Owning a car provides a person with both freedom and responsibility, but one of the most significant concerns for vehicle owners can be the cost of unexpected repairs. Whether a sudden engine failure, costly transmission issue, brake failure, or some other problem, the financial burden of repairs can be overwhelming.

Fortunately, investing in an extended warranty can help to alleviate these potential expenses and save money. By adding this coverage to your vehicle, you can work to safeguard your budget, reduce stress, and enjoy peace of mind knowing that you are covered on the road.

The Rising Costs of Auto Repairs

In recent years, in particular, the costs of auto repairs have steadily risen, and inflation isn’t the only culprit for this either. As vehicles have become more advanced, the complexity of their parts and systems has also increased. Modern cars are now equipped with touchscreens, advanced sensors, electrical components far more intricate than before, and more.

All of these advancements are far more complex than traditional mechanical systems, and while these updates enhance safety and performance, they come at a high price. Replacing these parts is often far more expensive than the parts you may see on a used car, and auto manufacturers often rely on specialized parts now, which are more expensive to replace and repair. With a growing reliance on imported parts as well, shipping fees and tariffs have further inflated prices.

On top of all of this, labor costs have also risen as the skillset required to repair newer vehicles has elevated to the next level. Technicians must now undergo extensive training in order to work on advanced technologies and this expertise is reflected in their hourly wage. When combining this with the cost of parts nowadays, auto repairs can quickly add up.

Common and Expensive Car Repairs

While every car is unique and can have its own issues over time, some commonly seen repairs require a higher price point. An engine replacement is one of the most expensive repairs a vehicle can face, for instance, and can cost anywhere from $4,000 to $7,000 or more. The labor costs for removal and installation will only add to the financial burden.

Another commonly seen issue is transmission problems under the hood. A total transmission overhaul can be expensive, depending on the make and model of your vehicle and its age. If you need to replace the transmission entirely, the cost may be even higher, not to mention the costs associated with diagnosing the issue. According to an average of paid claims by Endurance, a transmission replacement costs around $4,700. However, RepairPal estimates the cost to be between $5,500 and $5,800.

Two other issues that are commonly seen under the hood, which have high price points for repairs, are the suspension system and the air conditioning as well as the heating system. Starting with the first, the suspension system includes components such as the shocks, struts, and springs, which give you a smooth ride on the road. If your suspension system fails, it can impact both the safety and comfort of your vehicle. Replacing or repairing the parts in these systems can vary from $1,000 to $3,000, depending on the severity of the issue.

The air conditioning and heating systems of a car most commonly have issues in older vehicles, and they rely on intricate components such as compressors and evaporators to work. Repairs can start at $500 and get all the way up to $2,500, depending on the make and model of your vehicle. Given the high costs associated with these repairs, car owners who proactively plan can avoid the financial strain of out-of-pocket expenses.

How an Extended Warranty Helps Manage Repair Costs

For those unfamiliar, an extended warranty contract is kind of like an insurance policy for your vehicle that is specifically designed to cover costs associated with repairing issues stemming from manufacturer defects. It serves as a way to reduce the risk of unexpected and high repair costs by providing coverage for certain failures. Unlike car insurance, however, extended warranties do not provide coverage for damage resulting from car accidents or natural disasters. Certain plans will, however, provide coverage for routine maintenance, such as oil changes, on a used or new vehicle.

The main benefit of an extended warranty is that it helps to manage repair costs by covering a wide range of issues. Rather than needing to pay for repair costs out of your own wallet, your extended warranty contract will typically pay the costs of covered repairs associated with parts, labor, and sometimes additional expenses like towing or rental cars.

The Importance of Choosing the Right Extended Warranty Plan

There are a variety of different types of warranty plans ranging from simple state coverage to near bumper-to-bumper warranty plans that cover nearly everything on your car. The costs associated with each plan vary, which is why learning how to choose the right option for your needs is crucial. Consider the following:

1. Assess Your Vehicle’s Age and Mileage: Older vehicles with higher mileage are more likely to experience mechanical issues, making an extended auto warranty a smart investment. However, it’s important to choose a plan specifically designed for older vehicles, as some warranties may only cover newer cars.
2. Consider the Type of Coverage: Extended warranties typically offer several coverage levels, ranging from basic powertrain protection to comprehensive bumper-to-bumper coverage. Choose a plan that provides the right balance of coverage for your vehicle’s needs. Always read the fine print so that you know exactly what is covered or the exclusions so you have peace of mind on the road.
3. Review the Reputation of the Warranty Provider: Not all warranty providers have the same level of customer service or reliability, so before committing to a warranty, research the provider’s reputation.
4. Evaluate the Deductible and Payment Options: An extended car warranty often has deductibles, which are the amount you’ll need to pay out of pocket before the warranty kicks in. Make sure you choose a deductible that you’re comfortable with, and that fits your budget.

How Endurance Helps Drivers Save on Vehicle Repairs

Endurance Warranty is a leading provider of vehicle service contracts, more commonly known as extended warranties, that can help once your manufacturer’s warranty or original warranty expires or if it is subpar. Endurance plans cover a wide range of mechanical issues, with the Secure Plus plan offering high-level stated coverage ideal for older vehicles all the way up to the Supreme plan, which offers the closest level of coverage to that offered on a vehicle coming off the dealership.

A vehicle service contract on a new car or used car through Endurance can ensure you are protected against expensive repairs whether you are looking for simple powertrain coverage or for something more comprehensive. Additionally, Endurance provides access to a nationwide network of certified auto repair shops so you can rest easy knowing your vehicle is in good hands.

Also, enjoy the standard benefits offered on all Endurance plans, which include 24/7 roadside assistance, trip interruption coverage, rental car reimbursement, and more. You can also enjoy one year of Elite Benefits, which offers extra perks such as tire coverage, up to $1,000 in total loss protection, up to $500 in collision coverage, and more.*

Using Endurance to Protect Your Vehicle

Nobody wants to deal with costly repairs on their vehicle, but adding extended warranty coverage can help by taking away the stress of those costs. If your factory warranty leaves much to be desired or you are seeking comprehensive protection, consider a vehicle service contract from Endurance.

For help with future mechanical breakdowns, contact an Endurance plan advisor at (800) 253-8203 or request a FREE quote online. You can also shop our eStore to see your plan recommendations and pricing right away.