An extended warranty on your car can help protect you from the unexpected costs of fixing your vehicle when it breaks down. While new cars come with a manufacturer’s warranty, that coverage expires after a certain number of years or miles, whichever comes first. If your car is no longer covered by the manufacturer's warranty and you don't have an extended warranty, you'll have to pay for repairs on your own.
Factors that contribute to your extended warranty cost
Companies offering extended warranties calculate rates based on a number of factors including:
- Your car’s age
- Your car’s mileage
- Your car’s make and model
- Your location
Your car's age:
Older cars, even if they've been well-maintained, are statistically more likely to break down than newer vehicles. If you drive a car that's more than a few years old, you may pay a slightly higher rate for your extended warranty. Even so, a high-quality extended warranty from a trustworthy company could be a good choice if you worry about how you'll cover the costs of fixing your car if it breaks down.
Your car's mileage:
Cars with high mileage may have a higher extended warranty cost than vehicles with fewer miles. While it may cost more, you can still get an extended warranty on a car with more than 100,000 miles on it. Modern vehicles are made to go 200,000 or even 300,000 miles. So even if your car has high mileage, don't shy away from researching your extended warranty options.
Here at Ridesure, we actually offer vehicle service coverage for any mileage, with no upper limit. You can learn more about what is covered at all mileage levels on our coverage page.
Your car's make and model:
In general, it's more expensive to fix a BMW 5 Series or an Acura TSX than it is to fix a Ford Focus or a Toyota Corolla. Your car's make and model have an impact on the price of your extended warranty because the warranty company uses the make and model's average costs associated with fixing common problems to help calculate your rate.
If you happen to drive a car with high repair prices, it's even more important to research your extended warranty coverage options. Otherwise, you risk having to park your broken-down Mercedes because you can't afford to spend thousands of dollars to get it back on the road.
Average repair costs fluctuate wildly according to your geographical location. A small metro like Madison, Wisconsin may have lower auto repair costs than a large city like San Francisco, California. While the price of parts may not change much across the country, the markup on parts can vary from one repair shop to the next. The per-hour labor rates charged by various repair shops changes according to your location, as well.
According to the State Repair Cost Rankings report by CarMD, drivers who needed help due to an illuminated check engine light paid an average of $354 for the repair in Ohio, while drivers in the District of Columbia paid an average of $414 for the repair. The five most expensive states for vehicle repairs were the District of Columbia, Connecticut, California, Georgia, and New Jersey. The five least expensive states for car repairs were Vermont, Wisconsin, Michigan, Maine, and Ohio.
What are some average extended car warranty costs?
WalletHub recently conducted an analysis of major extended car warranty providers. They found the average cost of an extended car warranty to be $1,500, with prices ranging from $1,000 to $3,000. Of course, the cost depends on several factors including your car’s make and model, mileage, condition, coverage, deductible, and other policy terms.
So remember, when you’re ready to seek the peace of mind offered by an extended car warranty, it's important to request a quote based specifically on your vehicle's information and your location.
In fact, you can get an instant online quote right now with Ridesure. You can pay between $79 - $139 per month for Ridesure’s vehicle service coverage, but first, you’ll have to request your personalized rate. Request a quote today and breathe easy with convenient month-to-month coverage!