Car Warranty vs. Car Insurance: What’s the Difference?

Car insurance covers external damage, while a car warranty covers internal failures.

# Car Warranty vs. Car Insurance: What’s the Difference? Car insurance covers external damage, while a car warranty covers internal failures. **Read the full article:** [NerdWallet](https://www.nerdwallet.com/auto-loans/learn/car-warranty-vs-car-insurance) *This article was originally published by NerdWallet. MoneyWiseInc provides expert curation of the best financial content from trusted sources.*