If you drive an older vehicle or a vehicle with an expired manufacturer’s warranty, you will probably benefit from buying
a Vehicle Service Contract. Manufacturer’s warranties typically cover 3 to 4 years, on average. Chances are, if you’ve
owned your vehicle for over 3 years, your warranty is either expired or is about to expire. Now is the best time to look
into a Vehicle Service Contract.
You wouldn’t wait until after your health insurance has expired to look into finding new coverage would you? It’s
crucial, especially if you own an older or used vehicle, that you maintain coverage on your car. The average
transmission lasts 7 years or about 100,000 miles and costs anywhere between $2,000 and $6,000. That’s an expensive risk
to take in terms of not being covered.
Once you hit 100,000 miles, only the main components of your vehicle are covered. If you drive the average 15,000 miles
a year and your manufacturer’s warranty is a 4 year program, you’ll be at 60,000 miles by the time that program ends. If
you purchase a 4 year Vehicle Service Contract, you’ll have peace of mind until you’re well past that crucial 100,000
mile mark.
Locking in a 3-4 year contract before you hit 100,000 miles is important, if possible. As your mileage goes up, your
vehicle qualifies for less coverage. If you know that your manufacturer’s warranty is expiring soon, it’s best to extend
it through a VSC before it does. By extending your coverage while your vehicle is still under warranty, you’ll have a
much better chance to get the best program available because the Administrator knows that there is nothing currently
wrong with your vehicle.