What is a vehicle service contract?

A vehicle service contract is a basic agreement that covers the cost of parts and other service products necessary to repair a car. It’s also known as an extended warranty with some dealerships, so it’s basically insurance for every part of your car in the event it breaks down under normal use.

You can also find the name of the vehicle service contract as part of the contract you sign when you buy an extended warranty for your car. The vehicle service contract is not required by state law and you are not required to have such an insurance plan, but in many cases it is a smart choice.

The car service contract includes a list of all the services and parts that the contract covers for you and your car, so if you have any trouble benefiting from the warranty you paid for, you just need to make sure that part (or service) is included in the list. If it is not listed, you are not entitled to receive the money for your repair.

Usually the vehicle service contract is signed for one year, but if you think you will need to use the services for a longer time, you can also sign the vehicle service contract for two or maybe even three years, depending on the car you are using. own. . Of course, you will probably be asked to pay the full amount in advance, but if you are good at negotiating, you can also pay in installments for the next few months after the contract is validated.

As a last detail that you would probably be interested in regarding the vehicle service contract, we can say that older cars cannot benefit from this, or that they generally pay more than new ones.