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Is an extended car warranty worth it?

Short answer: It depends on the car and how long you'll keep it. A warranty makes sense on a model that's costly to repair, when you plan to keep it well past the factory coverage. On a reliable car you'll sell soon, self-insuring the risk usually wins.
Your situationVerdictWhy
Reliable car, sell soonSkip ityou'll pay more than you claim
Expensive-to-repair modelConsider itone claim can cover the cost
Keeping it past 100k miWorth pricingcoverage bridges the risk

The economics are simple: the seller prices the warranty to win on average, so most buyers pay more in premium than they get back in claims. It's worth it when you're specifically hedging a car with a known-expensive failure point and a long ownership horizon.

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If you do buy, buy at the right time — before the factory warranty lapses, and from the manufacturer or a reputable third party, not the high-pressure add-on at signing. And always compare the warranty cost against simply banking that money to self-insure.

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