Purchasing a new car can be stressful, and sometimes confusing. It is important that you understand what will come with your vehicle and what can be included as an add-on. A big part of this is the various options that are available when it comes to car cover. In order to ensure that your vehicle meets your long-term needs, service plans, maintenance plans and warranties are things that you not only need to consider but also understand. This article breaks them down simply and highlights their differences in order to give you the information that you need.
What is a Service Plan?
A service plan covers the cost of servicing at specific intervals. These intervals are prescribed by the manufacturer and differ depending on the brand and vehicle. It is vital that your vehicle is serviced within these specified time frames. It must be noted that a service plan does not cover mechanical breakdown or wear and tear. A service plan can be bought in kilometre and year parcels. It is important to know how far you will drive during a year to ensure the correct combination plan is taken.
What is a Maintenance Plan?
In comparison to a service plan, a maintenance plan not only covers regular servicing but also takes care of mechanical issues as well as wear and tear. This makes a maintenance plan more expensive, but your cover is more comprehensive. Just like with the service plan, maintenance plans are available in kilometre and year parcels, so choosing one that fits your annual vehicle usage is essential. Always ask the selling agent to show you what items are covered, as well as excluded, as this will affect the price of your plan.
What is a Warranty?
A warranty is notably different to a service or maintenance plan as it will cover mechanical and parts breakdowns but won’t feature regular servicing or wear and tear. The main focus of warranties is parts. A warranty may be included by the manufacturer but they can be extended once they expire.
Explore Your Options and Begin Your Journey
These are just brief introductions to service plans, maintenance plans and warranties but they will hopefully provide you with some valuable information as you continue your car purchasing journey. Remember to choose the options that will work best for you, not only today but in the coming years as well.
For further information or if you have any questions, we encourage you to get in touch with the Hatfield Motor Group team. We are here to help you at any point and look forward to speaking with you very soon.
Please note that this article does not constitute financial advice and only serves as information to the consumer. Refer to the policy wording of the product you intend to purchase and ensure that a Registered Representative of an FSP assists you in making the appropriate decisions that suit your vehicle and your lifestyle.