When you purchase a new car, it’s covered by a new car warranty, with the best car warranty plans providing 5 years/60,000 miles of comprehensive coverage. Certified pre-owned (CPO) vehicles are backed by separate CPO warranties that lengthen factory warranty coverage.
When those warranties expire, you may consider purchasing an extended car warranty from your manufacturer or a third-party provider. We recommend Endurance, which ranks No. 1 in our list of best extended car warranty providers, based on its six coverage options, low cost and trustworthiness.
Before learning more about our top picks for best car warranty plans, request a free quote from Endurance below:
Compare car warranty companies
When looking at car warranty companies, look at each provider’s coverage options and term lengths compared to what you need. You also want to consider your budget and the monthly or overall costs when choosing a provider. Endurance, Autopom! and Carchex are our top three picks.
Our car warranty company recommendations
Next, we’ll take a deeper look at each of the best extended car warranty companies. We reviewed these companies based on aspects including car warranty cost, coverage options provided, market standing, trustworthiness, transparency and customer experience.
What should you know about car warranty companies?
You should know a few things when shopping for an auto warranty.
Broker vs. direct provider
An extended warranty company is either a broker or a direct provider. A broker sells warranty plans that are administered by third-party companies, whereas a direct provider handles all claims itself.
Most warranty companies are brokers. This includes companies such as Autopom!, Carchex and CarShield. Endurance is one of the few companies that handles claims directly.
Both types of companies can have good customer service, though a direct provider can give slightly faster service in some cases.
Extra perks
Most extended car warranty providers offer three main benefits: roadside assistance, rental car coverage and trip interruption coverage. But you’ll find some differences when you shop around.
For example, Olive doesn’t include roadside assistance. On the other hand, Omega Auto Care adds tire repair and maintenance benefits. Endurance also has unique automotive benefits like key fob replacement and collision discounts for the first year.
Third-party vs. manufacturer extended warranties
As you shop around, you’ll see you might be able to get an extended warranty from your car’s manufacturer. However, most automakers don’t sell vehicle service contracts after the factory warranty expires or only sell them on the day you purchase the car.
Manufacturer plans typically require you to visit a dealership for repairs. That makes sense, but it can be a hassle if you move away from a dealer.
On the other hand, most third-party plans let you visit any licensed repair facility. They also typically have higher mileage limits than manufacturer plans.
Is an extended warranty worth it?
An extended warranty can be worth it if you understand the fine print and know what car repairs are covered. Even comprehensive coverage has exclusions.
Also, compare the cost of warranty coverage with estimated repair costs for your vehicle. You can use tools like Edmunds or RepairPal to do this. Some vehicles have more expensive repairs than others.
You’ll have more peace of mind knowing the warranty is likely to cover repairs for a car that has high costs of ownership.
Final take: Shop around to find the best warranty for your car
While we’ve outlined our top picks here as Endurance, Autopom! and Carchex, the best car warranty company for you might be different based on your situation. Look for a company with options that cover what you need and fits into your budget. You’ll also want to choose a warranty company that’s transparent with sample contracts. It’s a good idea to compare at least three free quotes from different providers before you make a decision.
Our rating methodology for auto warranty companies
At Homefront, we analyze, rate and rank top vehicle service contract providers to help you discover the right one for your needs. The best automotive service contract companies offer transparency, affordability and expansive coverage options, among other qualities.
We rate companies using our objective scoring methodology. We assess brands on factors that are important to consumers like you — including cost, coverage, market standing, trustworthiness and customer experience. After scoring companies on a 100-point scale, we simplify final scores into the 5-star ratings you see in our content.
BBB and Trustpilot scores are accurate as of July 2024.
Editorial note: The name “Homefront” refers to the alliance between USA TODAY and Home Solutions that publishes review, comparison, and informational articles designed to help USA TODAY readers make smarter purchasing and investment decisions about their home. Under the alliance, Homefront provides and publishes research and articles about home service and home improvement topics.
Homefront has an affiliate disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Homefront editorial staff alone (see About Homefront). Homefront adheres to strict editorial integrity standards. The information is believed to be accurate as of the publish date, but always check the provider’s website for the most current information.
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