Current and future owners of General Motors and Chrysler vehicles need not worry about future warranty coverage, the Obama administration says. Buried in the automotive task force’s restructuring plan is a section titled “Warranty Commitment Program,” which promises warranty coverage for the products of any failed domestic automaker.
The program is designed to encourage buyers to keep purchasing GM and Chrysler cars.
“No American should worry in buying a car from Chrysler , GM over this next period of time,†an unnamed Obama administration official told the Associated Press. The official added that the administration has no cost estimate for what it is calling the “Warranty Commitment Program.â€
Interestingly, the provision seems to cover Ford Motor Company, as well, despite the fact that Ford isn’t currently asking for government aid. The provision states that the warranty program would be made available to any domestic automaker.
