Certified Pre-Owned Vs. Extended Warranty

Protect your car

Discover the best auto warranty plan for your car below

Explore Plans

With our #1 rated provider,

Affiliate Disclosure: Automoblog and its partners may earn a commission if you purchase coverage from the extended warranty providers outlined here. These commissions come to us at no additional cost to you. Our research team has carefully vetted dozens of extended warranty providers. See our Privacy Policy to learn more.  

Endurance
4.6
Industry Standing: 4.4/5.0
Coverage: 4.9/5.0
Affordability: 4.5/5.0
Transparency: 5.0/5.0
Customer Service: 4.4/5.0
idée We recommend Endurance as the best warranty provider
  • Best Overall
  • Coverage Plans: 6 options plus maintenance plan
  • Odometer Limit: Up to 200,000 miles
  • Free Cancellation: 30-day money-back guarantee
  • Longest Term: 8 years of coverage
  • Discounts: $300 same-day signup discount, $250 shopping voucher, and others
Plan coverage includes Endurance Elite perks™
Factory-level bumper-to-bumper plan Free membership for first year
Multiple powertrain/mid-level choices $500 collision discount
Scheduled maintenance coverage Tire repair or replacement
24/7 emergency roadside assistance Total loss protection up to $1,000
Trip interruption reimbursement Key fob replacement and repair
Rental vehicle coverage Endurance mobile app
Towing allowance $250 credit with shopping or dining partners

This article on certified pre owned vs. extended warranties provides a basic comparison of both approaches, including extended warranties on CPO vehicles.

Human beings, in general, feel relieved when specific bills are relieved from them. The same applies to car owners, and everyone wishes to have the vehicle repaired when not functioning well, but the money should not be from their pockets. To have such experiences, car owners opt for warranties.

The car warranties are the coverages that one gets to offset the repairs and replacement of certain parts of the car. The warranty proves vital, especially when the repairs and replacements are deemed expensive. The warranties do differ, and the car owner should know a proper understanding of coverage areas.

Several different kinds of car warranties exist. All the types of warranties are, however, divided into two main categories. The categories include factory warranties and extended warranties.

A deeper look at the two types of warranties, certified pre owned vs extended warranty, will shed more light on the coverage areas, the difference between the two, and the benefits of the different warranty packages.

Certified Pre Owned vs Extended Warranty

Certified Pre-owned Car Warranty is the kind of warranty for vehicles backed up by manufacturers for vehicles that are not brand new but have lightly been used. For the company to offer the warranty, it has to be thoroughly investigated to ensure the vehicle’s condition is good. Vehicles that get the certified pre owned extended warranty show the manufacturer’s belief in his product as it is willing to extend the regular warranty time.

Extended warranty is an optional plan for the payment of certain repairs and replacement of vehicles in case of breakdown while you still use the car. It is usually used when the manufactures’ warranty expires.

Coverage Areas of the Warranties

When using a certified pre owned extended warranty, the areas covered by the warranty are the same as the ones covered by the manufacturer. This is usually just an extension of the manufacturer’s coverage. The warranty usually covers the parts of the vehicle installed by the company, such as emissions, corrosion, defects in the powertrain, and the vehicle’s general maintenance not arising from accidents—the warranty cover the roadside assistance costs.

The extended warranty on a used car has specific areas it can cover. The warranty does not cater for the daily maintenance of the vehicles such as oil change, new brakes, and new tires. In short, it is a different purchase for roadside assistance. The agreement print will offer the needed information if one desires to know the exact areas covered by your extended warranty on a used car.

The Cost Of The Warranties

Getting a certified pre-owned warranty is considered a bit expensive compared to the warranty of a newly purchased vehicle. The increase in the price is usually a result of the many things done to the vehicles. The vehicle undergoes inspection charges that are usually comprehensive. It covers many of the maintenance and repairs done to the vehicle, elongated security that is different from the warranty given by the company for the new model of the exact vehicle, and dealer negotiation. Although it is expensive, it is totally worth it to get a higher value than a new vehicle’s value.

For the extended warranty, the coverage options contain a wide variety. The costing will be different depending on the model of the vehicle and the plan coverage. The general costing of the warranty usually ranges between $1000 and $3000 and can be more. If the warranty cost is included with the auto loan, higher payment is expected as interest will be included.

Deductibles may be required if one uses the extended warranty on used cars. The deductibles can be charged in two different ways, either per warranty service visit or per repair. This makes it very expensive, mainly if the repairs cannot be summarized within a single visit. The warranty dealers usually price the warranty on the higher price; hence negating power will give you a better deal.

