Ah ok, im getting offered WD ExtraCare which seems to be directly comparable to ME Plan B. Suspension is a pretty big area not to have cover for IMO, unless you already have most of it replaced in previous years.
Front arms and bushes done April 2016 and again in April 2017!!!!
Rear arms and bushes being done as we speak!
I couldn't get ExtraCare but then mine's packing 112k miles.
Front Runner Rack, OEM Ladder & RAI, Tuff-Trek Foxwing, B'rakhah Ingonyama Expedition Trailer, RLD's Spare Wheel Protector, Bodsy's Bars, Empty Pockets! Member of Gloucestershire & Worcestershire 4x4 Response.
24th Jul 2017 11:24 am
James W
Member Since: 27 Mar 2008
Location: Riyadh, KSA
Posts: 3079
Re: Warranty Direct lost to Motor Easy
swansty wrote:
...Spoke with WD and they mentioned the motoreasy policy is not regulated by the FCA and is a discretionary policy - ie no one has to make motoreasy cover a claim, even if the item is mentioned in the policy. Could be scaremongering but I don't see anything on the motoreasy website to validate it either way.
Any experience of claiming yet James?
I fought with WD for a year over a claim they were declining and they were using some very questionable tactics to do so. I escalated to the FCA but following their lengthy investigations, it turned out they didn't have any power or authority to force WD to change their mind, despite acknowledging all of my evidence and viewpoints. So they were/are a toothless tiger with regards to enforcing decisions anyway it would seem.
(In the end WD deducted the disputed amount off my renewal).D4 XS, gone, much loved, never forgotten
2018 FFRR SDV8 Autobiography - Gone to someone with less sense and more time to enjoy it
2016 Toyota Hilux Invincible - Liberating experience
Twice in 12 months and one day! Now on SuperPro on the front but sticking with LR for the rears.Front Runner Rack, OEM Ladder & RAI, Tuff-Trek Foxwing, B'rakhah Ingonyama Expedition Trailer, RLD's Spare Wheel Protector, Bodsy's Bars, Empty Pockets! Member of Gloucestershire & Worcestershire 4x4 Response.
...Spoke with WD and they mentioned the motoreasy policy is not regulated by the FCA and is a discretionary policy - ie no one has to make motoreasy cover a claim, even if the item is mentioned in the policy. Could be scaremongering but I don't see anything on the motoreasy website to validate it either way.
Any experience of claiming yet James?
I fought with WD for a year over a claim they were declining and they were using some very questionable tactics to do so. I escalated to the FCA but following their lengthy investigations, it turned out they didn't have any power or authority to force WD to change their mind, despite acknowledging all of my evidence and viewpoints. So they were/are a toothless tiger with regards to enforcing decisions anyway it would seem.
(In the end WD deducted the disputed amount off my renewal).
Well, deed done. Signed up with Motor Easy and its Plan B today. They trimmed it again and I paid a total of £596.59 (£100 cheaper than WD), payable in quarterly instalments.
Betterment removed, suspension covered, turbo and intercooler covered and vehicle health check and 90 day clause removed.Front Runner Rack, OEM Ladder & RAI, Tuff-Trek Foxwing, B'rakhah Ingonyama Expedition Trailer, RLD's Spare Wheel Protector, Bodsy's Bars, Empty Pockets! Member of Gloucestershire & Worcestershire 4x4 Response.
25th Jul 2017 2:45 pm
James W
Member Since: 27 Mar 2008
Location: Riyadh, KSA
Posts: 3079
Let's hope we start to see some successful payouts soon (not wishing a breakdown on anybody, you know what I mean!)D4 XS, gone, much loved, never forgotten
2018 FFRR SDV8 Autobiography - Gone to someone with less sense and more time to enjoy it
2016 Toyota Hilux Invincible - Liberating experience
26th Jul 2017 8:59 am
RichardE
Member Since: 24 Apr 2007
Location: Ongar
Posts: 15
Not a frequent poster, but have made good use of the forum over the years.
I decided to research an extended warranty for my car so came straight to the forum and found this thread.
Because of all the comments I went on the Motoreasy website and obtained a quote, and subsequently haggled the price down a bit, but wanted to check the documentation before buying.
Having worked in insurance for 35 years I was flabbergasted by what I found. I know there has been mention of this being a discretionary policy but didn't really understand the term. It turns out that it describes the policy exactly - it is completely at the discretion of Motoreasy whether they want to pay any claim whatsoever!! And because it is not FCA regulated (as Swansty pointed out) there is absolutely no recourse to anyone if you disagree with a decision.
Because this is not an insurance product, I assume claims are made out of premiums received. What happens if the premiums dry up? A proper insurance company is required to make provisions for claims but this is completely unregulated! If an insurance company goes bust you are protected by the Financial Services Compensation Scheme but here there is no protection.
