Bike Buyer Guru: Should I invest in a Warranty?
Craig Langton has quite the CV. Here at The Bike Show we refer to him as King Midas because, as you might’ve guessed, everything he touches turns to gold. Apart from previous businesses that were massively successful under his watch, he is the owner of Fire It Up in Fourways and within a year of opening its doors it has become the biggest selling motorcycle dealer in the country by a long way. Much of this is down to good honest hard work by him and his team, but much of it also has to do with decades of dealing in motorcycles, spotting trends and noticing nuances. Craig will be passing on much of this knowledge to our esteemed readers in his regular Bike Buyer Guru column. Herewith this week’s column:
Often, I get asked by customers if they really need a warranty, even if they are going to be working on their bikes themselves. I always ask if they are on a medical aid, even if they self-medicate? The reason most of us are on a medical aid is because we can never predict when something is going to go wrong and we all know the cost of visiting the doctor or hospital these days. The same applies to modern motorcycles.
After many years of experience, involvement and trading in the motorcycle industry, I can confidently say that the question you should be asking yourself when purchasing a pre-owned motorcycle is not whether you need a warranty or not, but rather what kind of warranty you should be purchasing. With the ever-increasing costs of repairing a motorcycle, a warranty is must have when purchasing a pre-owned motorcycle even if the motorcycle has low mileage and a full-service history. If you’ve been lucky before, beware, Murphy is about to strike! If you’ve already had a warranty claim on a motorcycle, you’ll appreciate the importance of having one.
It is important to note that mechanical warranties are insurance products and much like medical aids have ‘limits’ of cover and it’s important that you study these and the terms and conditions of the warranty. Warranties will not cover wear and tear items or abuse. A comprehensive warranty can range between R5900 and R6900 depending on the cover provided. The important warranty cover items in my opinion are as follows:
- A warranty that pays out from Day 1 of ownership – Most claims happen within the first 3 months of purchase.
- A warranty that covers consequential damage – This is important cover that is often excluded from some policies.
- A warranty that offers maximum claim benefit instead of discount at the movies!
- A warranty from a reputable company that is there for you when you need them most.
- A warranty company that has a relationship with the dealer you are purchasing your motorcycle from.
As always with insurance/financial products speak to a financial advisor who can assist you in making the correct financial decision.