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Will an Auto Warranty Transfer With new Ownership

Will an Auto Warranty Transfer With new Ownership Image

One of the questions some auto owners have is what happens to an auto warranty if the owner decides to sell the car while the coverage is still in force.  There is no one answer to this question, since some warranty plans can be transferred when the ownership of the vehicle changes, while other plans effectively come to an end.

If you currently have a car that is covered under an auto warranty, and would like to sell the car, contact the warranty provider.  This will allow you to know what type of circumstances must prevail in order for the plan to successfully move to the new owner.  Since policies and procedures do vary from one provider to the next, this is the only way to know if this is possible and exactly what must be done to manage the transfer seamlessly.

For people who are looking to buy a car from a private owner, especially when this involves taking up car loan payments, determining if the warranty will transfer when the car is purchased is very important.  If so, make sure you understand the benefits provided under that warranty plan before you agree to the purchase.  If not, take some time to talk with independent warranty providers and see what type of cover you can get for that particular make and model.  While you hope to never have to use many of the benefits contained in an auto warranty plan, having one in place can be extremely helpful if a covered event should arise.

Michael Barclay

published: 13/07/2011 11:00:01

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