If your vehicle is starting to age, it may no longer be covered by the warranty that it was sold with. This article will help drivers figure out if their car is protected by a factory warranty, and what to do if they are no longer covered.

What will be covered in this article:

What is a factory warranty? 

When you purchase a new vehicle from a dealership, it will typically be sold with a protection product called a factory warranty (otherwise known as a “manufacturer’s warranty” or a new vehicle warranty). This type of warranty is designed to protect the vehicle owner from any financial burden that may come with certain vehicle repairs within the first few years of ownership. The specific length of the coverage varies depending on the vehicle brand that you purchased from. To check your vehicle’s factory warranty terms, read this in-depth article with some of the most common vehicle brands in Canada 

What does a factory warranty cover? 

A factory warranty will cover various parts of the vehicle and the full terms of coverage depend on the brand that you purchased from 

Typically, a brand-new car will come with a bumper-to-bumper warranty, which covers everything from the front of the car to the back of the car, followed by a powertrain warranty, which specifically covers the powertrain components that keep your car running. In addition, you’ll likely have other warranties for other components of the car (e.g.: audio, navigation, emissions systems, and more).  

How do I know if my car is protected by a warranty? 

There are a few ways to quickly determine whether your vehicle is still protected under a warranty.  

  1. Read your owner’s manual. Your owner’s manual has a lot of important information inside. When you buy the car new, the dealership will typically store the owner’s manual in the car’s glove compartment.  
  2. If you don’t have access to the physical copy of your owner’s manual, a lot of the information can now be found online. Check the original equipment manufacturer’s (OEM) official website to learn the terms of that brand’s warranties. 
  3. Or, click this link for a quick-look at the factory warranties of some of Canada’s most popular car brands. 

Psst...be sure to come back here to find out what to do when you learn the status of your vehicle’s warranty! 

What does it mean to be out of a factory warranty, and what should I do? 

If you’ve just completed the above step and realize that your vehicle is no longer being protected by your factory warranty, don’t stress. We’re here to answer some questions that may be coming to mind: 

Q: Will I have to pay for my vehicle repairs if I no longer have a warranty? 

A: Yes. Unfortunately, once your vehicle is no longer covered by a factory warranty, that means the repair fees fall into your lap as the owner. To get an idea of some common mechanical failures and what they can cost for repairs, check out this list* below from GuardTree’s team of claims experts, or read our in-depth article: 

  • Door latch replacement = $260 
  • Window motor replacement = $300 
  • Thermostat replacement = $350 - $600 
  • Wheel bearing replacement = $400 
  • Starter motor replacement = $400 
  • Control arm replacement = $500 
  • Alternator replacement = $650  
  • Water pump replacement = $1005 
  • Rack and pinion replacement = $1699 
  • Transmission replacement = $3,000 - $10,000
  • Engine block replacement = $5,000 - $15,000 

*Note that these prices are ballpark estimates only. The final price you pay will depend on several factors, such as your car’s make, age, condition, and the mechanic you work with to get it fixed. 

Q: What is no longer covered? 

A: It’ll depend on your coverage, but typically once all your factory warranties expire, all components that need repair will now be up to you to pay for. As the vehicle ages, so do its components, meaning the frequency of repairs goes up.



Q: What now? Are there ways to protect myself from future repair fees? 

A: Luckily, you have a couple options for how to protect yourself from expensive repair bills now that you’re no longer covered.  

  • Start a rainy-day fund. One way to make sure you have enough funds available to you if your car breaks down is by putting money away in installments into a rainy-day fund. As a word of caution, rainy-day funds can be great if you can ensure that the money you’ve set aside will specifically go towards your vehicle, meaning if you have another emergency, say in your home, you don’t touch the rainy-day fund because you may still experience a breakdown later.  
  • Extend your financial protection with an extended car warranty. If you’d like to gain peace of mind knowing that you’re covered for most vehicle repairs, you may want to opt for an extended car warranty. These are optional protection products that will essentially prolong the coverage that you once received with your vehicle’s factory warranty (see the provider’s full terms and conditions for what is and is not covered). Click here to compare some of Canada’s top extended car warranty providers 

If you’re trying to weigh out whether a rainy-day fund or an extended car warranty is the better option for you, take your personal budget and needs into consideration with this comprehensive article 

Enjoy peace of mind with extended financial protection.  

GuardTree is Canada’s first online extended car warranty subscription service. With different pricing plans for your personal needs and budget, GuardTree helps Canadian vehicle owners protect their wallets from hefty vehicle repair bills. 

Covering all powertrain components and most mechanical and electrical components, no need to stress about the next time your car runs into an issue.  

To learn more about our plans, check the full list of what we do and do not cover 



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Disclaimer: This post is to be used for informational purposes only and does not constitute mechanical or other professional advice as it relates to your vehicle. Each person must consult a qualified professional with respect to matters referenced in this post. GuardTree Inc. assumes no liability whatsoever for actions taken (or not taken) in reliance upon the information contained herein.