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Warranty warning

6th June 1991, Page 80
6th June 1991
Page 80
Page 80, 6th June 1991 — Warranty warning
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Which of the following most accurately describes the problem?

• BTA managing director Ray Barber is warning operators to check their extended warranty terms carefully following a dispute over an engine failure, The engine, fitted in a vehicle covered by a four-year warranty, started using excessive amounts of oil in its third year having covered 130,000km 181,250 miles).

Neer) Ford dealer Quicics of Manchester stripped the 49.10's engine down and Commercial Care Plan (CCP), which underwrites Iveco Ford's extended warranty scheme, sent one of its inspectors to examine the engine. He concluded the problem was worn cylinders and pistons, and a set of broken rings.

Repair was estimated at about £2,000. CCP has offered £600 to cover the ring failure but says the rest of the work would be improving a worn engine and so is not coy ered by the warranty.

Iveco Ford says that it expects its engines to Last longer than 130,000km but cannot comment on this case as the vehicle was not serviced by its dealer network. "Part of the idea of extended warranty is to keep the work with the dealers," it says.

The policy does not state that the vehicle must be serviced by a dealer — only that it must be maintained "in accordance to the manufacturer's recommendations". Going further could he interpreted as a restrictive practice says CCP's Kevin Fretwell.

"It's owner drivers who have bought such warranties that I feel sorry for — something like this could break them, says Barber.

For CCP, Fretwell says it is important that operators understand what they are getting when they buy an extended warranty.

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Locations: Manchester

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