Good news for consumers… you could soon choose to have your in-warranty cars serviced and repaired where you want, rather than being locked into manufacturer-approved service centres and repair shops.
According to draft guidelines gazetted by the Competition Commission in February, if car owners have vehicles under warranty, they can choose where they want to go for services and repairs, without their warranties being voided, which is currently the structure.
The guidelines further state that vehicle manufacturers and approved dealers must let consumers fit non-original parts where a specific part’s warranty has expired, without voiding the balance of the motor vehicles warranty.
“At the point of sale, dealers and financiers must provide the consumer with details of all inclusions and exclusions included in the service and maintenance Plans,” the Commission said.
“This will allow consumers to exercise choice regarding whether to purchase the Maintenance or Service Plan and make servicing a more affordable option for South Africans, whilst allowing for more players to provide such value-added services for consumers whose vehicles are in-warranty.”
The new guidelines also outline planned changes for car insurance in South Africa. These changes state that:
- Insurers must approve any service providers who meet their standards and specifications, to undertake service and maintenance work, motor-body repairs, non-structural repairs and mechanical repairs on vehicles during the warranty period;
- Insurers may not prohibit approved service providers or approved dealers from carrying out service and maintenance work, motor-body repairs, non-structural repairs and mechanical repairs on vehicles of other brands;
- Insurers must advise consumers, in clear and explicit terms, that they have a right to have the service and maintenance work, motor-body repairs, non-structural repairs and mechanical repairs of their vehicles undertaken by any service providers of their choice;
- Insurers must publish a list of all their approved service providers on their websites and/or other suitable media;
- Insurers must offer consumers a choice of approved repairers within their geographic area from which they can select to repair their vehicles. They are also prohibited from appointing an exclusive service provider within a designated geographic area.
The deadline for submission of comments was 16 March 2020, but this was extended due to delays around the Coronavirus. A finalised set of guidelines will ultimately be implemented as part of the Competition Act and will give authorities the power to pursue anti-competitive behaviour through enforcement.
All info up to date at the time of publication
Let a MotorHappy trusted advisor help you find a good fit when it comes to your insurance and vehicle warranties. We source insurance quotes from up to seven of South Africa’s top insurers, and we offer a range of car warranty options that can protect your car. Make sure your car insurance and your warranty keeps up with the exciting changes coming to South Africa’s consumers!
The budget-friendly 2020 Hyundai Atos
How do airbags work?
