Every new car comes with a manufacturer’s warranty, but coverage expires after a few years. American Auto Repair Coverage provides vehicle service contracts that step in and cover repairs after that point. In this article, we’ll look at the company’s reputation and coverage options compared to leading providers on the market.

There are dozens of options for extended coverage today. We’ve reviewed the best extended warranty companies in the industry to help drivers find dependable plans. Get free quotes from a few leading providers to find the best coverage for your vehicle.

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In This Review:

    About American Auto Repair Coverage

    American Auto Repair Coverage (AARC) has over a decade of experience in the warranty industry. According to its website, the company pays out $22 million for auto repairs per year on average. It gets mostly positive reviews from customers, and it has an A+ rating from the Better Business Bureau (BBB).

    American Auto Repair Coverage sells plans across the U.S. that are administered by a number of different companies, including:

    • Enterprise Financial Group
    • Allegiance
    • Omnisure Group
    • CarGuard
    • Omega AutoCare
    • SunPath
    • Matrix Protection

    Something interesting to point out is that AARC lets drivers customize plans by selecting exactly what systems they want covered on the contract. Other companies offer different add-ons, but not many companies let drivers build the entire contract.

    American Auto Repair Coverage Pros

    American Auto Repair Coverage Cons

    Customizable coverage

    Maximum term limits not available online

    Benefits like roadside assistance

    No sample contracts online

    A+ BBB rating

    Few customer reviews

    Mostly positive customer reviews

    American Auto Repair Coverage Plans

    American Auto Repair Coverage offers three main vehicle protection plans plus the option to customize coverage. Plans are accepted at dealerships and any repair facility licensed by the National Institute for Automotive Service Excellence (ASE).

    First, here’s what the three plans cover:

    • Ultimate: Engine, transmission, transfer case, drive axle, air conditioner, cooling system, fuel system, electrical system, seals and gaskets, heater, steering, brakes, front/rear suspension, high-tech components, and many more components unless specifically excluded in the contract
    • Comprehensive: Engine, transmission, transfer case, drive axle, air conditioner, cooling system, fuel system, electrical system, seals and gaskets, heater, steering, brakes, front/rear suspension, and high-tech components
    • Enhanced: Engine, transmission, transfer case, drive axle, air conditioner, cooling system, fuel system, electrical system, and seals and gaskets

    The Enhanced and Comprehensive plans use stated-component contracts, which list every covered component. The Ultimate plan, on the other hand, is an exclusionary contract. It covers any part on the vehicle except for a list of exclusions.

    Here are some parts excluded from coverage under the Ultimate plan:

    • Paint
    • Sheet metal
    • Bumpers
    • Audio systems
    • Exhaust components
    • Vinyl and convertible tops and assemblies
    • Alignment and other maintenance services
    • Regular wear and tear

    The three plans above are really only part of the story. American Auto Repair Coverage also lets drivers build their own plans out of the major systems available. If you want, you could just cover the power steering and the engine. Or, you could make a plan that covers everything except the engine, transmission, and drivetrain.

    In the website’s “Choose Your Own Coverage” section, you can click on different systems to add them to your plan. When it’s the way you want it, you can add your contact information and request a quote.

    Added Benefits

    American Auto Repair Coverage provides 24/7 roadside assistance, towing, and rental car reimbursement with each plan. The company recommends that you visit your dealership for repairs. If you do, the dealership could include the rental car in the total cost of the covered repair. But if you go to another repair facility, you might have to pay for a rental car upfront and submit receipts for reimbursement to AARC later.

    American Auto Repair Coverage plans also come with trip interruption. If you experience a breakdown more than 100 miles from home, AARC will reimburse you food and lodging expenses up to a certain amount.

    Cost Of An American Auto Repair Coverage

    When you get a quote from AARC, the price will depend on the make, model, and mileage of your vehicle. Coverage typically costs more for vehicles with more miles since the likelihood of repairs is also higher. Not all vehicles will be eligible for all types of coverage.

    In our research, we found that plans cost between $350 and $650 per year of coverage from most leading providers. American Auto Repair Coverage claims to offer affordable plans, so you can use this range as a guide if you get a quote. AARC allows drivers to do monthly installments at no extra cost, as well.

    How American Auto Repair Extended Warranties Work

    Getting a quote from AARC is a straightforward process. You just have to enter your contact information and the year, make, model, and mileage of your car. If you want to customize your plan, you can click the checkboxes next to each system of the vehicle.

