A CarShield vehicle service contract covers the cost of repairing mechanical and electrical breakdowns on your car, truck, motorcycle, ATV, or EV, with the exact list of covered parts depending on which of seven plans you buy. What does CarShield cover in practice? Everything from a basic powertrain-only policy on the Silver plan up to a near-bumper-to-bumper exclusionary contract on the Diamond plan, plus roadside assistance and rental reimbursement on every tier. It is not a manufacturer warranty: CarShield is a broker, and the contracts are administered by American Auto Shield.1ConsumerAffairs. CarShield Reviews
The Seven Plans and What Each One Covers
CarShield sells five plans for standard vehicles and two for specialty vehicles. The right fit depends mostly on the car’s age and mileage.2MarketWatch. CarShield Coverage
Diamond is the top tier and the only exclusionary contract, meaning it covers every component on the vehicle except for a specifically listed set of exclusions. Covered systems include the engine and all internally lubricated parts, transmission, cooling system, drive axle, electrical system, steering, air conditioning, suspension, brakes, fuel delivery, turbocharger, and factory-installed audio, along with high-tech electronics like ABS modules, speed sensors, and factory anti-theft systems.3CarShield. Diamond Coverage Contract Some Diamond contracts also cover GPS and navigation screens, rearview cameras, voice activation, and sunroof or convertible top motors.4CarShield. Diamond New Car Coverage
Platinum is built for higher-mileage vehicles. It covers the engine, transmission, air conditioning, electrical system, starter, water pump, and fuel pump, among other listed components. Unlike Diamond, Platinum is inclusionary: only parts explicitly named in the contract are covered.5CarShield. What CarShield Plans Cover
Gold Select (Powertrain Plus) targets vehicles with over 100,000 miles. It covers the engine, transmission, water pump, starter, alternator, air conditioning, and power window motors.6CarShield. Protection Plans
Silver (Powertrain) is the cheapest plan. It covers lubricated engine parts, the transmission, and the water pump — and nothing else.5CarShield. What CarShield Plans Cover
Aluminum is a specialty plan built around electronics rather than the powertrain. It covers the engine control module, starter, alternator, navigation and GPS systems, and the broader electrical system.2MarketWatch. CarShield Coverage
The Electric Vehicle plan covers the electric drive unit, cooling system, steering, and high-tech components. A battery pack endorsement adds the high-voltage battery and battery management systems, with battery pack claims capped at $6,000 per year. Battery degradation itself is excluded unless capacity falls below 70% of its original value.7CarShield. EV and Battery Pack Coverage Separate contracts cover motorcycles and ATVs.2MarketWatch. CarShield Coverage
Monthly premiums typically run between $99 and $170, averaging around $150, with the tier, vehicle, mileage, and deductible driving the final number. Deductibles range from $0 to $250 per repair visit.1ConsumerAffairs. CarShield Reviews
What No CarShield Plan Will Pay For
Even the Diamond plan excludes a long list of parts. Routine maintenance is never covered: oil changes, brake pads, drums and rotors, spark plugs, wiper blades, filters, belts, and hoses all come out of your pocket.2MarketWatch. CarShield Coverage Neither are body and cosmetic items — paint, upholstery, carpet, trim, moldings, bumpers, body panels, glass, headlight assemblies, and weather stripping.3CarShield. Diamond Coverage Contract
Also commonly excluded: tires, wheels, catalytic converters, exhaust systems, emissions components, safety restraints and airbags, convertible and sunroof mechanisms, manual clutch assemblies, and hybrid engine batteries unless you’ve bought the specific battery endorsement.3CarShield. Diamond Coverage Contract
Situations That Void a Claim
Beyond excluded parts, several circumstances can void an otherwise-covered claim.
