6 Best Car Warranty Companies of April 2024
Updated April 9, 2024 at 12:59 pm
According to S&P Global Mobility, the average age of passenger vehicles in the United States is 12.5 years. With most new car warranties expiring at three years, that means you could go unprotected for a long time—unless you purchase a new warranty.
An extended car warranty can help protect you on the road. If your car breaks down, your car warranty company comes to the rescue with roadside assistance. You can also enjoy benefits like towing, rental car coverage and even trip interruption coverage. But first, you need to find the right coverage for your vehicle. These are the best car warranty companies for the job.
Methodology Our research is designed to provide you with a comprehensive understanding of personal finance services and products that best suit your needs. To help you in the decision-making process, our expert contributors compare common preferences and potential pain points, such as affordability, accessibility, and credibility.
Our Picks - Best Car Warranty Company Overall: Endurance
- Best Car Warranty Company for Travelers: Autopom!
- Best Car Warranty for Used Cars: CARCHEX
- Best Car Warranty Company for Multiple Vehicles: CarShield
- Best Car Warranty Company for Immediate Coverage: Olive
- Best Car Warranty Company for Extra Benefits: Omega Auto Care
Best Car Warranty Companies of 2024
Best Car Warranty Company Overall
Endurance
Vault Verified
Why We Chose It
Endurance wins the title of best car warranty company overall thanks to its robust protection spread across three plans. You’ll enjoy 24/7 roadside assistance, total loss protection and up to $500 toward a key fob replacement.
Key Features
- Total loss protection
- Key fob replacement
- 24/7 roadside assistance with tire replacement
- Rental car coverage
- Collision discount
Pros
- Huge repair network
- Key fob replacement
- Up to four tires per year
Cons
- Limited general customer service hours
- Elite Benefits additional cost after first year
- Subject to long waiting periods
Best Car Warranty Company for Travelers
Autopom!
Vault Verified
Why We Chose It
Autopom! is prepared to meet you on the road in times of peril with its nationwide roadside assistance and breakdown coverage throughout the U.S. and Canada. You can enjoy your trip with rental car assistance and trip interruption reimbursement.
Key Features
- 24/7 roadside assistance with tire protection
- Breakdown coverage in U.S. and Canada
- Rental car coverage
- Trip interruption reimbursement
- Interest-free payment plans
Pros
- 60-day money-back guarantee
- Choice of repair shop
- Dedicated customer support
Cons
- Poor price transparency
- No online claims
- Limited customer service hours
Best Car Warranty Company for Used Cars
Carchex
Vault Verified
Why We Chose It
If your car is really old, CARCHEX could be the right pick for you. It offers some of the longest coverage available from the best car warranty companies, giving coverage for up to 250,000 miles for eligible vehicles.
Key Features
- Up to 10 years of coverage
- 24/7 roadside assistance
- Substitute transportation reimbursement
- Trip interruption coverage
- Choose your own repair facility
Pros
- Great for very high mileage
- Straightforward terms
- 30-day money-back guarantee
Cons
- No online quotes
- Some vehicle limitations
- Mediocre customer service
Best Car Warranty Company for Multiple Vehicles
CarShield
Vault Verified
Why We Chose It
CarShield takes its already affordable plans and drops the price even further when you buy a warranty for multiple vehicles. In addition to the usual vehicles, you can also purchase coverage for high-mileage and electric vehicles, as well as RVs and motorcycles.
Key Features
- Electric vehicle, RV and motorcycle coverage
- 24/7 roadside assistance
- Towing and rental car coverage
- U.S. and Canada service area
- 12-month or 12k mile warranty on repairs
Pros
- Multi-car discounts
- Choice of repair shop
- 30-day money-back guarantee
Cons
- Have to talk on phone to get quote
- Some vehicle limitations
- Restricted coverage for specialty vehicles
Best Car Warranty Company for Immediate Coverage
Olive
Vault Verified
Why We Chose It
With Olive, there are no waiting periods. You can purchase a quote instantly online and start benefiting from coverage in a fraction of the time of other car warranty companies.
Key Features
- Access to RepairPal network
- $175 rental car credit
- $100 towing reimbursement
- Price lock guarantee
- Transferrable warranty
Pros
- Online quotes available
- Can choose your own deductible
- Transferrable policies
Cons
- Limited benefits
- No coverage for vehicles 11+ years old
- Restricted mileage
Best Car Warranty Company for Extra Benefits
Omega Auto Care
Vault Verified
Why We Chose It
Omega does not just stop at the usual coverage. It goes one step further to provide annual maintenance benefits like oil changes, brakes, batteries and cooling systems with a free safety inspection.
