Car Insurance

KEEPING VEHICLES on the road and in good working order so your business doesn’t suffer can depend on the kind of warranty and service program your vehicles carry. Study the fine print in warranty and service policies when buying or leasing your new or used business vehicles. Standard warranties and service contracts cover most major components, such as the engine, transmission, steering, suspension and electrical systems. Emissions are usually covered for five years or 50,000 miles. Rust and corrosion can be a concern: Toyota’s warranties cover corrosion perforations for 60 months with unlimited mileage.

New vehicle warranty periods remain, on average, the same for 2006 as they were in 2005, except for hybrids. With the introduction of gasoline/electric models, most companies carry longer warranties on their hybrid components. Ford’s Escape Hybrid has a standard warranty for three years or 36,000 miles bumper to bumper, plus a warranty for eight years or 100,000 miles on its nickel-metal-hydride battery. GM’s Duramax diesel engine is covered for five years or 100,000 miles, and many Chrysler and Dodge light trucks are covered for seven years or 70,000 miles. The Mitsubishi Raider pickup is backed by a five-year or 60,000-mile bumper-to-bumper warranty.

Fleet vehicles have exceptionally comprehensive warranties. GM’s Limited Warranty protects the entire vehicle, including tires, for a period of three years or 36,000 miles. There is no deductible for repairs, and the contract also covers sheet-metal corrosion for six years or 100,000 miles as well as towing costs.

If your warranty runs out and you plan to keep your vehicles, you can buy an extended warranty to pick up coverage when the original warranty expires. This is particularly important if your certified pre-owned vehicles’ first-owner warranty is not transferable, or the fast warranty is about to lapse. When buying an extended warranty, check for deductibles, which can be budget-busters, and be aware that the price is negotiable. Ask if you must pay for repairs upfront and wait for reimbursement, even if the vehicles are covered by a warranty.

Not all dealers provide warranties backed by the manufacturer, but if you own a Ford truck, for example, you can request Ford’s Extended Service Plan rather than sign up for an aftermarket contract that a dealer may prefer.

Extended warranties are also sold by independent companies, such as www.warrantydirect.com, and are great for comparing quotes. While bypassing your local dealer can be risky if you want to be guaranteed genuine factory replacement parts, some extended warranties can be contracted for the length of time and mileage you specify. But make sure they can be honored at your brand’s dealerships nationwide.

Unless your vehicles are covered by fleet programs, a service contract may suit your needs better than an extended warranty. Service contracts can be purchased anytime, not only when you buy the vehicle, although they may not be factory-backed like extended warranties usually are. Some of the least expensive service contracts are offered by insurance companies, but again, read the fine print and know what the deductibles are.

Dodge has a Business Link priority service program for small businesses that provides extended-hours repairs, free loaners and no enrollment fee, even if you don’t buy a vehicle. Nissan’s programs include a choice of bronze, silver or gold coverage that provides service and preventive maintenance every three or six months, and three plans for certified pre-owned vehicles.

JILL AMADIO is Enterpreneur’s “Wheels” columnist.

Get Down to Business

Be ready for the long haul with these pickups that gill lighten
your load off-road and on, while still giving you a comfortable
place to sit.

BASE MAJOR
MODEL ENGINE FEATURES

Chevrolet 4.3-liter V-6 Manual transmission
Silverado

Dodge Ram 3.7-liter V-6 Manual transmission, rear
anti-lock brakes, cargo lamp

Ford F-150 4.2-liter V-6 Manual transmission, 4-door,
removable tailgate, ABS,
2 power outlets

Honda Ridgeline 3.5-liter V-6 Automatic transmission, 4-door,
4WD, ABS, rollover sensor, roof
rails, 3 power outlets, split-fold
rear seat

Nissan Titan 5.6-liter V-8 Automatic transmission, 1 power
point, energy-absorbing steering
column

Toyota Tundra 4.0-liter V-6 Manual transmission, ABS

SEATING/ MAX TOWING
MODEL BED LENGTH CAPACITY PRICE

Chevrolet 5/78.7 in. 8,400 lbs. $18,190
Silverado

Dodge Ram 3/76.6 in. 3,300 lbs. $21,700

Ford F-150 3/78.8 in. 2,400 lbs. $19,640

Honda Ridgeline 5/60 in. 5,000 lbs. $17,700

Nissan Titan 5/76.1 in. 9,400 lbs. $23,250

Toyota Tundra 3/98.2 in. 5,000 lbs. $16,155

AT YOUR SERVICE: If you own or lease a fleet, your local dealership is the obvious choice for servicing your company vehicles, but on-the-road repairs may necessitate a tow to another garage. No problem if you have a service card such as GM’s Fleet Service Card–accepted at more than 600 GM dealers across the United States, whether the need is for fuel, maintenance or emergency repairs. It comes with an ID number, so only your drivers can use it, and only for the products and services your company has authorized.