Learn Everything About Used Car Warranties

Buying a used car can be a smart financial decision, but it also comes with some risks. One way to protect yourself from unexpected repair costs is by purchasing a warranty for your used car. In this blog, we'll take a closer look at the different types of warranties available for used cars and how they can benefit you.

So, buckle up and get comfy - Here’s everything you need to know about used car warranties in the UK.

What is a Used Car Warranty?

Used car warranties are also sometimes called extended warranties and they can help you avoid unforeseen costs on your car. When you have a used car warranty, it can remove a lot of the hassle you’d deal with if your car breaks down.

Cars that are three years or older have most likely used up their original warranties. Getting an extended warranty could be your safety net in case your car incurs any problems after you purchase it. 

Types of Used Car Warranties

There are different types of second-hand car warranties available, and choosing the right one is crucial. From manufacturer warranties to third-party warranties, here’s a brief rundown of each used car warranty type:

Manufacturer's Warranty

A manufacturer's warranty is provided by the car manufacturer for a new car. It typically covers the cost of repairs for a certain period, or mileage, whichever comes first. These warranties can be comprehensive or limited in scope.

Dealer Warranty

A dealer warranty is provided by the dealership where you purchased your used car. These warranties can vary in length and coverage, but they typically cover major components such as the engine, transmission, and electrical system and usually last around 12 months.

Third-Party Warranty

A third-party warranty is provided by a company other than the car manufacturer or dealership. Like manufacturer warranties, they can be comprehensive or limited, and they typically have a deductible that you must pay before any repairs are covered.

Benefits of Used Car Warranties

Purchasing a warranty for your used car can provide several benefits, including:

Peace of Mind: A warranty can provide peace of mind as you know that you won't be responsible for large, unexpected repair costs.

Cost Savings: You can save a lot of money on repair costs with the right warranty, especially if you have a major issue with your car.

Better Resale Value: A car with a warranty may have a higher resale value, as it provides the buyer with additional reassurance.

What to Look Out For When You Buy a Warranty 

Several companies in the UK offer used car warranties. However, you should know that they’re not all the same. Various warranties provide different levels of cover. That’s why it’s crucial to read the small print.

Consider the following things when looking for the best second-hand car warranty:

  • What does the used car warranty cover?
  • How much will it cost?
  • Are there any warranty exclusions?

Knowing what the used car warranty covers and whether there are any exclusions is critical. Some may list about 100 parts that are covered, which may seem like a lot, but keep in mind that cars have more than 5,000 parts! 

You’ll also find that the cost can vary drastically between providers. Some used car warranties may seem like a fantastic deal, but the cheaper price could mean you are expected to pay more towards your car repairs if something goes wrong. Read through the terms and conditions so you know exactly what is and what isn’t included.

How To Claim on a Used Car Warranty

If you have a problem with your car and need to make a claim on your warranty, it's important to follow the proper procedure. First, review the terms and conditions of your warranty to determine what is covered and what is not. Then, contact the warranty provider to report the issue and find out what steps you need to take next.

Depending on the type of warranty you have, you may need to take your car to a specific repair shop, or provide documentation of the repairs. It's also important to keep records of any repairs made to your car, as this can help support your claim and ensure that you receive the maximum benefit from your warranty. By understanding the claims process and following the proper steps, you can make the most of your used car warranty and protect yourself from unexpected repair costs.

How to Choose a Used Car Warranty

Choosing the right used car warranty can be a daunting task, but there are a few key factors to consider that can help you make an informed decision.

First, look for a warranty that offers comprehensive coverage for a range of repairs and services, including both mechanical and electrical components. You should also consider the length of the warranty and whether it offers any additional benefits, such as breakdown recovery or rental car coverage.

Finally, research the reputation and customer service of the warranty provider, and consider reading reviews or asking for recommendations from trusted sources. By taking the time to choose the right used car warranty, you can help ensure that you have the protection you need and the peace of mind you deserve.

Is a Used Car Warranty Worth It?

Deciding whether a used car warranty is worth it depends on several factors, including the age and condition of the car, your budget, and your personal preferences. If you have a newer car with low mileage, or a manufacturer's warranty still in effect, you may not need additional coverage. However, if your car is older, or has a history of mechanical problems, a warranty can provide valuable protection and help you avoid unexpected repair costs.

Keep in mind that the cost of the warranty should be weighed against the potential cost of repairs, and that some warranties may not cover certain types of repairs, or they may have exclusions and limitations. Ultimately, the decision to purchase a used car warranty should be based on your individual needs and circumstances.


Used car warranties cost money, but it’s worth it if you think about how much you can save if ever your car breaks down and needs repairs. You can keep your savings intact because you’ll be protected from spending on costly expenses for your car.  

On the lookout for a used car? Here at Carmoola, we can help you score not only your dream car, but also a deal that keeps your finances in check. Ready to buckle up and get on the road with confidence? Explore our user-friendly car finance options today.