Considerations Before You Buy An Extended Car Warranty

extended car warranty

When you purchase a new car, it is always equipped with a standard warranty of two years or more than two years depending upon the brand. Car warranty helps you in avoiding the expenses that may arise because of manufacturing or material defect. So basically, the warranty is a written assurance that the parts of the car will work perfectly for a certain period of time and if in case, there’s any damage within that specified period then those parts’ repairing expenses will be covered under warranty which comes with certain conditions to be fulfilled by the warranty holder.

However, the warranty is a bit complicated and it is full of legalities. In this article, we have explained the benefits of warranties and discussed whether one should upgrade the standard warranty to extended warranty or not. Read on!

See Also – Tips and Cars For First Time Buyers in India in 2021 

What is Standard Car Warranty?

A brand new car warranty is offered by the car brand and the brand either repairs or replaces the defective or misfunctioning part at at zero charges during the standard warranty tenure.

Therefore, a car standard warranty document is the most significant record that you need to present when something goes wrong with your car. Though this sounds great on paper, most of the automobile owners must carefully examine the small print to obtain a comprehension of the genuine components that are covered under manufacturer’s warranty/guarantee.

In general, the standard car warranty includes repair and replacement of the following components/parts:

  • Mechanical defect for engine related parts
  • Electrical parts in the car
  • Emission and suspension system of the car

Although, the standard car warranty covers all the mechanical and electrical parts but certain components such as clutch, brake pads, pressure plates, bulbs and components which are made from rubber are excluded in it. Reason being that these components are meant to be worn out with time because of driving in heavy traffic or due to weather conditions like a normal wear and tear so the car brands do not consider these as a manufacturing defect.

What is Extended Car Warranty?

Aside from the standard car warranty being provided by manufacturers, buyers are offered with a choice of extending it by paying an excess amount and this add on is known as extended car warranty.

While purchasing a new car, opting for an extended warranty is not at all a compulsion. It is going to cost a bit initially however, in the long term, it might protect you from some other costly repair jobs or parts replacement, particularly once the car covers a good number of kilometres.

There is always a choice of opting the extended warranty after it has been a year since you bought your car but the drawback of this could be that it is likely to cost more as the car first has to go through a check by the authorized dealers for its condition and then, only the policy period is going to be extended. Please note that there is hardly any difference between extended car warranty and standard car warranty. Extended car warranty is just an extension of the standard car warranty for 4-5 years of time period.

Under what conditions the warranty can be void

There are several reasons because of which the car can be in the condition of losing its warranty:

  • The manufacturer will void the car warranty if the servicing of the car is not being done at the authorized workshop.
  • If the car has gone through any electrical or mechanical modification without getting the approval of the manufacturer, consider the warranty as void.
  • Modifying the grade of engine oil, air filters and installing larger wheels.
  • Adding an after market CNG kit will also void its warranty.
  • Installation of accessories such as audio and security system will nullify the warranty. If you intended to add audio or security system accessories to your car, make sure that no wires are cut during the process so that the warranty can be saved.

The damages of below car components are not covered under Standard Car Warranty/ Extended Car Warranty

  • Rusting, corrosion or paint damages are not considered under warranty, except if the car is a Volkswagen brand car as the brand offers 6 years of warranty.
  • Normal wear and tear like consumable parts and all the expenses related to AC, clutch, brake pads damages are not covered.
  • Replacements and repair components such as fuse change, wiper blade, windshield glass crack, AC Gas leakage are not covered in the warranty, unless they a manufacturing defect.
  • Radiator damage because of coolant leakage or driving a car with engine oil leakage which results in malfunctioning of the engine restricts warranty coverage.

What if Standard Car Warranty is enough?

To answer this question, we want you to understand your requirements of the car that you are going to purchase. Usually, the standard car warranty given by manufacturers is valid for 2 years or for 50000 km and if you are planning to keep the car for two or three years then taking extended warranty makes no sense but if you are planning to keep the car for a longer period of time then in that case extended warranty is worth considering. Also check if the extended warranty is transferable or not because extended car warranties may end when you decide to sell your car in future. If the warranty is transferable then it will serve as the best-selling point for your future prospective buyers.


It is always important to read car’s warranty terms & conditions to understand the parts of the car covered and which parts are excluded. One must be careful while opting for extended warranty.

The difference between Standard Car Warranty and Extended Car Warranty might seem very thin but it can make a huge difference depending upon the the time you are going to use the car for. expert’s opinion is that one should opt for Extended Warranty coverage with the delivery of the car if you have done the research properly as some plans have restrictions on renewal when you wish to opt for Extended Warranty in future. Purchasing an extended warranty will save your money in the long run.

Also Read – Manual vs Automatic: Which Car is More Convenient For You and Why?

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