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Motor Ombudsman celebrates vehicle warranty code's 10th anniversary

Vehicle Warranty Products Code

More than 2,800 consumers have complained to The Motor Ombudsman (TMO) in the last 2.5 years about warranty products they've been sold.

Most of these cases came from point of sale disputes where the buyer was given incorrect or insufficient information about the warranty product, or where their cancellation rights were not explained thoroughly, said TMO.

Also since the end of 2016, more than 230 vehicle warranty products code cases have been concluded by adjudicators, said the TMO, which is marking the 10th anniversary of the Motor Industry Code of Practice for Vehicle Warranty Products.

The code was released to the public on July 14, 2009, by its predecessor, Motor Codes, for increasing driving standards with automotive warranty products for vehicle owners in order to enhance the level of consumer protection it replaced the existing Mechanical Breakdown Insurance (MBI) Code of Practice.

Bill Fennell, chief ombudsman and managing director of The Motor Ombudsman, said: “For many years, the code of practice has played an important role in defining and developing best practice guidelines in the supply of car warranty agreements, and has been instrumental in helping consumers and businesses to reach an amicable and swift outcome to warranty disputes without the need for often costly legal action.

“Over the next decade and beyond, it remains our continued ambition to grow the volume of businesses accredited to the code so as to be able to provide the broadest possible coverage for today’s vehicle owners.”

The warranty products code is one of four to be found within TMO's Chartered Trading Standards Institute (CTSI)-approved Motor Industry Code of Practice portfolio, which it believes offers protection and cover for the entire customer car purchase and the ownership experience.

This code sets the criteria that all accredited businesses offer a set of 60 commitments to its customers, including honest marketing, a complaints handling process of ease, and clarity on what is covered and excluded in the policy.

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