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10 Best Extending Car Warranty Companies in 2021

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ZTSG 04/09/2021 New energy 182
Our team reviewed more than 20 popular extended warranty companies to find top suppliers in the industry.Leading warranty companies offer flexible payments and coverage ranging from powertrain warrant...

Our team reviewed more than 20 popular extended warranty companies to find top suppliers in the industry.

Leading warranty companies offer flexible payments and coverage ranging from powertrain warranty to bumper-to-bumper protection.

Featured Extended Warranty Companies

We reviewed the industry’s top extended auto warranty providers, and here are our featured picks.

Best Overall

Best for Used Cars

Low-Cost Plans

Endurance

CARCHEX

Select Auto Protect

Get Quote

Get Quote

Get Quote

(866) 990-3410

(866) 950-7122

(860) 294-4933

The best extended car warranty companies offer affordable protection plans that cover the mechanical components of your car most susceptible to costly repairs. After thoroughly reviewing the most popular providers on the market, these extended warranty companies came out on top:

Endurance: Best Overall

CARCHEX: Best for Used Cars

CarShield: Most Affordable

Protect My Car: Best Maintenance Benefits

autopom!: Best Customer Service

Select Auto Protect: Low-Cost Plans

Liberty Bell Auto Protect: Best Military Discount

ForeverCar

Concord Auto Protect: Best for Luxury Cars

Infinite Auto Protection

If you’re considering purchasing an extended auto warranty, you’ll want to learn more about coverage and costs. Our team did much of this work for you, factoring in industry standing, warranty plans, affordability, and customer service.

What Is an Extended Car Warranty?

How Does an Extended Auto Warranty Work?

What Is the Cost of an Extended Auto Warranty?

The 10 Best Extended Car Warranty Companies

1. Endurance: Best Overall

Industry Standing

Coverage

Affordability

Customer Service

2. CARCHEX: Best for Used Cars

Industry Standing

Coverage

Affordability

Customer Service

3. CarShield: Most Affordable

Industry Standing

Coverage

Affordability

Customer Service

Are Extended Car Warranties Worth It?

Getting The Best Extended Car Warranty

Read Industry Reviews

Shop Around

FAQ: Best Extended Car Warranties

What Is an Extended Car Warranty?

An extended car warranty, also called a vehicle protection plan or vehicle service contract, foots the bill for mechanical breakdowns after your factory warranty expires. Rather than pay a costly repair bill, drivers are only responsible for a deductible and a monthly or one-time payment.

How Does an Extended Auto Warranty Work?

As we mentioned above, having an extended warranty means you aren’t responsible for the entire cost of a repair bill, depending on the component. Here is how the warranty process typically works:

Choose a repair shop: Most third-party providers have a wide network of repair facilities for customers to get work done. Take the vehicle to an in-network shop if a covered part breaks down.

Get the car diagnosed: A technician will assess the car to diagnose the problem. During this time, you should provide the repair facility with contact information for your warranty company.

An administrator reviews the claim: Once the car is assessed, an administrator will review the warranty claim to determine if it’s covered under your protection plan.

Pay your deductible: If the claim is approved, the customer pays their deductible and the warranty company will cover the rest of the repair.

What Is the Cost of an Extended Auto Warranty?

There’s no standardardized way extended warranty companies determine the cost of coverage, so prices vary by provider. Our warranty experts reached out for quotes from numerous providers and found the average cost to be around $2,600.

Since costs vary for each type of plan and the length of coverage, our quotes ranged from $1,700 to $4,600. Here are some factors that can impact price:

The condition of the vehicle

Vehicle make and model

Level of coverage

Deductible amount

The 10 Best Extended Car Warranty Companies

When were compared some of the most popular warranty companies based on factors such as industry standing, coverage, affordability, and customer service, we found these to be the 10 best extended car warranty providers.

10 Best Extended Warranty

Companies

Award

Our Rating

1

Endurance

Best Overall

Get Quote

2

CARCHEX

Best for Used Cars

Get Quote

3

CarShield

Most Affordable

Get Quote

4

Protect My Car

Best Maintenance Benefits

Get Quote

5

autopom!

Best Customer Service

Get Quote

6

Select Auto Protect

Low-Cost Plans

Get Quote

7

Liberty Bell Auto Protect

Best Military Discount

Get Quote

8

ForeverCar

Get Quote

9

Concord Auto Protect

Best for Luxury Cars

Get Quote

10

Infinite Auto Protection

Get Quote

Below, we’ll take a deeper look at our top three providers: Endurance, CARCHEX, and CarShield.

