You might read a glowing five-star review from someone who insists that an extended car warranty saved his life, then scroll down to a furious one-star comment from someone who dubs the same company a scam. And in some cases, both can be true, which is why context is everything. One complaint may not matter at all, but patterns that recur again and again do. click resources
Always check the contract first. Exclusionary plans list what’s not covered and typically include everything else. In contrast, component-based contracts cover everything that is explicitly mentioned. That slight tweak is all that it takes to turn a happy customer into an unhappy one. Hybrid batteries, turbos, ADAS sensors, and complex electronics are often left out, or restricted, and not enough is said about regular servicing. A number of the various reviews rely on those specifics.
It is how accusations are managed that actually creates or destroys trust. Some businesses pay repair shops up front, which is relatively easy for the customer, while others rely on reimbursement: you pay the bill initially, and wait for your money to come back, a process that can be tough on your patience and your budget. You may be responsible for a deductible for each visit or repair, and if more than one part breaks down at once, you might be doubly on the hook.
Its also down to decisions on what to repair. In some contracts, you can select your own mechanic, while in others, you can hire someone only from a specific network. Dealerships can be pricier although claims are sometimes processed more quickly at dealerships. It might be worth researching extras such as roadside assistance, rental reimbursement and trip coverage. Waiting periods are standard — more often than not 30 days and 1,000 kilometers — and pre-existing conditions are almost never covered. If it comes time to ask for permission, good service records can save you a world of pain.
If you keep reading the same complaints in the reviews, it should be a warning sign: a smooth sales call that comes to a halt after you’ve paid up; a holdup on the approval of a claim; a denial because proof wasn’t offered of an oil change; and the old standby, “wear-and-tear.” One bad story, you can credit to misfortune, but patterns tell us that something is going wrong at a macro level in the system.
Imagine, for instance, my neighbor Sam. For his S.U.V., which had 89,000 miles, he purchased a plan. It saved him nearly $800 when the alternator broke at 92,000 miles and the warranty paid the $100 deductible. He was happy and relieved. A few months later his struts also began to leak, but they too were rejected on the grounds that they were wear items. He looked very grim, but the small type gave him away. His journey suggests that those contracts can be both good and bad.
Reviews can be your friend if you read them correctly. The Better Business Bureau provides a report card on how businesses handle complaints. On websites like Google and Trustpilot, you can see how many disgruntled customers there are and how disgruntled they are. Verify that the most recent reviews aren’t negative. Notice whether what customer service gives you are actual answers or pre-written ones. Regulatory warnings and lawsuits are not necessarily intended to frighten you, but they can be signals of boulders on the road ahead.
Pricing often trips people up. Beware of offers that read “lifetime powertrain for $49 a month.” These teaser rates almost always rise. The specific cost will depend on how old the car is, how many miles it has and how risky it is. By any measure, normal car will be less expensive to insure than a V12 premium coupe. Limits are also important. For instance, per-visit, per-component, and overall payout limits can make the math complicated, and they might go as high as the car’s actual cash value. And if you still have the factory warranty, you might be better off waiting so you don’t pay for the same repair twice.
Many of the reviews include brand names. Endurance receives good reviews for moving promptly to process claims. People frequently grouse about CarShield’s heavy advertising and bad service. Autopom! gets credit for having helpful customer service, and Olive gets credit for providing quotes fast online. Dealer-supported programs, such as Toyota or Honda, may be more expensive, but they can be easy to use, users said. Each of these companies is imperfect, but none of this is a case of evil villain all the time.
A list is good to have before you sign anything. Obtain a full sample contract and read each and every exclusion carefully (twice if necessary). Scrutinize the type of deductible and the coverage limits, establish whether you can use your own repair shop, phone the claims line during rush hours to gauge response and hold onto records of all maintenance and repair; learn about the rules for canceling and transferring.
Once you cut through the marketing, extended warranty reviews are incredibly useful in helping you make a smart decision. At the end of the day, it’s up to your car, your budget and the amount of risk you’re willing to take. Select the coverage that best matches your driving style, and hold onto your service receipts. When it comes time to file a claim, they’re as good as playoff tickets.