manufacturer warranty, extending the cover for a longer period. It should also provide you with the same protection that you get with a new car depending on your choices.
Some extended car warranty companies have plans that offer more coverage than what you can get with a manufacturer warranty. Therefore, it is beneficial to compare the benefits provided by different plans and providers before purchasing an extended cover.
While the price of the cover remains a critical selection factor for most used car buyers, you should compare the benefits every time you get a warranty quote. A top used car warranty quote should go the extra mile to give you the confidence you need to go further day or night.
The extended warranty for Range Rover is an excellent example of what every company should offer. The Range Rover warranty offers you expert protection for your investment and peace of mind irrespective of your lifestyle.
The highlight of a Range Rover extended warranty is that it offers protection even while you are abroad. It furthers provides comprehensive coverage against electrical and mechanical failures, genuine land rover parts, unlimited claims and the option to include land rover assistance. The warranty covers engine components, catalytic converter, gearbox, diesel injection systems and Axles and transfer box, among others.
Best Extended Warranty Provider For Used Cars
1) GM Extended Protection Plan
GM extended protection is a policy that covers General Motor cars, including Chevrolet, GMC, Buick and Cadillac. The warranty extends the benefits of the bumper-to-bumper warranty.
You can also purchase it for any GM used car that has the original warranty coverage still in effect, which means that the car must be less than three years to qualify in the case of GMC and Chevrolet and four years for Cadillac and Buick. The car should also have less than 48,000 miles to qualify, but the miles vary by brand. The warranty comes in two categories of Silver and Platinum.
2) Chrysler Warranty Direct
This cover is for Chrysler, RAM, Dodge, Alfa Romeo, Jeep and Fiat vehicles with less than 125,000 miles. The company sells Mopar Vehicle Extended Contract plans that include Maximum Care, Added Care Plus and Powertrain Plus.
- Towing and roadside assistance
- Trip interruption protection
- Car rental allowance
- Personalized plan provisions
- One-time plan transfer
Added Care Plus covers the engine, driveline, transmission, steering, electrical, brakes, suspension, air conditioning and instrumentation, among other essential components. Maximum Care is a comprehensive cover that covers over 5000 parts providing your vehicle with virtually complete mechanical coverage.
What Should You Look For In A Used Car Extended Warranty
- Diagnostic fee – You should keep in mind that finding a problem can be costly than fixing the issue. A top warranty should cover diagnostic fees to protect your budget from the not so obvious issues.
- Repair – As the usage years increase, tear and wear will increase the likeliness of repairs. Your cover should not only cover the fee for repairs, but it should also include the cost of tools that need to be replaced.
- 24/7 roadside assistance – What happens when your car breaks down at night? If you have a flat tire or get locked out of your car, your car warranty should be able to give the necessary assistance irrespective of the time of occurrence. It is even great if the assistance is available without extra charge.
- Rental car services – A technical problem should not prevent you from continuing with your life. The warranty should provide you with an alternative means of transport to help you carry out your life as normal.
- Towing – Since your car will not get fixed on the roadside, the warranty should cover the cost of towing it to the repair shop.
- Gas delivery – Although you can avoid running out of gas with little attention to details, you should make sure that the warranty can come to your assistance if you run out of fuel on the roadside.
- Trip interruption service – Your car breaking down in the middle of your trip can cause inconveniences that can stop you from taking your trip. The best warranty should reimburse you.
How to Select an Extended Warranty for a Used Car
By the time you purchase a used car, the chances are high that the manufacturer’s warranty will be already expired. That should not make you stop buying the vehicle; instead, you should purchase the best cover from one of the best extended car warranty companies.
With a used car, you will have to pay for unexpected maintenance and repair costs out of your pocket, which can highly depend on the problem that needs fixing. Therefore, it is never a question of should I buy an extended warranty on a used car, but it is a question of which extended warranty for used cars is the best for my vehicle?
