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A Motor Warranty is a written promise from the manufacturer or a Car Insurance provider that your car parts will last for the length of time they are supposed to. If a part of your car malfunctions due to no fault of your own, you are entitled to have it repaired or replaced at no extra cost as prescribed by your warranty.

What is the difference between Car Insurance and a Motor Warranty?

A Motor Warranty is not the same as Car Insurance purely because the former gives special importance to the liability of the manufacturer in ensuring the good condition of your car. Thus, if factory faults or defects cause a mechanical breakdown, the manufacturer or insurance company’s warranty entitles you to replacements or repairs under that warranty plan.

 If you are at fault for the damage to someone else’s car, Car Insurance will provide protection against financial losses suffered. If your car is damaged as a result of an accident, theft or natural disaster, a Comprehensive Car Insurance policy will help pay for expenses related to repair and/ or replacement.

Should you have both?

While the manufacturer’s warranty usually comes standard on a new vehicle and expires after a certain number of years, you can let Car Insurance and an Extended Warranty/Pre-Owned Warranty supplement one another. For example, if your brakes fail and you crash into the back of another vehicle, the warranty would cover the brakes and insurance may take care of the damage, provided you have the necessary cover.

Do note that no policies and warranties are created equal so it’s best to check with your insurance company or car dealership, or compare quotes to find the best deal.