When you buy a car in Dubai or Abu Dhabi, one major decision is whether to take out a car service contract or not. This contract guides the coverage of your vehicle for maintenance and another service of the warranty period provided by the manufacturer.
A service contract helps you get your vehicle’s service done within a timeframe and at an affordable cost. A service contract is an agreement between a vehicle owner and a service provider (or warranty company) that covers the cost of certain repairs and maintenance after the manufacturer’s warranty expires.
What is a Car Service Contract?
A car service contract is a kind of legal document that guarantees that your vehicle be given some maintenance services as and when required or at any time countersigned by the manufacturer’s warranty period without necessarily waiting until the warranty expires.
Hytec’s car service contract provides not just the convenience as well as the security that overmanufacturer warranties. With the Hytec contract, you make a long-term investment in your car to have it maintained correctly and professionally after the warranty is over.
Pros of Car Service Contract
- Peace of Mind: The biggest benefit of a car service contract is the assurance that you do not have to worry about excessive charges from the mechanic’s bay. It also guarantees that many unscheduled repairs will be catered to, to minimize the cost that comes with an issue arising with your car.
- Extended Protection: A car service contract in Abu Dhabi is something more than what the manufacturer’s warranty offers. This extended coverage is important as cars deteriorate with time which gets worse by harsh weather conditions in the UAE. With an authorized service agreement, your automobile is safeguarded against expensive fixes beyond the manufacturer’s warranty period.
- Budget-friendly Repair Options: The initial fee charged when entering into a service contract may seem very steep, a fixed fee charged is a way of saving on costly repairs of the car. This means that instead of having a large repair bill in one go, you can plan for small service payments.
- Customization and Flexibility: Many car service contracts are flexible, which gives several cover choices based on your usage and preferences. For example, for a driver whose car is mainly used in Abu Dhabi, one can opt for a car hire contract that only covers necessary repairs while excluding the charges for other extras that will not be of any use to the client.
- Enhanced Resale Value: Some buyers prefer cars that come with transferable warranties because it makes them feel secure knowing they are out of risk. In markets like Dubai and Abu Dhabi, it would be advantageous to own a car that is service contracted as this will help differentiate your car sale from others.
Cons of Car Service Contract
- High Initial Cost: The greatest disadvantage is the service contract fee of the car. Often these fees are fairly high particularly if the car is a luxury such as Rolls-Royce, Bentley, or Lamborghini. This may well be a very advantageous situation for some; others will never call upon the services specified in the contract.
- Exclusions and Fine Print: Car service contracts are usually full of exclusions and this means that not all services that are provided in a car are covered. Usually, simple services such as oil changes, brake pads, as well as tires, do not come with the package. However, repairs necessitated by wear and tear are usually not covered by the contracts, which is worthwhile to remember if you are going to purchase a service contract for a used car.
- Limited Repair Shop Options: This type of insurance contract is typical for car service and repair in countries such as Abu Dhabi, which restricts your options for services. The contract may dictate where you can go for repairs; the centers may not be convenient or located near your home. This can be particularly inconvenient if the nearest authorized dealership has a long turnaround or charges more for repairs than your preferred technician.
- Premiums and Out-of-Pocket Expenses: However, even with car service contracts, most of the contracts allow the manufacturer to set down or impose certain limits and contributions that are to be made by the buyer before the cover is effectuated. This can sometimes make minor damages uneconomical to warrant a claim. Further, other fees may be incurred that would cut the overall offering value of the contract.
- Risk of Not Using the Service Contract: Many vehicle owners buy an auto service contract but may never have occasion to use it. If the car you have was a good one that did not break down much requiring major repairs most of the time then the service contract will have been money down the drain. This risk is initially high for newer vehicles that are well maintained and kept for short distances, and smooth roads.
Conclusion
A car service contract can therefore be of great benefit for car owners in Dubai and Abu Dhabi since it will replace the manufactory warranty, offer them more protection, and enable them to consider budgetary car repair. First, analyze the pros and cons associated with a car service contract and decide whether this is something you need at the moment or it is too pricey for your comfort.
Hytec is one of the largest UAE-based companies dealing in car service contracts. That’s why you should call Hytec today and let our experts in car services tell you more about our car service contracts.
