When you buy a used car, it’s an exciting time - the car is new to you, but you’ve managed to make a saving by buying used rather than new. Then, the unthinkable happens - the car develops a major fault and the warranty is no longer valid, meaning you’ll have to pay for the repairs or replacements. The last thing you need when you buy a used car is the worry of needing to fork out thousands of pounds in costly fixes - when the car should’ve been in good condition when it was sold. Unfortunately, some faults are unprecedented. This is why buying an extended warranty might be the answer you are looking for - although the original warranty on the vehicle may have run out, that doesn’t mean you can’t get a new one through the manufacturer, dealerships or an independent company. Take a look why you should consider getting an extended warranty for your car.
What is an extended car warranty?
When you buy a new car, it often comes with a warranty which covers you should something happen to your car - like faults. It can provide peace of mind that you should be fully covered should you need to repair or replace any components - as, theoretically, these should be working fully in the first place if it’s brand new. Warranties on new cars can last between three and seven years - however if you’re buying a used car, the warranty could no longer be valid so you aren’t covered for faulty components. This is where an extended warranty comes in and it does exactly what it says on the tin - it’s an extension of the original warranty which will cover you for faults.
A warranty is basically a contractual agreement between the manufacturer or warranty supplier and you that state a set of terms about what they will repair or replace and in what timescales should something go wrong. It will cover the full cost of repairs or replacement. Most warranties don’t cover cosmetic repairs or replacements, so you’ll need extra cover should you feel you’d need cosmetic cover.
There are three main types of warranty that you can be covered under:
- Manufacturer's extended warranty: this is usually bought when the car is new or just before the original warranty runs out.
- Used car warranty: this is supplied by the dealership.
- Independent warranty: these can be purchased from an independent supplier.
What does an extended used car warranty cover?
As we’ve mentioned before, the used car warranty’s prime purpose is to cover the full cost of repairs or replacements on components such as the engine, gearbox, electrics, steering and suspension. As these are important components of the car that allow it to function safely and efficiently. If something on the car is damaged due to wear and tear, they can typically be covered under the warranty as well, but the main focus is vital parts of the car.
Any extended warranty you opt for should detail which items they are willing to fix, but it should also include anything they won’t fix - then there’s no room for confusion from either parties. If coverage isn’t clear and concise, it may be best to leave the product alone. If your warranty is covered by an independent provider, you should be able to choose the level of cover you want - this means you may be able to cover the infotainment system or cosmetic issues. The cost of the used car warranty will depend heavily on the make, model, mileage and age of the vehicle.
What should you look out for when getting an extended used car warranty?
Whilst there are plenty of options out there for extended warranties on a used car, it's important you do your research to ensure you’re picking the best warranty for the car you’ve bought. You also need to know what you’d like to have covered and if they are suitable to be covered. There are some terms you need to be aware of in the contract; “wear and tear”, “consequential failure” and “betterment”.
Betterment in this context, refers to a component that is replaced that is much better than the one before it. This means the warranty company could send you a huge bill to cover the cost of the better component, as it has now increased the value of your car. Should the component replaced be that of the engine or gearbox, that’s thousands of pounds you could be spending.
Consequential failure is the failure of a part that is covered by warranty that causes the failure of another part that isn’t covered. Of course, the part that isn’t covered by the warranty isn’t something that the company would pay out for and they would expect you to pay it.
Wear and tear is standard for all cars, but warranties don’t cover all eventualities of wear and tear, so they wouldn’t cover batteries, brake pads or clutch plates. However, it is recommended that you choose one that covers items that are likely to break or wear down over time. In some instances, your car may need to undergo an inspection before the company will include wear and tear cover. This means you’re then expected to pay for the repairs before the policy starts.
Benefits of a used car warranty
Having an extended warranty on your used car can offer a range of benefits, especially for those who have just bought their first car or have had vehicles that have let them down in the past. As you don’t know how the car was treated by the previous owner, it’s ideal to help your peace of mind:
- Used cars are a fantastic option for those who want a new car at the fraction of the price of brand new. The extended warranty gives that extra piece of mind that the car is covered should something go wrong - especially in the first instance where you’re in love with your new car!
- Some warranties cover very expensive repairs, some of which may cause breakdowns - including running out of fuel!
- It gives you a detailed overview of the types of repair or replacements that are covered and what you may need to pay for yourself. This means that you can budget for any maintenance in advance.
- If any parts need repairing or replacing, you know you’re using a garage that you can rely on and they will use genuine parts for your vehicle.
- If the warranty continues right up until you sell the car, the value is increased, as other buyers will be able to benefit from the cover.
Protect your used car with Swansway’s warranty cover
Whether you’re buying a new or used car, having a warranty can help keep costs lower should something happen to your car. Getting an extended warranty on a used car helps you to keep costs low, which is exactly why you bought a used car in the first place! We want to make sure that you drive away in your used car with confidence and peace of mind, so take a look at the used car warranties available from Swansway on a range of our approved used cars. If you’re unsure what you're looking for or would like more information about one of the vehicles you see on our website, don’t hesitate to get in touch with one of our team and we’d be happy to help you.