What does extended warranty cover that the normal warranty does not.
Almost always extended warranties are a scam. I second what Dan says, look really hard at the contract for it, and see just what is covered and when.
We can't tell you those details here because it will vary from dealer to dealer.
I would ask hard questions on this one I paid almost a thousand dollars for an extended warranty on a used car and six weeks later I had to tow the car in. I showed them the warranty paper work and they answered oops it does not cover the computer and parts. It was running parts only like engine and tranny.
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