But overlook the long term savings of investing in a warranty programme
The findings of a new survey from roadside assistance and warranty expert, Mondial Assistance UK, is giving the motor industry a reason to be cheerful amidst news of continued economic gloom. 42% of car owners surveyed by Mondial Assistance said they had no intention of changing their motoring plans in 2012, although 35% said they may walk more and drive less to help save the pennies.
However, despite best intentions to be more frugal, only 4% of those motorists surveyed said they were intending to invest in a used car warranty programme to protect themselves from unforeseen motoring expenses. Lee Taylor, Automotive Director for Mondial Assistance UK comments: “At a time when we all need to take a belt and braces approach to managing our finances, motorists should seriously consider the value of a used car warranty.
“People may discount taking out a warranty because they think their car is too old or has too many miles on the clock, but the reality is that many manufacturers have extended the benefits of their warranty schemes to cover such cars at extremely affordable prices. Indeed, many of these schemes can actually be paid for on a pay as you go basis. Owners can specify the level of cover they need, with variable claim excesses, providing true financial flexibility.”
Mondial Assistance also believe that motorists should actively consider investing in a Service Plan which offers car owners an inflation proof solution to managing the cost of a vehicle’s scheduled maintenance. “Service Plans are particularly important at a time when we are seeing prices for parts fluctuate, largely influenced by exchange rates,” continues Lee Taylor. “Consumers who buy into a manufacturer’s Service Plan now secure the cost of servicing for 3 years on average. This also applies to labour rates which are often agreed below the retail rate, providing yet further long term savings for motorists.
“It’s encouraging to see that despite talk of ongoing economic gloom, many people are not making radical cutbacks to their day-to-day expenses. Whilst the survey findings suggest that a good proportion of people want to cut back on their motoring miles, the majority of people are likely to carry on motoring in their usual fashion, which offers some reflection of consumer confidence, as well as being great news for the UK motor industry,” concludes Lee Taylor.
Mondial Assistance UK: A member of Allianz Global Assistance
In 2010, Mondial Assistance began its transition to become Allianz Global Assistance, which is the international leader in assistance, travel insurance and health, life & home care services. Today, Allianz Global Assistance counts more than 10 783 employees who speak 40 different languages and work throughout the world with a network of 400,000 service providers and 180 correspondents. 250 million people, or 4% of the world’s total population, benefit from its services, which are provided on all five continents. Mondial Assistance in the UK is to become Allianz Global Assistance by the end of 2012.