Extended Coverage Explained: Vehicle Service Contracts as Extended Auto Warranties

A vehicle service contract (VSC) is often referred to as an “auto warranty” or an “extended car warranty”, depending on the state that you’re in. GoWizard uses the term “warranty” in line with our customers’ understanding of the term. However, customers should be aware that extended car warranties aren’t really warranties.Strictly speaking, a warranty can only be obtained from the car manufacturer directly and protects your car up to a certain number of years or mileage. Once that warranty expires, customers are left without protection, which is when the benefit of a VSC kicks in.

A VSC is a contract between you and a VSC provider, setting out the terms of your car’s protection once the manufacturer warranty expires. It could protect you for repairs and services even beyond that originally covered by your manufacturer but this will depend on the provider and you should always check what is deemed a covered repair and what is not. Not all vehicles qualify for coverage.