Tuesday, February 14, 2006

When is the best time to purchase an extended warranty?

The smartest consumers know that the very best time to purchase an extended warranty is while your vehicle is still covered by the manufacturer. It's a lot like life insurance. You wouldn't wait until you're 85 to buy it and then expect a bargain, would you?

Here's why: Naturally, the cost of a warranty rises as the vehicle ages and accrues mileage. You will be offered the longest terms and the lowest rates for newer vehicles with lower mileage. And, no, you will not be paying for double coverage, this car warranty coverage is simply an extension of that warranty, not double coverage. The manufacturer's warranty has been factored into the price quote.

The more factory warranty you have remaining, the lower the cost and greater the length of the warranty extension. In other words, you are paying for tomorrow's coverage at today's lower rates.