Shopping for a new car? You might be wondering which manufacturer offers the best new car warranty. Some factory warranties only offer coverage for 3 years/36,000 miles, while others offer three times that length of coverage.
In this article, we determine the best new car warranty based on the highest levels of bumper-to-bumper and powertrain coverage, plus additional perks.
After your factory warranty expires, there are a number of options for long-term protection against expensive repairs. We’ve reviewed the best extended car warranty companies to help narrow down your choices. Read on to find out more about the best new car warranty options and whether an extended warranty might be right for you. Then, get a few free quotes for extended protection from top providers.
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Table of contents
What is a New Car Warranty?
New car warranties are an automaker’s way of ensuring its product works as intended for a certain period of time. They’re essentially a contract between you and the manufacturer promising that any defects or malfunctions will be repaired.
For a factory vehicle warranty to remain valid, you have to keep the vehicle properly maintained and take it into a dealership if you have any issues.
What Makes One Warranty Better Than Another?
There are a number of factors that determine warranty quality, such as:
- Term limits: The number of years and number of miles that the warranty will cover you vary greatly for different parts of your vehicle. For example, your powertrain (engine, transmission, and axles) is often covered for the longest period of time. Things like original batteries and the audio/entertainment system might only be covered for a year or two.
- What’s included and excluded: It’s important to know what your manufacturer warranty covers. For example, many warranties don’t cover routine maintenance, wear and tear from normal use, or aftermarket parts.
- Extra benefits: Some warranties cover additional services like emergency roadside assistance, rental car reimbursement, and travel expenses if you break down a certain number of miles from your home.
How Much Should This Sway You When Looking for a New Vehicle?
The quality of a manufacturer’s warranty might not be the deciding factor, but is definitely something to take into consideration when considering purchasing a new vehicle.
Longer warranties can show that manufacturers are confident in their products and services—so much so that they agree to cover them up to 10 years in some cases. Purchasing a new automobile is one of the biggest investments a person can make, and if you can get the best new car warranty, you’ll get that much more peace of mind that you made a good financial decision.
Budgeting is also important to consider, as a car with lower upfront pricing but with a short-term warranty or with a lot of warranty exclusions may end up costing you more in the long run.
Which Manufacturers Have the Best New Car Warranty?
In our extensive review of new car warranties, these 10 manufacturers provided the best coverage:
|Powertrain Warranty||Roadside Assistance|
|Hyundai||5 years/60,000 miles||10 years/100,000 miles||5 years/unlimited miles|
|Genesis||5 years/60,000 miles||10 years/100,000 miles||5 years/unlimited miles|
|Kia||5 years/60,000 miles||10 years/100,000 miles||5 years/60,000 miles|
|Mitsubishi||5 years/60,000 miles||10 years/100,000 miles||5 years/unlimited miles|
|Volkswagen||6 years/72,000 miles
for 2018 and 2019 models,
4 years/50,000 miles
for 2020 models
|6 years/72,000 miles||3 years/36,000 miles|
|Jaguar||5 years/60,000 miles||5 years/60,000 miles||5 years/60,000 miles|
|Infiniti||4 years/60,000 miles||6 years/72,000 miles||4 years/unlimited miles|
|Lincoln||4 years/50,000 miles||6 years/70,000 miles||Unlimited years and miles|
|Tesla||4 years/50,000 miles||8 years/
mileage varies by model
|4 years/50,000 miles|
|Cadillac||4 years/50,000 miles||6 years/70,000 miles||6 years/70,000 miles|
Top 5 New Car Warranties
Let’s take a closer look at the five manufacturers with the longest factory warranty terms so you can find the best new car warranty for you.
Four of our five best new car warranties offer industry-leading powertrain coverage for 10 years or 100,000 miles, plus bumper-to-bumper coverage. But what puts the Hyundai warranty above the rest is its inclusion of roadside assistance for five years and corrosion coverage for seven years, both for unlimited miles.
For hybrids and plug-in vehicles, Hyundai offers a lifetime battery warranty for the first owner, and other hybrid and electrical components are also covered for 10 years or 100,000 miles. These reasons make Hyundai our overall choice for best new car warranty.
Pro: Hyundai offers free maintenance for the first 3 years or 36,000 miles.
Con: The Hyundai warranty loses its 10-year powertrain coverage after the first owner, decreasing to the same 5-year/60,000-mile limit as the bumper-to-bumper warranty.
The luxury brand offshoot of Hyundai shares its sister brand’s warranty limits for bumper-to-bumper, powertrain, roadside assistance and corrosion coverage. It also offers owners free maintenance for the first 3 years or 36,000 miles.
Pro: With the Genesis warranty, you get free Genesis Service Valet for the first 3 years or 36,000 miles. This means Genesis will perform a remote diagnostic check, pick up your vehicle, send a free replacement vehicle, and return your Genesis when it’s ready.
Con: Like Hyundai, the Genesis 10-year/100,000-mile powertrain warranty is downgraded to 5 years/60,000 miles after the first owner. This means subsequent owner warranties are inferior to other luxury brands like Lincoln and Cadillac, which offer fully transferable powertrain coverage for 6 years or 70,000 miles.
