Ram Trucks Raises the Bar with New Extended Warranty
In a bold move aimed at revitalizing its brand, Ram Trucks is set to introduce a groundbreaking warranty for its 2026 lineup. Replacing the typical five-year or 60,000-mile coverage common in the pickup segment, Ram’s new warranty extends protection to 10 years or 100,000 miles, whichever comes first.
What Does the Warranty Cover?
This comprehensive warranty covers critical components such as the engine, transmission, transfer case, driveshafts, differentials, and axles. It applies to retail buyers and leases across Ram’s trucks, vans, and chassis cab models — excluding fleet sales and the Ram Promaster electric van.
Addressing the Financing Reality for Truck Buyers
Over recent years, pickup trucks have experienced rising costs, and buyers increasingly finance their vehicles with longer-term loans. Data indicates that 85% of truck buyers finance for seven years or more, often keeping their vehicles for 12 years or longer. Despite this, industry-wide warranties have remained stuck at shorter durations.
Ram’s CEO emphasized this disconnect, noting that while financial commitments and vehicle ownership periods have expanded, warranty protections have lagged behind. This extension directly addresses consumers’ need for prolonged peace of mind in an expensive market.
A Strategic Turnaround for Ram
With a significant 38% decline in sales since 2019, Ram’s new warranty is a core pillar of an 18-month turnaround plan under new leadership. The company aims to not only retain current customers but also attract fresh buyers and win back those who have defected to rival brands.
The warranty extension sets Ram apart from leading competitors, including the Ford, GMC, and Chevrolet full-size pickups, which typically offer five years or 60,000 miles on powertrain coverage for gasoline models.
Long-Term Vision and Risks
Should the program prove popular, Ram plans to continue offering this extended warranty beyond 2026. While longer warranties pose inherent financial risks due to potential repair costs, Ram believes the customer trust and loyalty gained outweigh the expenses.
This approach also reflects a growing trend as more manufacturers seek to align warranties with modern vehicle usage patterns. For context, some automakers like Kia have already offered similar long-term coverage across their vehicle lineups.
Implications for the Pickup Market
- Raises the competitive standard for powertrain warranties in the pickup segment.
- Addresses a gap between vehicle financing terms and warranty durations.
- Could encourage longer ownership and stronger brand loyalty.
- Might influence rivals to reconsider their warranty offerings.
This warranty initiative aligns with Ram’s broader strategy to enhance value and customer satisfaction amid increasingly fierce competition in the truck market.
