A Simple Guide to Auto Warranties

What is an auto warranty?

An auto warranty is a written contract issued to guarantee that if certain parts of your car become broken or damaged, the warranty provider will cover the cost of repairs. Depending on what type of warranty you have, only certain car problems will be covered. Some warranties provide more coverage than others, but all of them can be helpful and you should consider each one before choosing what is best for you.

Most new cars come with a standard manufacturer’s warranty included and even many used cars do as well. However, you can also choose to purchase an extended car warranty if you feel you need more coverage than what the standard warranty provides.
Different kinds of auto warranties:



As the most basic type of coverage, powertrain warranties cover the core components of your vehicle that keep it running. Usually this includes things such as the engine, transmission, suspension, transfer unit, turbocharger, seals and gaskets, and driveshaft. This is the cheapest warranty you can purchase since it provides the least amount of coverage. However, the car parts included in this contract are the most important and also some of the most expensive. Each warranty beyond this one will simply be adding on to the coverage provided by the basic powertrain warranty.


Powertrain Plus

This is just a slightly enhanced, slightly more expensive powertrain policy that will cover all of the same components with the addition of some more minor problems, such as the starter, alternators, water/fuel pumps, and even the air conditioner.


Stated Component

Also called an “inclusionary” policy, this warranty will cover everything that the powertrain plan will, but also includes a lot of additional components. The added coverage will include parts such as brakes, cooling system, electrical, fuel system, and steering. Everything covered will be listed within the stated component policy and this is only a small portion of everything included in the list.


Exclusionary Coverage

Lastly, exclusionary coverage is the highest level of coverage you can get. This policy is called “exclusionary” because, unlike the “inclusionary” policy, the contract only lists the parts of the vehicle that are not covered. This is because so many parts are covered that it is easier to just list the ones that aren’t. It is often referred to as the “bumper to bumper” warranty as well. Basically this plan will cover everything in the powertrain and stated component and more.


There are a few more minor warranties listed below that cover roadside assistance, rust/corrosion, and emissions:


Roadside assistance

This warranty will cover you if your car breaks down and you need a tow, a tire change, or a jump start. Many may also provide gas delivery and help if you lock your keys in your car.


Rust or corrosion

If your car develops serious rust or corrosion damage, this warranty will cover the costs of repair.



An emissions warranty will cover the repair costs for any emission related vehicle failures. Sometimes this will also be covered in one of the basic warranties, but you made need to purchase it separately.



11,025 Comments on "A Simple Guide to Auto Warranties"

    Fatal error: Allowed memory size of 100663296 bytes exhausted (tried to allocate 14156386 bytes) in /home/everydaysavingsp/public_html/wp-includes/class-walker-comment.php on line 175