Tow Trucks Will Support Our Turnpikes Safe

There's a new TV commercial extolling the advantages of a prolonged vehicle guarantee. It reveals one customer relaxing comfortably in the waiting room of his cars and truck repair shop (he has the car extended warranty) and another guy angry and annoyed that he'll need to pay for his car repairs (he obviously does not have a prolonged strategy). What's interesting is that the commercial repeatedly specifies that, with the warranty, the repair work is FREE. This is a little bit misinforming ...

The commercial notes that the gentleman with the service warranty will not have to pay the $1,200 to change his find truck service near me electronic control system. However, the reality is that extended cars and truck warranties that have no deductible and cover these types of electronic elements cost $3,000 to $5,000 - up front. As you can see this is far from FREE. At the $5,000 mark, this guy's automobile requires $3,800 in "covered repair work" simply to recover cost, offered the warranty does not end. They go on to state that towing is covered 100% which they will pay your service center straight. There are issues with both these statements too.

If you read the small print, towing is just covered specific distances - don't believe they'll let you tow it back to your dependable local mechanic if you break down 200 miles away. Moreover, the vehicle repair shop is under no responsibility to accept money from "your" extended service warranty business, thus needing you to pay up front and then get repaid. Most notably, as we go over frequently at RepairTrust, car repair work estimates fluctuate considerably. If your automobile requires $2,000 worth of work, your extended guarantee may (according to their price quotes) just pay $1,700. Your stuck paying the difference of $300.