USAA Extended Warranty Review

Hailey Avatar By: Hailey | Last updated May 26, 2020

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An extended car warranty is the best solution after the manufacturer’s original warranty expires. These types of warranties extend the insurance or your car or some specific parts of it. Depending on the type of extended car warranty you choose, the insurance will cover less or more parts on the list. It can be really helpful and save your budget for a long period of time in any unexpected circumstance.

The price, length, and type of coverage vary depending on the company you choose, type of your vehicle and mileage. Extended car warranties will usually cost you less than OEM (Original Equipment Manufacturers) warranty. Some of the most important things you should find out are the type of coverage, the length of coverage, and coverage parts included in the warranty.

These types of warranties are usually divided into two different categories: Powertrain and bumper-to-bumper. The Powertrain extended car warranties are covering the most important parts: engine and transmission against some specific defect that caused the malfunction. These warranties can also have additional parts included in the agreement. The bumper-to-bumper, or often called limited warranties, cover specific parts in the vehicle from the agreement.

The price can vary depending on the type of the extended car warranty you choose, covered parts, length of the coverage, mileage, type of the vehicle, and some other details from the agreement.

USAA Company

The USAA Company has probably the longest tradition in the insurance world. They have been established in 1922 and since then they are working in the field of insurance, banking, investing, real estate, health insurance, and retirement. Their services are intended for US military members and their families and they offer many types of discounts within this category. They are welcoming members in active military duty, a veteran, reserve or guard, cadet or midshipman or family member.

 The company is also offering convenient tools like its USAA mobile app where every member can get useful information about their insurance or send money. On their mobile app, you can also change your policy, add a driver, change your vehicle or coverage, file a claim or pay a bill.

Coverage Plans

USAA is offering two types of extended car warranty plans: Manufacturer wrap protection and Comprehensive protection.

Manufacturer wrap protection is most similar to the above-mentioned Powertrain warranty. You should consider this plan if your original car warranty is about to expire. It is intended for car owners who have no more than 30 days left on their manufacturer’s warranty and 1,000 miles. This type of plan is the basic plan covering only basic parts of your car with some extra parts coverage. It is intended for newer vehicles.

The Comprehensive protection plan is the best for vehicles with mileage less than 115,000 and no more than 10 years old. This plan is more comprehensive than the previous one and it is similar to the above-mentioned bumper-to-bumper type of plan. Comprehensive protection plan covers the engine, transmission assembly and drive axle. It also includes coverage of the damage from an accident, unless rollover or collision.

Coverage choices can vary depending on your location. USAA coverage plans are available in 50 countries, and several international locations.

Roadside assistance is included in both plans. Other protection like rental reimbursement is covered as long as the cost doesn’t exceed the amount of $50 per day during the whole period your car is being repaired.

Accident forgiveness is another additional protection and can be used only if you’re not involved in any car accident during the 5 year period. After that period, your premium won’t be charged with additional costs after one at-fault accident.

Savings

USSA is offering many different discounts for its members. One of them is related to the Accident forgiveness protection and can save your budget if you keep up the good driving record for five years. This means that you must not be involved in any type of car accident, no matter who caused the accident (don’t forget to read the policy in details because the discounts in some locations apply for the period of 3 years)

If you finish basic and approved driving test you can get a fair discount. This is also applicable to drivers younger than 21. The company is also awarding the students with good grades offering a discount for their extended warranty plans.

Discounts are also applicable depending on the type of vehicle you own and annual mileage. You can save up to 60% for the vehicle you store. You can also get a better price if you extend the warranty to more than one vehicle you own. The number of miles per year can also save your budget meaning the more you drive the more you save.

Membership discounts are very generous. On their official website you can get a free quote or retrieve the saved one. Membership discounts are related to family member membership, length of the membership and military installation. You can save up to 10% of the policy if you prolong the membership your family members purchased. This discount applies only if a user is less than 25 years old and if their parents or guardians had a USAA membership for 3 years or more.

USAA cherish their members and they guarantee that every member can save up to 3-4 times if they stick to their tradition. The Military installation is guaranteed only with a Comprehensive plan and it implies a discount when you store your vehicle on the base.

No down payment policy is also another way to save costs. It is not required only if it is less than $50 and no-payment cancellation in the last three years. You should also read the full policy description to see in what locations down payment is not applicable.

USAA tends to award its members with a discount based on good credit insurance in those states where the law permits it.

If you are deployed or you are preparing for it, USAA is also offering fair discounts. They recommend to contact them to get the best deal.

Verdict

USSA has a very long tradition that has been recognized by many communities, corporations and users decades ago. Their success is increasing year by year, as is the growing number of satisfied users. Although the company is offering only two coverage plans for your vehicle, they are really committed to saving your costs by offering different types of discounts. Reserved only for military members, their mission is to serve the members in the military community to honor their service.

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