Warranty need-to-knows

A full guide of eveything you need-to-know about warranties

1. What's covered?
With manufacturer warranties a sizeable proportion of the car is covered including drivetrain (engine and gearbox), running gear and suspension, electrics, interior fittings, cooling, fuel systems, windscreen wipers and controls. Basic used car warranties or aftermarket policies offer minimal cover of the engine and transmission as well other key components such as water pump and starter motor. To qualify a car will need a current MOT certificate and proof of a service by a VAT-registered garage within the last 12 months.

2. Can I make unlimited claims?
You can make unlimited claims but they must adhere to the terms and conditions of the warranty. For example, some permit unlimited claims but only up to the total value of the vehicle and nothing more.

3. What about extra cover - windscreen, breakdown recovery, European cover and so on?
The range of cover depends on the scheme. If you are buying an aftermarket warranty the more you pay, the better the cover will be. As are far as manufacturer warranties are concerned the level of service differs but nearly all offer breakdown assistance and will cover the costs involved in the event of a roadside breakdown such as recovery, car hire, overnight accommodation, rail fares home and so on.

4. Can I state where I want my car repaired?
Some warranties stipulate repair garages for you because they want to ensure quality control and use tried-and-test repair garages to avoid repeated faults. There is, however, much more choice available to consumers and some warranties allow customers to specify where they want their car repaired. It's worth checking the terms and conditions before you sign.

5. Do I have to have my car serviced at the main dealer to protect my warranty?
No. You can have your car repaired at an independent garage as long as the garage uses original equipment manufacturer (OEM) parts rather than aftermarket components and that they stick to the service schedule.

6. Do I have to have a full service history to protect my warranty?
Yes. Make sure you check the service intervals and stick to them to ensure you protect the warranty. There is a little latitude though: you can usually cover between 500-1,000 miles or 30 days over the scheduled mileage or dates.

7. Are wearing parts covered?
Mostly no, but some policies might cover you in the early part of the warranty period - usually about 90 days. That's pretty much an exception though. Wearing parts that are contained within other assemblies are not covered: for example the clutch plate isn't normally covered but the rest of the clutch unit is. Brake pads are not covered, but brake callipers and the rest of the braking system are. Tyres aren't covered either, nor is damage to bodywork, paintwork, glass or headlights

8. What if I don't carry out general maintenance?
If you find that your car has seized up because you haven't checked the oil level then you are unlikely to get your car repaired under the warranty. Similarly, if you don't check your coolant levels and ensure it's got the right mix of anti-freeze then you can expect a cold shoulder from your warranty provider if your engines freezes in the cold weather. It's important to remember that most companies only need the tiniest excuse not to pay up and there are little things that can trip you up. We heard of one manufacturer warranty provider refusing to replace a cracked windscreen wash bottle because the owner hadn't used manufacturer-approved anti-freeze. A little picky we think, but this tells you it's worth checking your warranty's terms and conditions.

9. Is the warranty transferrable?
Manufacturer warranties are and you don't have to inform the manufacturer of a change of ownership to protect it. Extended warranties can usually be transferred but require an extra administration payment to transfer the cover. 

10. Are servicing costs covered on the warranty?
Not usually. Some manufacturers such as MINI offer a service package for a one-off payment. MINI's is called the TLC package and you pay around £150 for three years' free servicing. This usually covers labour and parts but not wear-and- tear items such as brake pads and tyres.

11. What if one part fails and breaks another?
This is where you might find a potential hurdle - so look out for the words 'Consequential Loss'. It may be that you are covered for Consequential Loss, which means the warranty company will pay up for repairs of parts caused by the failure of another. If it's not mentioned, however, you could face a big bill - let's say for example that your water pump fails and it affects other components: in this instance the warranty may only cover the water pump. Watch out for policies that say a part is covered when it is not. The classic example concerns shock absorbers. A shock absorber usually leaks when it fails and although some warranties say shock absorbers are covered, they are not because the policy excludes external oil leaks.

12. How much does an aftermarket warranty cost?
Most used car dealers offer a three-month warranty as a guarantee when they sell a car and many offer extended warranties at extra cost. Aftermarket warranties range from between £100-£500 a year depending on the level of cover and it's unlikely you'll be able to get cover for a car that's more than ten years old.

13. What if I make modifications?
Be careful here. If you fit aftermarket alloy wheels, 'chip' the car for extra performance or alter the car from its original spec, then you are risking invalidating your warranty. Remember that European imports or 'grey' imports from Japan that are not UK-spec come with shortened warranty, but they can be extended with a personal warranty. According to the Society of Motor Manufacturers and Traders (SMMT): "Any new car that is sold within any member country of the European Union has a one year manufacturer's pan-European warranty, although some manufacturers have now extended this to two or even three years. The pan-European warranty will be honoured at any of the manufacturer's UK authorised dealers, but will not include an extended or dealer warranty, which can normally be purchased separately from your local dealer."

Note: Terms and conditions vary from company to company - so comprehensively check the details before you sign on the dotted line.

Parkers Top Tip

You can read more about what's available, and what to look out for, in our warranty section. If you're looking at buying a used car warranty, get a quote here.