The Motor Ombudsman is celebrating the 15th anniversary of its Vehicle Warranty Products Code. Launched in July 2009, the Code has become a cornerstone for ensuring fair and transparent practices in the extended warranty industry.
Originally known as the Code of Practice for Mechanical Breakdown Insurance Schemes, it has since evolved to encompass an even broader range of products. Today, 18 businesses are accredited by the Chartered Trading Standards Institute (CTSI) to adhere to the Code’s 60 key guidelines. This represents the highest number of accredited businesses at any one time, covering roughly 75% of the major warranty providers in the UK.
The Code applies to both insured and non-insured extended warranties, encompassing service contracts, roadside assistance, and even insurance for specific vehicle components like keys, alloy wheels, and tyres.
The Code establishes a set of best practices for warranty providers, ensuring clear communication with customers. This includes using jargon-free language in advertising and policy documents, offering tailored advice based on individual needs, and maintaining a fair in-house complaints process.
Should a dispute arise between a consumer and a warranty provider, The Motor Ombudsman’s independent and impartial Alternative Dispute Resolution (ADR) service offers a solution.
Companies accredited by the Code gain access to valuable resources, including participation in industry roundtables, exclusive webinars, and a profile on The Motor Ombudsman’s website. They are also eligible for nominations in the coveted Motor Ombudsman Customer Service Star Awards, recognising exceptional customer service within the industry.
Since its inception, The Motor Ombudsman has received over 22,500 inquiries. Analysing these cases allows the organisation to identify common customer concerns and work towards improving the Code’s effectiveness.
Bill Fennell, Chief Ombudsman and Managing Director of The Motor Ombudsman, said: “We are delighted to be celebrating this notable milestone for our Vehicle Warranty Products Code across our organisation, and with businesses. The Code of Practice has served as an important cornerstone of the extended vehicle warranty market since it was first unveiled 15 years ago, and has been paramount in driving standards even higher in the provision and management of these popular policies for today’s motorists.”
Bill added: “To be approaching a portfolio of nearly 20 accredited businesses, highlights the great value that many of the industry’s key players place in being a part of the Code, and we look forward to expanding this portfolio going forward, so that it provides even greater coverage for consumers taking out an extended warranty.”
Looking ahead, The Motor Ombudsman remains committed to expanding the Code’s reach and protecting car owners by ensuring fair and transparent practices within the extended vehicle warranty market.
To view The Motor Ombudsman’s Vehicle Warranty Products Code, please click here.
