The Ins And Outs Of A Car Warranty Transfer
The moment you commit to buying a car or other vehicle, you automatically commit to ensuring it is kept in running order, and that the necessary safeguards are in place to help with paying for any damages or repairs needed. This commitment unfortunately, isn’t cheap, and often can only be put securely in place with a car warranty. If you are buying a car brand new off the lot, you are pretty much covered. But if you are buying a car second hand, a warranty can be a bit trickier. We’ll explore below the various types of auto warranties, as well as the ins and outs of having a warranty transferred over to you.
Standard or Manufacturer’s Warranty
There are some vehicle manufacturers that actually allow the transfer of the initial warranty that came with the sale of a motor vehicle, however, most won’t allow this sort of thing. On top of that, some car dealerships will frown upon the practice of transferring warranties as this typically affects how much money they can make selling on a vehicle. The dealerships that allow such transfers, do so on a trade-in value basis. This means that you won’t actually be able to move your warranty policy, but you’ll get some cash value for the coverage that’s left. Of course, if you are seller looking to keep hold of warranty coverage, your best bet is finding a dealership that is flexible to this sort of transfer.
Extended Auto Warranty
In terms of flexibility, few warranties offer wiggle room like the extended auto warranty. Not only does it help you protect your asset, it is transferable. These types of warranties will be almost always written by dealerships and auto warranty companies are the bread and butter of both these entities. As such, they are sold aggressively in dealerships, even when the car owner isn’t really interested in having one in place. It is important to note though, that extended warranties cover things a standard manufacturer’s warranty won’t cover—like tires. By having one in place you get the peace of mind in knowing you can afford to replace or repair parts if the vehicle, as well as move the coverage to any other vehicle that is acquired.
Used Car Warranty Transfer
Used car warranties are usually not very flexible and don’t have much life in them to necessitate transfer. On top of that, policy writers are always making sure that they benefit as often as possible from new policies, so they make it difficult for you to transfer an existing used car policy to another party. That being said, timing is important when acquiring these types of warranties. If you know for instance that you will be offloading a car shortly after its acquired, try not to put too much coverage on it. That way you don’t end up throwing money down the drain unnecessarily.
Much of the technicalities involved in acquiring and transferring warranties can be understood by seeking the help of a auto warranty broker. These are usually free and can be found on the internet. Once you engage a broker, they’ll usually give you the advice and tips you need to make warranty acquisition hassle free. On top of that, they usually put you through to a warranty company that is known for reliability and affordability. And that is something you can’t beat nowadays.