Quick Answer: How Much Should An Extended Warranty Cost?

Can you negotiate the price of an extended warranty?

The dealer is counting on the fact that because the cost of the extended warranty is buried in the financing structure, you will not haggle over the cost.

However, you can and should negotiate the cost of any extended warranty plan..

Who has the best extended car warranty?

The 12 Best Extended Car Warranty Companies Of 2021Best Extended Car WarrantiesSuperlativeCoverage Levels#1: EnduranceBest Coverage6#2: CarShieldBest Value6#3: CARCHEXBest Service5#4: Protect My CarBest Maintenance Plans38 more rows•Jan 4, 2021

How much do dealers make on extended warranties?

The dealer will likely make a counteroffer. “A fair profit margin for dealers is between $200 and $500 over their cost,” Weintraub said. Here’s another tip: When they’re selling extended warranties with new cars, dealers often talk about the overall monthly payment for the deal, not the cost of the warranty itself.

Is CarShield a ripoff?

No, CarShield is not a scam. The extended warranty provider has been in business for 16 years, during which time it has covered over 1 million vehicles.

What is a fair price for an extended car warranty?

Typically the average cost of an extended car warranty would be around the range of $1,800 with a good quality package and after-sales service.

Is extended warranty worth it for cars?

Buying an extended warranty is always beneficial, especially if you are looking at keeping your car for long. Yes, it may not cover some parts and faults, but what you get is a lot. And even though it might cost you a premium, it can save you big money in the long run or help you sell your car.

Can I buy an extended warranty later?

It is important to note that you have the option to purchase this auto warranty any time before the manufacturer warranty expires. You can even purchase an extended warranty after the manufacturer warranty expires, although the price will go up considerably.

Does AAA offer extended auto warranties?

The additional coverage of an extended warranty must be purchased in advance. … In addition, AAA members receive special benefits that include auto repair discounts, an extended 24-month/24,000-mile parts and labor warranty, and AAA assistance in resolving repair-related issues.

How much do dealers pay for extended warranties?

The more “used” a vehicle is, the more expensive extended coverage will probably be. The average monthly payment for an extended warranty is around $1,200 to $1,500, but this can vary widely depending on the aforementioned factors.

How long is an extended warranty?

True extended warranties extend the coverage limits of a factory warranty. If the original warranty lasts three years and 36,000 miles, the automaker may extend it to five years and 60,000 miles.