A warranty is provided by auto dealers and manufacturers, where they undertake the maintenance and repairs of vehicles sold for a specified period of time. It serves as a guarantee that the vehicle will perform as specified by the manufacturers and all deviations would be covered by the manufacturer for a specified period of time in case the vehicle fails to do so. If you buy your vehicle from dealership, then a new car warranty is provided to you in association with another third party vendor.

In case your dealer gives you a new car warranty in a partnership with another vendor, then it is advised that you check out various schemes offered by different vendors before finalizing on the warranty for your vehicle. You should try to get as many quotes from the maximum number of vendors possible and then compare the services and the coverage provided by each vendor before finally taking a decision. Make sure that the warranty covers all the basic components of the power train, engine, drive train, brakes and other things that you feel might need to be repaired or replaced within the warranty period.

Many dealers offer new car warranties based on time period or mileage for example, you car will be under a warranty for a period of 2 years or 30,000 miles. If you use your car less, then you should go for a mileage based program , while people who clock up mileage intensively should go for a time based program in order to make their warranty last longer.