Each policy is different, but most service contracts do not cover all repairs. Repairs for brakes, clutches, and other common parts that can be repaired during routine car maintenance may not be in the service contract.
If you live far from where you work and make multiple trips a day, the limited warranty on your vehicle will be short-lived. Buying a vehicle service contract that kicks in when the warranty expires can help extend coverage on your vehicle.
A service contract will not necessarily cover all forms of potential damage to your vehicle. In fact, it usually won’t. If your car needs repairs that are not covered by the contract, you’ll be paying out of pocket unless the cost is covered by your car insurance.