Owning a car is great until it’s time to fix it. Newer vehicles come with warranties that cover defects and failures, but once that’s done, the owner is, well, on their own. Parts and labor are expensive, and costs can add up quickly. Even the most reliable car will eventually break down, and that’s where extended warranties can help.
The world of extended car warranties has been turned upside down as scammers and robocallers have turned public sentiment against the industry. The truth is that many of the bad reviews for warranty companies relate to unpaid claims or bad customer service, not for scams. There’s more good news, because the companies listed here are well-reviewed, legitimate and are available throughout the U.S.
1. Olive
Though the company behind it has been in operation for quite some time, Olive is a relatively new entrant to the world of extended car warranties. Customers obtain quotes and buy warranty coverage online, so there are no phone waits or calls with real people involved. Olive does not require a 30-plus-day waiting period for new customers aes many other companies do. On the flip side, Olive makes a clear point about not covering preexisting conditions in cars and covering parts that fail due to abuse or neglect.
Olive offers three coverage plans: Powertrain, Powertrain Plus and Complete Care. The Powertrain plan covers internally lubricated engine parts, the fuel system, oil delivery system, timing system, valves and water pump. Powertrain Plus builds on that coverage with coverage for additional components such as the serpentine belt tensioner. The Complete Care plan adds the thermostat, turbocharger/supercharger assembly (if installed) and advanced valve timing systems.
Pros
- Quick, completely online quote and purchasing process
- No waiting period and no pre-inspection
- Simple, easy website
Cons
- Strict restrictions on covered components and preexisting conditions
- Have to use the company’s relationship with RepairPal to book claims
- Few add-on options
When using a 2015 Subaru Outback 2.5i Limited with 95,000 miles and a $500 deductible as our test case, Olive returned prices that range from $87 to $158 per month. Lowering the deductible to $250 pushes pricing to $152 to $276. The Complete Care plan and a $100 deductible, the most expensive coverage option, comes out to $395 per month.
Read the entire post from Forbes On Wheels