Could Motorplans and Voiding a thing of the past?

dlk001

Member
The draft code of conduct for competition in South African Automotive Industry is proposing to do away with standard Motorplans, Warranties etc.

The code seeks to achieve

- Removal of restrictions on the provision of maintenance and service wotk of vehicles whilst under warranty

- OEMs to separate the costs of a vehicle from the costs of Maintenance & Service Plans at the point of sale of a vehicle.

Consumer's choice to

- purchase a new motor vehicle separately from a Maintenance Plan, Service Plan and Extended Warranty

- select the duration of a Maintenance Plan, Service Plan and Extended Warranty on newly purchased vehicle

- use any repair for non-warranty service, maintenance and replacement of parts not covered by a warranty during the warranty period. This will not have an effect of voiding or canceling the OEM warranty. In these instances, the OEM is not obliged to pay for the repair work

- use any independent service provider for Warranty work during the warranty period, provided that the independent service provider uses an Original or Identical Spare Part. In such instances, OEM and Insurer shall not withhold payment to the independent service provider

Maintenance by independent service providers


- Independent service providers shall be entitled to effect maintenance and repair to a consumer's motor vehicle whilst it is still under Warranty or covered by Maintenance Plan, Service Plan or Extended Warranty

- Insurers shall not withhold payment to independent service providers who effect repair and maintenance work on a vehicle whilst the motor vehicle is under a Maintenance Plan, Service Plan, Warranty and Extended Warranty

- OEM shall make available to independent service providers, at no cost, all technical maintenance information relating to its motor vehicles. Such information includes but is not limited to the following: technical manuals, wiring diagrams, diagnostic trouble codes, software calibration, operational software, data record information, component and diagnosis information

A code of conduct for the local car industry could give SA motorists more choice. Should this Code of Conduct become law (the draft is open for public comments until 03 November 2017).

https://cdn.24.co.za/files/Cms/General/d/6597/1433b5f19f444ea9942a83d700c73910.pdf
 

TurboLlew

Honorary ///Member
This is going to be a bit of a dog's breakfast in execution, but there is merit to a lot of it. I say this because IMHO, as with GFV and residuals, you are going to find people who don't understand it, buy an expensive car with no warranty or motorplan for 'cheap' thinking they are being clever and then end up blaming someone for their choices 1/2/3 years later.

Just because you are able to use a good independent workshop doesn't magically make things 'cheap'.
 

rsgordini

Active member
This is how it works in europe. No such thing as motorplan.

Warranty yes thats standard.. mororplan or service plan is optional.
 

MikeR

Well-known member
TurboLlew said:
This is going to be a bit of a dog's breakfast in execution, but there is merit to a lot of it. I say this because IMHO, as with GFV and residuals, you are going to find people who don't understand it, buy an expensive car with no warranty or motorplan for 'cheap' thinking they are being clever and then end up blaming someone for their choices 1/2/3 years later.

Just because you are able to use a good independent workshop doesn't magically make things 'cheap'.
:withStu: :withStu::withStu::withStu:I dont think people understand the score you get by buying a 2nd hand vehicle with Motorplan - you save on the initial cost and costs thereafter when servicing and repairs to covered item.
IMO when buying a used car finding one with MP is a bonus as you know the car has been looked after for one and any bad things that have happened will be disclosed, where as NON MP cars you take a chance, beeg chance.

So I think the whole MP thing should be an option when Buying and dont cry when you want to trade it in and the value is 25% less than the one with MP :biglol:
 

sash

///Member
And here we will see the price of the vehicle only decrease by half what it costs you extend the motorplan.

If it costs R25k -R40k to extend per year, can we see vehicles come down by R125k -R200k?
 

sash

///Member
All of a sudden we will be told,

Sorry sir, the Motorplan only added R50k to the purchase price on your M5
 

JohnLod

///Member
The big talk that has been going on for some time is the term "Right to Repair". As you can imagine that eh OEM's aren't keen on this, workshops like our selves can't wait. As mentioned earlier in the post, this is nothing new, overseas it is standard practice.
What a lot of people also don't realize is that if the the brakes for example aren't covered by your "service plan", you are not obliged to have it done at the manufacturer. You can have it done anywhere, like Bosch Hatfield.

Regards
 

dlk001

Member
John@Leo Haese Bosch Hatfield said:
The big talk that has been going on for some time is the term "Right to Repair". As you can imagine that eh OEM's aren't keen on this, workshops like our selves can't wait. As mentioned earlier in the post, this is nothing new, overseas it is standard practice.
What a lot of people also don't realize is that if the the brakes for example aren't covered by your "service plan", you are not obliged to have it done at the manufacturer. You can have it done anywhere, like Bosch Hatfield.

Regards

I think its excellent. I should be able to take my vehicle to Leo Haese Bosch Hatfieldand still claim from the Motorplan. Also, I don't see a reason why a whole vehicle's motorplan must be canceled for an exhaust installation, especially a good quality exhaust system.
 

sash

///Member
dlk001 said:
John@Leo Haese Bosch Hatfield said:
The big talk that has been going on for some time is the term "Right to Repair". As you can imagine that eh OEM's aren't keen on this, workshops like our selves can't wait. As mentioned earlier in the post, this is nothing new, overseas it is standard practice.
What a lot of people also don't realize is that if the the brakes for example aren't covered by your "service plan", you are not obliged to have it done at the manufacturer. You can have it done anywhere, like Bosch Hatfield.

Regards

I think its excellent. I should be able to take my vehicle to Leo Haese Bosch Hatfieldand still claim from the Motorplan. Also, I don't see a reason why a whole vehicle's motorplan must be canceled for an exhaust installation, especially a good quality exhaust system.

Thats is not what John implied. John implied that just because the manufacturer says motorplan will not pay X or Y as part of a service, you are not obilgated to do the work at the dealer. You can get an RMI approved place like Leo Hease Bosch to do the work using OEM parts.
 
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