Auto Warranty

CarShield review (2024)

CarShield has covered more than 2 million vehicles and its administrators have paid over $1 billion in claims, according to its website. The company has been around since 2005 and operates in all states except for California.

Like many warranty providers, CarShield is a vehicle service contract broker. That means it sells plans that are administered by a third-party company. Ultimately, the claims experience depends on the administrator, which is American Auto Shield.

We recommend getting a quote from our #1 pick for best extended auto warranty below:

4.7
Limited time offer: Get $300 off with code SAVE300

Endurance offers coverage for up to 8 years or 200,000 miles, but it only offers long-term plans.

  • Our top pick for auto warranty
  • Mileage covered: Up to 200,000 miles
  • Longest term: Up to 8 years
  • Money-back guarantee: 30 days
  • Coverage options: 6 plans
  • Discounts: First-time applicant discount
Pros
  • Six coverage plans
  • Mechanical breakdown and maintenance benefits
  • First-time application discount
Cons
  • No unlimited or month-to-month plans
  • Elite benefits only free for the first year
  • BBB pattern of complaints for delay of claims

Our thoughts on CarShield

We rated CarShield 4.4 out of 5 stars in our rating methodology and rank it in fourth place among our top recommendations. We gave the company 4.8 out of 5 stars for coverage because of its available plans and coverage levels, contract term lengths, high mileage limit and specialized EV coverage.

The company also scored 4.8 out of 5 stars for trustworthiness based on its money-back guarantee and available sample contracts. CarShield falls short on its market standing, earning 4.0 out of 5 stars, cost (4.1 out of 5 stars) and customer experience (4.0 out of 5 stars).

What we like

What we don't like

CarShield can help cover car repairs on vehicles for up to 300,000 miles, which is at least 50,000 miles longer than most competitors. That makes CarShield the best option for high-mileage vehicles. We also like that CarShield offers flexible monthly payment terms so you don’t have to be locked into a contract.

One of CarShield’s unique features is its electric vehicle plan, which is designed for modern EVs. This is a new plan for CarShield and it reflects the company’s adaptation to automotive trends. Many extended warranty companies don’t have specific coverage for electric vehicle components, which can be expensive to repair.

While we appreciate CarShield’s monthly flexibility, we found the total cost to be high if you get long-term coverage from the company. A monthly plan is like a subscription you pay until you end it.

Although CarShield has an A rating from the Better Business Bureau (BBB), many reviews show a pattern of complaints from consumers and its lack of response. The complaints include misleading advertising practices, failure to cover repairs, delayed claims processing and not canceling policies.

As a warranty broker, CarShield’s plans are administered by a third-party company. CarShield’s responses to complaints often pass the buck to the administrator.

Compare top auto warranty companies

While CarShield is a reliable auto warranty company, we ranked others higher for different reasons. For example, Endurance has more coverage options and Autopom has a better customer service rating. You can compare our top picks below.

Company Our Rating Monthly Cost Max Mileage Get Started
4.7
$90–$115 200,000 Check Price
4.6
$82–$112 150,000 Learn More
4.5
$130–$150 250,000 Learn More
4.4
N/A 250,000 Learn More
4.4
$120–$140 300,000 Learn More
Company Our Rating Monthly Cost Max Mileage Get Started
4.7
$90–$115 200,000 Check Price
4.6
$82–$112 150,000 Learn More
4.5
$130–$150 250,000 Learn More
4.4
N/A 250,000 Learn More
4.4
$120–$140 300,000 Learn More
Monthly costs are based on quotes we obtained for a 2014 Nissan Altima, a 2018 Toyota RAV4 and a 2020 Hyundai Elantra with various mileages.

What does CarShield cover?

CarShield offers a full range of coverage options from basic to comprehensive plans similar to a manufacturer’s warranty. It also has a couple of specialty extended warranty plans: one for high-tech components and the other for electric vehicles. Here are the details of CarShield contracts:

  • Diamond: This comprehensive plan is similar to a bumper-to-bumper factory warranty. It covers any mechanical breakdown except for a list of exclusions.
  • Platinum: This plan covers 15 systems including the powertrain (engine, transmission and drive axle), plus steering, suspension, brakes, audio, high-tech and electrical systems.
  • Gold: The Gold plan is a mid-level contract that covers nine systems of the car including the powertrain, electrical, steering, brake and air conditioning systems.
  • Silver: This basic plan covers the crucial systems of the engine, transmission, drive axle, transfer unit, cooling system and turbocharger.
  • Aluminum: This plan covers non-powertrain components like the air conditioning, electrical and high-tech systems. It’s useful for augmenting an existing powertrain warranty.
  • Electric Vehicle Coverage: This specialty plan can cover EV drive unit components like the electric motor and generator.

CarShield customers can go to any ASE-licensed repair facility for auto repairs. This is different from most manufacturer extended warranties, which require you to visit a dealer location for repairs. Some used car dealer coverage plans even require you to visit that specific dealer alone.

As far as coverage options go, CarShield offers almost anything you can find from other extended car warranty companies. Beyond CarShield’s five levels of coverage for cars, it also offers a plan for motorcycles and ATVs. That said, some companies such as Endurance and Omega Auto Care can cover regular maintenance services, which CarShield doesn’t cover.

CarShield added benefits

All CarShield plans come with the following benefits, which are fairly standard in the industry:

  • Roadside assistance: This covers towing, emergency tire service, lockout assistance, battery jump-start and fuel delivery up to a limit per occurrence and over the life of the contract. This limit isn’t stated in sample contracts.
  • Rental car coverage: CarShield covers a rental car or alternate transportation (Uber and Lyft) up to a daily limit for up to seven days per repair (fourteen days for an engine or transmission rebuild).
  • Trip interruption: You can get reimbursement for food and lodging if you have a breakdown over 100 miles from home. CarShield covers up to $125 per day for a maximum of four days.