Key Features
- RepairPal network
- Roadside assistance with Road Hazard Coverage
- Rental car and trip interruption coverage
- Maintenance perks
- Towing assistance
Pros
- Monthly payments available
- Extended hours for claim support
- Free safety inspection
Cons
- No online quotes
- Single deductible option
- Mediocre customer service
Vault’s Viewpoint: Compare the Best Car Warranty Companies of 2024
| Average Starting Price | Number of Plans | Maximum Mileage | Roadside Assistance | |
| Endurance | $4,000 | 3 | 200,000+ | ✔ |
| Autopom! | $2,500 | 3 | Not disclosed | ✔ |
| CARCHEX | $1,250 | 5 | 250,000 | ✔ |
| CarShield | $99/month | 8 | 225,000 | ✔ |
| Olive | $10/month | 3 | 185,000 | ✔ |
| Omega Auto Care | Not disclosed | 5 | 250,000 | ✔ |
Learn More About Car Warranty Companies
Before you can find the right car warranty for your vehicle, you first must understand how they work. This is what you need to know to help you search for the best car warranty company for your vehicle.
What Is a Car Warranty Company?
A car warranty is a type of additional coverage you can purchase for your vehicle. It is a contract between you and the vehicle manufacturer or a third-party aftermarket warranty company. Under this contract, the car warranty company agrees that it will pay the cost of certain repairs. It covers specific parts of your vehicle, usually up to a certain amount. Your car warranty can last for several years or up to a certain mileage. At that point, the car warranty company no longer covers repairs.
The car warranty company is typically a third-party provider that offers aftermarket coverage for your used vehicle. Coverage for new cars is typically available, but it’s less popular since factory or dealership warranties are so common. It is important to note that a car warranty company is not an insurance provider; instead, it offers more selective coverage, filling in the blanks around your car insurance to provide greater protection.
How Do Car Warranty Companies Work?
Not all car warranties come from a dealer or factory. There are also car warranty companies that specialize in aftermarket coverage for your vehicle, known as extended car warranties.
Every car warranty company provides a list of inclusions and exclusions. This list shows exactly what is and what is not included in your policy. When your car needs repairs, you usually choose a repair shop from within the provider’s network. Once you receive a diagnosis, you can check your policy to confirm it’s covered and see what kind of deductible is required. From there, the car warranty company will either pay for the repairs directly or reimburse you later. Other services are also often included, such as roadside assistance with towing and rental car coverage. You can use these services as long as your vehicle’s issue is covered under your policy.
Who Are Car Warranty Companies Best For?
Extended car warranties are a great fit for any driver looking for extra protection for their vehicle. A warranty delivers extra peace of mind. If something goes wrong with your vehicle, the warranty covers the repairs without a large out-of-pocket bill. A used car warranty is especially helpful if you have a used vehicle or one with high mileage. These vehicles are more likely to require repairs, and they can be quite costly. If you have a newer vehicle, you may still be covered under the original warranty, in which case you will not require additional coverage.
Car warranty companies are often a better fit than factories and dealerships because they can offer greater flexibility when it comes to terms and deductibles. You can also take advantage of a larger repair network with expanded benefits. Before you purchase an extended car warranty, check your current coverage to see what else you need to protect your vehicle.
Types of Car Warranties
Car warranty companies can offer several types of coverage. These are a few of the most popular types of car warranties.
- Bumper-to-bumper car warranty: A bumper-to-bumper warranty is also known as an exclusionary warranty. It provides coverage for almost all parts and components of your vehicle with just a few exceptions. It is the closest type of extended warranty to your original manufacturer’s warranty.
- Powertrain car warranty: A powertrain car warranty covers the parts of your vehicle that are responsible for movement, including the engine and transmission. This type of coverage is highly recommended because these are some of the most expensive repairs for your vehicle.
- Drivetrain car warranty: A drivetrain warranty is all about the wheels. With this type of car warranty, you receive many of the same protections as a powertrain warranty, like coverage for your transmission, wheels and drive axles. However, it does not include coverage for your engine.
- Corrosion coverage: This type of coverage protects against corrosion on your vehicle that can happen after long-term exposure to salt or water.
- Anti-perforation warranty: This pertains to a specific type of corrosion that leaves holes in your vehicle’s sheet metal. Corrosion erodes the metal from the inside until there is nothing left but a giant hole. Coverage for rust is typically not included with this warranty.
- Wrap warranty: Car warranty companies offer wrap warranties to upgrade your existing powertrain coverage into a bumper-to-bumper warranty with greater coverage.
All policies are subject to exclusions, or items that are not covered under your policy. Normal wear and tear is generally not included, including damage from rust. You’re expected to reasonably maintain your vehicle, so any damage from a lack of regular maintenance isn’t covered by the car warranty company.
