DETROIT — In a strategic move to boost its market appeal, Ram Trucks is set to launch an unparalleled warranty for its 2026 vehicle lineup, a significant part of an 18-month recovery plan initiated by the Stellantis-owned brand.
The new warranty will cover critical components such as the engine, transmission, transfer case, driveshafts, differentials, and axles for 10 years or 100,000 miles, whichever limit is reached first. This policy replaces the existing five-year or 60,000-mile warranty, a standard that aligns with most full-size pickup trucks in the automotive sector.
“Eighty-five percent of truck buyers finance for seven years or more. They often retain their vehicles for 12 years, largely due to increasing costs,” stated Ram CEO Tim Kuniskis during a recent media event. “However, the warranty offerings have not evolved. Consumers are investing significantly in our brand, yet they lack adequate protection for their investment.”
According to analysts at Edmunds.com, the percentage of new-car buyers opting for 84-month loans reached a historic 19.8% in the first quarter, with 67.4% of new vehicle financing loans ranging from 60 to 75 months.
Kuniskis, who returned from retirement to spearhead the brand’s turnaround efforts, expressed confidence that this new warranty would enhance customer retention, attract new buyers, and potentially win back former owners who may have distanced themselves from the brand in recent years.
“We believe this strategy represents a major step forward,” Kuniskis remarked, noting that Ram has seen a nearly 38% drop in sales since reaching record highs in 2019. “We intend to offer the best truck warranty available in the industry.”
Currently, competitors like Ford Motor and General Motors’ GMC and Chevrolet brands offer a limited powertrain warranty of five years or 60,000 miles for their gas-powered full-size pickup trucks, although some diesel models feature extended warranties.
Kuniskis mentioned that the 10-year/100,000-mile warranty could see an extension depending on customer acceptance and feedback throughout the year. “If the reception is positive, we fully plan to continue this offering beyond this year,” he told Finance Newso during a recent interview.
While offering longer warranties poses potential financial risks to automakers, particularly if mass-produced vehicles encounter quality issues, Kuniskis believes the benefits outweigh those risks. “Warranties inherently carry risk,” he acknowledged. “However, we have concluded that the perceived customer value far exceeds the additional costs we might incur.”
Longer warranties may also encourage customers to hold onto their vehicles longer, impacting future sales opportunities.
The newly introduced limited powertrain warranty applies to the original owners of the 2026 model-year Ram trucks and vans, which includes their chassis cab lineup. This warranty is valid for retail purchases and leases and encompasses both individual and business buyers, while excluding fleet purchases and the Ram Promaster electric van.
A warranty of 10 years/100,000 miles, while notable, is not without precedent in the automotive industry. For instance, Kia, the South Korean automaker, extends such a warranty across its entire lineup of new vehicles.