What are the two types of vehicle service contracts?
What are the two types of vehicle service contracts?
Vehicle service contracts come in two main types: powertrain and bumper-to-bumper. A powertrain plan covers the engine, transmission, and drive axle. A bumper-to-bumper plan covers almost any mechanical breakdown, on the other hand.4 days ago
What does a vehicle service contract cover?
A vehicle service contract is a paid plan that helps cover costly car repairs and takes effect once the new vehicle warranty has expired. Often called an extended car warranty, a vehicle service contracts can cover both new or used cars, but as the car ages, the likelihood of it needing repairs rises.4 days ago
What is the difference between a vehicle service contract and a warranty?
Warranties are included in the price of the product. A service contract is sometimes called an “extended warranty,” but service contracts are not warranties. A service contract can help you fix or maintain your product for a specific time — like a warranty. But, unlike a warranty, service contracts cost extra.15 Jan 2015
Is a vehicle service contract necessary?
Whether you need a vehicle service contract depends on a few factors, including whether the manufacturer's warranty is in effect, existing coverage benefits you have, your budget and how long you intend on keeping the car.19 Jan 2022
What is CNA when buying a car?
Automotive Preferred Care: Automotive Preferred Care is CNA National Warranty's most premium coverage plan. It is an exclusionary coverage plan that covers all parts of the vehicle unless specified in the contract. It's the most similar to a factory warranty.15 Dec 2021
What does a service contract do?
A service contract, also called an extended warranty, is a contract that covers certain vehicle problems or repairs after the dealer's or manufacturer's warranty expires. You might find one of these offered through an auto manufacturer, car dealer or warranty administrator.19 Jan 2022
What does CNA stand for warranty?
CNA Auto Warranties are vehicle service contracts administered by CNA National Warranty Corporation (CNA). A recognized leader in the vehicle service contract industry, CNA has paid more than $3 billion for customer repairs and approves over 1,200 service contracts and warranty claims daily.15 Dec 2021
Is CNA a good extended warranty?
CNA National Warranty holds an A+ rating from the Better Business Bureau (BBB). The warranty provider has also been named one of the top providers for 16 years straight in Auto Dealer Today's Dealers' Choice Awards. CNA National Warranty claims that it has paid more than $4 billion for customer repairs.19 Dec 2021
Can you cancel a CNA warranty?
If you are a contract holder looking to cancel a contract, please contact your issuing dealership for assistance. If you are unable to do so or have other questions about cancellations, please call us at 800-345-0191 ext. 412.
Why are extended warranties not recommended?
While it may sound like a good idea in theory, extended warranties often come with a high price tag and don't necessarily cover everything that could go wrong. Plus, many people who buy extended warranties never use them. In that case, an extended warranty becomes a cost with no financial return.7 Oct 2021
How do I cancel my extended warranty?
Find the paperwork for your policy to see whom to contact and if there's a cancellation fee. If you recently bought the extended warranty and don't yet have the contract, call the finance manager who sold it to you. For third-party warranties, you might need to call or write a letter to the company. Be firm.11 Jan 2019