Auto Extended Warranty Providers in the US - Industry Market Research Report

Auto Extended Warranty Providers in the US - Industry Market Research Report

Auto Extended Warranty Providers in the US

The Auto Extended Warranty Providers industry has decelerated over the past five years. Industry servicers provide automobile owners warranties that extend past the warranty a car's manufacturer provides for a new vehicle. Participants in this industry include car manufacturers, car dealers and other third-party warranty providers. During the period, the industry has benefited from the average age of the vehicle fleet in the United States increasing, as consumers typically purchase auto extended warranties or vehicle service contracts after their manufacturing warranty expires. Nonetheless, despite an increase in per capita disposable income, new car sales fell due to the COVID-19 pandemic, limiting industry growth. These trends and economic instability caused industry revenue to decrease at a CAGR of 1.0% to $20.5 billion over the past five years, including an expected 0.1% decline in 2023 alone.

This industry provides automobile owners with extended warranty protection. These warranty plans are offered by the manufacturer or auto dealer at the time of purchase and are typically included in the price of the vehicle. Third-party warranty providers, who sell warranty plans after the initial purchase of the vehicle, are also included in this industry.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares."