They say that the more luxurious your lifestyle is, the higher is your upkeep cost. Maintaining a 7,000-square-foot home is, of course, more expensive than something a little less grand. If you want to maintain a luxurious living, you need to be prepared for the expenses that come with it. One of the biggest purchases you’ll ever make is a luxury vehicle. What kind of luxury living it is if you do not have the latest BMW, Mercedes-Benz, Audi, or something even more expensive?
But buying a luxury car is different from owning it. Buying is all about figuring out how to get approved for a car loan. It doesn’t talk about how you are going to maintain the car in the first place. Buying isn’t about the expenses that come after the purchase. It’s simply about taking it home with you.
Owning a luxury car is different. It means you have to be responsible for the vehicle’s upkeep. That’s the predicament that luxury car owners usually find themselves in. How are they going to take care of such an expensive car? Part of the answer is having the best auto warranty for it.
Why You Need a Warranty for Your Luxury Car
Can you imagine having a bespoke car and not having the means to maintain its top-notch performance? Or, how about getting your hand on a used Lamborghini? Although you can probably afford the upkeep of these vehicles, it is still impractical to shoulder the expenses for its repairs. That’s why you need a warranty for your luxury car. The warranty is not just for the car; it’s for your own sanity. Knowing that the car is protected by a warranty guarantees you a good night’s sleep.
Can a Used Luxury Car Have Warranty?
New cars, whether luxury brands or not, come with a manufacturer’s warranty. Some carmakers give a warranty for 10 years. Others limit themselves to around 50,000 miles. Land Rover, Jaguar, Porsche, Lexus, and Tesla, among many others, are some of the brands having the longest warranties. That speaks of the confidence they have in their products’ performance on the road.
But when a car gets old and gets sold, that’s when the question of an extended warranty comes to mind. An extended warranty is a policy coverage offered after the original warranty ended. Most extended warranties are bought by second-hand owners or by the original owner who intends to keep and use the luxury car for a long time.
Is an extended car warranty also being offered for secondhand luxury cars? Most definitely. Used luxury car owners can buy the warranty either from the car manufacturer or a third-party auto warranty company. The policy will usually cover a predetermined time or miles, depending on the contract. This means that if something happens to the luxury car during that period, the warranty will cover the expenses.
Where to Get a Warranty for Your Luxury Car?
Luxury cars come with the manufacturer’s warranty for about five years or so. The average American drives around 13,500 miles per year. If the warranty only covers the first 50,000 miles, then that means you’ll have it for around four years. After that, you have to consider selling the car since it’s not under warranty anymore and four years is enough for car components to start having problems. You also have the option of buying an extended warranty for it since that protects your finances.
Where do you go to purchase the warranty? You can check out what kind of warranty comes with the brand-new luxury car. Some brands offer a 10-year warranty on car parts, so imagine not having any problem sourcing and paying for replacement parts. Although the car manufacturer is the best provider of warranty, that doesn’t mean you should overlook the benefits of signing with a third-party car warranty provider. Some of these companies might have a much better offer compared to automakers.
How Do You Choose the Right Warranty?
There are many factors you have to consider when choosing the right warranty for your luxury car. Companies offer different types of coverages, so it all depends on what you think you need. Any kind of offer should answer needed repairs caused by accidents, as well as natural disasters. Some policies don’t cover theft and those that may have a higher premium.
Don’t be too quick to jump to a conclusion. Another important consideration is whether the warranty company works directly with the auto shop or are you going to pay out-of-pocket and ask for a reimbursement. What happens if you do not have the money to pay for the costs of the repair? Owning a luxury car doesn’t mean your bank account has millions of dollars in it. That is not mutually exclusive.
The right warranty for your luxury car will have a premium that you can afford and coverage that’s just right for what you need. But before you can determine what kind of warranty the car needs, you have to understand what your needs are. How are you going to use the luxury vehicle? How much are you willing to pay when it needs repair? Once you answer these questions, you’ll have a much better idea of what warranty fits your lifestyle.
The Bottom Line
Over the years, it has become increasingly clear to people that warranties and insurances are important to any car owner. They are not a nuisance; rather, they are for your own protection. Whether you’re buying a new luxury car, a used luxury car, or simply a regular car, make sure you understand the importance of having an auto warranty and the risks of not investing in one.