The Magnuson Moss Warranty Act establishes what violates a car’s warranty, either entirely or partially. Extended warranties are legally classified as vehicle service contracts and are therefore exempt from the same regulations. Check the terms and conditions to see what could void the insurance, but these are some of the most prevalent examples.
1. Performing Repairs in an Unauthorized Shop
While your warranty will not normally be voided if you have work done on your vehicle by someone other than your dealer, if your manufacturer or dealer offers free repairs as part of the warranty, they may specify where these must be
done.
Extended warranty/VSC is a common reason for claims denial. Also keep in mind that certain extended warranties will define the coverage area.
2. Making Repairs on Your Own
Warranty: According to the Federal Trade Commission, if you perform your own repair poorly and it results in a fault, your coverage may be denied, albeit the warranty provider would have to prove it. However, the warranty provider cannot nullify the coverage just because you did the work, and all other car components covered by the warranty would remain covered anyway.
Extended warranty/VSC: If you have to file a claim, this is quite likely to be invalidated.
3. Failure to Follow the Maintenance Schedule
Warranty: The routine maintenance schedule for your vehicle is detailed in your owner’s manual, and it usually includes tasks like tire rotation, fluid level checks, and oil changes. If you don’t stick to this plan, your warranty may be voided.
Extended warranty/VSC: Neglecting the necessary maintenance tasks that keep you and your car safe might also void an extended warranty.
4. No paperwork required
Keep meticulous records and invoices of every work done on your vehicle, according to the Federal Trade Commission. Even if you’ve followed the routine maintenance plan to the letter, if you don’t have the paperwork—that is, receipts and invoices detailing the work done and who did it—you risk losing your insurance coverage.
Extended warranty/VSC: Keep meticulous records of any work performed; otherwise, the provider will have no means of knowing whether you followed the maintenance schedule, and coverage may be denied.
5. Adding Aftermarket or Recycled Parts to Your Car
Manufacturers may refuse to cover you if you utilize faulty or poorly installed recycled or aftermarket parts, resulting in damage to your car. However, this would only apply to the damaged parts, and the maker would have to show that aftermarket or recycled parts, or their installation, caused the issue.
If particular parts are provided for free as part of the warranty, the manufacturer can require that these must be used.
Modifying your car should be approached with prudence, as it is a common reason of claims being denied.
What modifications to your car will void your warranty? Installing turbochargers or improving the suspension are just a few examples. Manufacturer improvements and those performed by authorised dealers are safer alterations that are unlikely to void your coverage. However, we still advise you to be cautious and double-check the terms of your insurance policy.
The Best Protection Is Knowledge
Purchasing warranty coverage is the greatest method to protect yourself against the costs of a sudden breakdown, but you must read the fine print and adhere to the restrictions. Otherwise, you may have to pay hundreds of dollars out of pocket to get back on the road. The FTC can assist anyone who has had a warranty claim denied and believes it was unfair.