The consumer guide to uncovering the best value

in auto warranties and repairs.

Extended Auto Warranty Glossary of Industry Terms

In-Service Date: The date the vehicle was purchased by the original owner. Also, the date the vehicle was first placed in use for rental, demonstration, or other purposes.

Inclusionary Policy: Also known as a “Stated Component Coverage” extended warranty policy. Inclusionary policies list all of the vehicle’s parts and components that are covered by the extended warranty. If the component or part is not listed then it is not covered.

Inspection: The examination of your vehicle's components by a certified mechanic. A pre-warranty inspection is when a certified mechanic attests to the proper working condition of all components of your vehicle. Inspections are required by some auto warranty plans for higher mileage or older vehicles.

Insurer: Also known as re-insurers, the insurance company that issues a policy and guarantees the obligations and performance of the extended auto warranty plan administrator. Most reputable auto warranty companies are backed by, or insured by, another insurance company to guarantee payment of policy claims should the original auto warranty company default on the policy.

Make: The make of your vehicle is the vehicle’s manufacturer.

Manufacturer: The manufacturer is the company that built your vehicle.

Manufacturer's Recommended Maintenance Guidelines: These are the vehicle’s manufacturer’s guidelines for routine maintenance to keep your vehicle in safe and optimal operating condition. Typical maintenance guidelines would include how often to change the engine oil, checking proper fluid levels, perform tire rotations, and replacement of certain parts at specific intervals. Not following the manufacturer’s recommended maintenance schedule may void your auto warranty agreement.

Manufacturer's Warranty: This is the vehicle's manufacturers stated warranty to repair your vehicle for a specified period of time and/or mileage. Manufacturer’s warranties typically are not all inclusive and cover only specific components of your vehicle. Review your manufacturer's warranty agreement for coverage details and specifics.

Model: The model is the specific type of vehicle that was made by a particular manufacturer.

New Vehicle: As applied to extended auto warranties, the term new vehicle refers to a vehicle that is still covered by the original manufacturer's bumper to bumper warranty. This term does not mean that the vehicle was purchased “brand new” or you are the first owner, simply that the vehicle is still covered by the original manufacturer’s bumper to bumper warranty.

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