What can be covered

A vehicle service contract is a separate agreement to pay for covered repairs after the manufacturer's warranty ends or when it does not apply. It is not auto insurance and it is not a factory warranty. Every contract lists what it covers, and anything not listed or specifically excluded is a matter of how that contract is written.

Plan levels in general terms

• Powertrain. The parts that make the vehicle move: engine, transmission and drive components. This is the base of most plans.
• Powertrain Plus. Adds items such as A/C, heating and electrical components.
• Enhanced. Adds broader systems such as cooling and fuel, and on some plans technology and electronics.

Two ways a contract can be written

Some contracts are named-component: they cover only the parts on a list. Others are exclusionary: they cover every part except those on an exclusion list. The second type reads longer but is usually broader. Ask which type you are looking at.

What every plan has in common

A service fee or deductible, per-item and total limits, exclusions, a waiting period, and a claim process that usually starts with a call to the administrator before any repair begins. These are covered on the pages linked below.

Coverage depends on the plan you choose. The covered list, exclusions, limits and service fee in your contract decide what is paid. Ask for them in writing before you buy.