Introduction: What Car Warranty Companies Do
Car warranty companies sell vehicle service contracts. Despite the name, these are not insurance and they are not the same as a manufacturer warranty. A vehicle service contract is an agreement to help pay for specified mechanical repairs after a breakdown, subject to the terms, exclusions, deductible and limits in the contract.
Coverage varies widely. Powertrain coverage focuses on the engine, transmission and drivetrain. Exclusionary coverage is broader and covers most components except a listed set of exclusions. That difference matters, because one major repair can be expensive on its own: a transmission can cost $4,000-$7,000, and an engine rebuild can cost $10,000 or more.
Get a free quote from Empire Auto Protect — plans start at $69/mo.
How to Choose the Right Car Warranty Company
- Read real reviews. Check Google, Trustpilot and the BBB, and read both the 1-star and the 5-star reviews to see patterns. Empire Auto Protect holds a 4.4-star Google rating (3,100+ reviews) and a 3.4-star Trustpilot rating (4,000+ reviews) — real ratings, not perfect ones.
- Understand the claims process. Ask whether you can use any licensed shop, how long authorization takes, whether the deductible is per visit or per repair, whether rental and towing are included, and what the waiting period is. A waiting period of about 30 days and 1,000 miles is standard.
- Demand the actual contract before paying. Read the exclusions word for word before you buy, not after a breakdown.
- Compare coverage, not just price. Look at covered components, coverage limits, the deductible, and available add-ons.
- Check longevity and a physical address. Choose a company you can find, contact and verify.
Car Warranty Companies Compared
| Company | Price | Ratings / Notes |
|---|---|---|
| Empire Auto Protect | From $69/mo | 4.4 on Google (3,100+ reviews), 3.4 on Trustpilot (4,000+ reviews) |
| Endurance | Varies | Largest direct brand |
| CarShield | Varies | Biggest advertiser, mixed feedback |
| CARCHEX | Varies | Inspections and research-focused buyers |
| Olive | Varies | Digital-first |
| autopom! | Varies | Long-standing administrator |
Note: most companies quote custom prices based on your vehicle and mileage, so the only fair price comparison is a quote for the same vehicle, same mileage and same coverage tier.
An Honest Look at Each Company
Empire Auto Protect
Strengths: plans from $69/mo, coverage tiers from powertrain up to exclusionary, and transparent published ratings — 4.4 stars on Google from 3,100+ reviews. Watch for: our Trustpilot rating is 3.4 from 4,000+ reviews, and we are upfront that this is a work in progress. We publish it because honest ratings matter more than perfect-looking ones.
Endurance
Strengths: one of the largest direct-to-consumer brands, with broad plan choice. Watch for: prices vary by vehicle and sales offer, so compare the written contract and total cost.
CarShield
Strengths: the biggest advertiser in the category and widely known. Watch for: feedback is mixed, so read recent reviews and the contract exclusions carefully.
CARCHEX
Strengths: known for inspections and for buyers who like to research before buying. Watch for: coverage is provided through administrators, so check who will handle your claim.
Olive
Strengths: a digital-first buying experience with online quotes. Watch for: less history than older brands, so verify terms, limits and waiting periods in writing.
autopom!
Strengths: a long-standing administrator with a service-focused reputation. Watch for: plans are sold through partners in some cases, so confirm the exact contract terms.
Types of Plans
Powertrain: covers the core components that make the vehicle move — typically engine, transmission and drivetrain. This is usually the lowest-cost tier.
Stated-component: covers a specific listed set of components and systems. If a part is not listed, it is generally not covered.
Exclusionary: the broadest tier. It covers most components except those specifically listed as excluded, similar in spirit to a factory bumper-to-bumper warranty.
What Is NOT Covered
- Wear items such as brakes, tires and wiper blades
- Routine maintenance
- Pre-existing conditions
- Accident damage or damage from modifications
- Cosmetic items
- Gradual deterioration
Why Claims Get Denied — And How to Avoid It
Common reasons include missed maintenance, a pre-existing problem, a part that is not covered, repairs done without authorization, and modifications. You can reduce the risk by keeping every maintenance receipt, fixing known problems before coverage starts, checking that a part is covered before repair, always getting authorization first, and disclosing modifications.
How Much Does a Car Warranty Cost?
Price depends on vehicle age and mileage (the biggest factors), make and model, the coverage tier, the deductible, the term, and your region. Entry powertrain plans can be under $100/mo — Empire Auto Protect plans start at $69/mo — while exclusionary coverage is typically in the low hundreds per month. For the full breakdown by coverage tier — plus an interactive estimator — see our guide to how much an extended car warranty costs.
Red Flags and Scams to Watch For
- Robocalls saying your ‘warranty is expiring’
- Pressure to decide with a today-only offer
- No physical address or verifiable company information
- Requests to pay by wire transfer or gift card
- Promises that sound too good to be true
- A company that will not send you the contract before you pay
Frequently Asked Questions
Are car warranty companies worth it?
They can be, if one major repair would strain your budget and the contract covers the components most likely to fail on your vehicle. Compare the total cost against likely repair costs and read the exclusions first.
What is the difference between a warranty and a vehicle service contract?
A manufacturer warranty comes with the vehicle. A vehicle service contract is a separate agreement you buy to help pay for specified repairs after purchase. Most products sold by car warranty companies are vehicle service contracts.
Can I get coverage with high mileage?
Often yes. Many providers cap eligibility around 150,000 to 200,000 miles, depending on the plan and vehicle.
Can I cancel?
Most contracts can be cancelled, typically with a pro-rated refund after any cancellation period and subject to claims paid and the contract terms.
Can I choose my repair shop?
With Empire Auto Protect, you can use any licensed repair facility, and many providers offer similar choice. Always get authorization before repairs begin.
Is there a waiting period?
Yes, a waiting period of about 30 days and 1,000 miles is standard before coverage begins. This helps prevent claims for pre-existing problems.
What does Empire Auto Protect’s $69/mo plan cover?
The $69/mo starting price is for entry powertrain coverage. Higher tiers add more components, up to exclusionary coverage. Your exact price depends on your vehicle and mileage.
Why should I trust online reviews?
Read reviews across several platforms, look for patterns rather than single stories, and be skeptical of any company showing only perfect scores. Empire Auto Protect publishes its real ratings: 4.4 stars on Google (3,100+ reviews) and 3.4 stars on Trustpilot (4,000+ reviews).
The Bottom Line
Choose on verified reviews, the written contract, the claims process and total coverage — not on a sales pitch or a perfect-looking rating. Compare honestly, read the exclusions, and then get a quote for your exact vehicle.
Get your free quote from Empire Auto Protect — plans from $69/mo.
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