1. Endurance: Best Overall

Endurance is known for its comprehensive benefits and positive customer service experiences. We named it “Best Overall” for these reasons and because it’s one of the only direct-to-consumer providers available.

Industry Standing

Coverage

Affordability

Customer Service

Overall

Industry Standing

Endurance has underwritten extended car warranties since 2005, which bodes well for the company’s standing. It has a good reputation with experts in the auto warranty industry like AM Best, as well as rating sites like the Better Business Bureau (BBB), and Trustpilot.

Here’s a breakdown of Endurance’s ratings:

Expert

Score

What This Means

AM Best

A+ in financial strength (Superior)

The company is reliable financially to pay out customer claims.

BBB

C+

Endurance’s rating recently dropped due to advertising issues, which have since been resolved.

Trustpilot

4.3/5.0 stars

Customers have a positive experience with the extended warranty services from Endurance.

Coverage

Endurance offers six plans, each providing different levels of coverage. All plans come with your choice of a $0, $50, $100, or $200 deductible, which is the price you’ll pay to the repair shop out of pocket for any covered repair. If you choose a higher deductible, your monthly costs will be lower, and vice versa. Endurance will handle the rest of the repair cost.

Here’s a breakdown of Endurance’s vehicle service contracts:

Plan

Best For

Type of Coverage

Supreme

New, high-tech, commercial, or hybrid vehicles

Bumper-to-bumper, exclusionary

Superior

Drivers who want comprehensive coverage

Highest level of stated-component coverage

Secure Plus

Drivers who need coverage soon

Powertrain plus coverage with the shortest waiting period

Select Premier

Drivers of high-mileage vehicles

Specifically designed powertrain plus coverage for high-mileage vehicles

Secure

Drivers on a budget

Most affordable powertrain coverage plan

EnduranceAdvantageTM

Both extended warranty and maintenance coverage

High-level stated-component coverage plus regularly scheduled maintenance services like oil changes

Each Endurance plan comes with the following benefits:

Rental car reimbursement: Get reimbursed for $30 per day (up to $150) for a rental car while your car is in the shop for a covered repair.

Trip interruption coverage: If your car breaks down over 100 miles from home, you will be reimbursed up to $150 per day (up to $450) for meals or lodging.

24/7 emergency roadside services: When your vehicle is disabled, call Endurance claims services, and the company will send you a tow, battery service, mechanical first aid for minor adjustments, tire service, fuel delivery, or lockout service.

Additionally, with Endurance, customers get their first year of Endurance Elite Benefits for free. After the first year, customers have the choice to renew their membership for a small fee. The Endurance Elite Benefits include:

Collision discount: Receive up to $500 per covered collision up to $1,000.

Total loss protection: Get up $1,000 toward vehicle replacement if your car is totaled.

Tire repair/replacement: Get reimbursed for up to two repaired or replaced tires per year.

Key fob replacement: If your key fob is lost or broken, Endurance will cover the cost of a new one up to $500.

Add-on options to Endurance’s highest traditional coverage plan (Supreme) make this option particularly useful for drivers of high-tech, commercial, or hybrid vehicles.

Tire modification or suspension lift: Covers tires including oversized tires, body lifts, and suspension lifts

Hybrid vehicle coverage: Covers the electronic motor, power controller, inverter assembly, generator, electronic air conditioning compressor, and electronic power steering pump

High-tech coverage: Covers back-up sensors and camera, video system and display screen, GPS/navigation systems, blind spot sensors, electronic driver display, and anti-theft systems

Affordability

While Endurance contracts tend to be on the more expensive side, many drivers think it’s worth it for the perks and comprehensive benefits. Our review team found that, on average, the best extended car warranty from Endurance, the Supreme plan, costs around $70 per month for 36 months for five years or 100,000 miles of extended car warranty coverage.

In general, we found that Endurance plans of all levels cost about $69 to $180 per month and require a down payment of $150 to $350.

Customer Service

Endurance warranty reviews speak for themselves. On the BBB, Endurance has over 1,000 customer reviews rating the company at over 3.6 stars out of a possible 5.0-star rating.

