Extended Car Warranty California

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Crash Course:

• Our review team recommends Endurance as the best extended car warranty in California.
• California’s strict warranty regulations cause some providers not to operate in the state.
• Our other top picks for California coverage include autopom! and CARCHEX.

In this article, we’ll look at the best extended car warranty companies in California and provide tips for shopping for a used car warranty in the state.

Best Extended Auto Warranty Companies in California

Our researchers have compiled information on every major car repair warranty provider on the market, evaluating price data, plan information, customer reviews and more to rate and rank the best extended car warranty companies in California. Our reviews found that CARCHEX and autopom! are the most reputable extended car warranty companies in California. Below is our complete list of the state’s best providers:

Endurance

• The ability to choose your own licensed repair shop
• Largest selection of coverage options in the industry
• Wide range of added benefits

Endurance is our top pick for extended warranties in California. The company’s plans are called mechanical breakdown insurance in the state. You can choose from six options which range from basic powertrain protection to comprehensive coverage. Endurance also offers a plan called Advantage that includes regular maintenance services like oil changes and brake pad replacement.

All Endurance plans come with roadside assistance, rental car coverage, and trip interruption. They also include one free year of Endurance Elite benefits. This provides key fob replacement, tire repair/replacement, $500 in collision discounts, and $1,000 in total loss assistance.

Read more in our Endurance review.

autopom!

• Has consistently maintained a high BBB rating for an extended car warranty provider
• Provides extensive educational resources and transparency to keep customers informed
• Works with customers to handle disputed claims with administrators

autopom! has been a major name in the extended car warranty business for over 10 years. The company is a broker that works with several administrators to ensure you are getting the best deal and coverage. autopom! also diligently works to make sure customers understand their coverage by providing informative resources on their blog, a car buying checklist, and very informative explanations on their site about how the industry works.

autopom! offers four coverage levels, including special considerations for drivers who live in the state of California. The company is also hignly rated by online reviewers. Instead of acting as pushy salespeople, which is often the norm, autopom! representatives serve the role of a customer advocate that helps inform California warranty holders of their options. If you own a car covered by an autopom! warranty and decide to sell the vehicle, you can transfer the coverage to another vehicle for free. There is a 30-day, 1,000-mile waiting period after purchase for the coverage to apply for most vehicles.

Learn more in our autopom! review.

CARCHEX

• Top choice for high-mileage cars
• Contract term limits up to 10 years/250,000 miles
• Partners with industry experts like Kelley Blue Book and CARFAX

Based on our research, CARCHEX ranks highest among the best extended warranty companies for used cars. The provider has five coverage levels to choose from, including a few basic plans that are great for older vehicle protection. It also offers some of the highest contract term limits we’ve seen, so if your used car has a lot of miles on it or if you plan on keeping it for a long time, CARCHEX may be a great option for you.

CARCHEX makes warranty use easy for drivers, offering flexible repair facility options and paying repair shops directly after work has been completed. This way, customers don’t have to pay upfront or wait around for a reimbursement check. We also like that CARCHEX is accredited and holds an A+ rating from the Better Business Bureau (BBB). 

For an in-depth look at the provider’s plans, benefits and pricing, read our CARCHEX review. 

How California Extended Warranties Work

The California Department of Insurance only allows dealers or special companies authorized by dealers to sell vehicle service contracts, which are also called extended warranties. In other words, you can only get an extended warranty in person. However, California allows online providers to sell mechanical breakdown insurance (MBI), which is a similar type of coverage. All the providers we recommended above sell mechanical breakdown insurance in California.

There are some differences between MBI and vehicle service contracts. The main difference is California has high standards and regulations for MBI. The state even regulates the price. Some warranty providers choose not to do business in California because of these regulations. Ultimately, the consumer has strong protections in California when shopping for MBI coverage.

How Long Does Coverage Last?

A vehicle protection plan can last anywhere from a few months to over 10 years, depending on the provider you choose. Manufacturers typically offer shorter term limits than third-party providers, and the length of coverage you’re eligible may vary depending on the current age and mileage of your vehicle.

To give you more insight into how long coverage lasts, here are the maximum term limits of a few popular manufacturer and third-party vehicle protection plans: 

The term length you choose will affect the overall cost of your vehicle service plan, so make sure you’re aware of what you’re opting into.

How Do Claims Work?

Typically, in the event of a mechanical breakdown, you’ll need to take the following steps:

1. Take your vehicle to an authorized repair shop and have the mechanic perform a diagnosis to determine the cause of the issue
2. The repair facility will reach out to your warranty provider to confirm your coverage and have repairs authorized.
3. After gaining prior authorization, the mechanic will begin repairs.
4. Once repairs are completed, you’ll pay your deductible and your provider will cover the rest of the bill. Some providers will have you pay the total cost upfront and send you a reimbursement check, but the best providers will pay the repair shop directly.

How Much Does a Vehicle Protection Plan Cost?