Benefits Of Warranties

Having a CPO warranty has tonnes of advantages that accompany it. The first one gets to enjoy the privileges of a newly bought vehicle at a lower price. Also And paid maintenance that is scheduled is added advantage to the buyer. These maintenances help keep the vehicle in check. The qualified people to handle the vehicle gives peace of mind as vehicle parts will not be tampered with by strangers. With most CPO warranties, the deductibles are paid. There is no limitation to the millage that you can cover as the warranty covers it.

 The extended warranty on used cars has many benefits, such as saving money if the repairs needed are expensive. The warranty also ensures peace of mind as worrying about repairs and replacements are taken care of by the warranty. Although no one enjoys paying the warranty price, it proves worthwhile during the repairs and replacements.

The Downside Of The Warranties

Several cons accompany the purchase of the two warranties. For the Certified pre-owned vehicle warranty, it is expensive when compared to newly bought cars. The flexibility of attending to any dealer for repairs is infringed as the warranty ties you to a specific dealer to maintain the vehicle. The longer you stay with the vehicle, the higher cost you pay for the maintenance; hence reduction of millage is encouraged.

The extended warranty on used cars cons includes that the warranty usage is not guaranteed as most people pay for it but have never used it. Extended warranties usually tend to overlap; hence you may not be able to use your warranty until the manufacturer’s warranty period elapses. The coverage of the warranty leaves a lot of things out. This may cause inconveniences, especially when repairs are needed, but the warranty cannot pay as the repairs are not covered. The warranty also ties one to specific repair points, which can be inconvenient. Depending on the car’s mileage, certain warranties only cater for specific repairs of parts and replacement. The reliability is questionable as it is usually a third-party responsible for the payment of repairs and replacements.

The Worthiness Of The Warranties

The purchase of a Certified Pre-Owned warranty is a promising venture. The warranty offers peace of mind as the quality of the bought vehicle is assured. The many benefits accompanying the warranty, such as getting the original warranty with added years, are plausible. The certified pre-owned warranty is proof of quality vehicle bought hence money saving.

The extended warranty is advisable to avoid if possible as it has more cons than pros. The warranty is mainly considered a wastage of money as most people who pay for it rarely use it. The extended warranty cost is usually expensive compare to the cost one pays if the repairs and maintenance are done from his pocket. With the varied packages, getting a comprehensive warranty that will cover most of the maintenance needed is complex.

Suppose you are purchasing a brand new vehicle. In that case, please skip the extended warranty purchase and at least save the money for repairs and replacements when the need arises, as it will be cheaper compared to having an extended warranty. The money saved may be used on some other things if the vehicle doesn’t require maintenance. If you decide to take an extended warranty, do diligent research and take a reputable company, evading scammers.

Endurance
4.6
Industry Standing: 4.4/5.0
Coverage: 4.9/5.0
Affordability: 4.5/5.0
Transparency: 5.0/5.0
Customer Service: 4.4/5.0
idée We recommend Endurance as the best warranty provider
  • Best Overall
  • Coverage Plans: 6 options plus maintenance plan
  • Odometer Limit: Up to 200,000 miles
  • Free Cancellation: 30-day money-back guarantee
  • Longest Term: 8 years of coverage
  • Discounts: $300 same-day signup discount, $250 shopping voucher, and others
Plan coverage includes Endurance Elite perks™
Factory-level bumper-to-bumper plan Free membership for first year
Multiple powertrain/mid-level choices $500 collision discount
Scheduled maintenance coverage Tire repair or replacement
24/7 emergency roadside assistance Total loss protection up to $1,000
Trip interruption reimbursement Key fob replacement and repair
Rental vehicle coverage Endurance mobile app
Towing allowance $250 credit with shopping or dining partners

Our Methodology

Our expert review team takes satisfaction in providing accurate and unbiased information. We identified the following rating categories based on consumer survey data and conducted extensive research to formulate rankings of the best extended auto warranty providers.

  • Industry Standing: Our team considers Better Business Bureau (BBB) ratings, availability, and years in business when giving this score.
  • Coverage: Because each consumer has unique needs, it’s essential that a car warranty company offers an array of coverage options. We take into account the number of plans offered by each provider, term limits, exclusions, and additional benefits.
  • Affordability: A variety of factors influence cost, so it can be difficult to compare quotes between providers. Our team performs ongoing secret shopper analyses for different vehicles, mileages, warranty plans, and locations to give this rating.
  • Customer Service: Reputable extended car warranty companies operate with a certain degree of care for consumers. We take into account customer reviews, BBB complaints, and the responsiveness of the customer service team.

*Data accurate at time of publication.