by Warranty for Used Cars
Buying a used car always involves a certain degree of risk, as the buyer is not always aware of the true condition of the vehicle. General Motors is attempting to offer additional assurance by doubling the “bumper-to-bumper” warranty period for cars purchased through its CarBravo used car marketplace platform.
Terms of the New Program
Under the new initiative, the warranty has been extended to 12 months or 12,000 miles, whichever comes first. GM stated that this “sets a new standard in the used car market,” and that no deductible is charged for repairs. The manufacturer also added that customers will receive 24/7 roadside assistance and transportation service.
GM plans to compete with Carvana and CarMax using its CarBravo used car marketplace.
Limitations and Exceptions
However, there are certain limitations. One of the most significant is that some vehicles are not eligible for the extended warranty. This applies to models aged 10 to 15 years with mileage between 100,000 and 150,000 miles. Buyers of such cars will only receive a limited powertrain warranty for 30 days or 1,000 miles.
Furthermore, the company noted that “coverage terms differ in the state of California,” although details were not disclosed. The automaker also pointed out that the list of covered components differs for GM vehicles and other brands.
Transparency and Market Protection
Despite the significant number of conditions, GM stated that the extended warranty “helps customers manage the total cost of ownership at a time when available vehicle options are a priority.” They added: “In a crowded used car market, we believe transparency, convenience, and protection go hand in hand.”
CarBravo Platform Assortment
Although CarBravo is not as well-known as some competitors, the site features over 16,000 cars in the United States. Many of them are newer GM models, but vehicles starting from the 2010 model year are also offered. The platform features a variety of models: from BMW Z4s and Mercedes S-Classes to Chevrolet Sparks and Buick Lucernes.
Similar steps by major automakers in the used car sector could significantly impact industry standards, forcing other market participants to also raise their level of service and warranties. For the buyer, this primarily means more opportunities to get a quality car with clear service terms, reducing uncertainty. The success of such a strategy will depend on how convenient and transparent the entire purchase process is for the end consumer, as these factors are often decisive when choosing a place to buy.