According to our research, the average cost of a vehicle protection plan is about $1,227 per year of coverage. This is such a wide range because there are many factors that influence the cost of coverage. These include:

• Deductibles: A higher deductible leads to a lower premium cost, and vice versa.
• Levels of coverage: A comprehensive plan is more expensive than a basic plan.
• Term length: As you’d expect, a longer contract is more costly.
• Vehicle age, make and model: Older, less-reliable cars are often more expensive to protect.

Many providers offer customers the choice to pay upfront for coverage or with monthly payment plans.

Are Auto Protection Plans Worth It?

Auto protection plans are worth it for many drivers. In fact, in a recent survey by Pegasystems Inc., 60% of drivers with vehicle protection plans reported benefitting from their coverage within the past year. However, they’re not a great investment for everyone.

There are a few reasons to consider purchasing a vehicle protection plan, like if you don’t have an especially reliable car, if you don’t have the ability to pay for repair costs outright or if you just want added peace of mind on the road. On the other hand, if you do own a highly reliable car or if you’re able to save on your own for repairs, you probably don’t need a vehicle protection plan.

If you’re on the fence, get free, no-obligation quotes from a few different providers and see whether the cost outweighs what you think you may pay in repair costs over the warranty period. (You can accurately estimate this using a site like RepairPal.) This will help you determine whether a vehicle protection plan would be worth it for your car.

What is a Car Repair Warranty?

A car repair warranty is one way to finance the cost of unexpected car repairs. You can purchase coverage through your vehicle manufacturer or a third-party company. Your car repair warranty administrator will pay for the parts and labor required to fix covered vehicle parts after they fail.

Car repair warranties are also called extended warranties, vehicle service contracts and vehicle protection plans. It’s important to note that car repair warranties are not insurance. Car insurance covers damage after a collision or act of nature, and auto warranties cover certain repairs in the event of a mechanical failure.

The specific components covered by a car repair warranty will vary depending on the particular contract. Most providers offer a range of options. Two common levels of warranty protection are powertrain warranties and bumper-to-bumper warranties:

• Powertrain warranty: Covers vital powertrain components such as the engine, transmission, drive axle and transfer case
• Bumper-to-bumper warranty: Covers nearly all vehicle components, including electronics and navigation systems

Car Repair Warranty Fine Print and Exclusions

The details of each car repair warranty differ from provider to provider. However, most extended warranty contracts have similar conditions and exclusions.

Typically, to keep warranty coverage valid, vehicles must be serviced in accordance with their factory-recommended maintenance schedule. Car repair warranty contracts do not usually cover damage that is caused by improper maintenance, misuse or neglect. They also do not cover scheduled maintenance, so these services will need to be paid for out of pocket.  

Additionally, certain wear-and-tear components are almost always excluded from coverage. Examples of commonly excluded components are:

• Brake pads and shoes
• Shock absorbers and struts
• Wiper blades
• Headlamps and bulbs
• Interior upholstery
• Catalytic converter
• Bumpers
• Exterior trim
• Aftermarket components

Car Lemon Law California

If you have a new car that has a serious warranty defect that cannot be fixed by the dealer after multiple attempts, you may be eligible to get another car or a refund in the state of California.

In California, Lemon Law applies to the following new and used vehicles that come with the manufacturer warranty:

• Cars, SUVs pickup trucks, and vans.
• Vehicles leased or purchased for family, household, or personal reasons
• Demonstrators and dealer owned vehicles.
• Many vehicles leased or purchased mainly for business use.
• The drivetrain, chassis, and chassis cab of a motor-home

If the dealer or car manufacturer can’t repair a serious warranty defect after a “reasonable” amount of attempts, the manufacturer must refund the purchase price or replace the vehicle, whichever you prefer.

Extended Car Warranties in California: Conclusion

California has strict laws for what companies can sell extended warranties as mechanical breakdown insurance. We recommend comparing quotes from Endurance, automom!, and CARCHEX, which are all licensed to sell plans in the state.

California Extended Warranties: FAQ

Below are a few frequently asked questions about extended warranties in California:

Our Methodology

Our expert review team takes satisfaction in providing accurate and unbiased information. We identified the following rating categories based on consumer survey data and conducted extensive research to formulate rankings of the best extended auto warranty providers.

• Industry Standing: Our team considers Better Business Bureau (BBB) ratings, availability, and years in business when giving this score.
• Coverage: Because each consumer has unique needs, it’s essential that a car warranty company offers an array of coverage options. We take into account the number of plans offered by each provider, term limits, exclusions, and additional benefits.
• Affordability: A variety of factors influence cost, so it can be difficult to compare quotes between providers. Our team performs ongoing secret shopper analyses for different vehicles, mileages, warranty plans, and locations to give this rating.
• Customer Service: Reputable extended car warranty companies operate with a certain degree of care for consumers. We take into account customer reviews, BBB complaints, and the responsiveness of the customer service team.

*Data accurate at time of publication.