Team-BHP - Engine Secure Add-on vs Extended Warranty for Engine

I recently purchased a Kia Sonet HTX iMT Petrol 1.0T, its just been a month and after much deliberation I went ahead with TATA AIG policy given the add-ons and the price, it seemed a good package. One of the add-ons on this was the Engine Secure which basically covers the Engine. I'd like to know, how different is this than the Extended Warranty from Kia which also covers the Engine for upto 5 years. Since I'll be renewing my car insurance policy every year this add-on will definitely be there. If I have the Extended Warranty is it going to be redundant at the cost of my pocket or are these both totally different and complementing? I asked the insurance agent, and he told me they are both the same thing, but that could be a way of him selling and you never know if things fit in their framework in the event of a claim, only the situation will dictate it. I still have 2 months before I can buy the extended warranty on my car.

This is my first car and hence my first car insurance purchase, I'd really appreciate if I can get some guidance from the Team BHP community on this, and apologies if this query has been asked earlier.

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Originally Posted by killergammax (Post 5102481)

One of the add-ons on this was the Engine Secure which basically covers the Engine. I'd like to know, how different is this than the Extended Warranty from Kia which also covers the Engine for upto 5 years---If I have the Extended Warranty is it going to be redundant at the cost of my pocket or are these both totally different and complementing?

The warranty and extended warranty from manufacturer covers any defects or issues that may be with your vehicle since the day of manufacturing. For example, there could be a batch with faulty head gaskets and with a warranty, Kia is bound to replace that free of cost for the affected cars. However this will not cover any issues that is not a defect.

The insurance part I believe is also known as engine protect. This should cover any damages that had occurred, especially in the case of water ingress due to driving in waterlogged areas or damage to oil sump causing subsequent damage to engine. This is not a defect but would be termed as driver responsibility, so warranty will definitely not cover it.

Hope this helps. In any case, please ask for and read the detailed terms and conditions before signing the dotted line. Wishing you many happy miles with your car.:)

Extended warranty covers only manufacturing defects, while insurance is meant for damages occurred while operating your vehicle provided the insurer accepts that you used due diligence while driving. So the add on may cover your engine against defects just like extended warranty does. Its better to read the policy document carefully to know all the terms and conditions and ask the insurance agents all your doubts beforehand.

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Originally Posted by killergammax (Post 5102481)

Engine cover if from the Insurance co whereas Extended warranty is from the vehicle manufacturer. Different like chalk and cheese. One just covers the engine whereas the other covers other parts including the engine. Engine cover add on cover has its terms and conditions, request to go for it. Would suggest to those who would be driving their cars through flood prone spots or are basically new to driving.