Positive reviews of Endurance customer service as reported to the BBB include praise for non-pushy salespeople, a simple buying experience, and saving money.

Negative customer reviews shine a light on long wait times to speak to customer representatives, slow claims approval, and phishing emails.

2. CARCHEX: Best for Used Cars

Founde

d in 1999, CARCHEX is known for excellence in the industry. The company has a long history of positive customer experiences, along with a strong reputation among industry experts, such as CARFAX, Edmunds.com, and Kelley Blue Book. We named it “Best for Used Cars” because it covers cars with up to 250,000 odometer miles.

Industry Standing

Coverage

Affordability

Customer Service

Overall

Industry Standing

CARCHEX has an A+ rating on the BBB and won the BBB Greater Maryland’s Torch Awards for Marketplace Excellence in 2012. Trustpilot consumers rate CARCHEX at 3.2 out of a possible 5.0-star rating. CARCHEX’s years in business and positive ratings bode well for the company’s reliability and ability to pay out customer claims in a timely manner.

Coverage

CARCHEX offers five Extended Vehicle Protection Plans with several contract options under each tier:

Plan

Best For

Type of Coverage

Titanium

Drivers who plan to own their car for a long time

Exclusionary contract, similar to a bumper-to-bumper warranty

Platinum

Car owners who want comprehensive coverage

Highest level of stated-component coverage

Gold

Vehicles with over 60,000 miles

Second-highest level of stated-component coverage

Silver

Older cars more liable to hefty auto repair costs

Powertrain plus coverage

Bronze

Reliable vehicles expecting infrequent repairs

Basic powertrain coverage

Some benefits that come with all CARCHEX plans include:

24/7 roadside assistance: Includes emergency tire service, lockout service, battery service, fuel delivery, and winching

Towing reimbursement: Up to $75 per occurrence

Rental car reimbursement: Up to $40 per day (up to $160) per occurrence

Trip interruption service reimbursement: Up to $50 per day for three days maximum if your vehicle breaks down over 100 miles away from home

Reimbursements may vary by contract.

Affordability

CARCHEX plans cost about $100 to $200 per month. For example, a Titanium plan can cost about $136 for 18 months for five years or 100,000 miles of coverage. The deductible with this plan is $100.

Customer Service

There are over 100 CARCHEX reviews on the BBB. Positive reviews detail speedy claims servicing, satisfactory service for luxury vehicles like BMW, and friendly, professional customer service representatives.

Negative CARCHEX reviews detail unsolicited sales calls, slow claims approval, and difficulty canceling contracts.

3. CarShield: Most Affordable

CarShield is known for having unbeatable prices for its extended car warranty coverage options. The company doesn’t underwrite its own policies but administers vehicle service contracts from other highly ranked providers.

Here’s a quick snapshot of how CarShield ranks by our standards:

Industry Standing

Coverage

Affordability

Customer Service

Overall

Industry Standing

CarShield’s BBB rating could be higher. It’s currently rated the lowest rating (F). This is because a high number of consumers have reported a pattern of behavior regarding misleading sales and advertising practices, rude customer service, failure to cover repairs needed, and difficulty canceling a policy for a refund, despite the 30-day money-back guarantee.

A certain amount of negative customer reviews are to be expected with any company, and these complaints are not uncommon in the car warranty industry. When you consider that CarShield has covered over one million vehicles, the number of complaints is small.

CarShield received higher scores on other customer review sites. For example, the company has 4.1 out of 5.0 stars on Google. Trustpilot scores are also calculated from first-person customer reviews, and CarShield has received 4.0 stars out of a possible 5.0-star rating. This is a good indication that customers are largely satisfied with their extended car warranty experience from CarShield.

Coverage

CarShield offers six coverage plans:

Plan

Best For

Type of Coverage

Diamond

New cars that will be kept for a longer period of time

Bumper-to-bumper coverage

Platinum

High-mileage vehicles

Protection for most of your car’s vital parts

Gold

Drivers of unreliable cars liable to hefty repair bills

Powertrain plus coverage

Silver

Drivers on a budget

Powertrain coverage

Aluminum

Drivers of high-tech vehicles

Specialty plan for electrical and computer-related problems

Motorcycle & ATV

Drivers of specialty vehicles

Platinum or Silver coverage

Some benefits that come with all CarShield plans include:

Rental car reimbursement: Get reimbursed for a rental car while your car is in the shop for a covered repair.

