General Motors Co. in Detroit today announced that effective immediately, customers buying new vehicles will have the opportunity to purchase an extended bumper-to-bumper limited warranty resulting in five years or 60,000 miles of coverage (whichever comes first) for Chevrolet and GMC customers, and six years or 70,000 miles for Buick and Cadillac customers.
The standard factory bumper-to-bumper limited warranty on Chevrolet and GMC products is three years or 36,000 miles, whichever comes first. On Buicks and Cadillacs, it is four years or 50,000 miles, whichever comes first.
“One of the best things about buying a new vehicle is the peace of mind that comes with the warranty,” says Ken Mac, director of Chevrolet, Buick, GMC, Cadillac Protection. “If you drive a Chevrolet, you know that any GM-brand dealer will take care of warranty repairs without paperwork, deductibles or exclusions.
“The same goes for Cadillac, GMC and Buick owners. Now, we’re offering people the opportunity to increase the duration of their bumper-to-bumper warranty far out into the future.”
GM’s new warranty program differs in several important ways from service contracts, which are a popular way to protect against unexpected repairs.
The differences include:
- The optional limited warranty is accepted without question by all Chevrolet, Buick, GMC, and Cadillac dealers nationwide.
- Any warranty service is completed without the need to file a claim form and with no deductible.
- The warranty is in force no matter who owns the vehicle, so there’s no need to transfer coverage. This may enhance the resale value of the vehicle.
- The option is included in the overall price of the vehicle and can therefore be folded into the loan or lease at the customer’s request.
“People who lease typically keep the vehicle for 24 months to 36 months, so most of them are always covered by the base bumper-to-bumper limited warranty,” Mac says.
“But if you buy, analysts say you’ll likely keep your new vehicle for over six years. This true extended warranty can keep the average customers covered for most if not all of the time they own their vehicle.”
On average, new car buyers keep vehicles for about 6.8 years, according IHS Markit in Southfield.