Unexpected repairs
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A vehicle service contract that can pay for eligible mechanical and electrical repairs after a covered failure, subject to the contract's terms, exclusions and deductible.
Factory warranties end on a schedule: usually years or miles, whichever comes first. A vehicle service contract is a separate agreement you can choose to add. It is not a factory warranty and is not provided by the manufacturer; it is administered under its own contract, which names what is covered and what is not.
Coverage basics
What it is for
A service contract is designed for eligible repairs after a covered component fails during normal use. It is meant for unexpected breakdowns, not routine maintenance, wear items or damage from an accident.
Examples of eligible events
- An internal engine or transmission component fails during normal driving.
- An electrical module, sensor or motor stops working and is listed as covered (or is not excluded).
- A heating or air-conditioning component fails during the contract term.
How coverage levels differ
Service contracts are commonly offered at more than one level. A named-component (stated) level lists the parts that are covered; anything not listed is not covered. An exclusionary level works the other way: it covers mechanical breakdown of the vehicle except the items the contract specifically excludes. Exclusionary coverage is the broadest structure, but it is still subject to its stated exclusions, terms and limits.
The level, term, mileage and deductible you are shown come from the rate chart for this specific vehicle and mileage.
Benefits that may be included
Some contracts include diagnosis, rental, towing or trip-interruption benefits. Whether they apply, and for how long, depends on the contract you choose — confirm them in the contract before relying on them.
Exclusions & limits
Every contract lists its exclusions and limits. Before you choose, check your contract for:
- Which components are listed (stated coverage) or excluded (exclusionary coverage)?
- When does coverage start, and is there a waiting period?
- Are wear items, maintenance, seals and gaskets, or pre-existing conditions excluded?
- What maintenance records are required to keep coverage in force?
- Is there a per-repair deductible, and does it apply per visit or per component?
- Are diagnosis, rental and roadside benefits included, and with what limits?
The applicable contract for your state and vehicle controls. You can request it before you choose.
Eligibility & existing coverage
- Eligibility and price depend on the vehicle's year, make, model, mileage and powertrain, and on the state where it is registered.
- Some vehicles are not eligible at any price; the rate chart decides this, not the education page.
- If factory coverage is still active, a service contract may overlap it for a while. Review when each one ends and how they interact.
- Term mileage may be counted as additional miles from today or as an ending odometer reading. The estimate states which.
How claims work
Claims follow the procedure in your contract. In general:
- Take the vehicle to a licensed repair facility when a covered problem appears, and stop driving if continued use could cause more damage.
- The repair facility contacts the administrator for authorization before starting repairs.
- Approval, payment directly to the shop, and reimbursement to you are separate steps — the contract says which applies.
- You pay any deductible and the cost of anything not covered.
Contact VirtualCarHub for the applicable claims instructions.
Frequently asked questions
Is a service contract the same as a factory warranty?
No. A factory warranty comes from the manufacturer with the new vehicle. A service contract is a separate, optional agreement with its own administrator, terms, exclusions and deductible. Neither should be described as the other.
What does exclusionary coverage mean?
Exclusionary coverage covers mechanical breakdown except the items the contract specifically excludes. It is the broadest structure, but every exclusion, limit and condition in the contract still applies.
Does a service contract cover oil changes or brakes?
Service contracts are built for unexpected failures. Routine maintenance and wear items such as brake pads, wipers and tires are typically excluded. Check the contract's exclusions list.
When does coverage start?
The contract states the start date and any waiting period, and whether the term mileage is added to today's odometer or ends at a fixed odometer reading.