How To Choose a Car Warranty Company
After a while, it can be hard to keep track of all your options. These are some factors to consider when choosing the best car warranty company for your needs.
Coverage
Every car warranty company offers different coverage. Consider the term lengths and maximum mileage for each company. You can ask for a copy of a sample contract so you can see exactly what is included and what is not. Carefully review each plan, as well as the policy’s terms and conditions, to ensure it’s the right type of coverage for your specific vehicle. The best car warranty companies provided here offer widespread coverage with generous benefits to protect you and your vehicle.
Benefits
Consider what kind of benefits are included with each plan. Roadside assistance is standard, but look to see what other perks are available. Common inclusions are towing and locksmith services, tire replacement, rental car coverage and travel interruption coverage. Some plans may also include extra coverage for routine maintenance like oil changes and brake pads.
Customer Service
Consider when and how customer service is available for claims support. All of the providers listed here feature 24/7/365 roadside assistance so there is always someone to help in an emergency. To get a better idea of what to expect, read a few reviews. After all, customers know a company best. Sites like the Better Business Bureau and Trustpilot are great places to find unbiased consumer reviews on each company.
Cost
The cost of a car warranty can vary significantly from driver to driver. Quotes are based heavily on your vehicle’s year, make, model and mileage. Other factors include your deductible amount and the plan that you choose. We recommend obtaining quotes from multiple providers so you can compare cost and coverage to find the cheapest policy. Also, check if there is a money-back guarantee for greater peace of mind.
Other Car Warranty Company Alternatives
American Dream Auto Protect
With American Dream Auto Protect, you have a choice of three plans: Platinum, Gold and Silver. There are monthly payment plans to keep things affordable with a 30-day money-back guarantee. There are no online quotes, but coverage can begin as soon as 48 hours after you call and purchase a plan. Be sure to inquire about multi-car discounts if you have more than one vehicle.
With all plans, there is 24/7/365 support to help in case of an emergency. Roadside assistance includes free towing and rental car coverage for added support. American Dream Auto also gives you access to over 50,000 Automotive Service Excellence (ASE)-certified mechanics so you can choose the one most convenient for you. Most warranties are transferable with a cancellation option, and when you sign up, you get one month for free.
Concord Auto Protect
Concord Auto Protect offers three plans: Powertrain, Premium and Advanced. You can receive coverage for high-tech electronics as well as turbo/supercharger vehicles. Plans include 24/7 roadside assistance with gas delivery, towing, locksmith services and rental car coverage. There’s even trip interruption coverage if something goes wrong while you are away from home.
You can take your car to any ASE-certified repair shop, and Concord will foot the bill after your deductible, providing another convenience when you are on the road. A 30-day money-back guarantee secures your purchase. Plans are both renewable and transferable, giving you ultimate flexibility with your plan long-term.
Toco
Toco covers vehicles up to 250,000 miles with four plans based on your mileage: Orange, Yellow, Blue and Green. It offers an extremely transparent website that clearly outlines what is and is not covered in each plan.
Toco lets you choose your own repair shop so you can use your favorite trusted mechanic to handle the repairs. Plans include locksmith support, tire changes and fuel delivery. In addition to towing and rental car coverage, you get reimbursement for hotels. Drivers also get a membership to Openbay+ for up to 25% off your routine vehicle maintenance. With month-to-month plans, you can cancel your policy at any time.
Frequently Asked Questions
How Long Does a Car Warranty Last?
The average car warranty lasts three years or up to 36,000 miles. Each car warranty company will offer a term based on either a set number of years or a particular mileage. Anything that happens after that point is no longer covered under your plan and would require new coverage.
What Car Warranty Company Has the Best Car Warranty?
Endurance is the best car warranty company with its signature Elite Benefits protection and generous annual maintenance allotment. Because it covers vehicles up to 200,000 miles, it also wins our pick for the best used car warranty company.
How Much Does an Extended Car Warranty Cost?
The average extended car warranty costs $1,000 per year for bumper-to-bumper coverage. However, car warranty companies can charge anywhere from $280 to $2,800 each year. Pricing ultimately depends on several factors like the type, make, model and year of the vehicle. Other factors include mileage, deductible and the type of coverage you choose.
Are Extended Car Warranties Worth It?
An extended car warranty is worth it if you need a repair that would otherwise be expensive out of pocket. An extended car warranty can especially be useful for used cars or vehicles with high mileage because these vehicles are more likely to need repairs. It delivers peace of mind, offering not only repairs but also invaluable roadside assistance and services.
Editorial Note: Opinions expressed here are author’s alone, not those of any bank, credit card issuer, hotel, airline or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post. We may earn a commission from partner links on Newsweek, but commissions do not affect our editors’ opinions or evaluations.
