Aftermarket Auto Warranty is a useful service contract to have regardless of if you recently purchased a new vehicle or a used vehicle.  It is a warranty contract that offers you additional coverage on an existing policy. 

 

For new cars, it provides coverage beyond the time frame covered by your manufacturer’s warranty.  In addition, it can provide additional coverage for the claims not covered by your manufacturer’s warranty.   The aftermarket auto warranty is purchased separately from the manufacturer’s warranty, and before purchase, you should carefully review all clauses and commitments within the contract.  The aftermarket auto warranty is available from independent service providers different to your dealer or auto manufacturer. 

 

For used cars, the aftermarket auto warranty provides additional vehicle coverage where the manufacturer’s warranty is void or is due to expire shortly after the purchase date.  In such cases, it extends you vehicle coverage for the period specified in the service contract.  Unlike the manufacturer’s warranty, you have to pay for the additional coverage provided by the aftermarket auto warranty.

 

Before you purchase an aftermarket auto warranty, you must consider if it is worth the extra money that you are paying for it.  Only if you can be sure that you would be required to claim for any coverage within the period of ownership is the aftermarket auto warranty a good choice for you.