Types of warranties offered for new and used cars in Malaysia
What Is a Vehicle Warranty?
A Vehicle Warranty is a written guarantee issued to the purchaser of a product by its manufacturer, promising repair or replacement of any part which is found to have a manufacturing defect. This warranty usually has a time limit as well as a mileage limit (whichever occurs first after original vehicle registration) although some manufacturers may not set a mileage limit.
The Manufacturer’s Warranty that usually comes with new vehicle covers most of the components and systems in the vehicle. However, there are certain items which are not covered by the warranty and these are wear-and-tear items (wiper blades, brake pads, light bulbs, etc). There may also be separate warranties for items such as the tyres and battery, with different limits on time or mileage.
The warranty covers manufacturing defects but does not cover parts or system failures that have occurred due to misuse of the vehicle, unauthorised modifications and accidents.
Rust and Corrosion Warranty
The Rust and Corrosion Warranty, as the term implies, provides coverage against rust and corrosion that may appear on the vehicle during a certain period, usually a number of years. Should such a problem occur, the manufacturer or party that has issued the warranty will remove the corrosion and rectify the damaged area. However, the owner will be required to present the vehicle for an inspection at specified intervals in order to keep the warranty in effect.
If the vehicle is involved in an accident and repaired, it must also be inspected to ensure that the repaired areas have been properly treated and corrosion will not occur.
The Aftermarket Warranty extends the coverage on a vehicle for an additional period of time after the manufacturer’s warranty has expired. Also known as ‘extended warranties’, these are usually provided by a third party and the cost may either be borne by the owner or by the company selling the vehicle.
Such extended warranties may not necessarily be identical to the original factory warranty as certain items might be excluded (besides the wear-and-tear items). Owners should therefore be aware of such conditions when they have an extended warranty.