Service Contract
Vehicle Service Contract
What is a Vehicle Service Contract?
A vehicle service contract provides cover against mechanical breakdown. Even though vehicles are well made these days, there is still a risk of a mechanical breakdown. New technology and features can quickly become expensive to repair. may only pay what the vehicle is actually worth at the time of the event. In a lot of cases, this can be less than what you owe to clear(pay off) the loan on the vehicle.
Potential unexpected repair costs;
Benefits of a Vehicle Service Contract?
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Available on new and used cars, trucks, SUVs, minivans, and crossovers
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Wide range of service contracts available from basic coverage to top-of-the-line coverage
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Various deductible options available
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Option to extend coverage before contract ends
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Authorized repair facilities nationwide
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No exclusions for covered pre-existing condition
Towing and emergency roadside assistance*
Travel and lodging reimbursement*
Rental car reimbursement
Reasons you might need a vehicle service contract
You're a high mileage driver
The more you drive, the more miles you put on your vehicle means more work for the mechanical parts of your vehicle. Just like most things, the more it's used, the more likely it is for something to go wrong.
Expired manufacturer warranty
Manufacturer bumper-to-bumper warranties typically expire after 3 years or 30,000 miles (whichever comes sooner). The manufacturer's powertrain warranty expiration depends on the manufacturer. Some manufactures offer powertrain until 5 years or 60,000 miles (whichever comes first), however, it's worth checking as some diesel engine warranties can be less.
Reduce out of pocket expenses
Spread the cost over a longer period.
You're purchasing an older high mileage vehicle
An older vehicle with higher mileage, such as more than 60,000 miles, has more chance of having a mechanical breakdown than a newer vehicle with fewer miles.
*check your specific contract for details.