CarShield
Vehicle service contracts for some repair costs after the factory warranty
Request a CarShield quoteInformation checked:
CarShield markets vehicle service contracts that may pay for specified repairs after a factory warranty ends. A service contract is not the manufacturer's warranty or normal auto insurance. It may help with a covered breakdown, but approval depends on the written contract, maintenance records, waiting period, exclusions, administrator, repair shop, and cause of failure.
How does CarShield work?
You request a quote using details about your vehicle. CarShield then shows contract options with different lists of covered parts. Some focus on the engine and transmission, while broader contracts may cover more electrical, steering, suspension, or cooling parts.
If the vehicle breaks down, take it to an eligible repair shop for diagnosis. Before repair work begins, the shop must contact the contract administrator and get approval. For an approved claim, the administrator pays the repair shop for covered work. You pay the deductible and any work that is not approved or covered.
What does it cost, and how do payments work?
CarShield does not publish one price for every driver. The quote depends on the vehicle, mileage, contract, deductible, and other terms. Many contracts can be paid monthly. Ask for the total expected cost, not only the monthly amount, and compare it with the repair risk you could cover from savings.
What are the main benefits and limits?
Coverage is not guaranteed for every repair. Read the sample contract and your own contract before buying. Common limits can include:
- Only parts named in the selected coverage are included.
- Pre-existing problems and failures during a waiting period may be excluded.
- Oil changes, brake pads, filters, and other maintenance items are generally not covered.
- Repairs completed without prior approval may not be paid.
- You may need to follow the manufacturer's maintenance schedule and keep receipts.
- Deductibles, claim limits, rental benefits, towing, and repair-shop rules vary by contract.
What should you know before you buy?
In 2024, the Federal Trade Commission announced a $10 million settlement with CarShield and American Auto Shield over deceptive advertising and telemarketing allegations. The order required changes to claims, endorsements, and call practices. This does not decide whether a particular contract will help you. It is a reason to rely on the current written contract, not a commercial or sales call.
Get the sample contract before paying. Confirm the administrator, waiting period, deductible, cancellation refund, repair authorization, maintenance proof, limits, and exclusions. Ask your usual repair shop whether it accepts the contract.
Who may find it useful?
A service contract may make sense if your factory warranty has ended, a large covered repair would be hard to pay at once, and the written contract fits your vehicle. It may make less sense if you can comfortably keep a repair fund, drive very little, or the parts most likely to need work are excluded.
Is CarShield a factory warranty?
No. It sells vehicle service contracts, which have their own covered parts, exclusions, limits, and claim rules.
Does a CarShield contract cover every repair?
No. Wear items, pre-existing problems, maintenance, and other exclusions may not be covered. Read the sample contract.
Do repairs need approval first?
Covered repairs generally require the contract administrator's approval before work begins. Follow the claim steps exactly.
Sources checked September 18, 2026
- CarShield claims process
- CarShield protection plans
- CarShield terms and legal information
- CarShield vehicle protection questions
- Federal Trade Commission CarShield settlement
