Protect Your Vehicle—and Your Wallet

When repairs are needed, an extended auto warranty can absorb some of the shock.

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by NEA Member Benefits


A vehicle is one of the biggest purchases you’ll make, and for most people, it’s one that you’ll put to use every single day. To keep your car in top-tip shape, you’ll want to perform regular maintenance protect your vehicle as it ages and increases in mileage, especially if you are buying a used car.

However, no matter how well you maintain your car, chances are, it’ll need a repair at some point. Those unexpected repairs can really put a dent in your budget.

One of the best ways to protect yourself against the cost of unexpected repairs is with an extended auto warranty.

What is an extended auto warranty?

An extended auto warranty is an agreement between the car owner and a warranty company, obligating that warranty company to pay for repairs covered by the contract for a specific period of time.

With an extended auto warranty, you’re protecting yourself from the unexpected cost of mechanical failures. One major repair often ends up costing as much, or even more, than the entire cost of the warranty.

What does an extended warranty cover?

CARCHEX, one of the leading providers of extended auto warranties, offers two types of extended warranties: One is called an exclusionary contract, and the other is an inclusionary contract.

An exclusion contract is commonly referred to as “bumper-to-bumper” because it will list only the items that are not covered, making it the most comprehensive plan available. Typically those are regular maintenance items, oil changes, tires, batteries, insurance-related issues and similar items. If the contract doesn’t mention a part that won’t be covered, then it will be covered under the contract. Exclusionary contracts usually are offered on vehicles with fewer than 60,000 miles on the odometer.

Inclusion contracts also come with exclusions, but then list out the components covered for each of the systems included in the plan. The number of systems and parts covered usually is determined by the age and mileage of the vehicle. If a listed part breaks under this agreement, then the claim will be paid. These plans still can be very comprehensive and are an excellent option for a vehicle with more than 60,000 miles on the odometer.

Why do NEA members need an extended auto warranty?

No matter how well you—or the previous owner—have cared for your automobile, certain parts of a vehicle eventually will wear out. Because common mechanical repairs can cost into the thousands and these costs continue to rise, protecting your automotive investment is important. An extended warranty can save you a lot of money over the life of a used car. (This video explains why repairs costs can be so high.)

Buying an extended auto warranty today will help you avoid paying higher rates later. Extended vehicle protection plans cost less the earlier you buy them because the price increases as your vehicle ages and accrues mileage.

The added benefits of a CARCHEX warranty include 24/7 roadside assistance, towing benefits and rental car discounts. You can take advantage of these benefits immediately when you purchase an extended auto warranty from CARCHEX, which offers a special discount through NEA Member Benefits.

Extended vehicle protection plans are customizable, allowing you to choose the repair location as well as to pay with an affordable payment plan.

Let us help you protect your ride

When repairs are needed, an extended auto warranty can absorb some of the shock.