- Pre-existing conditions. Any mechanical issue that existed before coverage began, or during the waiting period, is excluded.8CarShield. Platinum Coverage Contract
- Lack of maintenance. If you can’t produce verifiable maintenance records, the claim can be denied. Sludge buildup, failing to maintain fluid levels, or continuing to drive after a warning light also void coverage.8CarShield. Platinum Coverage Contract
- External damage. Collisions, fire, theft, vandalism, flooding, hail, earthquakes, and other acts of nature are not covered.8CarShield. Platinum Coverage Contract
- Modifications. Aftermarket parts, lift kits, oversized tires, frame modifications, and non-factory trailer hitches can void a claim if the modification contributed to the failure.8CarShield. Platinum Coverage Contract
- Commercial use. The Platinum contract excludes vehicles used as taxis or rentals, or for towing, construction, farming, or emergency services.8CarShield. Platinum Coverage Contract
- Unauthorized repairs. Any work done without prior claim authorization is not reimbursed, except for emergency repairs up to $250 under Diamond or $500 under some term contracts.3CarShield. Diamond Coverage Contract9CarShield. Diamond Term Contract
Labor Rate Caps You May Still Owe
Even when a part is covered and a claim is approved, the contract limits what the administrator will pay for the labor. American Auto Shield determines the number of hours a repair should take using a nationally recognized labor guide, then authorizes payment at up to the shop’s posted hourly rate. Some contracts cap that rate at $120 per hour. If your shop charges more hours than the guide allows, or a higher rate than the cap, you pay the difference.10CarShield. Off-Road Powertrain Contract The administrator can also move your vehicle to a different shop if the price can’t be agreed on.11CarShield. Bronze Contract
Roadside, Trip Interruption, and Rental Coverage
Every CarShield plan bundles 24/7 roadside assistance with no deductible. It covers towing, flat tire changes, battery jumpstarts, lockout help, fuel delivery, and winching for vehicles stuck within 100 feet of a public road.12CarShield. Roadside Assistance Roadside is available even during the waiting period.3CarShield. Diamond Coverage Contract
Trip interruption coverage reimburses up to $125 per day for hotel and restaurant costs if a covered breakdown strands you more than 100 miles from home, with a four-day, $500 cap per incident.13American Auto Shield. Will American Auto Shield Pay for a Hotel if My Car Breaks Down Rental car reimbursement is included on most plans, with daily caps that vary by contract.14CarShield. Vehicle Protection 101
Eligibility and the Waiting Period
CarShield covers new and used vehicles up to 300,000 miles, and the online quote tool goes back to model year 1999. Once you’re enrolled, coverage continues even if your odometer later passes that cap.1ConsumerAffairs. CarShield Reviews15CarShield. Does CarShield Have Mileage Limits
Mechanical breakdown coverage doesn’t begin the day you sign up. The standard waiting period is 20 days and 500 miles, though some Diamond term contracts use 30 days and 1,000 miles, or 90 days and 200 miles.1ConsumerAffairs. CarShield Reviews9CarShield. Diamond Term Contract Breakdowns that start during this window are treated as pre-existing.
The Platinum contract specifically excludes vehicles with flood or salvage titles, and American Auto Shield’s support site says salvage-title vehicles are not eligible.8CarShield. Platinum Coverage Contract16American Auto Shield. What Is a Rebuilt Title Car CarShield’s own education center, however, says vehicles with salvaged or branded titles may be covered with a surcharge and tells buyers to call for specifics.14CarShield. Vehicle Protection 101 The answer in practice depends on the plan and the vehicle’s history.
CarShield Is Not Sold in California
If you live in California, this coverage is not available to you. State law bars direct-to-consumer sales of vehicle service contracts by phone or internet; contracts must be sold through a DMV-licensed dealer, and providers must either carry state-authorized backup insurance or hold at least $100 million in net assets.17California Department of Insurance. Service Contracts and Extended Warranties
The FTC Settlement Over Misrepresented Coverage
How CarShield has described its coverage is itself the subject of a federal enforcement action. In July 2024, the Federal Trade Commission reached a $10 million settlement with CarShield (formally NRRM, LLC) and American Auto Shield. The FTC charged the companies with misrepresenting what their contracts covered, making misleading claims that consumers could use any repair shop, and using celebrity endorsers who gave false statements about their personal experience. The settlement, approved 5-0, bars similar misrepresentations for up to 10 years.18Federal Trade Commission. CarShield to Pay $10 Million to Resolve Federal Trade Commission Charges
In December 2025, the FTC began distributing more than $9.6 million in refund checks to 168,179 consumers who had paid for a CarShield contract between September 2019 and September 2024 and had their claims denied.19Federal Trade Commission. CarShield Settlement Refunds Read the contract carefully before you sign; the gap between what the marketing suggests and what the policy actually covers is wide enough that the federal government has already stepped in once.