Once your car’s original manufacturer warranty ends, should you want to continue keeping your car under some warranty cover – which I’d highly recommend, especially given how expensive and sudden unexpected faults can occur out of the blue – there are two popular avenues to go for.
You may either opt for some extended warranty plan offered by the car manufacturer, as an extension to the original warranty. Or, you could opt to shop around and get a third-party aftermarket extended warranty instead, such as the UK’s leading aftermarket car warranty provider, Warrantywise (among other providers, too).
The latter is what I personally went for when I bought a used 2016 Bentley Continental GT Speed. Of course, either option – either a manufacturer or an aftermarket extended warranty – is good for you, and your car.
It brings added peace of mind, and crucially, it helps to limit the financial downsides and risks associated with experiencing sudden, oft-expensive faults with your car that need fixing. With that in mind, there are noteworthy differences between either a manufacturer or aftermarket warranty that may make one option best suited for you, and your car.
What Defines A Manufacturer Or Aftermarket Warranty?
Before we compare aftermarket warranty providers like Warrantywise vs manufacturer warranties, it’s best that we first get an understanding as to what each one entails:
- Manufacturer Warranty – The default, from-the-factory warranty plan offered by a car manufacturer, attached to a new car purchase, and you get this included in the price of the car. This is the default mechanism to use with a brand-new car. They normally cover defects of most components assuming the car has been correctly serviced by the authorised dealer.
- Aftermarket Warranty – Third-party, aftermarket warranty providers, like Warrantywise, offer an alternative for cars that have run the course of their original manufacturer warranty. Unlike a factory warranty, an aftermarket warranty isn’t offered directly by the car manufacturer. Rather, it’s offered by third-party providers, like the aforementioned Warrantywise. The level of cover they offer can be more comprehensive, and has varying inclusions or exclusions, but nevertheless include extra perks, such as emergency roadside assistance or hiring a temporary hire car. They’re also more versatile, and in some cases, offer more protection or more features.
With that in mind, now that we have a general understanding as to how manufacturer extended warranties vs aftermarket extended warranties, such as Warrantywise, work, here’s a closer look at how they each differ:
What Do They Cover And To What Extent Does It Cover?
As I briefly mentioned earlier, manufacturer warranties (even with extension plans beyond the original time and mileage limit) aren’t typically as comprehensive after the initial cover period. Most manufacturer warranties tend to only cover manufacturing defects, design flaws, and poor engineering.
Ultimately, it only applies when there are safety concerns with driving the vehicle, or if it negatively impacts operating the vehicle. For example, if your car has rust spots due to the factory not rust-proofing your car enough, then it may apply. Naturally, the exact terms and conditions vary, unless a manufacturer offers a ‘bumper-to-bumper’ warranty, which covers nearly the whole car.
Meanwhile, aftermarket warranties, such as Warrantywise, by default, offer comprehensive warranties that can rival the ‘bumper-to-bumper’ warranties offered by the manufacturer. This includes the myriad of electrical and mechanical systems in your car, though make sure you read up beforehand to understand what is included and what is excluded.
With Warrantywise, in particular, they cover premature part failure, as well as the costs to repair (including parts and labour, though subject to your specific plan’s terms and conditions) major engine components, the transmission, suspension, steering, drivetrain, braking systems, fuel systems, electrics, cooling systems, and more.
Plus, Warrantywise even lets you add more cover on top of the basics, such as emissions systems failure, airbags, driver assistance systems, etc. Just note that these additions offered are based on the age and mileage of your vehicle. Moreover, for those of you with electric vehicles, Warrantywise has EV-specific add-ons, too!
How Many Extra Perks Do They Provide?
Manufacturer-backed factory warranties are also limited by how many extra perks and benefits they offer. There might be limits on how you can transfer the warranty onto a new owner (not all manufacturer warranties do this, but a lot of them do), and they offer very little additional assistance for you. No roadside assistance, hire car, and not much else besides in the event you need a towing service or emergency repairs.
This is something that’s been changing lately though, with carmakers offering more and more perks and extra services. However, these are usually bundled separately, as part of some servicing or maintenance package, instead of the manufacturer warranty.
In stark contrast, aftermarket warranty providers such as Warrantywise offer a much more comprehensive degree of assistance. For instance, Warrantywise offers 24/7 emergency roadside assistance in case of a breakdown for a part that’s covered under their warranty, where a mobile technician heads over to your stricken car to get it going again or calls up recovery services to have it towed to a nearby workshop.
The warranty plan that I have with Warrantywise also includes car hire, where I can get a car hire arranged, if my original car isn’t driveable or if it’s being worked on. Additionally, if you’re left without your car or means of transportation far enough away, Warrantywise could also help cover parts of your overnight stays at a hotel, or even compensate travel expenses if you need to get home by train, bus, or taxi.
How Much Versatility Do They Offer?
The key reason why I personally opted for an aftermarket extended warranty for myself was just how versatile it is. By comparison, manufacturer warranties are rather restrictive in two ways – what cars can they be applied to, and where can I get my car serviced or worked on. First off, a manufacturer warranty only provides cover for the cars they make. In other words, if you own a Toyota, you can’t just go off and get a Honda factory warranty, ofcourse.
On top of that, most of these extended manufacturer warranties only cover vehicles up to a certain age. And then, there’s the fact that if I needed to rely on the warranty cover, manufacturer warranties only allow my car to be worked on by select, authorised workshops, service centres, and repair facilities within their network.
Meanwhile, aftermarket warranty providers like Warrantywise offer a greater degree of versatility. I could get them applied to most car makes and models throughout the UK, from budget brands like Honda or Hyundai, all the way through to high-end performance cars like Aston Martins and Porsches. Aside from that, they can offer warranty plans and cover for cars up to 15 years old (but under 150,000 miles).
Yet, a manufacturer warranty is typically only applicable for fairly recent vehicles. Best of all, you can use that aftermarket warranty of yours with a broader network of authorised repair shops, not just service centres specific to your car brand. Therefore, you could get your car worked on, no matter where you are, and even if you’re far away from the nearest dealership. In the UK, most VAT-approved repair shops could work with a Warrantywise warranty.
Is The Pricing And Payment Plan Customisable?
Even when it comes to cost, manufacturer warranties are often outclassed by third-party, aftermarket providers like Warrantywise. They’re typically more expensive to get an extension on, and these extended warranties have fixed, inflexible fees. Even if you haggle with the dealership salesperson, discussing payment plans and any extra fees for additional services or options, you’re likely not able to get that same flexibility in cost savings.
On top of that, manufacturer warranties don’t give you flexibility with when you’d like the cover to start. As such, you may activate the warranty cover before you might even need it, with no versatility in discussing when you’d like it to start.
Third-party, aftermarket extended warranty providers, such as Warrantywise, on the other hand, give you much more flexibility with payments and the cover period. When it comes to fees, as soon as I asked for a quote from Warrantywise for the Continental GT, they offered me four different payment plans.
As for Warrantywise’s cover plan terms, you could get between 12, 24 or 36 months. On the other hand, as far as payment goes, you could choose to pay in full, over 4 months, or pay for warranty cover in full. On the bright side, since Warrantywise doesn’t offer credit, there’s no interest charged. This ought to offer you more versatility with your payments.
And, some of Warrantywise’s payment plans also allow me to pay for warranty cover in instalments, too. On top of a 14-day money-back guarantee and a 14-day timeframe where the original quote remains valid (this ought to give me enough time to shop around and browse other providers), it also came with a lot more flexibility to decide when the start date for the warranty begins.
