‘Absolute worst in the industry’: Mechanic reveals what extended warranties to avoid for your car (2024)

In a video, these mechanics share the good, the bad, and the ugly when it comes to purchasing an extended warranty for your car. Stay tuned to find out what not to buy.

Dealing with car stuff can already be such a hassle, from high repair costs to untrustworthy mechanics. Now, come to find out that all warranty companies aren’t made equal, and some will sell you a dream just to end up not paying for squat when you need them.

In a TikTok nearing 200,000 views, popular Georgia mechanic shop Royalty Auto Service (@royaltyautoservice), which often features owner Sherwood Cooke Jr. and his son, Sherwood III, ranted about what they deal with on a daily basis with these third-party warranty companies.

“No extended warranty company on the planet is going to pay 100% of your bill with your $50 deductible, and they’re covering everything,” Cooke Jr. says.

However, his son assured him that it had actually happened on multiple occasions.

“It doesn’t mean your extended warranty company is doing something bad. It just means that they only cover a certain amount,” Cooke Jr. says.

And if you go back to the place that sold you the warranty deal, like the dealership, good luck getting through to them, he says. Cooke Jr. claims that his auto shop deals with them all the time, and it’s “generally not fun at all” and referred to it as a “war of attrition.”

Cooke Jr. recalls that one warranty company, with no exaggeration, kept them on hold for 12 hours over the course of two days (eight hours on day one and four on day two). Time-sucks like that makes it so the auto shop loses money since they have to pay for a person (seemingly the mechanic themself) to sit on the phone.

Now, the shop has started keeping a spreadsheet tracking how long it takes each warranty company to resolve an issue.

While Cooke Jr. says he doesn’t make it a habit to call out people or companies “unless it’s pretty bad.” But he says that once they had accumulated enough data, he’ll share it publicly.

“I’m not gonna say anything bad. I’m just gonna throw the data out. We’re gonna show you guys that and let you guys understand what we’re dealing with,” Cooke Jr. explains.

His son addd that they’re giving viewers all this context because he knows customers, through no fault of their own, aren’t aware of all the hassle that goes on behind the scenes.

He went on to say that while these warranty companies will make it sound like they’ll cover anything that goes wrong, they’ll usually only address things like engine and transmission, not other problems like a busted air conditioner.

And without naming names, Sherwood III adds that if you see an extended car warranty advertised on TV, you should probably steer clear.

“They’re gonna do everything humanly possible” to get out of paying for repairs, especially big-ticket ones, he says. “It’s just the nature of the beast.”

Now, if you’re in the market for an extended warranty, don’t get fully scared off. Instead, do your research and take the Sherwoods’ advice into account.

@royaltyautoservice Replying to @fire_free37 We could rant for days on this subject! #mechaniclife #mechanicsoftiktok #cartok #automotive #extendedwarranty #warranty #autorepairshop #viral #tips #cartips #fyp #foryou ♬ Pop beat BGM / long version(1283324) – nightbird_bgm

There are multiple rankings out there, from MarketWatch to Cars.com, and this year, the company to come out on top of multiple lists was Endurance. While Endurance may not be a household name, it does get top marks from professionals for reliability, cost, and coverage.

People in the comments section added their own perspectives and experiences.

“Love this. Companies need to be held accountable,” the top comment read.

“Very similar to a home warranty. Got suckered once, never again,” a person said.

“Carmax paid 12k to replace my engine when it exploded. I did, however, have to prove every single oil change,” another shared.

The Daily Dot reached out to the auto shop for comment via email.

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