Explore more about Factory vs Extended car warranties

factory warranty

In general warranties provide you with peace of mind after purchasing the vehicle, but there are a lot of diversities that exist within, based on your vehicle and the budget. They differ not only in the coverage and pricing but also in the time period when they kick in.

Most of us will begin to research and understand the differences between the factory warranty and the extended warranty only after the manufacturer warranty that comes along with your car while you purchase it from the showroom is about to end.

Having a deeper knowledge about the differences that exist will help you to make the smarter decision when the need arises to purchase an extended warranty.


Factory warranty can be obtained only from the manufacturer and takes the responsibility for repairs and replacements for 1 to 4 years depending on the make and model of the vehicle. Extended warranties can be purchased either from the manufacturer or third-party auto warranty companies. Nowadays there are numerous independent car warranty companies in the UAE offering customized extended warranty protection.


Factory warranties are predefined whereas extended vehicle warranties have a wide range of plans with different coverage levels for you to choose from. Especially with third-party warranty companies, it can be highly customized based on the condition of your vehicle and the budget with the various coverage and limits. With the extended car warranties you can get the protection for certain components that are not even covered by the factory or the manufacturer warranty.


Both the factory and the extended car warranties do not cover the damages caused due to wear and tear, tire replacement or routine maintenance. In addition, both do not consider the damage caused by accidents and natural disasters. You can purchase add-ons or vehicle service contracts separately to cover those.

Restrictions on getting the repairs and replacement done

During the factory warranty period, you need to get your vehicle repaired only at authorized dealerships. In contrast, third-party warranty companies offer a wide range of service centers or in-house service centers where your vehicle can be serviced conveniently.


Prices of the factory warranties are usually hidden within the vehicle cost as you purchase it. Whereas for the extended vehicle warranties you need to pay separately depending on the plan you choose. The price of the extended warranties can vary greatly between different independent car warranty providers.

Apart from understanding the differences that exist between both kinds of warranties, make sure the extended car warranty plans that you are purchasing are transferable because having the transferable extended warranty plans increases the trade in value of your vehicle.

Is extended car warranties always essential?

You may avoid purchasing the extended auto warranties, if you have sufficient amount set apart to handle the unexpected repairs or replacement in your car. But remember if you are having the high end car then the repair or replacement bill would be huge than you expect, so investing in extended warranties makes it worthwhile.

Regardless of what type of warranty you would like to purchase it is highly essential to spend your time and effort so that your vehicle can be provided with the perfect protection it deserves in a budget friendly way.

MP Warranties, with the goal to make your vehicle maintenance easier offers new & Used car warranties and customized extended coverage on all makes and models of vehicles including electric cars.

Talk to our warranty advisor by dialling us at 04 286 6222 to discuss more about our auto warranty coverage or to get an instant warranty quote.

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