Ram to offer industry leading pickup truck warranty under new plan

DETROIT — Ram Trucks plans to introduce an industry-leading warranty across its 2026 vehicle lineup this year as part of an 18-month turnaround plan for the Stellantis-owned brand.

The warranty covers the engine, transmission, transfer case, driveshafts, differentials and axles for 10 years or 100,000 miles, whichever comes first. It replaces Ram’s current five-year or 60,000-mile warranty, which is relatively standard for full-size pickup trucks across the automotive industry.

The new warranty comes as vehicles — especially pickup trucks — have grown more expensive in recent years, which often results in longer financing that extends far beyond the warranties of the vehicles themselves.

“Eighty-five percent of truck buyers finance for seven years or more. They keep it for 12 years because everything’s gotten more expensive,” Ram CEO Tim Kuniskis said during a media event. “But you know what hasn’t changed? No one has changed the warranty. They’re investing more and more and more money in your brand, but you’re not investing more money to protect them.”

Edmunds.com analysts report that 84-month loans for new car buyers hit an all-time high of 19.8% during the first quarter, while another 67.4% of new vehicle financing loans were between 60 months and 75 months.

Kuniskis, who’s leading the brand’s turnaround plan after unretiring in December, said he believes the new offer will help with retaining current customers, attracting new ones and potentially regaining former owners who may have left the brand in recent years.

“We think this is going to be a significant move in the right direction,” said Kuniskis, whose brand has experienced a roughly 38% sales decline since record results in 2019. “It’s going to be the best truck warranty in the business.”

Ford Motor and General Motors’ GMC and Chevrolet brands — the leading sellers of full-size pickup trucks ahead of Stellantis — as well as Toyota Motor currently offer five-year or 60,000-mile limited powertrain warranties on their gas-powered full-size pickup trucks. Some diesel models offer higher warranties.

Kuniskis said the 100,000-mile/10-year warranty offer might be extended past this year, pending acceptance and popularity among customers.

“If the reception is good, our full intention is to keep it going after the end of the year,” Kuniskis told CNBC during a recent interview.

Offering longer-term warranties can cost automakers billions of dollars if mass-produced vehicles end up having quality problems, but Kuniskis said the rewards outweighed the risks.

“Warranties always have inherent risk in them,” he said. “What we determined, though, was that the perceived value from the customer outweighs what our increased cost is going to be.”

Longer warranties also can mean customers keep their vehicles for longer, meaning fewer potential sales in the years ahead.

The limited powertrain warranty is applicable to the original owner of 2026 model-year Ram trucks and vans, including its chassis cab lineup. It includes retail purchases and leases to individuals and businesses, and excludes fleet purchases as well as its Ram Promaster electric van.

A 10-year/100,000 limited powertrain warranty isn’t unprecedented for the auto industry. For example, South Korean automaker Kia offers it across its lineup of new vehicles.