How warranties actually work.

[Trogdor]

Hrmmm, never heard of anything like that.

Typically when a car is certified there is a small fee the dealership pays either before, or after, the car is sold. This gives the car the remaining life of the original warranty. But they're not usually $1500! Mitsubishi is like $300, VW is like $750.

Generally a powertrain warranty covers "internally lubricated parts" i.e. if oil or transmission fluids touch it.

"Cheesy aftermaket" warranties can actually be a good investment if you get the right company. Problem is there's hundreds of them and its hard to do research on them other than ask people about their experience with them. Some of them suck ass and cover almost nothing. Others are totally awesome and cover pretty much everything, including things you might not even think would be covered like shocks, strut mounts, bushings, and various other suspension parts most would consider wear items.