    The only downside is that quotes aren’t instant. You’ll have to wait for a call or email from an AARC specialist to find out what you’d pay.

    Warranties are cancellable, but the site does not list a guarantee policy. If you sell your car, you can also transfer the policy to the secondary owner. In some cases, this can add to the resale value of your car.

    American Auto Repair Coverage pays the repair shop directly for covered claims, which include shop fees and taxes. To file a claim, connect the dealership or repair shop with the AARC claims number, and the company will handle the rest.

    American Auto Repair Coverage Reviews

    American Auto Repair Coverage has mostly positive reviews online, though it has relatively few reviews in total compared to leading providers. On the BBB, the company has about a dozen complaints and negative reviews, which is a very small number. American Auto Repair Coverage has responded to all of them and has issued refunds when necessary.

    Almost all positive reviews mention paid claims, which is a good sign. Here are a few examples of positive and negative reviews:

    “American Auto Repair has saved me and my wife twice already! I set up the coverage in 2017 and they have already paid out $1,800 in engine claims and $1,200 for an alternator. This policy has more than paid for itself already!”
    – Greg D., BBB

    “I had extended the coverage on my vehicle, just in case! A few months later my transmission went out and I would have been saddled with an unpayable bill, but thanks to the extended warranty I was able to have my car back on the road in about a week or so.”
    – John O., BBB

    “American Auto Repair won’t refund me my $1,800. They are a rip off. These warranty repair companies are just ripping folk off. Never had to use the warranty.”
    – Dorothy A., BBB

    AARC responded to the last review and noted that the customer had not paid their policy for the two months prior. According to the contract, refunds are no longer available when an account is canceled due to nonpayment, which is what happened.

    Bottom Line On American Auto Repair Coverage: 3.5 Stars

    American Auto Repair Coverage holds up its end of the bargain and covers car repairs under contract. It offers a decent range of coverage options, but the website doesn’t include sample contracts or details on maximum term limits. If the price is right and you want to buy this coverage, a plan from AARC is a safe choice.

    Reputation

    3.5

    Coverage

    3.5

    Price

    3.5

    Customer Experience

    4.0

    Overall Rating

    3.5

    Top Recommendations For Extended Car Warranties

    You should get a few quotes anytime you shop for an extended warranty to find the best option. Each company has different eligibility requirements, prices, and benefits, so it’s worth taking the extra time to shop around.

    Endurance: Best Coverage

    We think Endurance provides the best coverage compared to plans from other leading providers. The company offers six levels of protection that can cover a range of vehicles over 200,000 miles. Plus, each plan comes with 1 year free of Elite Benefits. Elite Benefits include roadside assistance, tire repair/replacement, total loss protection, collision discount, key fob replacement, and the Endurance mobile app.

    Endurance has been covering vehicles for nearly two decades. The company has an “Excellent” rating from over 800 reviews on Trustpilot and a high customer rating from the BBB as well.

    Get a free quote from Endurance to see how much you would pay for coverage.

    CarShield: Best Budget Warranty

    CarShield has covered more than one million vehicles, which shows how many drivers trust the company. It has been in business for more than 15 years and has been featured on CNN, HGTV, TBS, and others. We found that CarShield tends to be more affordable than many of its competitors.

    CarShield offers six types of coverage plans. CarShield’s Diamond plan is comparable to a factory warranty, and the Aluminum plan is specifically designed for high-tech vehicles. CarShield has a rating of “Great” from over 10,000 reviews on Trustpilot. It’s the most popular provider we’ve researched by far.

    Learn more about CarShield by getting a free quote for your vehicle.

    Frequently Asked Questions

    • What is covered by an extended auto warranty?

      An extended auto warranty can cover a range of systems on the vehicle. Basic plans cover the engine, transmission, and drivetrain. High-level plans can cover almost any mechanical or electrical component on the car, just like a factory warranty.

    • Are auto extended warranties worth the money?

      Yes, extended warranties can be worth the money for many drivers. There’s always the possibility that you wouldn’t use the full value of the plan, but it’s also likely to save you from paying for a $1,000 or $2,000 repair out of pocket.

    • What is mechanical repair coverage?

      Extended warranties and protection plans offer mechanical repair coverage. This means they don’t cover cosmetic items, wear and tear, or regular maintenance. A mechanical or electrical part needs to have failed or worn beyond manufacturer tolerances to be repaired under contract.