Guide to used car warranties
When you’re buying a new or used car, nobody really wants to think about the possibility of something going wrong with their brand new ride.
Unfortunately, our pride and joys are machines, and they can develop faults, even if we’ve done all we can to keep them in pristine condition.
That’s where a warranty can step in. This is a type of cover that lets you return your vehicle, or have it repaired for free, if a part malfunctions or it breaks down completely.
But with a range of different warranties available, each with their own terms and conditions, how can you know which offers the right cover for you?
We’re here to help. Read on for our comprehensive guide to used car warranties:
How long does a new car warranty last?
A warranty is just one of the many perks of buying a brand-new car. When you’ve bought a model fresh out of the factory (and paid a premium for the privilege), the last thing you want to worry about is a fault or expensive repair.
But like all good things, new car warranties must come to an end at some point. Depending on your car’s make and model, your warranty could run out after a certain amount of time has passed or once you’ve put a set number of miles on the clock.
In most cases, your warranty will last at three years or up to 60,000 miles. As most drivers in the UK cover around 8,000 miles a year, the time will usually run out before you go over the mileage threshold.
What types of warranties are available?
When it comes to the different types of warranty available, it’s all about the big three:
Manufacturer warranty
This warranty type will usually be offered by the manufacturer when you buy a brand-new car that’s never had another owner.
Dealer warranty
Dealer-backed warranties will usually be available when you buy your new or used wheels from a franchised dealership.
Third-party warranty
Most smaller and independent dealers not affiliated with a specific manufacturer will offer warranties from third parties.
What is statutory warranty on a used car?
The relationship between warranties and used cars can be a little more complicated (Alexa, play Avril Lavigne). Depending on the model you buy, you might not be offered a manufacturer or dealer warranty, but you will automatically have some statutory rights.
When you buy a used car from a dealership, you’ll be covered by the Consumer Rights Act 2015. Under this legislation, your new pride and joy must be of satisfactory quality, fit for purpose, and as described.
Of course, that doesn’t mean you can expect an eight-year-old model to be up to the same standards as a brand-new buy, but it should at least be roadworthy and reliable. An older car with a higher mileage will likely come with a few bumps and scratches – and if it has the occasional slow start on a cold morning (who doesn’t?), it won’t be found unsatisfactory.
However, if it does develop a more serious fault or need an expensive repair, that’s when the statutory warranty kicks in. Under the Consumer Rights Act, you can reject or return the car within the first 30 days if it develops a significant fault, you feel that it’s been mis-sold or isn’t roadworthy.
Once you’ve had the car more than 30 days but less than six months, the goalposts move slightly. Instead of getting an automatic refund, you must give the dealership at least one chance to repair the fault or replace the car. If these repairs aren’t satisfactory and the fault persists or a new fault develops then you’ve got two options as your disposal. You can either opt for a price reduction where you get to keep your car but are entitled to a refund for some of the original purchase price or alternatively you can exercise your right to reject the car. This entitles you to a refund minus a small deduction for any miles you’ve driven since having the vehicle.
One key aspect worth bearing in mind when reviewing your rights under the Consumer Rights Act 2015 is that the burden of proof shifts at different points following the purchase of your car. If an issue crops up in the first 6 months after you get the keys to your new ride, it’s up to the dealer to prove that it was of tip-top quality and as described when sold to you. However if you want to take the route of rejecting the car and securing a full refund within the first 30 days, or after 6 months has passed, you will need to prove the car wasn’t up to scratch, not fit for purpose or not accurately described when you first bought it. Typically this will involve getting a diagnosis from a 3rd party garage, dealership or an independent technical report.
How can I tell if my car is still covered?
Let’s face it; time can move quickly. Before you know it, three years will have passed, and your wheels will already be out of warranty. If you’ve lost track of time or chosen a nearly new car that might still be under warranty, there are two main ways you can double-check.
- Check with a manufacturer franchised dealership – you’ll need the car’s VIN number and its current mileage.
- Use an online service such as Motorcheck or Carfax – keep in mind that fees might apply.
What is and isn’t covered in the manufacturer’s warranty?
Each warranty will have its own quirks and nuances, so it’s always worth double-checking all the terms and conditions (don’t skip the small print!)
That being said, most warranties will:
- Cover any mechanical or electrical faults
- Guarantee against rust for a set time
- Consumables that have worn out prematurely due to a fault
Warranties won’t usually cover consumables that have simply worn out over time such as tyres, brake discs and pads, windscreen wipers, and clutches.
If you’re buying a hybrid or electric vehicle, you may also find that these have a separate clause in the warranty to cover the battery.
What are the best new car warranties?
The best new car warranty for you will be one that offers the most protection for the longest amount of time. The vast majority of warranties expire after around 3 years and most brands tend to lock in a mileage limit of around 60,000 miles. The longest and most comprehensive new car warranties offered currently are from Kia who offer a hefty 7 year/100,000 mile warranty. Hyundai and KGM (formerly known as Ssangyong) both offer a 5 year warranty or 100,000 mile (unlimited for Hyundai) warranty on their new vehicles*.
You might not have much choice when it comes to manufacturer or dealer warranties, but if you’re looking at third party cover, take some time to check what is and isn’t included and whether there are any restrictions on the garages you can use or the number of mechanic labour hours you can claim.
What is an extended car warranty?
Who said you can’t keep a good thing going? While your initial warranty period will eventually come to an end, you might be able to extend your cover and enjoy that extra peace of mind for a little while longer.
The cost of an extended warranty – and the terms and conditions that apply – will different between manufacturers and dealers, so consider comparing your options with third-party providers. These can sometimes be more budget-friendly, but the cover they provide isn’t always as comprehensive.
How do I make a warranty claim?
If you’ve found a fault with your car or ended up facing a bill at the mechanics that makes your heart beat a little faster, you’ll need to make a claim on the warranty. Luckily, this should be a relatively straightforward process.
Start by checking your warranty paperwork as this will list out the exact steps you need to follow to make a claim.
In most cases, you’ll need to:
- Call the claims number before having any repair work done. You should find this number on your paperwork or on the insurer’s website.
- Share a few personal details like your name and policy number as well as information about the issues you’re experiencing with the car.
- Book an appointment at a garage approved by the insurer. You might need to take along your warranty documents, MOT certificate, and service history. Make sure you ask for a written record of all the work carried out and the costs associated with it, just in case.
Keep in mind that not all warranty providers are created equal so some can be more accommodating than others.
Third-party warranties can be a bit more hit and miss than those issued by dealers and manufacturers. They can also be more time-consuming as you’ll usually need to get quotes for any potential repairs before you get the go-ahead. Some providers will also require you to use certain approved garages, and you might have to pay the bills upfront yourself and then get reimbursed later.
*Information on car warranties accurate as of 17/07/24 and subject to change.
