When you buy a new car, it always comes with a warranty from the manufacturer. The question is, what about used cars? What do you do if you purchase a used car and cannot afford paying the cost for an expensive repair? If you find yourself asking this question, it may be smart to purchase an extended auto warranty. It is possible to purchase a used car that still is under warranty, but when that warranty is up, you must pay the cost of repairs. Therefore, an extended warranty is a smart investment.

A common myth is that car insurance covers repairs and breakdowns. Auto insurance only covers the cost of repairs when you get into an accident. An extended auto warranty covers the cost of repairs and breakdowns that are not associated with an accident. Making the payments for repairs out of pocket can be very costly once you factor in the cost of labor and parts.

So how do you pick a company to purchase an extended warranty from? A quick search on Google provides you with millions of results. However, it is not wise to just pick a company right away. It is very important to find a company that is reputable. An aftermarket auto warranty company can be a good place to purchase an extended warranty from. Just make sure when you select the company that you check out the company’s ratings on the Better Business Bureau’s website before making a purchase.