After-market warranty

Should I get aftermarket warranty on my used car?

Oh, the peace of mind when your vehicle is covered under warranty. Sure there is still the inconvenience of not having a car when it’s in the shop; but having to pay nothing out of pocket, what a relief! Well not exactly.
Most (if not all) aftermarket warranty providers have exceptions and stipulations embedded in the fine print that guarantee you will still pay for a portion of these services.

Get what you’re paying for

Our industry experience with warranty programs have helped us create this list of services you can bank on paying for:

  1. Any analysis, equipment, and diagnostics tool fees necessary to diagnose the problem. Even if these device charges proved the defective component and warranty applies; you pay for this discovery.
  2. Any mechanical labour necessary to discover and diagnose the deficiencies with your vehicle; like a mechanic taking your vehicle for a test drive to hear the problem.
  3. You are responsible for all fluids, even to re-fill a faulty component. This doesn’t seem like a big deal but, many new vehicles built today take up to $100 of engine coolant, $50 of synthetic oil, and $100 of radio fluid (Kidding! … Just making sure you are paying attention.).
  4. You are also responsible for 100 per cent of shop supply charges. What’s this? Oxygen and acetylene if a torch is need, electrical contact cleaner for cleaning terminals, etc.
  5. Say there’s a problem with a defective component on your vehicle (a super problem)? Your warranty provider will not cover these charges. A cracked off stud, seized nut/bolt, etc. that’s on you.
  6. Lastly, don’t expect this list to get shorter!

So why bother?

There are even some warranty providers that will not cover any work if rust or corrosion is suspected to play into its failure; even the mention of either could end the claim.

Even with these exceptions threatening your assumed coverage, there’s is still value in these programs; the bulk of your bill will likely be covered by your warranty provider. Why the exceptions then? So this coverage can be offered at an attractive, low monthly rate.

Be prepared!

Be careful, educate yourself, and ask your local City Tire & Auto representative for their opinion before you sign the dotted line.

Closing question
Some of these aftermarket warranty providers offer impressive incentives for the selling of their warranty. In some cases, a salesman will make a higher commission on the warranty than the vehicle. Does that salesman have your best interests at heart when selling this warranty?

Looking for more information? Get in touch.


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