CarmaCare Warranty Review: An Appealing Option for Lower Cost Vehicle Protection

Once your new car’s manufacturer’s warranty has expired then you will be liable to pay out for any parts that fail – which could see you face a big repair bill. For peace of mind, having one of the best extended car warranties can help, providing cover in the event that things go wrong.

An extended warranty offers protection for failure of components that aren’t supposed to fail – components that could be expensive to replace.

As ever, there are a number of companies offering extended warranties – and it’s important to make sure you get the right cover for you and your vehicle. CarmaCare’s offering includes some interesting features, which could make it appealing to those who want instant coverage, in particular for more affordable vehicles.

CarmaCare review: What you need to know

CarmaCare is a recent addition to the warranty landscape, founded in 2021; and it’s looking to revolutionize the extended warranty market. It’s a startup, so offers an experience that’s a little more focused on the web experience rather than the traditional telephone and paperwork routes that other providers like Select Auto Protect and American Dream Auto Protect use.

CarmaCare offers three tiers of coverage: Powertrain, CarmaCare Plus, and CarmaCare Complete – and most appealing about CarmaCare is that its policies can be taken out with no waiting period. There’s a slight catch here, however: it only applies if your vehicle is less than three years old, or under 36,000 miles – which means you’re likely to already be covered by a manufacturer warranty. However, for those looking to overlap warranty plans with no break in their coverage, CarmaCare potentially makes that an easy option.

If your car is more than three years old, or in excess of the 36,000-mile limit, then there’s a standard 30-day waiting period before you can make a claim. If this doesn’t meet your needs, then look at Olive as an alternative provider.

Also be aware that CarmaCare’s policy comes with a $15,000 maximum claim value – or the current value of the car, if it’s less than $15,000. This means that if you’re someone with an expensive car with expensive parts, you could find that there’s a shortfall in the coverage that CarmaCare delivers. CarmaCare is better suited to lower-value vehicles.

This is also in line with the vehicle age limits that CarmaCare covers, which includes cars from 2005 onwards; better than some other warranty providers. If you have an older car – which has been maintained in accordance with the manufacturer’s recommendations – then the value of the car is likely to be lower, making CarmaCare a good fit for your needs. CarmaCare has a mileage limit of 150,000 miles.

READ NEXT: Should I Buy an Extended Warranty on a Used Car?

CarmaCare review: Tiers and parts coverage

CarmaCare’s entry-level tier is called Powertrain, making the parts it covers obvious, if not, then our ‘What is a Powertrain Warranty’ article will explain coverage. It includes the engine and transmission, drive axle, and related parts, but doesn’t extend to brakes, the cooling system, suspension, steering, or other components. There’s also no coverage for hybrid engines – you’ll need the top-level cover to protect those.

If you need greater coverage, then the CarmaCare Plus plan adds parts such as the brakes, steering, and suspension, but lacks coverage for the high-tech parts of your car – the driver display, for example.

At the top level sits CarmaCare Complete, which includes coverage for hybrid engines and batteries, as well as the heating system and a few of the high-tech parts, including anti-theft systems, the driver display, and keyless entry systems. It doesn’t extend to the satnav or other infotainment systems, however. Those with newer, more tech-focussed cars may find CarmaCare’s top-level offering somewhat misses the mark for their needs then; but for older vehicles, it’s likely to suffice.

CarmaCare review: Breakdown and extras

CarmaCare’s tiers include some breakdown cover, but the offering isn’t as comprehensive as a full breakdown policy. It does deliver some peace of mind that you’ll be able to recover your car in the event you suffer a breakdown without facing a huge bill.

Breakdown coverage works on a reimbursement system, so there’s a chance that you’ll still be expected to pay something. However, compared to other warranty providers, such as American Dream Auto Protect, CarmaCare’s breakdown cover is comprehensive. Note, too, that you could receive reimbursement if you have to spend the night in a hotel – up to $250 a night, as long as you’re over 100 miles from home.

There’s cover for a loan car at $40 a day, while there’s a $100 reimbursement for towing costs.

READ NEXT: Top 10 Safest Cars to Drive

CarmaCare: Customer service

CarmaCare gives customers the option of phone or email contact, as well as being able to access its services online through a web browser. That’s a benefit that some warranty providers don’t offer. There’s no supporting app as you get with Endurance; nevertheless, it’s still great to have an online option for managing your policy and any claims.

Your CarmaCare policy applies with any ASE-certified mechanic, so you can choose a convenient mechanic for you. CarmaCare aims to pay the mechanic directly for repairs. CarmaCare isn’t listed on Trustpilot, which is perhaps to be expected for a newer company, but it does have 50 reviews on Google with an average five-star rating.

CarmaCare review: Verdict

CarmaCare is a newcomer to the extended warranty market, covering a wide range of vehicles including older models. There’s a limit to the cover offered at $15,000, or the car’s trade-in value if lower than $15,000, so it might not suit those with more expensive models. On the flip side, it could be a great option for those who own older cars of a lower value.

The coverage tiers focus on the essentials at the entry point, extending to more comprehensive coverage at the Complete level; but you don’t get much coverage for your in-car technology, which is a downside. The breakdown cover is good, though, so there’s certainly plenty that’s attractive about CarmaCare’s extended warranty offering.