Sep 022014
 

posesHI_COLOR.0015Do you want reassurance that you won’t need to fork out a big sum of money to pay for an unexpected repair bill? An extended warranty could do just that!

When choosing a warranty you must keep in mind that not all policies are the same. The cover can vary widely depending on the provider you use, so it’s essential to check the small print carefully before you make that important purchase. Here’s what you should look out for:

What are the exclusions?

Having to pay for a repair that you originally thought was covered when you took out your policy can be a real pain. To avoid any nasty surprises, make sure you know exactly what your policy will and won’t pay out for. An extended warranty will always exclude consumable items such as wheels, tyres, exhausts, batteries, worn out clutches and brakes, as well as damage to bodywork and paintwork regardless of which provider you choose.

The most comprehensive policies will cover mechanical failures that are due to manufacturing defect, or that have happened as a result of wear and tear − whether that be termed ‘premature’, ‘normal’ or ‘gradual’. Diagnostic costs are also important so you should check to see whether the policy you are interested in will cover this too. This could save you a lot of time and money if it takes a while for the garage to discover exactly what is wrong with your car. You should also check that you will be covered for any faults that are found at a service or MOT – as this might be the only yearly visit to the garage, if your policy doesn’t provide cover for this it won’t be covering much at all. Policies provided by Warranty Direct will cover all of these.

What are your policy claim limits?

A claim will always be capped when it reaches a certain amount, so always check the cover limits before buying a car warranty. A policy that will only pay out a maximum of a few hundred pounds won’t be of much use if you need to make a claim for thousands. If you can, you should always find a provider that covers up to at least £5,000 or, better still, the cost of a replacement vehicle – any less, and you are potentially leaving yourself exposed to an expensive claim. When it comes to a car warranty, cheapest isn’t always best. There is no point in saving on the cost of your policy if the claim limits restrict what will be covered.

When will your policy pay out?

Assuming your cover will be effective from day one might seem reasonable but it isn’t always the case. Most policies won’t accept any claims within the first few weeks or even the first month, although there are a few who will pay out from day one. To make sure that you don’t get caught out by this – make sure you are aware of the waiting period before you make a claim. Warranty Direct will cover sudden and unexpected failures from day one.

What will you have to contribute?

There may be a contribution cost to parts for older or higher-mileage vehicles, as this helps to keep premiums down. Check that this is clearly laid out in your policy document – the last thing you need is to find out how much you have to pay once you have made a claim.

Can you choose your garage?

If your provider restricts you to certain garages you may have to travel miles for repairs. The maximum labour rate covered may also restrict you unless you are prepared to contribute extra. Warranty Direct offers you your choice of repairer and labour rate, giving you total control. You can use any garage as long as it is VAT registered, allowing you to be covered at a BMW dealer on Park Lane or at your local garage.

Is the warranty insured?

When choosing a warranty check to see whether or not it is insured, choosing a provider that is will give you the rights to the Financial Ombudsman Service (FOS) in the event of any disputes.  It will also provide you with protection from the Financial Services Compensation Scheme (FSCS), which can provide compensation if the insurer is unable to continue trading. If you buy a warranty that is non-insured, you will not have any FOS or FSCS rights.

For more information on extended warranties please take a look at our Warranty Guide

Mar 252004
 

warrantydirect_timebomb_2With the cost of running a car now topping £100 a month*1, motorists are being given the chance to save more than £180 annually to spend on leisure time pursuits thanks to a new discount card.

ECARNOMY has been launched to deliver discounts on an array of regular automotive expenditure including servicing, insurance, tyres and breakdown recovery, as well as offering savings of up to 50 percent off hotels, holidays and family days out.

Co-ordinated by warranty provider, Warranty Direct, ECARNOMY allows private motorists the opportunity to tap into wholesale discounts negotiated with leading independent garages, repair specialists and insurers.

Club members can save £20 off breakdown recovery from AutoHome, over £75 on their annual servicing bill at specialist and independent garages across the UK, £5 off MOT Tests, more than 10 percent off motor insurance, over £25 off an extended warranty and a free accident management service.

In the unfortunate event that you lose your car keys, ECARNOMY also provides free membership to the unique Findertag Key Repatriation Service worth £25. As the name suggests, finders are encouraged to call the freephone number or send the lost keys to a PO Box address in return for a financial reward.

The benefits of the ECARNOMY scheme don’t stop at motoring.

Massive savings on how you spend your leisure time, including up to 50 percent on UCI cinema tickets, entry to theme parks and museums like Madame Tussauds, boost an already attractive package.

And for those looking to go further afield a 25 percent discount scheme on hotel bookings across the UK is available, plus up to 50 percent off holidays booked through six times Independent Travel Agent of the Year, Harry Weeks. All members are entitled to an introductory two nights accommodation at one of the 200 plus hotels listed for free.

For more information on ECARNOMY log on to www.ecarnomy.co.uk or call the Motoring Discount line on 0870 046 0218.

Membership costs £15 or free to all Warranty Direct customers.

*1 BCA Europe