So you finally bought a new car! Congratulations. You now get to brag to everyone about your new car, and carefully watch people as they park next to you in order to make sure they don't put that first awful ding into the side of your car. And don't forget to tell everyone about your awesome new warranty, so they can smile and nod at you with that glazed-over look in their eyes, because almost no one understands what a warranty actually covers these days. We want to help you better understand your warranty, so we're going to give you an overview of the different types of warranties and what kind of protections they offer.
Bumper-to-bumper warranty - A bumper-to-bumper warranty typically covers the vehicle's important components such as electrical systems, vehicle sensors, stereo/navigation equipment, and the like. This type of warranty is the one that usually comes with a new vehicle purchase, and likely the one your salesperson is referring to. More and more brands have been offering additional services along with the bumper-to-bumper coverage, even offering oil changes and routine maintenance as part of the deal.
Powertrain Warranty - A power-train warranty is not an all-encompassing warranty, and is limited to coverage of the engine, as well as the transmission. It will also cover most moving parts that are connected to the wheels, or anything to do with the "powering" of the vehicle. Occasionally, you may also get coverage for your airbags, or other safety devices in the vehicle such as seat-belts.
Roadside Assistance Warranty - While fairly obvious in its title, a roadside assistance warranty is an opportunity for an automaker to provide what is considered a "perk" to customers by offering them similar to AAA roadside assistance. This can include everything from flat tire changes, dead battery jump-starts, to towing. For the absent-minded, they will usually come with lock-smith services as well. While not very frequently offered by new car dealers, some will include it in order to sweeten the deal.
Extended-length warranty - What you will almost certainly be offered when you buy a new car is an extended warranty. This type of warranty will be in addition to the two warranties which normally come with a new car purchase; the bumper-to-bumper coverage, and the powertrain warranty. While these warranties seek to extend the bumper-to-bumper and powertrain coverage, they will frequently have their own, and different terms, including potential deductibles. They will also come with various options, and may be offered by a third party, rather than the vehicle manufacturer, so make sure to read the fine print, since you won't be able to get mad at your car salesman after you've signed for it.
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