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Sat 19 Mar 2016 00:16

Ford Focus - EXTENDED WARRANTY - KEMYST

Hi! I`m new to the site and I would appreciate any help at all. This is an unsual situation (I think!). Just over a year ago I bought a Ford Focus from Motorpoint in Newport. The car was only 6mths old and still had over 2 years of the manufacture`s warranty to run. The extended warranty was not to kick in until 2017 (Sept). Unfortunately I was involved in an accident last week and the insurance company have told me that the car is a write-off. I rang Motorpoint this week and was told that I was not eligible for a refund for the extended warranty (£300). Now my arguement is that the insurance is null and void since the object to be insured does not now exist. Since the policy does not start until 2017 I have not, and will not in the future, benefit from its protection henceI should be refunded the premium. It is my intention to complain to the FCA. Does anyone have an opinion on this issue? Thanks for any help..kemyst

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Sat 19 Mar 2016 06:47

Ford Focus - EXTENDED WARRANTY - oldroverboy.

1. Motorpoint are in the right.

2. I assume you read the terms and conditions of the warranty.

3. Why on earth did you buy an extended warranty on a 6 month old car?

The salesman convinced you, yes?

The only tactic I could think of is if you bought another car from them and asked for a contribution, but remember with "Sold Warranties" are so much toilet paper! (or phone the warranty company direct, explain the situation and ask if they would transfer to another vehicle as a goodwill gesture for an admin fee.)

Would you expect your car/home/travel insurance to refund you if you did not have a claim.

Essentially insurance is Gambling, you stake a wager and bet that something won't happen. Once you have given your money to the insurance broker/bookie, then that money is gone.

Sorry to be so pessimistic but that's the way it is.

I have several times cancelled purchases before goods delivered successfully, but this is after purchase.

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Sat 19 Mar 2016 08:59

Ford Focus - EXTENDED WARRANTY - KEMYST

I am not cancelling the policy....the item that is to be insured will no longer exist when it comes into force. I have received no protection from the policy and will not recieve any. Motorpoint have received money for a service they can no longer provide. The idea was to provide an extra year`s warranty after the Ford warranty expired. Sorry I disagree with you I`m going to have a go at them.

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Sat 19 Mar 2016 11:16

Ford Focus - EXTENDED WARRANTY - Bromptonaut

Kemyst,

You have come to this forum, as many do, with an understandable sense of grievance. You've paid for something and wil not benefit from it.

Whether you have any remedy for that sense of grievance is another question. It will turn on the terms and conditions of the policy you were sold. If the terms are 'no refunds any any circumstances' then I agree with ORB that you will struggle to get a refund. More so if you bought a 'basics' product rather than a moe expensive one that might be refundable/transferable.

If you pursue a complaint you need to be clear what you're asking for and whether you are entitled or hoping or goodwill. Approaching the warranty company rather than the salesmen at Motorpoint is a good tip. If you want some impartial advice try approaching Citizen's Advice. Their website www.citizensadvice.org.uk/ contains some useful stuff. If you want to speak to somebody the consumer helpline 03454 04 05 06 may be a better bet than local bureau who tend to punt consumer stuff directly to the helpline anyway

'Having a go' might make you feel better in short term it's unlkely to be productive in terms of results.

I suspect in practice you'd have been lucky to get much from from the policy even if your Focus's ambelt snapped three weeks after end of Ford warranty. Another lesson to take from this farrago is to not let salesmen talk you into 'add ons'. They make more money on those than they do on the cars.

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Sat 19 Mar 2016 11:53

Ford Focus - EXTENDED WARRANTY - Galaxy

Hmmm, bit of a difficult one, that one.

You've bought a car and paid for an extended warranty, if I understand correctly, to kick-in once the original manufacturers warranty expires.

Before the extended warranty takes effect the car has been written off by the insurance company as the result of damage sustained in an accident.

