I am planning to purchase a used vehicle (2021 or newer) in the near future and I am trying to determine if it's worthwhile to also purchase a warranty. If it is, what things should I look for in a warranty, which companies should I consider getting the warranty with, etc.? Is it better to focus on purchasing a certified pre-owned vehicles that come with a warranty?

I only have purchased these on German cars. Bought mercury through my credit union for cost. Always more than paid for itself with the German cars.

I've bought 4. No claims on 3 of them and the 1 paid for itself about 3 times over. So I guess I'm about break even.

That said - If you are out of manufacturer warranty, Might be worthwhile depending on cost & coverage.
Ford will offer a factory extended warranty on some used vehicles. Thats where I'd go is the factory extended. Lots of little loop holes in the others.

I've purchased a couple. Paid for itself in one case, Infiniti never broke in the other. For a 3+ year old vehicle especially I'd expect it makes sense unless buying something along the lines of an unbreakable/simple Corolla etc. With turbo/lifter/valve/injector issues on so many vehicles nowadays, to say nothing of hybrid drive trains where you don't necessarily know how the first owner treated it, it's not a bad idea imho.

I've got no idea how true it is but Dave Ramsey has said the profit margins are like 90% on those things. Better off taking your money to lake Charles.

If it made sense for the consumer to buy them then no one would sell them. Sure some people come out ahead but the odds are not in your favor.

IMHO you would be much better off putting the money you would spend on a warranty into a savings account and pay for repairs out of it. I look at a warranty as paying for repairs up front that you may never need.

Look at the cost of big repairs likely for that vehicle over the time frame you expect to own it. Certain cars need transmission rebuilds after X miles, for example. Then compare that to the cost of the warranty. I've purchased them and was glad for it in the past. However, the most recent time I faced this decision, I did not do it because the cost did not make sense.

In my experience credit unions usually have better pricing on extended warranties. Usually often half the cost or more.

It's all in the fine print. Make sure you read coverage and exclusions.

I can sell ASC Warranties
$0 deductible
you pay for sales tax and fluids
pricing is usually 50% of dealerships

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