What We Look for in a Good Auto Warranty Company (2025 Edition)

Reputation & Reliability: Check company history, customer reviews, Better Business Bureau (BBB) rating, how responsive the provider is with claims.

Coverage Scope: Is the warranty exclusionary (they cover everything except expressly excluded items) rather than inclusionary (cover only listed items).

Transparent Terms & Fine Print: Clear definitions of what is excluded. Understand deductibles, claim limits, etc.

Extra Perks / Add-Ons: Roadside assistance, rental car reimbursement, trip interruption, towing, etc. These extras can make a difference.

Transferability: If you sell the car, can the warranty transfer to the new owner? It can enhance resale value.

Questions to Ask Before You Buy

• What exactly is covered? (engine, transmission, electronics, suspension, etc.)
• What is excluded? What are wear items, maintenance items, etc.?
• What is the deductible? Per repair or per year?
• Where can I have the repairs done? Any mechanic or only certain shops or dealerships?
• Is the warranty transferable if I sell the car?
• How are claims handled? What is the process, how long does each take?
• Are there additional fees (administration, inspection, cancellation)?
• How long is the provider in business / what is their reputation?