There is a difference in the collision coverage on a business auto policy and the extended warranty coverage sold for repair and maintenance of a vehicle. Collision on a business auto policy covers accidents in which the vehicle collides with another car or object. Extended warranty products cover the major mechanical systems in a vehicle for normal wear and tear, maintenance and breakdown. Several factors affect the cost of both collision and extended warranty products, including the make, model and age of the car, the insurer, car value, repair costs, and mileage. AAA estimates that the average vehicle repair costs are between $500 and $600, but as we know, they can rise much higher with the technological advancements such as back up cameras, GPS and Wi-Fi now included in many vehicles.