Car warranties can cover the cost of repairing your car if something goes wrong. But the policies themselves can be expensive, and there is often no guarantee they will pay out.

How much does it cost?

When you apply for a car warranty, the price you pay is affected by:

  • The age of your car

  • The make and model

  • The value of your car

  • Your annual mileage

  • Whether your car is driven for social or business use

  • The level of cover you choose, e.g. basic or premium

The higher your level of cover, the more you will pay for your policy.

What can it cover?

This varies greatly between insurance companies, but most car warranties can cover repairs to:

  • Engine

  • Transmission system

  • Fuel and ignition system

  • Air conditioning or cooling system

  • Electrics

  • Gearbox

  • Steering

  • Suspension

  • Non-frictional clutch and brakes

Car warranties often have lots of exclusions for things the policy does not cover, like repairs to tyres. You should compare terms and conditions carefully before you buy a policy, to make sure you get the best cover.

Is it worth it?

Car warranties can be expensive, and the long lists of conditions and exclusions mean they may not pay out when you need them to.

However, if you find a policy that covers you, it could save you a lot of money.