In the market for a new ride?

Every year, Labor Day marks the “official” end of the summer season and is a time when major retailers introduce significant discounts on a wide range of products. With car prices sky-high, this is the perfect opportunity for families to shop around for annually discounted prices on new or used vehicles, and to protect those investments with valuable service contracts.

It’s no secret that vehicle prices have soared to new heights over the last year. According to data from Kelly Blue Book, the average cost for a new vehicle in the U.S. in May was $47,148. This is the second-highest on record, behind only last December. When considering such a hefty purchase, consumers would be wise to remember that an auto service contract can save them thousands of dollars down the road, according to a news release.

Car dealers still offer their best deals around Labor Day because major auto manufacturers unveil their new models for the upcoming year around this time. Car dealerships try to clear their lots of previous models in August and September to make room for newer models, so they are motivated to lower the cost of pricey vehicles as much as possible.

“Shopping for new or used vehicles during this time is an excellent opportunity to save, giving you the ability to simultaneously purchase an auto service contract to protect your new prized possession,” said Tom Keepers, executive director of the Service Contract Industry Council in a news release. “You never know when a mechanical or electrical failure may occur – especially with today’s highly sophisticated vehicles — so it’s essential to be prepared for the unknown ahead of time.”

Keepers noted that auto service contracts provide comprehensive bumper-to-bumper coverage, access to professional auto technicians, protection against repeated pricey repairs, discounted maintenance costs, replacement vehicles during repair downtime, 24-hour technical assistance, roadside assistance, and more.

When Labor Day moves into the rear-view mirror, Keepers said, families, can hop into their new vehicles to savor the last days of summer, secure in the peace of mind that comes from knowing that their investment is protected with an auto service contract.

Learn more about auto service contracts here.

Source: Service Contract Industry Council