QUIZ: SHOULD YOU CONSIDER AN EXTENDED MOTOR WARRANTY?

Most of us insure our cars against accidents, theft and damage. But what about when something simply stops working?

An electrical fault, gearbox failure, or major mechanical problem can quickly become an expensive surprise, which is why some drivers choose to obtain an extended Motor Warranty.

But is it something every driver needs?

“Whether an extended warranty makes sense will depend on your vehicle, your finances and how much you rely on your car,” says Keagan Sloman, Head of Product at The Unlimited. “The important thing is understanding your own risk and what you’d do if you were suddenly faced with a significant repair bill.”

Not sure where you stand? Sloman suggests you take this quiz:

1. Is your vehicle still covered by its manufacturer’s warranty?

A. No, it’s already expired.
B. Yes, but it’s coming to an end soon.
C. Yes, there’s still plenty of time left on it.

2. If your car needed a major unexpected repair next month, could you afford it?

A. It would put serious pressure on my monthly budget.
B. I could probably cover it, but it would leave me with no cushion.
C. I have savings specifically set aside for unexpected vehicle expenses.

3. How much do you rely on your car?

A. Completely. I need it for work, school runs, family commitments and everyday life.
B. Quite a lot, although I could make another plan temporarily.
C. Not that much. I have easy access to another vehicle or alternative transport.

4. How long are you planning to keep your current vehicle?

A. I’m not planning to replace it for a few years still.
B. I’m not sure yet.
C. I’ll probably sell or trade it in relatively soon.

5. Which sounds most like you when it comes to financial surprises?

A. I’d rather pay a predictable amount for protection than risk a large unexpected expense.
B. It depends on the cost and what I’m actually covered for.
C. I’m comfortable carrying the risk myself.

Results:

Mostly As: It’s down to your circumstances

What would you do if something went wrong and you had no cover?

Your car is an important part of everyday life, and an unexpected mechanical or electrical repair could put real pressure on your finances. This is where a Motor Warranty can help, giving you protection against a potentially hefty repair bill.

The Unlimited’s Motor Warranty, for example, covers over 100 mechanical and electrical parts, with different levels of cover depending on the plan you choose.

Mostly Bs: It’s down to the numbers

You might be sitting on the fence, wondering whether paying for Motor Warranty is worth it. The question is whether you’re comfortable taking the financial risk of not having it.

Do the maths. Compare the monthly cost of the cover with what a major mechanical or electrical repair could mean for your finances, and factor in your car’s age, mileage, service history and how long you’re planning to keep it.

The Unlimited’s Motor Warranty plans currently start from R429 per month and include 24-hour roadside assistance.

Understanding what’s covered, the cost of the cover, and how that compares with the financial risk you’re comfortable carrying can help you make an informed decision.

**Mostly Cs: ** It’s down to the buffer

You’ve probably got a little more breathing room. Maybe your car is still under its manufacturer’s warranty, you’ve got money put aside for emergencies, or you simply wouldn’t be affected financially by an unexpected repair.

But that doesn’t make you immune to the inconvenience or cost of something going wrong. Even a healthy emergency fund can take a knock when a major vehicle component suddenly needs repairing or replacing. And if your manufacturer’s warranty is nearing its end, now might be a good time to start thinking about what happens next.

Did you know that The Unlimited offers Motor Warranty options covering over 100 mechanical and electrical parts, as well as 24-hour roadside assistance, giving you another option if you’re not comfortable carrying the risk yourself?

You may not feel that cover is necessary right now. If your circumstances change or your manufacturer’s warranty comes to an end, Motor Warranty remains available, subject to the applicable terms and conditions.