Read Expert's Review About The Worst Extended Auto Warranty Companies

In general, a typical car manufacturer’s warranty can help you manage any unpredictable repairs for the first four to five years after your purchase. After that, however, you are on your own.

However, here comes to be saved from bad experiences by knowing about worst extended auto warranty companies. As vehicle owners purchase extended auto warranties to protect themselves from high-cost repair bills.

The process is simple; pay hundreds of dollars to a warranty company, and if your car ever needs to be repaired. This policy will then cover those expenses.

Since the extended warranty can be financed, those who live on a weekly or monthly budget can better prepare for a big problem that would upset their finances.

What is an extended auto warranty?

An extended warranty or a vehicle service contract is an optional plan you can buy to help you pay for the cost of parts and labor your car may need while you own it. The warranty usually starts when the manufacturer’s warranty expires. They may not cover everything a manufacturer’s warranty covers, so please make sure you are well educated and working with a reputable company.

If you buy a used car from the dealer, it may not be covered by the manufacturer’s warranty anymore, so an extended warranty might be the way to go. It will provide you with the coverage you need. Be careful of telephone solicitors selling extended warranties; they are not reputable sources!

Tips for avoiding the worst extended auto warranty companies

As you try to search for the worst extended auto warranty companies, you need to know the red flags so that you can easily avoid them.   

1. Bad reputation

Whenever we wish to buy something, we check out for reviews and recommendations. Similarly, when you plan to buy an extended warranty, check its reviews. One of the best ways to know which provider is the best is by checking third-party reviews of different companies and see which one suits you the most. A company with a bad reputation will have lower ratings.

Upon expert’s opinion, Warranty Direct is the worst. As such, even if one day your car’s A/C stops and you take it to a local repair shop, and they would ask you to refer to your auto warranty company because of a condenser issue. Hence you call Warranty Direct. Don’t expect Warranty Direct to say it was covered or not nitpick in your charges.  

2. Bad services

Give a thorough read on what components of your car would be covered in the plan and which ones would be excluded. Moreover, check the absolute exclusions list as well. Many companies may deny your claim if a non-covered component of your car damages the plan’s covered part.

Experts say to avoid buying an extended auto warranty from Warranty Direct back, or you might face an issue with your vehicle. To be precise, you might need to replace the fuel pump, which at the time would be excellent at the warranty service. But then the company changed.

Upon calling to ask if you could extend your auto warranty because you drove just a few of the mileage coverage- you will find out they don’t offer any of their products for years.

So ensure a yearly auto warranty from Warranty Direct, or they might cancel the contract prematurely after taking your money.

3. High or unrealistically low costs

The cost of an extended warranty is rarely considered cheap, but it shouldn’t be exponentially more than you expect to spend on repairs during the contract’s length. Of course, the price depends on what coverage you choose, as well as the make, model, year, and condition of your vehicle.

Also, do not get interested in cheap packages as sometimes they are too good to be true.

Experts find it funny that the 5-star reviews are from people who haven’t utilized the warranty but like the price they got for it. They imagine the five stars going 1 star as they find themselves using it.

You purchase what you think is a great warranty, but as soon as you have the chance to file a claim, the trouble starts. Be it an oil light coming on in your vehicle, so you take it to the shop, As you call the “low-priced” warranty company, the line doesn’t answer, and your car remains in the shop for weeks.

They make you perform efforts and, in the end, say that it is your problem and neglect from your side, so they refuse to compensate. You change your oil, and the company falls back from their word.

Even showing receipts won’t work with them. It is vital to look well into the contract before you sign a deal with the devil or scammers that reel you in showing low-cost prices.

4. The company does not let you transfer your warranty

Extended warranties are transferable. Therefore, if you plan to sell your current car, your extended warranty is transferred to the new owner. Most of the well-reputed companies allow their customers to do it quickly, and some charge a minimal amount of fees. If some company denies transferring the warranty to the new owner, you must consider the one that allows you to do so.

5. The company cannot customize your packages

Some warranty providers have costly plans that only cover catastrophic repairs. That’s not the plan you should be looking for. A good company will have no issue providing a customized package that will give you just what you need. When you have a personalized deal to match your needs, you are almost guaranteed to get real value for your money. Simultaneously, you will only be spending money on just what you need and not on other features that you don’t need.


If you plan to keep the vehicle for a long time and the factory warranty has ended, an extended warranty might suit you. However, make sure to look out for the worst extended auto warranty companies, as your investment may not prove to be worth it. Do not forget there are some exceptional options available for you too. Just keep in mind the things we mentioned in this article, and you will undoubtedly find some better providers.Do not forget there are some exceptional options available for you too. For example, you can always search for high quality providers on Chaiz.Just keep in mind the things we mentioned in this article, and you will undoubtedly find some better providers.

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