Auto Industry Trouble on the Horizon
There’s no arguing that 2008 will probably be a rough year for the automotive industry. The fuel crisis, numerous recalls, and a tough economy will have vehicle manufacturers struggling to stay in the black. It will be interesting to watch what makes and models can survive the industry wide lack of sales and keep their nameplates at the top of the production list.
Another interesting story will be how automobile manufacturers will keep the impending sales declined from cutting into the profits of their auto warranty divisions. Manufacturer’s warranties will need to be a large incentive for consumers in the market to buy a new car. New car warranties are quite varied depending on the make and model of the vehicle and sometimes play a pivotal role in the consumer’s decision about one vehicle to purchase.
The aftermarket auto warranty programs will also have to adjust to the longer powertrain warranties that are now being offered on new vehicles. Regardless, and auto warranty still remains one of the best investments you can make when buying a new or used car or truck.