The current state of the economy is forcing car owners to seek additional protection for the vehicles they already have, including securing other guarantees for their cars, like Red Shield Administration vehicle protection.
With the current state of the car market, where car prices are at $48,000 in 2022 compared to a more reasonable $39,000 back in 2020, covering all the bases with comprehensive car coverage may be the most practical move any car owner can make.
Red Shield Administration vehicle protection is synonymous with vehicle protection that covers all the bases. A typical car owner may have the basic coverage for every new car, but some gaps may not be covered because these policies are essential.
The bad news is that these gaps could be where car owners could bleed money if the car gets into an accident or if they need to do significant repairs not covered by automotive warranties. Car owners want to avoid this, especially if they can’t afford a brand-new car.
The Current Car Market and Why You Need A Comprehensive Vehicle Protection Plan
The current state of the car market makes buying a new car more expensive and harder to do than before. In many states, car prices are rising, and this is not limited to brand-new units.
The prices of used cars are slowly catching up to the costs of brand-new models due to several factors, including a worldwide microchip shortage and logistics issues that hamper the shipping of vehicles from manufacturing to consumer hubs.
As a result, there are currently long waiting lists for new models of cars. This also affects used car prices since a shortage in demand for new cars drives demand for used vehicles as the only alternative.
At the beginning of 2022, analysts started to see a slow dip in the prices of new and used cars. This decline will become markedly visible at the start of the last quarter.
However, car prices are still not as low as before, so for those who already own their cars, it is probably a good idea to hang on to their automobiles rather than scouring for a new, more expensive automobile.
This is where car protection from Red Shield Administration comes in. Cars are continuously exposed to certain levels of risk. Even a parked vehicle is vulnerable to being hit by another car. These are exclusive of the usual issues, like minor breakdowns, repairs, and replacements.
What Car Owners Need to Know About Vehicle Protection Plans
A vehicle protection plan is a protective policy system that takes care of any of the areas not covered by standard car insurance and extended warranties. This could be anything from annual maintenance to checkups, repairs, and replacements not covered under existing policies.
What’s good about vehicle protection plans is that car owners can have one in place without paying a fortune for this added layer of protection. One of the reasons why car owners may need a protection plan is because extended warranties have short shelf lives.
Manufacturer’s warranties usually come with new and even slightly used vehicles and are included by manufacturers to cover unintended major repairs that occurred through no fault of the buyer.
These warranties may stay active according to a set amount of years or mileage, but they do expire. And even while active, basic car coverage plus extended warranties are often not comprehensive enough to cover issues that could go wrong with any car.
Another reason is that essential car protection provided by the car manufacturer may not be enough depending on the car owner’s unique circumstances and how they use the vehicle.
A vehicle protection plan tailored to how and where the car is used can help cover most instances where protection is valuable, especially if the vehicle is expensive, customized, and brand new.
Red Shield Administration Vehicle Protection Plans
Red Shield Administration offers vehicle protection plans to cover many car coverage requirements beyond traditional policies. For one, clients can choose projects based on budget, mileage, and other factors.
For example, the Red Shield Administration Select Program can be used for new and used cars with mileage of up to 80,000 miles. Premium Plus, Powertrain Enhanced, and Powertrain Plus offer custom packages for vehicles with mileage up to 100,000.
For those who want something more budget-friendly, there’s the Essential plan which offers coverage for up to 9 months, a good option for car owners anticipating a high risk for damage or repairs during a particular period of the year.
Another advantage to vehicle protection plans is services such as towing and roadside assistance. With an extensive network of providers, anyone holding an extended warranty protection plan can receive emergency auto services and aid during unexpected breakdowns on the road.
Planholders also benefit from standard rates when they require the services of service partners like auto repair shops. Since rates and other terms and conditions are prenegotiated, customers can rely on cost-effective repairs and avoid bill shock once claims are filed.
Finally, protection plans extend beyond the current owner of the vehicle. These plans are transferable, which can help increase the value of a car for resale.
A vehicle protection plan is worth it for car owners who know the value of reliable car protection. A common misconception is that vehicle protection plans are redundant if car insurance and extended warranties are already in place.
But with a protection plan, motorists have year-round coverage even if their basic car warranties expire. Car owners also benefit from a professional and reliable network of service providers, a streamlined claims process, standardized rates, and increased vehicle resale value.
Most importantly, protection plans from companies like Red Shield Administration give drivers much-needed peace of mind that their car issues will remain affordable because they have the proper protection all year round.