Volkswagen Extends Powertrain Warranty to Six Years/72,000 Miles
The new warranty doubles the automaker's current three-year, 36,000-mile warranty. Called the People First Warranty, the coverage can be transferred to subsequent owners for up to six years or 72,000 miles from the date it was first sold new.

HERNDON, Va. — For the 2018 model year, most new Volkswagen vehicles in the United States will come with a six-year, 72,000-mile bumper-to-bumper limited warranty, which can be transferred to subsequent owners throughout its duration.
The new warranty doubles the automaker’s current three-year, 36,000-mile warranty. First introduced with the 2018 Atlas and Tiguan, the People First Warranty now covers the 2018 Beetle, Beetle Convertible, Golf, Golf Alltrack, Golf GTI, Golf R, and Golf SportWagen, Jetta, and Passat.
“Volkswagen has always been ‘the people’s car,’ and with the People First Warranty, we’re putting our customers first,” said Hinrich J. Woebcken, president and CEO of Volkswagen Group of America. “By bringing the right cars, at the right time and making the offer very competitive, we believe we’re in the position to grow in the U.S. market.”
The move comes as the automaker recovers since admitting in September 2015 to installing software that allowed its vehicles to cheat emissions tests for six years. The scandal cost the German company nearly $25 billion in fines, penalties, and compensation.
Year to date through August, U.S. light vehicle deliveries for Volkswagen have increased 6% from a year ago to 364,124 units, according to Autodata Corp.
“Volkswagen has begun to grow again in America, and buyers have welcomed the Atlas and Tiguan into their homes,” said Derrick Hatami, executive vice president of sales and marketing for Volkswagen of America. “Expanding this warranty beyond those two models gives our dealers another compelling argument for the rest of our lineup, and we believe it will lead to a reduced overall cost of ownership for buyers.”
The new warranty includes powertrain coverage for engines, transmissions, and the automaker’s optional 4Motion all-wheel-drive system. All the elements of the People First Warranty can be transferred to subsequent owners for up to six years or 72,000 miles from the date it was first sold new.
Hyundai-Kia’s 10-year, 100,000-mile powertrain limited warranty is still the industry longest, but the coverage is reduced to five years or 60,000 miles if transferred. Most mainstream competitors to the Volkswagen brand, such as Honda, Toyota, and Ford, offer a three-year, 36,000-mile basic warranty and a five-year, 60,000-mile powertrain warranty on their cars and SUVs.
Originally posted on F&I and Showroom
More Dealer Ops

Ladies and Gentlemen, This Is a Dealership: Why the Fundamentals Still Decide Who Wins
A teaching moment by a legendary football coach happens to apply perfectly in the auto retail space. Learn what it is and how to use it to your store’s advantage.
Read More →
Timing the Market Can Hurt Long-Term Program Performance
For dealer-owned reinsurance entities, avoiding volatility entirely can mean falling behind inflation and missing market rebounds that drive long term surplus growth. Missing just a handful of strong market days can materially impact cumulative returns—an important reminder for long horizon trust and investment strategies.
Read More →
Dealer Ads and the FTC
The agency has made it clear in recent enforcement actions and warnings, in auto retail and other industries, that advertised prices must include all nonoptional costs to the consumer.
Read More →
Used Autos Supply Dwindles
The March shopping surge, despite high prices, cut into inventory by the most since the thick of the pandemic, Cox Automotive analysts calculated.
Read More →
Managing Risk Effectively Through Changing Times
The variables influencing risk pricing have changed significantly over the past five years. Being proactive and responsive to emerging trends is not optional but essential.
Read More →
Survey Reveals What Won't Fix What's Breaking Car Sales
AutoPayPlus says extra-long auto loans are trapping consumers and threatening the dealer trade-in cycle, and that the industry is leveraging the wrong tools to combat high MSRPs.
Read More →
IA American Appoints Two Execs
Senior vice presidents of the company's agent and dealer channels chosen to support general agents and help auto dealers with sales and performance.
Read More →
Cox Automotive Acquires Inspection Firm
Full ownership of Alliance Inspection Management, or AiM, meant to unlock growth for Manheim inspection capabilities
Read More →
Assurant Expands Partnership With Holman
Extended collaboration delivers training, products and performance development to 30 newly acquired Holman dealerships
Read More →
Franchises, Throughput Down in First Half
A handful of states see franchise growth through June, while EV sales per store boost overall business in U.S.
Read More →