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Common Mistakes Made When Choosing Extended Car Warranties

4 min read
common mistakes

There are so many mistakes that you can make when you choose an extended car warranty. It is very important that you shop around and you choose something that is very good for you, like the Hyundai extended car warranty from olive, a market leader in the industry. In order to achieve this, fortunately, there are different things that you can do, which is what we will present in the following paragraphs. 

By far the most common possible mistake is choosing an extended warranty policy with incorrect coverage. There are many consumer advocates that will tell you to not buy an extended car warranty but this is not good advice. You should buy such an extended option because it is a wonderful investment that can protect the vehicle whenever having to deal with unexpected future high repair costs. However, if the coverage that you get is not the right one, it will not help you much.

What is very important is to understand that there can be huge differences between auto warranties. You need to choose one that offers the right coverage or it can quickly become useless. It is very easy to understand this when we compare factory warranties to extended car warranties. 

The factory warranty will only give you access to basic levels of coverage. However, this is the only thing that you need because all parts are new and a modern car is built to last for a long time. If your car is older and the factory warranty is not active, you absolutely need an extended warranty policy, preferably one that includes parts protection. 

Normally, people end up learning that they made the incorrect choice years or month after the point when it is too late. A lot of money is practically spent on an insurance policy that does not actually cover much. These are the individuals that end up filing complaints and bash the extended car warranty. In reality, the big problem is usually impulse buying. You need to research the policy that you get before you actually get it. 

With all this in mind, make sure you avoid the following very common warranty purchasing mistakes:

  • The Wrong Coverage Type – Most shoppers look for the cheap extended warranties. This is done in order to save some cash. Unfortunately, it can also lead to improper coverage. Always make sure that you are properly covered. 
  • Only Considering Lower Prices – If you only take into account the price tag, it is a certainty you will end up making a bad choice. Always consider the reputable warranty providers, those with really good reviews. Shopping from a reputable company should be a top priority for you. 
  • Pre-existing failures – Buyers often buy used car warranties on vehicles that have pre-existing conditions. They end up being denied and it is very easy to understand why. It is always much better to first fix the car and then look for extension policies
  • Being tricked into a bad deal – In many situations, especially when the car owner has a bad credit history, a car dealer tricks individuals into making bad choices. You can end up faced with a very bad deal if this is the case. 
  • Lack of research – This is definitely a huge mistake that you should not make. Regardless of what you need, choose the extended warranty that makes sense, the one that is best for you. This is practically impossible without conducting proper research. 
  • Choosing the highest prices – This is exactly the opposite of the mistake of choosing the lowest price tag. The problem with the policies that cost a lot more than average is that they are just overpriced. You do not want to waste money so why buy the coverage that costs too much?

Always avoid the common mistakes that were mentioned above and you will be a lot closer to make a good choice. Extended car warranties can be incredibly beneficial for the car owner, but only when researching the best possible deal. 

When you research the best extended car warranty policy for you, consider the following:

  • The reputation of the issuer – Generally speaking, the very best extended car warranty policy is only available from issuers that have a spotless reputation. The providers that have bad reviews should never be trusted. The complaints that you read might become exactly what happens to you. 
  • What is covered – Learn all that you can about what is covered and what is not covered. Read information about the actual policy and you will quickly figure out the fact that huge differences can be present. 

At the end of the day, when you choose an extended car warranty, it is really important that you take your time. Do not hurry the process and there will be a much higher possibility that you will make the best choice.