Extended Car Warranty Costs
Extended car warranty costs range from $2,000 to $5,000, averaging around $3,000. Specific prices vary by location, vehicle, and several other factors.
With our #1 rated provider, 
Motor1 Reviews Team Take:
- The average cost for an extended car warranty is $3,026 across all coverage levels.
- Our research team found that on average, monthly payments for extended car warranty coverage range from $120 to $135.
- Factors that affect the cost of an extended car warranty include the level of coverage, the provider you choose, your vehicle’s make and model, and your vehicle’s age and mileage.
- To get the most accurate idea of what you’d pay for an extended car warranty, you should get personalized quotes from three or more warranty providers.
Extended car warranty cost information is not always easy to find. Many extended warranty companies can be unclear about pricing, especially those that deal exclusively through agents and dealerships. Even companies that are upfront about pricing don’t have fixed contract costs, as extended car warranty costs are determined based on various factors.
We’ve spent 1,475 hours researching extended car warranties to give you the insight and tools needed to choose the best company. This guide has details on car warranty costs to help you decide if a car warranty is worth it. These numbers will give you a general idea of the pricing, but the best way to know for yourself is to get personalized quotes from companies you’re considering.
What Is An Extended Car Warranty?
Extended car warranties are optional protection plans that cover auto repair costs associated with mechanical breakdowns. These plans, also known as vehicle service contracts, can help to extend your factory warranty protection once it’s expired.
Unlike car insurance coverage from insurance companies, extended vehicle protection plans only cover issues from faulty workmanship or defective car parts. They don’t cover damage from accidents, theft, vandalism, or natural disasters.
Factory Warranty Coverage
A factory warranty comes with your new car as a guarantee that your car will work the way it’s intended to. If you suffer from any sort of mechanical breakdown during the limits of your factory warranty coverage, your automaker will repair it for free. Factory warranties come with both bumper-to-bumper and powertrain coverages in addition to corrosion, emissions, and other warranties.
Bumper-To-Bumper Coverage
Bumper-to-bumper warranties are the highest level of coverage available for your car. Also known as comprehensive or exclusionary warranties, most vehicle parts are covered except a short list of exclusions. This coverage often has the shortest period of your factory warranty, but longer terms can be purchased from extended warranty providers. Many automakers, like Toyota, Honda, and Ford, offer this coverage for 3 years/36,000 miles.
Powertrain Coverage
Powertrain warranty coverage protects what keeps your car moving. Also called drivetrain warranties, this protection includes the engine, transmission, drive axles, and more. Powertrain extended warranties are often the lowest level of extended coverage offered.
How Much Does An Extended Car Warranty Cost?
After gathering hundreds of quotes, we’ve found that the average extended car warranty costs $3,026 in total. See the table below for average extended car warranty costs by coverage level.
| Coverage Level | Total Cost |
|---|---|
| Exclusionary | $3,124 |
| Mid-Level | $3,060 |
| Powertrain | $2,893 |
We calculated these averages using quotes gathered from the top eight providers in our industry-wide review. Your actual overall price will depend on a variety of cost factors, which we’ll outline later.
Extended Car Warranty Quotes
Our research team collected quotes from a variety of providers for a 2017 Honda CR-V with 45,000 miles to give you a better idea of specific extended car warranty prices. These quotes are for each provider’s exclusionary level of coverage.
| Provider | Extended Car Warranty Plan | Term Length | Price | Total Cost |
|---|---|---|---|---|
| Endurance | Supreme | 5 years/100,000 miles | $114 for 30 months | $3,420 |
| Carchex | Titanium | 6 years/125,000 miles | $182.28 for 18 months | $3,281.04 |
| autopom! | Exclusionary | 5 years/75,000 miles | $155 for 36 months | $5,580 |
| CarShield | Diamond | Unlimited/ month-to-month | $139.99 monthly | Varies |
| Olive® | Exclusionary | 3 years | $25.80 for 36 months | $929 |
Warranty costs we got ranged from under $1,000 to over $6,000. The best extended car warranties from Endurance and Carchex were among the most expensive. Each plan had a $100 deductible except for autopom!, which required no money for a covered repair.
Bumper-To-Bumper Vs. Powertrain Car Warranty Costs
While the top aftermarket service contract companies offer a variety of plans, their coverage levels can be roughly split into two categories: bumper-to-bumper plans and powertrain plans. Comprehensive inclusionary plans and powertrain plus plans are mid-range coverage tiers in the middle of these primary options. Below are the prices for both of the main types of warranty plans.
Bumper-To-Bumper Extended Car Warranty Costs
The average cost of a bumper-to-bumper warranty is $3,124 in total from the most popular companies. Average monthly payments are about $120 per month, but these depend on the payment terms available.
