Dori2 July 2025 | 13:24

Motor Plan vs Motor Warranty: What's the difference?

While there are similarities and some overlaps, it's important to be aware of what these options offer you as a consumer...

Motor Plan vs Motor Warranty: What's the difference?

Buying a new car

Buying a car involves many decisions, so it's important to know what you're getting yourself into.

There are some differences between a motor plan and warranty, with some overlaps too.

A motor plan helps you manage the cost of keeping your car in good running condition. It may include a service plan, a maintenance plan, or both.

A motor warranty - also called a factory or manufacturer warranty - is included automatically with a new car. It usually lasts for a fixed period, such as three to five years, or up to a certain mileage.

It's important to read the small print and know exactly what is covered under each of these options, e.g. normal wear and tear is always excluded from the warranty...

"It only covers unexpected mechanical or electrical failures in key components like your engine or gearbox - or if a part fails suddenly owing to a manufacturing fault... what it doesn't cover is if a part wears out over time, and it doesn't cover your routine services - that's what your motor plan is for."
- Erica Liebenberg, JustMoney

So what happens when the cover expires?

Liebenberg says thankfully there are often options to buy extended warranties and/or maintenance plans - but again, it's very important to check exactly what is included in these.

You can also make a dedicated savings account to set money aside, or even sell or trade the car in while it's still a viable option.

"Once your car looks like it's going to start incurring high repair costs, it's worth looking at selling it..."
- Erica Liebenberg, JustMoney