SERVICE PLANS

A service plan covers the day-to-day running of a vehicle, providing for scheduled services and the replacement of essential components, such as oil, fuel and air filters, lubricants, spark plugs and, in some cases, a cam belt.

Included in the purchase price of a new car, the plan runs for a specific period (usually three years, often longer) or a certain number of kilometres, whichever comes first.

An important proviso is that the work must be carried out by an approved dealer, and any parts that are fitted must be approved.

Car-buyers should be aware that, if they fit a non-approved part to the vehicle – even if it is not a safety-critical component – the manufacturer will void the service plan, as well as the warranty.

The dealer will generally ask for a vehicle identification number (VIN), which identifies the vehicle’s history of ownership and other essential details.

Proponents of service plans for secondhand vehicles believe they offer a variety of advantages, the most important of which is the reduced risk of unpleasant surprises. Since the cost of future services is fixed, owners are protected from increases in the cost of labour and parts. They are assured that their cars will be worked on by approved mechanics, using approved parts.

However, this is not necessarily the complete solution for peace-of-mind motoring. For instance, if a clutch starts to slip and shows signs of imminent failure, a service plan will not take care of the problem: a faulty clutch falls squarely into the wearand-tear category, and that requires a maintenance plan.