Why Car Insurance is not a Replacement for a Car Warranty
There are those who see very little value in obtaining a Car Warranty. The reasoning is that car insurance is sufficient, especially if there are consumer protection laws in place that protect the interests of consumers. This is a misconception, since the intended purposes of insurance are very different from those of auto warranties. Simply put, neither provides the protection afforded by the other.
Car insurance is very helpful in situations that involve accidents or other mishaps that have nothing to do with the failure of the engine or some other component on the car. The focus is on providing benefits and support when the car is damaged by some type of outside force or event. Many policies cover cars in not only traffic accidents, but in events such as wind and hail damage, or falling trees that land on car roofs.
By contrast, a good car warranty offers protection from situations that have to do with some sort of mechanical failure connected with the work of the manufacturer. For example, a warranty would often provide protection in the event that a flaw is found in the brake systems of a given make or model, or if a part used in the construction of a motor is found to be inferior and could cause problems. In these situations and other covered events, the warranty means that the vehicle can be repaired with little to no out-of-pocket expense to the car owner.
Make it a point to obtain a decent car warranty along with an equitable amount of car insurance. The combination provides protection in a wide range of situations, making it much easier to enjoy car ownership and also protect your bank account at the same time.
Author - Michael Barclay
published: 05/05/2011 14:00:00