Exclusions

No extended warranty covers everything, not even CarShield’s bumper-to-bumper plan. Vehicle service contracts are meant to cover mechanical breakdowns, not regular maintenance or cosmetic repairs. They don’t cover damage from the environment, accidents, misuse or lack of maintenance.

Here are a few more exclusions:

  • Wearable parts such as brake pads and wiper blades
  • Glass
  • Struts and shock absorbers
  • Aftermarket components
  • Damage to a covered component by a non-covered component

It’s important to read the fine print of the contract to know exactly what qualifies as a covered repair.

CarShield warranty terms and conditions

Like most extended car warranties, CarShield has a waiting period before you can use coverage. This is 30 days and 1,000 miles or 90 days and 200 miles. If you drive very little, you’ll have to wait longer to use coverage.

You can cancel a CarShield plan in writing within 30 days for a full refund. After that, you’ll get a prorated refund.

If you sell your car, you can transfer the CarShield plan to the new owner. You’ll have to fill out a form and pay a $50 transfer fee.

How much does CarShield cost?

CarShield’s standard rates range from $199.99 to $129.99 per month according to quotes our team received while secret shopping. We also found CarShield sometimes offers discounted rates $10 to $20 below those amounts. These rates apply with a $200 deductible, which you pay to the repair facility. CarShield also offers $100 deductibles.

When looking at the total cost of a CarShield warranty, its approach is unique. Unlike most car warranty providers, CarShield offers flexible contracts with unlimited month-to-month terms. That means you aren’t locked into a five- or six-year plan.

But that also means you keep paying the monthly rate as long as you have the warranty. In contrast, most other companies like Endurance and Olive offer fixed-term plans with set payments of 24 to 48 months.

We found bumper-to-bumper plans cost an average of $824 per year of coverage across the industry. However, a year of CarShield’s Diamond plan can cost up to $1,680 without discounts.

The bottom line is that CarShield can work for shorter timeframes that other companies don’t offer. It’s also easy to stop a plan at any time. But long-term contracts become expensive with CarShield.

Customer thoughts on CarShield

CarShield is the most popular third-party warranty provider in the industry, according to our December 2023 survey of 1,500 extended warranty customers. CarShield has over 46,000 reviews on Trustpilot with a rating of 4.2 out of 5 stars. The company has an A rating on BBB, which indicates that the company responds to and attempts to resolve customer concerns. However, its customer score is only 1.4 out of 5 stars from over 2,400 reviews on the platform.

As a whole, customers have more positive or neutral experiences than negative ones. Most positive CarShield reviews are about the shopping experience but many detail claims being covered. One customer said CarShield covered their BMW repair at a dealership and another said CarShield covered a turbocharger and oil leak repair on their truck.

That said, not everyone has a good experience. Some customers have issues with claims not being covered and others have a hard time finding a local repair shop that works with CarShield.

According to our survey, 87% of CarShield customers are satisfied or very satisfied with the company:

When asked about their satisfaction with CarShield's customer service, 87% of respondents are satisfied or very satisfied, though 11% are neutral:

A total of 88% of respondents are satisfied with their coverage:

The results of our survey align with online customer reviews. Generally, CarShield customers are happy with their policy, coverage and the company as a whole, though there are some who are neutral or unsatisfied.

Does CarShield cover warranty claims?

Looking at positive review trends, CarShield covers claims most of the time. However, as a warranty broker, it’s actually the administrator American Auto Shield that covers claims, not CarShield.

In response to negative reviews, we noticed CarShield customer service representatives said the company has little to no control over whether a claim is approved, and that it’s the administrator’s domain. CarShield can help in resolving a complaint, but American Auto Shield has the authority to approve or deny claims.

Most extended warranty companies are brokers like CarShield. There are a few exceptions, such as Endurance, that administer their own contracts.

182 of our survey respondents indicated having filed a claim with CarShield. A total of 18% of these claims were for transmission issues, 17% for engine trouble and 14% for air conditioning repairs. CarShield approved 173 — 95% — of these claims.

Overall, 89% of the 173 respondents whose claims were approved were satisfied or very satisfied with the CarShield claims process:

Based on our survey data, CarShield paid for the full cost of 119 claims (69%). Seventy percent of approved claims were paid within three days, with another 22% paid within one week.

Final take: CarShield is a good choice for short-term plans

CarShield’s flexible monthly terms make it easy to get coverage for a short while, but its relatively high monthly rates make long-term coverage expensive. It’s good for high-mileage vehicles because plans cover up to 300,000 miles. Its unique EV coverage also makes it one of the only options that makes sense for fully-electric vehicles.

Our rating methodology for auto warranty companies

At Homefront, we analyze, rate and rank top vehicle service contract providers to help you discover the right one for your needs. The best auto service contract companies offer transparency, affordability and expansive coverage options, among other qualities.

We rate companies using our objective scoring methodology. We assess brands on factors that are important to consumers like you — including cost, coverage, market standing, trustworthiness and customer experience. After scoring companies on a 100-point scale, we simplify final scores into the 5-star ratings you see in our content.

BBB and Trustpilot scores are accurate as of April 2024.

Editorial note: The name “Homefront” refers to the alliance between USA TODAY and Home Solutions that publishes review, comparison, and informational articles designed to help USA TODAY readers make smarter purchasing and investment decisions about their home. Under the alliance, Homefront provides and publishes research and articles about home service and home improvement topics.

Homefront has an affiliate disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Homefront editorial staff alone (see About Homefront). Homefront adheres to strict editorial integrity standards. The information is believed to be accurate as of the publish date, but always check the provider’s website for the most current information.

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