Cars are an integral part of the fast-moving world that we live in. Looking at the various threats and situations that we come across daily, it is perceptible that our vehicles are susceptible to damage and malfunction. Starting from minor machinery parts that might malfunction due to issues like friction, faulty circuit connections, or normal wear and tear, to major accidents and physical damage that may require a huge amount to cover the expenses. Car warranties are thus essential to protect our vehicles better while ensuring a sense of responsibility towards the same.
A car warranty is a vehicle service agreement in which the provider undertakes to replace parts that are broken due to design or installation flaws by the manufacturer. Warranties do not cover all eventualities. Most warranties do not cover major accidents or normal wear and tear.
There are two kinds of warranties available to the buyer when purchasing a vehicle:
Manufacturer's warranty
Extended warranty
Vehicles generally come with a manufacturer's warranty when purchased directly from a showroom or an authorised seller. The warranty issued is applicable, however, up to a few months from the purchase or up to a few kilometres covered by the vehicle, whichever occurs first. Usually, the manufacturer's warranty is generally inclusive of the car's original price and comes sans deductibles. It is a simple guarantee of the vehicle's working condition for the initial period after its purchase. Powertrain warranties and bumper-to-bumper guarantees are two of the most common types of manufacturer's warranties. Damage to the vehicle's propulsion system, which includes the engine, driveshaft, and transmission, is covered by a powertrain warranty. Between the two bumpers, a bumper-to-bumper warranty covers practically everything, including the powertrain and much more. Bumper-to-bumper warranties frequently exclude items like glass, seat covers, and tyres which are subject to regular wear and tear.
The owner of the vehicle needs to purchase an extended warranty for the vehicle that is applicable only after the manufacturer's warranty is exhausted. An extended warranty for your automobile is a vehicle servicing contract that you purchase. If the manufacturer's warranty is still active, this contract can be added on top of it, but it will not provide any benefits at this time. Because extended warranties cannot be activated until the manufacturer's warranty has expired, they are frequently acquired after the manufacturer's warranty has expired. Different aftermarket warranties can have substantial differences. Purchasing one is a consumer's strategic choice.
One mustn't however confuse insurance with a car warranty. Insurances are valid only in times of accidents and mishaps while warranties are effective due to malfunctioning parts and machinery. One must consider a lot of criteria before purchasing a warranty or insurance, making sure to check for loopholes that can potentially incur a loss for them in the near future. It is also advisable to purchase a warranty only from a certified seller who is preferably reputed and famous to avoid fraud.
