Extended warranty and maintenance plans

[JVJoubert]

Our 2014 Pajero is now out of warranty and maintenance plan. Had a call from Motor Happy which does not make me happy. Example; in their contract stated that they are not there to improve your financial position therefore they do not compensate for ware and tare. Is that not why you take out and extended warranty , to replace ware and tare parts on breakdowns paying monthly and not a big amount once off? All the products seem basically the same however service, claim handling and cover offered is key factors and only the people that used them can give this info.
Who has extended warranties, with who and recommendations please?

[REAList]

Mitsibushi uses Liquid Capital for the Pajero warranty. This is not advertised.
I had a battery replaced recently and witnessed the process.
Out of curiosity I checked their website to see what they offer.
Their extended warranty is offered for 2 years if you take it once your Pajero’s 3 year warranty runs out.
This was advised against by my service advisor with my previous Pajero. I think the franchise knows you will have to cover expenses without them having to deal with a Liquid Capital ( of some sort).
The anomaly for me is that the warranty is 3 years with a full service period of 5 years (or 100 000 km). This means they can milk you after 3 years of ownership.
This scenario looks bad when you compare it with other makes that go up to 180 000 km.
Hopefully the mitsu owners can share their experiences.



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[czauto]

I have SA Warranty policies on all my vehicles. I also own a mechanical workshop and is registered with quite a few warranty companies as service provider. I must be honest, there's a reason why I chose SA Warranties for my own vehicles. They are absolutely fabulous. The only claim I had on one of my own vehicles was for my wifes I10's gearbox. They send out an assessor to confirm the damage and I had authorization for repairs within 48 hours (this includes the assessment that was done by a guy from Mosselbay, 270km's away)

The thing is however that they have different policies with different coverage plans. Their basic Bumper to bumper policy, for example, costs R6995 but have different categories. Plan N for vehicles less than 3 years old and less than 80,000km's done with mostly unlimited repair cost limits.
Plan A for vehicles less than 5 years old and less than 110,000km done has got engine repair cost limit of R30k, gearbox R20k, differential R20k, etc, etc.
Plan B for vehicles less than 8 years old and less than 160,000km done has got engine repair cost limit of R20k, gearbox R12k, differential R12k, etc, etc.
Plan C for vehicles older than 8 years and more than 160,000km done has got engine repair cost limit of R12k, gearbox R8k, differential R8k, etc, etc.

Now remember, this is an entry level plan. You can add a step up policy for just over R3k which almost doubles your existing coverage.
You can also purchase a better policy for higher amounts but with much higher coverage.
Then you've also got 2 purchase options, 1: once of purchase where you purchase the policy for the full amount (choice of 1 or 2 year coverage) or you can pay monthly by debit order.

They've got quite a few options available and like all insurance companies it's mandatory to read....and understand the policy documents to avoid misunderstandings....

i have to deal with many mechanical warranty companies but in my personal experience, these guys are way ahead of the other. Yes there is complaints but most of them are simple issues that was not explain by the salesmen when the policy was sold with a vehicle. These guys are very lenient and go out of their way to get you back on the road.

I recently did a claim with one of "the other" companies. (I'm sure i'm not allowed to name them) after 2 weeks of phone calls and emails, they let me know that they could not help the client with his automatic transmission claim on a W203 Merc, this because it was "wear and tear". They did not send an assessor and only asked for pictures of the outside of the vehicle and it's license disc. After declining the claim I send them pictures of the oil pump failure of which the vane cage was broken in half, clearly not wear and tear. After another 3 days they let me know that they will make an contribution after all and that authorization would follow. I then received an email with the authorization........R1500 out of a R5000 category limit. The quote was R14800. This was because of their betterment policy. After asking them to explain that to me they said it was because I fitted new parts and that the client didn't have new part in her transmission so that would fall under "betterment". What a load of BS!! Needless to say the client had to go borrow the difference after I had to shave on the invoice for her to be able to afford it.
After almost 200 claims from SA Warranties in 5 years I've never had to deal with such BS. Success rate on their claims from my side is about 98%. I would refer anyone to them anytime of the day!!!

[JVJoubert]

Thanks for the responses, will definitely look into SA Warranties. Had Liquid Capital on the Triton but never needed to use it.

[vanasp]

Great response CZauto and nice to get a reply from someone in the know or in the industry. As you mentioned salesman often are a bit economical with the truth and you only find this out when one needs to claim

[Gemaskerde Tuinvurk]

I work in the insurance industry - after funeral policies, motor warranty policies are the most profitable for insurers.

My advice would be to take they money you would have paid for the policy and invest it to keep it available should something big fail.


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