Another sister brand of Hyundai, Kia offers the same warranty limits for bumper-to-bumper and powertrain coverage. However, roadside assistance is capped at 60,000 miles, and corrosion coverage is docked from 7 years/unlimited miles to 5 years/100,000 miles. For these reasons, Hyundai and Genesis pull ahead in our list of best new car warranty providers.
Pro: The Kia warranty 10-year/100,000-mile powertrain coverage extends to hybrids and EVs. Plus, hybrid and EV systems are covered under additional warranties of the same length with coverage for a number of components not used on conventional vehicles, like the battery pack assembly, power control units, and on-board chargers.
Cons: Following suit with Hyundai and Genesis, the powertrain warranty falls from 10 years of coverage to just six years after the first owner.
Mitsubishi owners enjoy the same bumper-to-bumper, powertrain, corrosion, and roadside assistance warranty term limits as Genesis and Hyundai drivers.
Pro: Hybrids are covered under the powertrain warranty, and there’s an additional 10-year/100,000-mile warranty on some hybrid parts, including the engine, transmission, and battery components.
Con: As with other industry leaders, the Mitsubishi warranty for powertrain coverage is reduced to 5 years or 60,000 miles after the first owner.
For 2018 and 2019 model years, Volkswagen offered one of the best new car warranties in the industry: full bumper-to-bumper coverage (including the powertrain) for 6 years or 72,000 miles.
However, for 2020 and newer vehicles, the Volkswagen warranty covers just 4 years or 50,000 miles (still including powertrain). While shorter than top competitors, this term limit still outlasts many manufacturers. To help make up for the drop in coverage, the 2020 Volkswagen warranty includes free maintenance for the first 2 years or 24,000 miles.
Pro: Volkswagen’s warranty is transferable with no loss in coverage.
Con: Compared to leaders for the best new car warranty, Volkswagen offers shorter term limits.
Is an Extended Car Warranty Worth It on a New Vehicle?
Even the best new car warranty has its limitations. Most comprehensive coverage offerings are limited to the first few years of your vehicle’s life. However, many of the most expensive issues will arise as your vehicle ages.
According to AAA, one in three consumers can’t afford to pay an unexpected car repair bill. An extended vehicle warranty will help you avoid having to cover hefty repair costs for older vehicles.
Additionally, if you plan to sell your vehicle, a transferable extended warranty could make it more attractive to potential buyers. Plus, many extended warranties come with extra perks like emergency roadside assistance, rental car coverage, and more.
Our Top Recommendations for Extended Car Warranties
Most dealerships offer extended warranties to augment factory warranty coverage, but third-party providers may be better for a number of reasons:
- Coverage for older vehicles: Many of the most expensive repairs will happen later in your car’s lifetime. Third-party companies like Endurance, CARCHEX, and CarShield offer plans that typically outlast manufacturers’ warranties. Some will even cover your vehicle for up to 250,000 miles.
- No timeframe for purchasing: You don’t need to purchase a third-party extended warranty at the same time you purchase your vehicle. You can wait until well after your new car warranty expires to avoid paying for unnecessary overlapping coverage.
- More mechanic options: Some manufacturer warranties require that you get repairs done at specific dealerships, while an extended warranty will open up more service options in your area.
- Plan flexibility: Each third-party provider offers a number of coverage options, so you can find one that’s best suited for your needs.
- It’s generally cheaper: In most cases, extended warranties from third-party providers have less expensive premiums than manufacturer extended warranties.
In order to help narrow down the best plan for your needs, our team reviewed a number of third-party providers and compiled a list of the most reputable extended car warranty companies. Two of our highest-rated providers are Endurance and CARCHEX.
Endurance: 4.9 Stars
In our comprehensive review of extended warranty companies, Endurance came out on top. It offers six levels of coverage for up to 8 years or 200,000+ miles. Our price analysis found Endurance car warranty prices to be competitive, especially for older vehicles with high mileage. Deductibles typically range between $0 and $200.
Although the provider only has a C+ rating from the BBB, Endurance has a very positive reputation overall—especially when you consider the number of complaints versus the number of customers. It was also the only company we reviewed that made the 2019 Inc. 5000 list of the fastest-growing privately held companies in the United States.
Endurance is our pick for best direct provider with its comprehensive coverage options.
CARCHEX: 4.8 Stars
CARCHEX earned our vote for Best Service because it demonstrates an easy claims process, direct payments to repair facilities and prompt responses from customer service specialists. It also has over 20 years of experience in the industry and an A+ BBB rating and accreditation to boost its credibility.
This extended warranty company gives car owners the choice of five coverage levels ranging from basic powertrain to the CARCHEX Titanium plan, similar to bumper-to-bumper coverage. It also offers competitive pricing options through different providers, with deductible options between $0 and $200.
To see how much you would pay for a CARCHEX extended warranty, get a free quote for your vehicle.