James W mentioned a problem with a WD claim and that the FCA were a "toothless tiger". Believe me they are not! But they do not have the power to enforce the payment of a specific claim - this is down to the Financial Ombudsman Service who can require an insurer to pay a claim. FOS however will have no jurisdiction over a Motoreasy policy.
Getting more technical, I believe the reason this policy isn't insurance is that for it to be insurance there must be a transfer of risk. Because of its discretionary nature policy holders are not actually removing any risk from themselves just paying a premium and hoping for the best!
I am not saying that Motoreasy won't pay any claims, because they obviously currently do, but personally I would stick with an insured product with all the safeguards.MY12 HSE
16th Aug 2017 11:31 am
J@mes
Member Since: 10 Nov 2008
Location: Bomber County
Posts: 4547
Very interesting, thanks
16th Aug 2017 12:22 pm
DSL Keeper of the wheelie bin
Member Since: 11 May 2006
Location: Off again! :-)
Posts: 73131
+1.
16th Aug 2017 12:47 pm
Scott #55
Member Since: 15 Apr 2015
Location: UK
Posts: 1684
RichardE wrote:
Not a frequent poster, but have made good use of the forum over the years.
I decided to research an extended warranty for my car so came straight to the forum and found this thread.
Because of all the comments I went on the Motoreasy website and obtained a quote, and subsequently haggled the price down a bit, but wanted to check the documentation before buying.
Having worked in insurance for 35 years I was flabbergasted by what I found. I know there has been mention of this being a discretionary policy but didn't really understand the term. It turns out that it describes the policy exactly - it is completely at the discretion of Motoreasy whether they want to pay any claim whatsoever!! And because it is not FCA regulated (as Swansty pointed out) there is absolutely no recourse to anyone if you disagree with a decision.
Because this is not an insurance product, I assume claims are made out of premiums received. What happens if the premiums dry up? A proper insurance company is required to make provisions for claims but this is completely unregulated! If an insurance company goes bust you are protected by the Financial Services Compensation Scheme but here there is no protection.
James W mentioned a problem with a WD claim and that the FCA were a "toothless tiger". Believe me they are not! But they do not have the power to enforce the payment of a specific claim - this is down to the Financial Ombudsman Service who can require an insurer to pay a claim. FOS however will have no jurisdiction over a Motoreasy policy.
Getting more technical, I believe the reason this policy isn't insurance is that for it to be insurance there must be a transfer of risk. Because of its discretionary nature policy holders are not actually removing any risk from themselves just paying a premium and hoping for the best!
I am not saying that Motoreasy won't pay any claims, because they obviously currently do, but personally I would stick with an insured product with all the safeguards.
Thanks for this - it does change my view of ME a bit.
16th Aug 2017 12:58 pm
James W
Member Since: 27 Mar 2008
Location: Riyadh, KSA
Posts: 3079
RichardE wrote:
James W mentioned a problem with a WD claim and that the FCA were a "toothless tiger". Believe me they are not! But they do not have the power to enforce the payment of a specific claim - this is down to the Financial Ombudsman Service who can require an insurer to pay a claim. FOS however will have no jurisdiction over a Motoreasy policy.
Well I can give you the direct contact details of an investigator at FOS who told me that despite forming a conclusion on my case, FOS was unable to require WD to do anything. She could only provide an opinion. She said that the warranty was not an insurance product as such, well not one that they had enforcement over.
So either you are wrong, or I was incorrectly informed by FOS. I would scan and post the letter here but it's probably not appropriate.
Edit: I have just realised that I have mixed up FCA and FOS in my earlier post. So it was FOS who reviewed my case and said nothing could be done.D4 XS, gone, much loved, never forgotten
2018 FFRR SDV8 Autobiography - Gone to someone with less sense and more time to enjoy it
2016 Toyota Hilux Invincible - Liberating experience
16th Aug 2017 1:04 pm
RichardE
Member Since: 24 Apr 2007
Location: Ongar
Posts: 15
Responding to James W (but not knowing how to quote!)
Obviously I have no specific knowledge of your claim and why it was problematic and I am not an expert on the WD product, but I do know that FOS can instruct an insurer to pay a valid claim or compensate a policyholder. This is binding on the insurer.
I am concerned that FOS didn't believe that the WD policy was an insurance product. I have only looked at their website today and they make it very clear that it is insurance. I wonder if WD have changed their business model?
I just wonder if in this case the problem was that the complaint was against WD when they are not actually the insurance company who turned the claim down, as I understand it they are just the administrator/broker. BUT I don't know the specifics and this would appear to be a technicality.
The policy wasn't in the name of a company was it? FOS only protects smaller companies.MY12 HSE
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