Auto Warranty Dallas TX
If you are looking for protection for your vehicle you should look for reputable extended car warranty providers. You shouldn't be working with a company that has poor business practices or poor customer service track record.
Our review team has compared many providers to determine the most reputable extended warranty companies, all of which also were highly rated in our best extended car warranty for 2022 review (see the methodology below). We'll examine each company in detail, focusing on the business practices of each and their reputation. We'll also explore what constitutes a reputable company and how to pick the best one for your requirements.
What is it that makes an extended warranty company reputable?
Any reputable and worthwhile extended car warranty companies in 2022 must check the following boxes
Strong industry reputation
We turn to our sources of information, the Better Business Bureau (BBB) and AM Best when considering a business's reputation in the market. The BBB evaluates companies based for their ability to respond to and settle customer issues. If a company has a high BBB rating it's likely that it effectively communicates with contract holders promptly.
Certain providers collaborate with underwriters of vehicle service contracts to guarantee payouts for claims. To determine the strength of these underwriters' financial ratings, we use AM Best, which rates a business's financial ability to pay for claims and manage risk.
Some extended warranty providers such as Carchex are also endorsed by leading companies in the industry. Prominent partnerships are a sign of a reputable service.
Customer satisfaction ratings are high.
The BBB, Google and Trustpilot all have customer reviews for extended warranty businesses. We recommend using several review sites when deciding on the best service. It's not uncommon to have low scores for customer reviews on the BBB because customers trying to resolve complaints tend to leave reviews on this site.
Positive customer reviews can be a good method of determining how you'll be treated by an extended warranty company. Look for companies with reviews that highlight a speedy claim process and friendly customer service representatives. Also, avoid companies who have complaints from customers about their bad ways of doing business, including scam calls and misleading advertising.
Transparent business practices
A number of reputable extended warranty companies have the opportunity to view sample contracts on the internet so that customers can look over the details of their coverage before signing the"dotted line. One of the most frequent issues with contract holders is denials of claims.
If you choose a service that readily offers information about the terms of its contracts and contracts, you'll be better prepared to be aware of what is not covered. However, it's important to be sure to read the fine print regardless of which provider you select.
Long-running history of the company
Through our extensive research, we've found the most reliable, reputable providers have been in business for more than years. The warranty industry is highly competitive, making it easy for companies to come and go, particularly in the event of negative customer reviews and fraudulent business practices.
Ease of use
It's also important to find the right service plan that's user-friendly. Does it pay the repair center directly? Do you have additional benefits such as assistance for roadside repairs and rental vehicle reimbursement? Are there a 30-day refund guarantee if you decide to change your mind? All of our recommendations provide these advantages.
Top reputable extended car warranty company
In determining the top five trustworthy extended car warranty providers available We looked at the factors above, as well as cost and choices for coverage. After analyzing auto warranty companies throughout the industry, Endurance, Carchex, Protect My Car, CarShield and autopom! topped our list for reputability
#1 Protect My Car: Most Maintenance Plans
Availability: All states except Alaska, California, Hawaii, Missouri, Oklahoma and Washington Maximum mileage limit: 125,000 miles
Extra benefits Assistance with roadside emergencies, rental car reimbursement and trip interruption
Protect My Car holds some of the highest customer review ratings that any other extended warranty company. The company is a BBB A+ grade from the BBB alongside an 4.5-star consumer review rating as of the date of publication. Customers weighed in on Trustpilot to rate the company an average for 4.5 rating with over 2,300 reviews.
Protect My Car's employees have been accredited by the Association of Certified Vehicle Protection Professionals (ACVPP). The certification is based the ethical conduct of business and consumer protections, as well as the Magnuson-Moss Warranty Act and more. As per the Federal Trade Commission, the Magnuson-Moss Warranty Act "requires the manufacturers of consumer goods to provide consumers with detailed information about warranties."
Protect My Car's customers often have positive reviews about the customer service team as well as the ease of the claims process.
Protect My Car extended warranty plans
Protect My Car offers three options for coverage, and they can extend up to 10 years/25,000 miles. These include:
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"Protect My Car Plan |
What It Covers |
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Supreme |
Similar protection to the original factory warranty of the vehicle. |
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Select |
The best choice for vehicles that have more than fifty thousand miles. Coverage is one step lower than the Supreme plan. |
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Driveline |
Powertrain protection for cars between four to 10 years old and with more than 100,000 miles |
Protect My Car also has five maintenance programs that are prepaid and referred to as Ambassador Maintenance Plans. The Ambassador Maintenance Plan covers a combination of repairs to cars and regular maintenance.
Cost of an extended warranty on a car
An extended warranty on a vehicle costs between $1500 and $3500. Based on our survey of consumers approximately 67% of those who responded were willing to pay between $1,500 to $2,500 for an extended insurance. Extended warranties depend on the vehicle you own and the comparison of quotes will help you to determine the most affordable price.
Is an extended warranty worth it?
