Before you sign on the dotted line, it’s important that you understand the fine print. Here are some things you’ll want to investigate when comparing extended warranty protection for your used car.
- Cancellation policy: Most extended warranties are cancellable within 30 days only. Past this time, you will typically no longer be able to request a cancellation except for certain cases based on your province of residence or circumstances such as repossession or write-off. If you are looking for flexibility, you may want to consider a subscription warranty like GuardTree.
Expiration: Warranties typically have limits (in kilometers and/time) that will trigger the automatic expiration of the warranty.
Transferability: Not all warranty contracts can be transferred, or have specific conditions for approval (e.g. the vehicle must be sold directly to the next owner). Where transfers are allowed, administration fees typically need to be paid.
Limitations: Extended warranties can come with limitations such as maximum amounts per repair or replacements, or overall benefit limits. Some limits can even be specific to some parts or type of benefits.
Eligibility: Your eligibility can depend on how you use your vehicle. For example, light commercial use vehicles, such as those used for ridesharing are eligible under a GuardTree warranty with specifications - but may not be with others.
- Waiting periods: Some contracts stipulate a period during the first few months during which no breakdown is covered. If you choose to buy an extended warranty for peace of mind, you may want to choose a contract with a short waiting period, if any.
Get more for your money. Get GuardTree.
GuardTree is a comprehensive, monthly extended warranty subscription. The program works as a subscription that you can cancel at any time. GuardTree provides protection from most major electrical and mechanical repairs and offers additional benefits such as roadside assistance and car rental and trip interruption costs.
Read these next: