According to U.S. News & World Report, Genesis, a “spin-off” of Hyundai, offers the best warranties. For the first five years or 60,000 miles (or whatever comes first), you get bumper-to-bumper coverage.
This plan is unique in that it covers your powertrain, which is the mechanism that allows your engine to power the axels. For the first 10 years or 100,000 miles (or whatever comes first), issues with your powertrain are covered.
Other Companies That Offers Sound Warranties
Here are some other car companies that U.S. News & World Report said topped their “best warranties” list:
· Hyundai. In addition to offering bumper-to-bumper protection, Hyundai also gives its customers complimentary maintenance repairs for the first three years or 30,000 miles. If you get into an accident, Hyundai will even pay for some of the costs of towing your vehicle to a dealership.
· Mitsubishi. The benefits of your warranty will depend on what type of vehicle you have. For instance, if you opt for a hybrid, you could have warranty coverage for the first 10 years or 100,000 miles. If you opt for the standard model, like the Mitsubishi Eclipse, you could get benefits for the first five years or 60,000 miles.
· Kia. The carmaker offers roadside assistance, bumper-to-bumper coverage, and trip interruption coverage.
· Jaguar. This luxury vehicle offers full warranties for the first five years or 60,000 miles. Be wary of this brand, however; Consumer Reports gave it low reliability ratings.
What Are the Most Common Types of Warranties?
Basically, there are two types of warranties that you need to concern yourself with: limited warranties and full warranties. There are also manufacturer’s warranties, emissions warranties, and countless others, but for the most part, those will not come into play when you are shopping for a new car.
Limited Warranties Only Cover Certain Things
Suppose that you bought a Dodge Avenger and opted for the limited warranty at the dealership. This means that for a certain period of time, only certain repairs and replacements will be administered. Limited warranties usually cover manufacturer’s defects, faulty parts, and other related issues.
For instance, oil changes and normal wear and tear are not covered under limited warranties. More importantly, if you file a claim outside of the limited warranty’s period, you could have the shoulder the cost of repairs on your own.
Full Warranties Cover Most Things
People often get the terms “lifetime warranty” and “full warranty” confused. A lifetime warranty is intended to last for:
· The lifetime of the buyer
· The lifetime of the product
· The lifetime of the manufacturer
A full warranty, however, is a little different. It essentially means that the manufacturer is obligated to repair or replace anything within a certain period. So, let’s go back to the Dodge Avenger.
Suppose three years down the road, the car’s engine breaks. Depending on the details of the warranty, you could have this component fixed by the dealership at little to no charge.
Good Cars Don’t Need Warranties
If you’re in a position where you need a car and you need it now, you might not have the time to research your options. However, if you’re in good financial standing, and you can take the time to research your options, you should.
The fact of the matter is, in an ideal situation, you never want to use your car’s warranty. Your warranty should only cover things that are completely out of your control, like again, manufacturer’s defects. During your car’s lifetime, you only want to stop inside a mechanic for periodic maintenance––not financially disruptive issues.
According to Consumer Reports, here are some brands that are known for their cars’ reliability:
In their most recent report, Consumer Reports gave low ratings to Lincoln, Cadillac, and GMC. These cars were panned for having highhigh lifetime costs and having low resale values over the first five-year period.
Do All Dealerships Offer Warranties?
No, not all dealerships are obligated to provide warranties. For the most part, if it’s a manufacturer-based dealership, they will offer warranties. However, per the Federal Trade Commissions (FTC), some dealerships will sell cars “as is.”
This means that if anything goes wrong, you have to pay for the cost of repairs. Once you drive it off the lot, the financial burden of repairs or replacements fall onto you.
Some Dealerships Offer “Implied Warranties”
Implied warranties are essentially the same as “lemon laws.” Essentially, your state likely has laws in place that prevent dealerships from selling cars that are totally unusable. While implied warranties do not cover anything, they guarantee that you won’t spend thousands of dollars on a car, only to have a mechanic declare it totaled.
Independent Sellers Cannot Offer Warranties
This probably goes without saying but here it goes: be extremely skeptical when an independent seller offers you a warranty. So, if you buy a car off Craigslist, and the seller tells you that it comes with a warranty, think again. While some warranties go with cars, for the most part, they only apply to the purchaser of the vehicle.
If you buy a car from an individual, also make sure that the title and registration come with the vehicle, as well. This will reduce your chances of accidentally buying a stolen car.
Warranties Do Not Cover Car Accidents
Even if you have a lifetime, full warranty, it will not cover damages arising from an accident. A warranty is not a replacement for insurance. If your car is damaged in a collision, you would need to file an insurance claim or file a lawsuit.
A warranty would only cover problems with the vehicle under its policy. It would not cover dings, dents, and oil changes.
The conclusion? Don’t think about which company offers the best warranties. Instead, do your research and see what cars get the best reliability ratings. However, for the sake of your question, Genesis, Honda, Hyundai, Jaguar, Mitsubishi, and Kia offer great warranties.