The used car warranty is often usually a limited coverage version of the new car warranty. The prospect of covering, or insuring, a used car against breakdown and wear and tear repairs is a lot more daunting than it is when considering the same for the new car – at least for the company backing the claim.

Therefore its obvious for one to assume that the used car owner would stand to benefit the most from a used car warranty. We take for granted that business is business, and every risk must be converted into a profitable investment.

Most of us used car owners accept the fact that the used car warranty provides only a limited coverage for our vehicles, and we do appreciate that we can make the use of it in terms of compensation when it comes time to repairing or maintaining our used vehicles. But the investor does not go home empty handed either – the majority of the parts of the used car that may be covered by the limited coverage are often not parts that we would regularly replace or which would need regular maintenance. This therefore means that fewer claims are filed or awarded, and the business continues to be a booming one.