What components of your EV can you cover with an extended warranty, and is it worth it?
How do you decide if an extended warranty makes sense for you?
This person will complete your registration paperwork and offer you a variety of after-sale products.
Manufacturer Warranty vs. Extended Warranty vs. Prepaid Maintenance: What’s the Difference?
New vehicles carry a warranty from the manufacturer.
It lasts for a certain period of time and is often capped by a mileage limit.
Image Credit:Xcelerate
Manufacturer warranties typically exclude wear-and-tear items such as wiper blades and brake pads.
However, dealerships require more rigorous training for their technicians, and labor rates are accordingly higher.
Once you know what’s covered by the manufacturer, assess how long you plan to keep the vehicle.
Image Credit:Xcelerate
This warranty applies in many countries.
However, automakers offer varying levels of retention coverage on batteries.
Chevrolet offers 60% battery retention on its warranty for eight years/100K.
Image Credit:Tesla
What “key in” of EV Buyer Are You?
Cost/Coverage
Generally, the more expensive the car is to purchase, the more expensive the warranty is.
Actuaries price extended warranties based on claim histories.
Seeing as EVs are new, there isn’t a ton of data for them to draw upon.
Some EV extended warranties include roadside assistance.
Not only are parts more expensive, but many models will require dealer service.
Issuer
A warranty is only as good as the company that stands behind it.
The Fine Print
If you modify your EV, you may void your extended warranty.
If you improperly charge your EV, you may void your extended warranty.
If you fail to keep service records, you may void your extended warranty.
If you… you get the picture.
You’ll need to put on your lawyer hat and read the fine print.
Always think and act like you’re going to court and hope that you never have to.
Is an EV Warranty Worth the Money?
EV warranties are new terrain for insurers and consumers alike.