I can sympathise with you, OP, but I'm afraid I think it's just one of those things about owning a car. It's not the fault of the extended warranty company that your car potentially no longer exists, you are paying them to take an extended risk. Now that the risk no longer exists then the warranty company have the knowledge they will now not have to pay out any possibly claims. Again, I'm very sorry, but that's the nature of insurance! It would probably be a similar situation were a warranty policy holder to die the day after a policy is taken out, and I'm quite sure that has happened, too. I'm sure it's all covered in their terms and conditions.

I really cannot understand why you paid out for an extended warranty on a car which already had a manufacturers warranty in place. Most of these extended warranties are not worth the paper they're printed on, and that goes for those who claim they aren't like that, too. Even in the event of a claim being made, your chances of it being paid out are virtually nil.

All you can do is try to appeal to the warranty company with the facts of your case and try to get the extended warranty transferred to another vehicle. But, quite honestly, I wouldn't hold your breath.

Edited by Galaxy on 19/03/2016 at 11:56

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Sat 19 Mar 2016 16:30

Ford Focus - EXTENDED WARRANTY - KEMYST

I`m not sure that your rationale is the same. If I was to die tomorrow, then the risk (the car) would still exist and presumably would be still covered by the extension to the warranty, but the risk to the warranty company has been removed thus they have not `gambled` on the car because the `bet` is not to be made until 2017 and now the `race` has been cancelled. I`m sorry but these warranties are widespread if the case is that they are virtually worthless then legislation needed to be brought in to make things more clear. Incidentally it was not pointed out to me that I could defer the purchase of the warranty until the Ford warranty expired.

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Sat 19 Mar 2016 17:15

Ford Focus - EXTENDED WARRANTY - bathtub tom

it was not pointed out to me that I could defer the purchase of the warranty until the Ford warranty expired.

Of course it wasn't, the salesman wouldn't have got his commission. I expect he'll be flogging fridges in Currys by then.

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Sat 19 Mar 2016 18:11

Ford Focus - EXTENDED WARRANTY - catsdad

I am pretty sure this would fall into "frustration of contract". In the circumstances described the contract cannot be satisfied but you don't get your money back. Equally had you just paid a deposit on the extended warranty the warranty company could not have pursued you for the balance and you'd lose the deposit.
I am happy to be corrected by anyone more knowledgable of the law but that's my understanding as a lay person.
No harm of course in seeing if the warranty company will make some sort of offer.

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Sat 19 Mar 2016 20:38

Ford Focus - EXTENDED WARRANTY - Falkirk Bairn

Same issue if you buy a 5 year Service Agreement with a new car - sold as 5 years worth £1500 but if you buy it now only £xxx.

OP - You did not say if the car written off was your fault or a 3rd party.

You had an asset & a warranty worth £300.

Assuming 3rd party was at fault (i.e. you were a 100% innocent party)

To replace the car would be £x,xxx + £300 for the extended warranty you could try the 3rd Party insurer as they have to put you back in the same position as you were before the accident!

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Sat 19 Mar 2016 20:44

Ford Focus - EXTENDED WARRANTY - Galaxy

Yes, Falkirk Bairn, I also wondered about the cost of the extended warranty becoming part of the third party claim, that is, if it was the TP who was deemed to be at fault.

It's certainly an avenue worth exploring.

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Sun 20 Mar 2016 01:41

Ford Focus - EXTENDED WARRANTY - KEMYST

Well thanks for the replies. Unfortunately I was at fault so claiming the cost of the warranty is not an option. I am now of the opinion as stated in a previous reply that the contract for the warranty is `frustrated` because the `subject matter of the contract as ceased to exist` and money can be recovered. If I get a negative reply from the warranty I shall certainly refer the issue to the FOS if only to clear up the matter for the aid of future victims. Of course if I have to go to Court then the expanse will probably not be worth it. Thanks

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Sun 20 Mar 2016 16:49

Ford Focus - EXTENDED WARRANTY - FoxyJukebox

I suppose i might consider an extended manufacturers warrantly if available through a dealer at point of sale--but by golly I would read the smallprint first. The best benefit--if ANY(!?) is the fact that the dealership is obliged to make every effort quickly to "put right" what has gone wrong. Of course--all fair wear and tear items are rarely covered.

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