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Should I Purchase Extended Warranty on a Leased Vehicle?

 

Extended Warranty on Lease  Vehicle

Whether to purchase an extended warranty on your leased vehicle depends on several factors, including your plans for the vehicle, your risk tolerance, and the terms and conditions of the warranty being offered. Here are some considerations to help you make an informed decision:

  1. Length of Ownership: If you plan on keeping the vehicle beyond the manufacturer’s warranty period (typically three years), an extended warranty could provide peace of mind by covering potential repair costs.
  2. Financial Risk: Consider the potential cost of repairs versus the cost of the extended warranty. Evaluate whether the potential repair costs justify the expense of the warranty.
  3. Manufacturer’s Warranty Coverage: Review the terms of the manufacturer’s warranty to understand what is covered and for how long. This will help you assess whether additional coverage is necessary.
  4. Used Vehicle Considerations: If you are considering leasing a used vehicle, check whether any manufacturer’s warranty is still in effect. If not, assess the reliability of the vehicle and consider whether an extended warranty would be beneficial.
  5. Warranty Details: Carefully review the terms and conditions of any extended warranty being offered. Pay attention to factors such as deductibles, maintenance requirements, coverage limits, and exclusions.
  6. Personal Preference: Some individuals prefer the peace of mind that comes with extended warranty coverage, while others are comfortable assuming the risk of potential repairs. Consider your own preferences and risk tolerance when making your decision.

Ultimately, the decision to purchase an extended warranty on your leased vehicle should be based on a careful assessment of your individual circumstances and needs. Take the time to thoroughly research and compare warranty options before making a decision.

If you have any questions regarding extended warranty, please don’t hesitate to contact me. Your peace of mind is my priority, and I’m here to help you make informed decisions to safeguard your investment.

Jodie Monaghan

403-329-4444

jmonaghan@davisgm.ca