What is a service plan?

What is a service plan?

Many car manufacturers offer service plans to all customers, but what is a service plan and what is your best option?

What is a car service plan?

Car service plans are contracts offered by companies and manufacturers that mean car owners get an amount of services for a set cost over a number of years or amount of miles covered.

With manufacturers offering a number of services over different lengths of time, buyers can also choose from having basic services or more intense options that give their cars a full check-over every time they need it.

Plans can also come with comprehensive damage cover, which means that if any equipment is scratched, smashed or impaired, they can be replaced or reset.

Are car service plans worth it?

If you want to have reassurance that you’re getting the right servicing for your car it may be worth researching. With plans able to be adapted for any customer’s needs, you only have to ask the manufacturer or company what they can offer to suit you best. But you need to careful, as in some circumstances it can be cheaper to have individual services as opposed to buying a series of them.

Service plans Vauxhall

What are the benefits?

The main benefit is that all parts and labour are usually included in the price of each individual contract, so there is little need to worry about additional every time you get your car serviced. The prices can’t fluctuate either, as signing the contract fixes them for its duration.

It can also be guaranteed that manufacturer-sourced parts are used when fixing and servicing the vehicles, so they remain as close to the original product as possible. Also with an official stamp from a certified dealer group or establishment, the residual value of the vehicle is also likely to be much better than if the service was done through a private servicing firm.

Service plan

What is the best option?

It really does depend on whether you would prefer to pay for a guaranteed set of services all at once with one lump sum, or in individual increments that could mean you could pay more over an extended period of time. One concern you might have is that if you buy a vehicle and a service plan with it, most manufacturers won’t carry that contract over or reimburse you if you sell the vehicle before the end of the contract.

One manufacturer that does make servicing costs much more manageable is Mini. Its TLC package, the service contract stays with the vehicle and actually contributes to its sale cost.

It may also be worth getting a package with a manufacturer if you buy a performance vehicle or one that has a premium finish as they will know how to look after it in the best way.

Vehicle servicing plan
Credit: PA Images

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