Choosing the right extended warranty for your car can be overwhelming due to the number of options available. Nevertheless, following these steps can help get quality coverage at a fair price.
Step 1: Determine the level of coverage that you need
The level of coverage that you choose will determine what you will pay for the warranty as well as the services that you will get when in need. You will likely have to choose between a comprehensive warranty and a simple option. There are also in-between options that are ideal for people who are looking for more benefits than what is included in the basic plan but are not willing the amount for exclusive coverage. You should ask about labor, parts, and rental coverage to ensure the warranty covers them.
You will also need to look at how the company handles claims as well as distress calls by customers. For example, you should ask about where you should take your car for repairs as some providers have exclusive repair shops that you must take your car to for repairs.
Step 2: Compare the offerings
You should not be afraid to ask for quotations from different extended car warranties. Your goal should be to purchase the best-extended warranty at the best possible price. You should start your process by reading reviews of different companies to find the providers with the best reputation in the industry and visit every company on your list.
A list of between three and five providers is adequate. You should then compare their offers to find the best. You should not forget to read the terms and conditions of the extended warranties to find what can void the warranty.
Step 3: Visit the dealer and purchase
Once you make up your mind on the best coverage, you should visit the company and follow their buying guidelines.
Questions That Will Help You Determine The Best Level of Coverage
How reliable is your car?
A used car will need repairs at one point, but the visits to a repair shop are fewer for a highly reputable car. With a reliable vehicle, you can go for the basic coverage as long as it covers the expensive components that will cost a lot to fix.
What coverage options are available?
You should familiarize yourself with the different levels of coverage. For example, the dealership warranties for BMW are Powertrain Plus, Gold and Platinum.
What are your driving habits?
If you like pushing your car to the limit, your best option should be a fully-inclusive coverage. Also, you are always on the road, the best coverage should offer trip protection perks. If you are only driving the car to and from your office, basic coverage may be adequate.
What is your car’s mileage?
The mileage of your car will determine how much you should expect to pay for protection.
Frequently Asked Questions (FAQ)
Are Extended Warranties Worth It On Used Cars?
Although it is not a must to have an extended warranty for a used car, the benefits are worth every cost. The warranty protects you from unexpected repair costs while at the same time giving you peace of mind that you have a reliable backup plan in case the worst happens. If you get out of fuel or locked out of your car in the middle of the night, you will be able to get assistance if the warranty offers 24/7-service assistance. If your car breaks down in the middle of the trip, you will get an alternative means of transport or get reimbursed.
Who has the Best Extended Car Warranty for Used Cars?
It is difficult to tell the company that offers the best-extended warranty as choosing the right coverage depends on many factors, including personal preferences and budget. You will need to compare quotes from different providers to find the best warranty for a used car. Some of the top extended warranty providers that you should consider include Automotive Warranty Services Inc, Endurance, Autopom, Carchex and Infinite Auto-Protect.
What is a Good Used Car Warranty?
A well used car warranty should provide you with the best services at the best price. It should cater for the basics like repair costs, towing costs, and replacement costs while also going the extra mile with premium offers like 24/7 service assistance. The best warranty should also provide you with alternative means of transport as well as reimburse the costs of trip cancellation.
Can you negotiate an Extended Car Warranty?
Yes. You should negotiate your warranty before purchase.
How do I Get the Best Price on an Extended Car Warranty?
To get the best price on a used car extended warranty, you will need to compare different offers from the leading extended car warranty companies. Most extended warranties for used cars have prices that range from $350 to $700 per year.
The benefits of an extended warranty for used cars make it a worthwhile investment. However, you must realize that each warranty plan has unique aspects that make it better or worse for your needs. You must look for extra services that the warranty offers like roadside fuel assistance and 24-7 service assistance as well as trip reimbursements.
Beyond what the warranty offers, you should consider the additional charges you may incur as well as the maximum payout amount. Most companies limit the payout amount not to exceed the total cash value of your car.