How much should an extended warranty cost in Canada?
In general, the average cost of an extended warranty in Canada is between $1,000 to $3,000 for 3–5 years of coverage. Extended auto warranties cost an average of $1,297 per year across providers, plans, coverage options and vehicles, based on our February 2025 secret shopping. Manufacturers and third-party providers don’t have set rates for extended warranty costs.You don’t have to buy an extended warranty on a new car at the time of purchasing the car, Linkov said. You can buy it from another dealer of the same brand a few years after buying the car.
What is a fair price for an extended warranty?
An extended warranty typically costs an average of $600 to $2,000 per year, but that varies widely based on where you buy the warranty, the reliability of the vehicle the warranty covers, and other factors. The price of an extended warranty also is negotiable. Personal finance expert Dave Ramsey is famously outspoken against extended warranties. On average,” he says, “you’ll pay about $1,500 on an extended warranty, and the average repair is $180. I don’t recommend buying extended warranties, ever. If you can’t afford a $200 repair on a car, then you can’t afford the car.New Mercedes vehicles typically come with a 3-year manufacturer warranty. At the end of your manufacturer warranty, you can generally extend for future years. AA Extended Warranty offers an alternate way to protect your Mercedes against potentially expensive repair bills.Available for purchase before, and effective as soon as the New Vehicle Limited Warranty expires, it provides the exceptional coverage and dedicated service you deserve. Whether it’s for 12, 24, or even 36 months, the Extended Limited Warranty offers continuous protection options of 75,000 or 100,000 miles.A Mercedes-Benz Extended Warranty is available as a 12-month, 24-month or monthly ‘pay as you go’ policy. You can either choose to pay for your policy with one single payment for 12 months or 24 months cover, or you can choose to have cover that renews each month via a monthly Direct Debit.Compare the specifics of the plans you’re considering to find one that matches your needs. How long is coverage available? Extended warranty plans typically cover your vehicle anywhere from 2 to 7 years. If you expect to keep your car for several years, a longer plan may make sense for you.
Is an extended car warranty worth it in Canada?
An extended warranty can be worth it, especially if you plan to own your car past the original warranty or want peace of mind against surprise repair costs. In fact, Canada’s auto repair and maintenance industry brought in $26. Statistics Canada. You can buy an extended car warranty from your dealer or car manufacturer when you purchase a new car or any time before the car’s standard warranty expires.Extended Warranty Statistics Over 86 percent bought their service contract when they bought the car. Approximately 37 percent of car owners have an active extended warranty and only one in ten have actually used it.Negotiating an Extended Car Warranty at the Dealership Key tips: Negotiate the price just like you would the car price. Ask for a breakdown of exactly what’s covered. Compare outside options before you walk into the finance office.An extended warranty price represents a percentage of the total product cost. As a general rule of thumb, you shouldn’t spend more than 30% of the product cost on a product warranty.
Can you finance a Mercedes extended warranty?
Mercedes-Benz Extended Warranty Information. Enjoy greater peace of mind with superior warranty coverage on your new Mercedes-Benz. You can even finance the cost of your Extended Warranty Protection Plan with your vehicle! Peace of mind for Mercedes owners We offer comprehensive extended warranties for new cars for added protection and peace of mind. Specifically designed for new Mercedes-Benz vehicles, you can enjoy your car without the stress of unexpected repairs or breakdowns.The Mercedes-Benz Extended Limited Warranty offers additional coverage with term options for up to three years after the original New Vehicle Limited Warranty expires. Put your trust in us. To purchase the Extended Limited Warranty or to learn more, please visit an authorized Mercedes-Benz dealership.Extended warranties offer protection beyond the standard warranty. The likelihood of needing an extended warranty is low, especially if the product is durable and reliable. The cost of an extended warranty may be more than the cost of repair or replacement of the product.Ask for a Discount At dealerships, salespeople or finance managers may inflate the cost of the extended car warranty. Inform them the price is too high, and if they can lower it, you may reconsider. Often, they will offer a different rate.High Purchase and Maintenance Costs The initial purchase cost can be significantly higher, and maintenance and repair costs can also be steep. It’s important to consider the long-term financial commitment associated with owning a Mercedes-Benz.
Is an extended warranty worth it on a Mercedes?
New and Pre-Owned Extended Warranties An extended warranty may not be worth the cost if you’re planning on switching your vehicle within 10 years, since many modern vehicles are highly reliable. If you do plan on keeping the vehicle for 10+ years, then an extended warranty is certainly recommended. An extended auto warranty can provide a lot of benefits, including peace of mind, protection from surprise repair bills and even secondary benefits like roadside assistance. But it also comes with drawbacks. These may include difficulty canceling and the possibility that you won’t ever use the coverage.Once you sell your vehicle, you may be able to cancel the extended warranty and qualify for a prorated refund. Please contact your warranty provider for details. Any extended warranties are not transferable and will not add to your vehicle’s value.Like most insurance policies, an extended warranty is something you pay for in the hope that you’ll never need to use it. For many owners, it’s worth paying the price for peace of mind; even if your car is built by a brand renowned for its reliability, there’s always a risk that something could go wrong.Extended car warranties can be purchased from either your vehicle’s manufacturer or from an independent provider. Though coverage includes both parts and labor costs from repair shops, you’ll likely still have to pay a deductible on new auto claims.Refunds and extended warranties The refund amount is prorated, meaning it’s calculated based on how much of the warranty is left. If the warranty was included in your car loan, the principal amount wouldn’t decrease, but you could potentially pay off the loan faster with the refund.
How to buy an extended warranty for Mercedes-Benz?
To purchase the Extended Limited Warranty or to learn more, please visit an authorized Mercedes-Benz dealership. To locate a dealership visit MBUSA. FOR-MERCEDES (1-800-367-6372) today. Mercedes-Benz new and demonstrator vehicles first registered on or after 1 March 2020 receive a 5 year Warranty period. If you purchased a Mercedes-Benz prior to 1 March 2020, you will have a 3 year warranty. We can extend car warranty coverage on selected Mercedes-Benz vehicles for an additional three years.Additionally, you can purchase Mercedes-Benz Extended Limited Warranty coverage at any time prior to the expiration of your original New Vehicle Limited Warranty.The cost of a Mercedes extended warranty can range from $2,400 to nearly $8,000, depending on the vehicle and plan. You can extend the factory warranty by one to three years and cover up to 75,000 or 100,000 miles on the odometer.When you purchase a new Mercedes-Benz, you are protected against defects in materials or workmanship that originated at the factory. This basic comprehensive warranty starts on the sale date of the new vehicle, and lasts for 4 years or 50,000 miles, whichever occurs first.