Extended warranties are beneficial for all car owners, but it is important to think about your circumstances when deciding on an agreement. If you have a reliable car or plan to sell your vehicle before the factory warranty expires, then a protection plan might prove to be not worth the price. It is the same for those who have savings put aside for auto repairs.
However, you should think about adding coverage if you are in one of the following situations: you:
You want peace of mind
Vehicle repairs can be costly to pay out of the pocket. When the manufacturer's warranty expires, you're financially responsible for any mechanical or electrical breakdowns. Extended warranties pay for covered repairs, easing the anxiety about future problems.
You'd like a car that is predictable budget
By paying for a vehicle service contract up front, through a monthly payment program, or even as part of the financing for your vehicle it is safe from having to pay for unexpected repair costs following an unexpected mechanical malfunction.
You intend to own your vehicle for a long period of time
According to research conducted by IHS Markit, the average age of light vehicles that are operable in the U.S. was 12.1 years in 2021. Since most manufacturers' bumper-to-bumper warranties expire after 4 years or 50,000 miles and 50,000 miles, you could drive unprotected for more than the half-life of your vehicle.
It is important to think about the cost of repairs to your vehicle. The more you anticipate to be charged for repairs the more likely you are to benefit from extended warranty coverage. Here are the average annual repair expenses for top automakers, as per RepairPal:
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Car Brand |
Average Annual Repair Cost |
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Honda |
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Acura |
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Lexus |
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Subaru |
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Ford |
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BMW |
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Land Rover |
What are the opinions of consumers?
Our team conducted a survey of 1,000 customers who had been searching for an extended car warranty plan. Of this sample, about 75% had purchased an extended warranty from a dealership 44% purchased an extended warranty through a third-party.
Respondents to the survey said that pricing was the top factor, followed by the timeframe of the warranty as well as the coverage levels. Overall, 64% of the respondents were happy by their warranty and 13% of them said they were neither satisfied nor dissatisfied.
On the contrary 13% said that they were not satisfied with the warranty. A few said that the warranty didn't cover anticipated repairs Some thought the company tried to defraud customers of making repairs.
Are you considering an extended warranty offered by the dealership?
In addition to reputable extended car warranty companies customers can also buy coverage from their vehicle manufacturers. Because these agreements are typically supported by the automakers themselves, they may lessen the buyer's anxiety regarding reliability.
The contracts of manufacturers guarantee factory-trained technicians and the use of genuine parts to repair. However, they come with a few limitations which include:
Limited repair shop choice
The majority of manufacturers require that drivers visit the dealership or a branded repair center to receive repair. Although this might not sound to be a huge deal there are some automakers that have only a handful of dealerships across the country. For instance, there are just over 100 MINI dealerships in the entire U.S.
Expensive vehicle service contracts
You could face dealer markups on top of the cost of your contract if purchase a protection plan that is backed by a manufacturer.
Fewer coverage options
Typically, companies only provide one to three insurance plans for vehicles. In accordance with your needs you could buy too little insurance or purchase coverage that isn't needed.
What to know before buying a third-party extended warranty
Through a third-party guarantee, a company besides your car's manufacturer will cover certain repairs. The main advantage is that it's typically less costly than an extended warranty from the manufacturer.
However, a third-party plan may or may not provide the original equipment manufacturer (OEM) spare parts. If you visit an authorized dealer and purchase OEM parts, you may need to pay for a part of the repair cost depending on the contract terms.
The most reputable extended car warranty companies will pay the repair shop directly, and all you have to pay for is your deductible. Certain less reputable companies will have you pay for repairs up front and then submit receipts to be reimbursed Beware of these companies.
Read through the contract thoroughly before buying the plan. Look for specifications on:
Labor rate coverage limits
What is the definition of mechanical failure?
Maximum amount of money that can be paid per contract
OEM parts coverage
Inspections or waiting periods are required prior to the coverage
Maintenance documentation is needed
Emergency repair procedures
Contract cancellations and transfer of contracts
Additionally All extended warranties come with exclusions. They can cover specific components that are cosmetic, like the or components for emissions, or maintenance items such as brake pads or oil changes. Understand what isn't covered to avoid disappointment down the road. One of the biggest complaints regarding extended warranties is repairs not being covered.
Sometimes, a business doesn't provide a repair that is valid. But, in many situations the contract explicitly excludes the repair in question. Check the fine print, and don't count on salespeople to explain every clause you're not aware of.
Do you have the option of purchasing an extended warranty following the purchase of a vehicle?
Some dealers allow customers to purchase an extended warranty before the factory warranty expires, while other dealerships require you to purchase it when you purchase a new vehicle. However, almost all third-party companies offer plans for cars that are out of the warranty period of the manufacturer.
How to end an extended warranty an automobile
To terminate an extended warranty, need to contact the contract administrator and send the cancellation request in writing. You might also have to provide a notarized odometer statement. Most reputable extended warranty companies provide 30 day money-back guarantees as well as prorated refunds beyond that point.
How to find the right warranty company for you
If you are considering extended warranty for your car providers, you should look at rates. That way, you can ensure you find the right coverage plan that is within your budget.