You’ve decided to buy a car and are slightly confused about the warranty programs that are being offered by the dealer. Well to make this really clear to you, first let me explain the types of after market warranty that you can get. There are two types of warranties, one is the factory warranty that you get when you buy a new car and the second one is called the extended warranty, which by the way is meant for you to purchase once your factory warranty expires.

Now, let us understand the claims that a customer can get within the warranty period. Claims that are under the factory warranty schemes include small repairs, dents, bents, accident repairs and other little scratch things. These factory warranties are given only for a particular period of time, say 3-5 years. Some companies also put a restriction to this by applying another clause that states, if the car travels more than certain miles then the warranty is over, even if the warranty period is not over.

Once your factory warranty expires, you must consider an extended warranty as it provides you the much needed security and satisfaction that even if your car gets damaged there is someone who will take care.