Below are prices for bumper-to-bumper extended car warranties from some top providers.
| Provider | Bumper-to-Bumper Plan | Vehicle Profile | Coverage Term | Monthly Payment | Down Payment | Total Cost |
|---|---|---|---|---|---|---|
| Carchex | Titanium | 2017 Honda CR-V | 6 years/ 125,000 miles | $182.28 for 18 months | N/A | $3,281 |
| CarShield | Diamond | 2017 Honda CR-V | Unlimited/ month-to-month | $139.99 month-to-month | One month | Varies |
| Endurance | Supreme | 2017 Honda CR-V | 5 years/ 100,000 miles | $114 for 30 months | Waived with same-day sign-on | $3,420 |
Powertrain Extended Car Warranty Costs
Our research has found that the average cost of a powertrain warranty is $2,893 per year, with average monthly payment across top providers coming in at around $135 per month.
Below are the prices for powertrain extended warranties from top providers.
| Provider | Powertrain Plan | Vehicle Profile | Coverage Term | Monthly Payment | Down Payment | Total Cost |
|---|---|---|---|---|---|---|
| Endurance | Secure | 2017 Honda CR-V | 5 years/ 54,000 miles | $133.28 for 24 months | $153 | $3,199 |
| Carchex | Silver | 2017 Honda CR-V | 5 years/ 100,000 miles | $204.11 for 18 months | One month | $3,674 |
| CarShield | Gold | 2017 Honda CR-V | Unlimited/ month-to-month | $109.99 monthly | One month | Varies |
What Factors Affect Car Warranty Costs?
To be profitable, extended warranty companies must charge a large enough amount to cover all car repairs with money left over. To achieve this, most providers charge a monthly premium worth at least two times the amount of likely mechanical problems or repairs.
While this might seem unfair to drivers, it comes through careful calculation of the risks of coverage. Factors used to calculate the cost of extended warranty coverage include:
- Car age/mileage: Older cars and/or cars with high mileage are more expensive to cover. This is because the increased amount of wear and tear on the vehicle makes the likelihood of a mechanical breakdown higher than average.
- Car make/model: Service needs and repair costs vary by vehicle make/model. Information providers like Kelley Blue Book and RepairPal generally have reliable information when researching your vehicle’s history to predict repair costs.
- Level of coverage: Plans with more comprehensive coverage cost more than basic plans. Expect to pay more for a bumper-to-bumper warranty versus a powertrain plan.
- Deductible: Choosing a lower deductible means higher overall warranty costs. If you choose a higher deductible, you’ll pay less in total for your coverage.
- Your provider: Some providers are more expensive than others. This is why it’s so important to shop around and compare quotes from multiple extended warranty companies.
Extended Warranty Company Cost Comparison
To give you a better idea of how much an extended car warranty costs, we’ve listed quotes we’ve received from the industry’s top third-party providers below. For personalized quotes, you’ll need to contact these companies yourself. Learn more about our ratings methodology used to grade each provider here.
Endurance: Best Coverage
Founded: 2006
Coverage levels: Six
Better Business Bureau (BBB) rating: NR
Endurance earned an overall rating of 4.6 out of 5.0 stars in our review. It offers six standard extended warranty plans ranging from basic powertrain coverage to comprehensive, exclusionary coverage. It also offers perks such as roadside assistance, rental car reimbursement, trip interruption coverage, and one free year of Endurance Elite Benefits.
Endurance Elite Benefits provide extra perks such as tire repairs and replacements, key fob replacements, live help through the Endurance app, and more. Its coverage options and perks moved us to award Endurance with the superlative of Best Coverage.
Endurance Warranty Cost
Here are two quotes we received from Endurance:
| Exclusionary | Powertrain | |
|---|---|---|
| Plan Name | Supreme | Secure |
| Deductible | $100 | $100 |
| Vehicle | 2017 Honda CR-V | 2017 Honda CR-V |
| Term Length | 5 years/100,000 miles | 5 years/54,000 miles |
| Financing | $114/month for 30 months | $133.28/month for 24 months |
| Down Payment | $300 | $153 |
| Final Cost | $3,420.00 | $3,198.72 |
Read more: Endurance Review
Carchex: Best For Used Cars
Founded: 1999
Coverage levels: Five
BBB rating: A+
We gave Carchex an overall 4.5-star rating out of 5.0 in our review. Carchex offers plan lengths up to 250,000 miles for cars up to 20 years old, making it an excellent choice if you have an older vehicle. This moved us to name it the provider Best for Used Cars in our industry-wide review of more than 40 providers.
Carchex has an impeccable industry reputation, partnering with leaders like Kelley Blue Book, Carfax, and Edmunds.com. It was also the second-most popular provider in our latest extended warranty consumer survey. Its five comprehensive coverage plans provide perks such as roadside assistance, rental car reimbursement, and trip interruption reimbursement.
Carchex Warranty Cost
These are the quotes we received from Carchex:
| Exclusionary | Powertrain | |
|---|---|---|
| Plan Name | Titanium | Silver |
| Deductible | $100 | $100 |
| Vehicle | 2017 Honda CR-V | 2017 Honda CR-V |
| Term Length | 6 years/125,000 miles | 5 years/100,000 miles |
| Financing | $182.28/month for 18 months | $204.11/month for 18 months |
| Down Payment | One month | One month |
| Final Cost | $3,281.04 | $3,673.98 |
Read more: Carchex Review
CarShield: Best For Electric Vehicles
Founded: 2005
Coverage levels: Seven
BBB rating: C-
CarShield plans are among the lowest-priced per month in the industry, and financing terms are generous. CarShield offers seven extended warranty plans, five of which are for standard cars. Its two specialty plans are for fully electric vehicles and motorcycles and ATVs.
