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Each extended warranty is different, but generally, extended warranties have a time limit or mileage cap. For instance, some warranties last up to three years or 36,000 miles, whichever comes first.
It's tempting to cave in at the dealership and add that extra $10 to your monthly car payment for an extended warranty. But experts advise you to wait.
Extended auto warranties often offer other perks not included in a general factory warranty, such as trip interruption insurance and roadside assistance. Auto warranties generally do not cover vandalism or theft, dings or dents, road salt damage, environmental or natural disaster-related damage, car wash damage, or normal routine maintenance.
A 2019 study found that people buying an extended warranty believe the product in question is more likely to break than it is. The way to correct for this is to do your research ahead of time.
In response to the recurring problem, the manufacturer extended the warranty covering the transmission to 7 years or 100,000 miles (160,000 km) on American models. A class-action lawsuit was settled to extend the transmission warranty for U.S. owners or entities to 7.75 years for all models made from 1998 to 2002, and some 2003 models by VIN ...
No formal recall occurred in the US, but Honda did extend the warranties for the 2000 and 2001 models to seven years or 109,000 miles (175,000 km). 1998, 1999, and 2002 cars were considered for extended coverage on a case-by-case basis.
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