Agriculture & Farm Equipment Extended Warranty

New Farm Equipment

Many OEM’s and/or dealers will offer a discounted price structure or rebate programs on the equipment if extended warranty is purchased at the original point of sale (new). It is a good idea to request a quote when purchasing new and then ask how long the quote is good for. Additionally, some finance companies will also offer an increased residual value if the extended warranty goes beyond the terms of the lease. Additional considerations include:

• What is the term of my base warranty?
• How is the extended warranty coverage different from the base warranty?
• What coverage is available? Are the coverage options different when purchasing it up front versus a delayed purchase?
• Can the plan be transferred if you trade it or sell it before it expires?

Used Farm Equipment

When purchasing used farm equipment, you may be uneasy about the uncertainties. That’s very fair. The cost of a major mechanical failure is enormous. Options for extended warranty plans will vary greatly on used equipment. Some OEM’s and extended warranty providers will offer coverage on equipment 10+ years old. Others may not offer it at all. We advise asking for the history of the equipment including ownership, prior warranty claims, and service history. If it helps you sleep at night to add the extended warranty for used equipment, we suggest the following considerations:

• What coverage options are available?
• What is included in the coverage? 
• What is excluded on the coverage?
• Do you have coverage on day 1? Or is it delayed coverage?