Standard perks with a CarShield plan include 24/7 roadside assistance, trip interruption benefits, and rental car reimbursement. As electric vehicle coverage is rare in this industry, we were moved to give CarShield 4.4 out of 5.0 stars and to name it Best for Electric Vehicles.
CarShield Warranty Cost
Below are two examples of what an extended car warranty costs with CarShield. Note that plans are month to month, so you would pay as long as you have a plan. Compared to contracts from other companies, this can become more expensive in the long run.
| Exclusionary | Powertrain | |
|---|---|---|
| Plan Name | Diamond | Gold |
| Deductible | $100 | $100 |
| Vehicle | 2017 Honda CR-V | 2017 Honda CR-V |
| Term Length | Unlimited/month-to-month | Unlimited/month-to-month |
| Financing | $139.99 monthly | $109.99 monthly |
| Down Payment | One month | One month |
| Final Cost | Varies | Varies |
Read more: CarShield Review
Compare: CarShield vs. Endurance
Calculating Extended Car Warranty Costs
After getting a quote, you can calculate the cost of an extended car warranty. The best way to do this is to calculate the prices you were quoted from the provider’s estimate, look for any hidden fees in the sample contract, and replace your expected yearly vehicle maintenance costs with the price of your deductible.
Average Car Maintenance And Repair Costs
Factory warranties typically only last for three to five years. Once your coverage expires, you’ll be responsible for footing the bill for any unexpected mechanical breakdowns. If you end up needing an expensive repair while under an extended warranty coverage plan, your warranty could end up paying for itself.
According to RepairPal, the average annual cost for repairs across all car makes and models is $652 per year. Your car’s make and model may be more expensive than the average to maintain and repair, so be sure to do your research to understand the repair costs you might face if you don’t have extended warranty coverage.
Is An Extended Car Warranty Ever Worth It?
Ultimately, an extended warranty’s value depends on your car’s reliability and the cost of the repairs it needs. Below are some additional factors that make an extended warranty worth the money:
- No surprise repair bills: Breakdowns rarely happen at a convenient time. An extended car warranty allows you to be financially prepared for unexpected repair bills.
- Save money: The cost of an extended warranty may be cheaper than the repair you need, especially if it’s a big one. Your extended warranty could pay for itself if you need a large repair at any point during your coverage.
- Get more life out of your car: People often drive their cars longer than manufacturer warranties last. An extended warranty protects you for years to come.
- Get peace of mind: Knowing you’re covered and not having to stress about out-of-pocket repairs puts your mind at ease. For many, the cost of an extended warranty is worth their peace of mind alone.
Extended Auto Warranty Cost: Bottom Line
In this article, we’ve provided specific details for the cost of extended car warranties and prices for multiple coverage levels from industry-leading third-party warranty providers. We encourage you to get free quotes from multiple providers to find the best extended car warranty costs for your vehicle.
Cost Of Extended Car Warranty: FAQ
Below are some frequently asked questions about the cost of an extended warranty:
Is an extended warranty worth it for cars?
Many car owners find an extended warranty is worth it for the added peace of mind and potential to save hundreds or even thousands of dollars on expensive repairs.
Who has the best extended car warranty?
In our review of the nation’s top extended car warranty companies, Endurance was recognized for having the Best Coverage overall. We like Endurance for its strong benefits – towing, rental car reimbursement, roadside assistance – and exceptional customer service.
What does an extended warranty cover?
An extended car warranty covers specific mechanical breakdowns outlined in a contract. Coverage options vary from comprehensive plans that match a manufacturer’s warranty to basic plans for vehicles with higher mileage. Extended warranties don’t cover routine maintenance or damage from normal wear and tear.
How do warranty companies make a profit?
To make a profit, warranty companies must make more from warranty payments than they pay in operating costs, which includes the costs of sales and marketing, corporate administration, and paying claims.
What is a downside to purchasing an extended warranty?
Having the peace of mind that an extended warranty brings is a huge benefit of buying an extended warranty, but it can be a double-edged sword. Many customers never end up using their warranty, so it can be worth it to think about if you actually need an extended warranty for your vehicle.
Methodology
In an effort to provide accurate and unbiased information to consumers, our expert review team collects data from dozens of extended auto warranty companies to formulate rankings of the best providers. Companies receive a score in each of the following categories, as well as an overall weighted score out of 5.0 stars.
- Industry Standing: Warranty providers with a history of strong business practices and endorsements from experts receive the highest scores in this category.
- Coverage: This rating is based on types of extended warranty plans available, coverage terms, and added benefits like roadside assistance.
- Cost: Our research team reviews sample quotes for a variety of plans and vehicles. Companies with lower prices per year of coverage receive the best scores.
- Transparency: This score takes into account contract transparency and the availability of a money-back guarantee.
- Customer Service: We comb through customer reviews and perform our own shopper analysis to get a sense of the responsiveness and helpfulness of each warranty company.
*Data accurate at time of publication.
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