Every new car owner wants to have their investment protected as much as possible.
At the same time, getting ripped off is not ideal for any shopper. That’s why Red Shield Administration INC strives to clear up any confusion between vehicle protection plans and extended warranties.
Some people think they are the same, but upon further review, that’s far from the truth. Is a vehicle protection plan worth it? Are extended warranties as great as they seem? This is a closer look at how they compare.
What is a Vehicle Protection Plan?
A vehicle protection plan helps protect a driver from any issues that might pop up regularly. Where insurance and extended warranties lack, vehicle protection plans fill the gaps. This could be regular maintenance, scheduled checkups, minor and major repairs, etc.
The biggest benefit of having a vehicle protection plan from a company like Red Shield Administration is that no one is surprised by a big repair bill. Instead of having to pay a lot of money out of nowhere, vehicle protection plans lessen the blow while not costing much on a month-to-month basis.
What is an Extended Warranty?
Warranties usually come with any new vehicle. Occasionally, they will come with gently used vehicles as well. They almost always come from a manufacturer and act as a way to protect a buyer from having to make a major repair with no fault of their own.
Some of the significant components of a car can break down way before they are supposed to. An extended warranty keeps drivers protected for a limited amount of time. For example, an extended warranty can be a set amount of years or a set amount of mileage.
When an extended warranty ends, drivers are left to fend for themselves. That’s when some people first purchase a vehicle protection plan or upgrade what they currently have. There can be some redundancy with an extended warranty and vehicle protection plan, but the differences make both valuable.
Why Invest in a Vehicle Protection Plan?
Drivers are required to carry some level of insurance in case they are involved in an accident. By default, most cars come with a warranty and an extended warranty. This makes it hard to justify why a vehicle protection plan is needed as well.
This mainly goes back to what is protected with a vehicle protection plan. Since different parts of the car and the repairs that go with it receive protection when using a vehicle protection plan, they don’t cover the same things.
No one can safely predict how much they will use a vehicle protection plan, but even the best running cars will still have minor issues from time to time. Maybe they need regular maintenance or a quick fix that costs more than some realize. As long as the plan is not redundant, it’s a perfect opportunity to save some money.
The Keys to Buying a Perfect Vehicle Protection Plan
Red Shield Administration INC is just one company that offers a variety of vehicle protection plans that make sense. No one wants to purchase a plan that doesn’t provide the type of assistance they want. That’s why keeping these factors in mind usually proves beneficial.
Transferable Plan Options
Quality vehicle protection plans will allow people to transfer their plan to a new car when they upgrade. Maybe the person never used the vehicle protection plan on the first car, so they never got their money's worth. If it’s non-transferable, this leads to extra fees.
Location Flexibility
Every vehicle protection plan comes with a network of repair shops usable by drivers. Getting locked into a plan that only has a few local spots that qualify can be a huge hassle. Not only does it take time to travel to a different shop, but the delay could be hard to handle.
Deductible Specifics
Some plans offer a per visit deductible, while others offer a per repair option. Ensure you know how the deductible works and affects the overall cost when it’s time to have something serviced or fixed.
Redundancy Issues
Some high-quality, expensive auto insurance plans will offer the same protection as a vehicle protection plan. It does tend to cost more money, but people who already have it might not find a vehicle protection plan worth it in the end.
With any type of car coverage, redundancy problems can rob consumers of their hard-earned money. The good news is that companies like Red Shield Administration INC do a great job of allowing people to pick and choose what they want to be included.
Why Vehicle Protection Plans Are Worth It Now More Than Ever
Several vehicle protection plan companies have sprouted up over the last few years. Drivers are looking for as much protection as possible not to get surprised by any huge bills. Everyone competing against each other keeps the overall cost down and passes that savings on to the consumer.
No one enjoys spending more money every month, but a vehicle protection plan can pay for itself with the very first visit. Cars always have something popping up that goes wrong. Ignoring the need for a vehicle protection plan can put you in a tough predicament if a car issue sidelines a vehicle.
