In November 2021, Ford South Africa announced it would unbundle its service plans from the retail price of its vehicles.
When buying a Ford, you will now receive a warranty and roadside assistance agreement – and a service plan must be added at an additional rate should the customer want one.
This move followed new competition guidelines for the automotive aftermarket sector in South Africa, implemented last year.
Ford service plan pricing
The standard unbundled service plan pricing for Ford vehicles in South Africa sold via Ford Finance and Insurance, as provided by the company, is as follows:
- 4-years/60,000km service plan for Ford EcoSport, Fiesta, and Figo – R7,532.50 (incl. VAT)
- 6-years/90,000km service plan for Ford Everest, Mustang, Ranger, Tourneo, and Transit – R13,283.99 (incl. VAT)
The service plans are only available at the first point of vehicle sale, or less than 30 days from the warranty start date and less than 500km of mileage, said Ford.
A number of additional service and maintenance plans up to 8-years/135,000km are also available at the first point of sale.
These service plans cover all scheduled servicing, except for friction materials and wear items such as brake pads and window wipers.
Competition guidelines
The new competition guidelines in the automotive aftermarket sector aim to increase choice for consumers and promote greater inclusion in the country.
In part, this will be achieved by allowing vehicle owners to fit original or non-original spare parts to their vehicles from their preferred independent service provider (ISP) without automatically voiding the vehicle manufacturer’s after-sales agreement, said the Competition Commission.
The guidelines also urge vehicle manufacturers to disclose the individual prices of their maintenance and service plans at the original point of sale, so that the customer can decide whether they would like to include it in their purchase.
However, in a consumer workshop hosted by the legal firm Bowmans, the firm said these guidelines do not have the force of law – and that motorists might risk voiding their after-sales agreements by following the ISP route.
In the same month the guidelines took effect, multiple manufacturers confirmed to TopAuto that their respective agreements will become invalid if there is a problem with your vehicle and an ISP is found to be at fault.
“[It is] important to note that if you choose to service your vehicle outside of the Ford dealer network, while you have a valid service plan in place, Ford is not obliged to pay the ISP for any services rendered,” said Ford South Africa.
“Although the Ford warranty remains in place, should there be a failure as a result of the parts used or the workmanship of the ISP, that portion of the repair may not be covered by said warranty.”
In addition, certain manufacturers like Hyundai require their customers to keep all records of services at ISPs if they do not want to automatically void their manufacturer service plans.
If an ISP is found to be at fault, “the customer will have to go back to the ISP for rectification or refer to the Motor Industry Ombudsman,” said Hyundai.
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