What to Know About Car Warranties Before You Buy

What is a car warranty?

A car warranty, or manufacturer’s warranty, is a written agreement from the car’s manufacturer to the car buyer to cover the cost of repair or damage to certain parts of your car.

Generally, warranties cover damage due to mechanical failure, defective materials or poor workmanship. A new car warranty will cover a car for an established amount of time or mileage after the car purchase and is usually included in the price of the car.

What does a car warranty cover?

Not all warranties are created equal. Your vehicle's manufacturer and age (in years and mileage) affect which components are covered under warranty. That said, these are some parts and repairs that are generally covered by new vehicle warranties.

Damage from faulty or poorly installed parts

It takes thousands of individual parts to make up a car, and sometimes defective parts slip through the cracks. If it can be proved that a faulty or poorly installed part caused wider damage to the vehicle, repairs may be covered under warranty.

Manufacturing faults/defects

These are issues that the manufacturer should have caught before the vehicle went on sale to the public but for whatever reason did not. Parts that fail too soon into the vehicle's life require replacement at the manufacturer's expense.

Powertrain warranties

These warranties cover the parts of your vehicle that make it move, from the engine to the transmission through the drivetrain and out to each driven wheel. Powertrain warranties vary by automaker.

Bumper-to-bumper warranties

Also known as comprehensive warranties, bumper-to-bumper warranties cover every part the vehicle comes with when new, offering the best protection from expensive repair bills.

Restraint systems

Seat belts and airbags are the focus here, with some manufacturers like Subaru guaranteeing their vehicles' seatbelts with a lifetime warranty.

Corrosion warranty

These warranties can cover the body panels and chassis of your vehicle, ensuring it lasts as long as it reasonably should.

Emissions equipment

These warranties can vary by jurisdiction and government, providing coverage for expensive emissions equipment like catalytic converters.

Hybrids and EVs

Hybrid-electric and full EV drive systems and batteries can be eye-wateringly expensive to replace, so these warranties are extremely valuable to vehicle owners.

What does a car warranty not cover?

Car warranties don't cover every aspect of a vehicle, with the general rule of thumb being that wear and tear on consumable parts is not covered.

Tires

How long a set of tires lasts is largely down to driving style and road conditions. As the manufacturer cannot guarantee these variables, tires are rarely covered under warranty.

Glass

Stone chips and cracks can't be predicted or planned for, so they are also likely not covered by a warranty.

Seats, interior wear, etc.

Wear and tear on your vehicle's interior is largely determined by how you treat it. Look after your vehicle and this shouldn't be an issue for years to come.

Brake pads, discs

Another consumable whose lifetime is determined by driving style, brake discs and pads are not covered unless they’re wearing down because of a design flaw or manufacturing defect.

Oil and filter changes

General maintenance items like oil and filters are the owner's responsibility and are not often covered by a warranty. Failing to keep up with scheduled maintenance can even void parts of your vehicle's warranty. That said, Hyundai's Complimentary Maintenance program covers factory-scheduled maintenance for three years or 36,000 miles.

Crash/weather/theft damage

Warranties cover things that the manufacturer could or should reasonably predict. As these types of damage-causing events can't be predicted, they aren't covered by a warranty.

What is an extended warranty?

In addition to the manufacturer’s warranty, some car dealers offer an extended warranty, which can also be referred to as a service agreement, service contract or maintenance agreement. Usually, it costs extra, but it often extends the amount of time that you are covered in the event that something happens to your vehicle.

There are two main types of extended car warranty: those offered by the vehicle's manufacturer as an extension of existing warranties, and those provided by aftermarket companies. Most extended warranties include a deductible that you have to pay out of pocket before coverage takes over. Extended warranties sometimes come with extra perks like roadside assistance or rental car reimbursement.

Is an extended warranty worth it on a new car?

Whether or not an extended car warranty is worth it depends on your appetite for risk. If you have purchased a vehicle that is known to be unreliable, extended warranties may reduce some financial stress.

However, extended warranties can also be overpriced and feature exclusions. You might be better off keeping an emergency fund for repairs as they're needed.

Should I buy an extended warranty on a new car?

If you're buying a high-end vehicle, or one known to have quality issues down the road, an extended car warranty might be right for you. Ultimately, this question comes down to how likely you think problems with your vehicle will be.

There are costs and benefits associated with buying an extended car warranty, and it's up to you to decide if you should purchase one. You may never end up using the extended warranty you paid for.

What can cause a warranty to be void?

A car's warranty may become void if you don’t meet your responsibilities as the vehicle owner. The main reasons for a warranty becoming void are reckless driving, missing scheduled maintenance and modifying the vehicle.

Which car manufacturer has the best car warranty in Canada?

Here is an overview of the warranties for each of the most popular car manufacturers in Canada:

Acura

• Major components: 5 years/100,000 km
• Emission systems: 4 years/80,000 km
• Roadside assistance: 4 years/no distance limit
• EV batteries: 8 years/160,000 km

Audi

• New vehicle limited warranty: 4 years/80,000 km
• First service free
• Rust perforation: 12 years/no distance limit
• 24-hour roadside assistance including fuel delivery and trip interruption assistance

BMW

• New vehicle limited warranty: 4 years/80,000 km
• Emissions control devices: 3 years/60,000 km
• Catalytic converter, engine control module, onboard diagnostics system: 8 years/130,000 km
• Emissions performance systems (air intake, ignition system, exhaust system, etc.): 2 years/40,000 km

Chevrolet

• Base warranty coverage: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Duramax diesel powertrain: 5 years/160,000 km
• EV propulsion: 8 years/160,000 km
• Restraint systems: 6 years/120,000 km

Dodge

• Basic limited warranty: 3 years/60,000 km
• Limited powertrain warranty: 5 years/100,000 km

Ford

• Basic warranty coverage: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Restraint systems: 5 years/100,000 km
• Power Stroke diesel engines: 5 years/160,000 km
• Hybrid/electric components: 8 years/160,000 km.

GMC

• Base warranty: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Restraint systems: 6 years/120,000 km
• Rust corrosion: 3 years/60,000 km
• Emissions control systems: 3 years/60,000 km

Honda

• Distributor's warranty: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Emissions systems: 3 years/60,000 km
• Hybrid system/EV battery: 8 years/160,000 km
• Roadside assistance: 3 years/no distance limit

Hyundai

• Limited warranty: 5 years/100,000 km
• Powertrain: 5 years/100,000 km
• Major emissions systems: 8 years/130,000 km
• Hybrid system: 8 years/160,000 km
• EV systems: 8 years/160,000 km
• Roadside assistance: 5 years/no distance limit

Jeep

• Basic warranty: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Rust perforation: 5 years/100,000 km

Kia

• Comprehensive warranty: 5 years/100,000 km
• Powertrain: 5 years/100,00 km
• First-year consumables (bulbs, wiper blades, fuses, brake pads): 1 year/20,000 km
• Major emissions components: 8 years/130,000 km
• Hybrid/plug-in hybrid/EV components and batteries: 8 years/130,000 km
• 24/7 Roadside assistance: 5 years/no distance limit

Mercedes-Benz

• Basic warranty: 4 years/80,000 km
• Emissions systems: 2 years/40,000 km
• Roadside assistance: 4 years/no distance limit

Nissan

• Basic warranty coverage: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Restraint systems: 5 years/100,000 km
• Emission controls: 3 years/60,000 km

RAM

• Basic warranty: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Rust perforation: 5 years/100,000 km

Subaru

• Limited warranty: 3 years/60,000 km
• Major components: 5 years/100,000 km
• Rust perforation: 5 years/no distance limit
• Emission control systems: 3 years/60,000 km

Toyota

• Limited warranty: 3 years/60,000 km
• Powertrain: 5 years/100,000 km
• Hybrid components: 8 years/160,000 km
• Hybrid batteries: 10 years/240,000 km
• Roadside assistance: 3 years/no distance limit

Volkswagen

• Limited warranty: 4 years/80,000 km
• Powertrain: 5 years/100,000 km
• EV batteries: 8 years/160,000 km
• Roadside assistance: 4 years/80,000 km

Where to get an extended car warranty

Extended warranties can be purchased from vehicle manufacturers or third-party companies. These kinds of warranties allow drivers with older vehicles to ensure they're covered in case of defects but can also come with restrictions and fees.

We hope this guide has given you plenty of useful information about car warranties. For further information, contact your potential new car dealer for an up-to-date list of all their warranty offerings, and check out the huge number of new and like-new vehicles for sale with Kijiji Autos.