As vehicle technology advances, coverage of electronics only has emerged as an alternative to full vehicle service contracts.
The coverage is generally aimed at technology that often is replaced rather than repaired, such as vehicle safety systems, infotainment hardware or cameras. Providers say it's a lower-cost alternative to full-coverage vehicle service contracts and has been sparked by both dealer and consumer interest, as well as personal familiarity with everyday technology breaking — such as mobile phones or laptops.
As vehicles become more electrified and software advances, it only makes sense coverage expands to these systems — whether that's standalone coverage or part of a broader package, according to Tom Keepers, executive director of the Motor Vehicle Protection Products Association. Consumers in general are becoming more aware of electronic protection, but it's important they pay attention to what their contract covers, he said.
Ally, APCO, JM&A and AUL are a few providers offering unique vehicle tech-specific protection plans.
The latest launch is TechCare, a product by EasyCare, an APCO Insurance brand. Launched in September, TechCare protects in-vehicle technology such as cameras, speakers and screens, as well as vehicle safety features.