Towing: When your car breaks down, CarShield will tow your car to the nearest certified repair facility. Get up to $75 per occurrence.

24/7 roadside assistance: CarShield will send roadside services for flat tires, lockouts, dead batteries, fuel delivery, and winching out to your location if your car is disabled.

Affordability

Our research indicates that the highest level of coverage from CarShield (the Diamond plan) costs around $83 per month for five years or 100,000 miles. This coverage is unique from Endurance or CARCHEX because the term length is unlimited. As long as you keep paying for coverage, your contract will not be canceled.

The Diamond plan is the highest level of coverage, making it some of the most expensive. We found some plans to be as low as $70 per month.

Customer Service

There are over 800 CarShield reviews on the BBB. Positive customer reviews detail excellent claims service, courteous staff, and fair rates.

Negative reviews report unsolicited sales calls, pressure marketing tactics, and trouble canceling a policy.

Are Extended Car Warranties Worth It?

Many car owners think that extended car warranties are worth it. A study released by software manufacturer Pegasystems Inc. shows that over half of Americans (60%) see the value in a car warranty. Out of the survey respondents who own an extended car warranty, 62% reported benefiting from this coverage over the past year.

There are pros and cons of extended car warranties. Reasons why people don’t buy an extended car warranty include lack of availability, high cost, and not thinking that they need one. However, this study suggests that most drivers would benefit from the coverage. Luckily, affordable car warranty options are available.

Getting The Best Extended Car Warranty

The first provider you try may not be the best provider for you. Just as you would for buying car insurance, checking reputations and prices can ensure you’re making a valuable investment.

Read Industry Reviews

Price isn’t everything. You’ve probably heard of phone scams and pushy salespeople asking about your car’s extended warranty. Before making a financial commitment, check out what sites like the BBB and Trustpilot say about a provider.

Customer reviews usually offer insight into how companies respond to complaints, or how effective they are at approving claims and sending refunds. You should also see if the company has been fined by any government watchdogs like the Federal Trade Commission (FTC).

Shop Around

When you are looking for the best price, our experts recommend getting quotes from at least three different providers. While it’s important to compare costs, you should also look at each company’s coverage plans to see if one better suits your needs. All of our top providers offer multiple levels of coverage, so being flexible can help you get the best deal.

FAQ: Best Extended Car Warranties

What does a car warranty cover?

Extended auto warranties cover select mechanical components. Basic extended warranties (typically referred to as powertrain or drivetrain warranty coverage) protect the parts of your car that help the vehicle move, like the engine, transmission, drive axle, and more.

A more comprehensive coverage plan (typically referred to as a bumper-to-bumper warranty) covers the same components as a powertrain plan, plus your car’s cooling and electrical systems, high-tech components, and more.

What do extended car warranties not cover?

Extended car warranties do not typically cover the following damages and car parts:

The cost of routine maintenance

The interior/upholstery, paint, carpeting

Damage from misuse, abuse, or corrosion

Auto glass parts like windshield, headlights, and light bulbs

Damage from a collision, weather event, or environmental damage (unlike auto insurance)

Some of the best extended vehicle warranties are exclusionary contracts. This means your contract only lists the items that are not covered instead of naming each part that is covered. Be sure to read the fine print of your contract carefully to know what your car warranty covers. If you have not purchased a warranty, look online or reach out to a provider, as most companies offer sample contracts.

What do extended warranties cost?

The average annual extended car warranty cost from one of the best extended warranty companies ranges from $700 to $1,500.

What is the best extended car warranty?

We’re confident you can find the best extended car warranty from these companies:

Endurance: Best Overall

CARCHEX: Best for Used Cars

CarShield: Most Affordable

Protect My Car: Best Maintenance Benefits

autopom!: Best Customer Service

Select Auto Protect: Low-Cost Plans

Liberty Bell Auto Protect: Best Military Discount

ForeverCar

Concord Auto Protect: Best for Luxury Cars

Infinite Auto Protection

Ultimately, getting quotes from several providers is a tried-and-true way to find the right plan for your vehicle from a reputable extended car warranty company. You can compare some of these top providers head-to-head in our Endurance vs. CARCHEX, CarShield vs. Endurance, and CARCHEX vs. CarShield reviews.

Use the tools below to get our top three quotations and extended warranty service providers to find the right insurance plan at the best price.