Understand warranty vs insurance

For first time car buyers the price shown in a showroom is often not the final amount they will pay. Registration, taxes insurance, accessories and other charges can significantly increase the total cost.

Before booking a car it is important to ask for the complete on-road price and understand every charge included in the final bill.

 Understand the insurance

Insurance is an important part of the cost of a new car but buyers should understand what their policy actually covers.

Third party insurance generally covers damage or injury caused to another person or their property. It does not normally cover damage to your own car.

A comprehensive policy may offer wider protection depending on its terms. Before choosing one check the insured value deductible, exclusions claim support and available repair workshops.

The cheapest policy is not always the most suitable one.

 Check extra insurance covers

Dealers or insurers may offer additional covers such as.

•Zero depreciation cover

•Return to invoice cover

•Engine protection

•Roadside assistance

•Consumables cover

These options can increase the insurance cost. Instead of accepting every add-on consider which risks are actually relevant to your car, location parking conditions and daily use.

Be careful with accessories

Floor mats, seat covers dashcams infotainment upgrades and other accessories can quickly increase the final bill.

Do not assume that every accessory offered by a dealer is necessary or compulsory. Ask for an itemized list and compare prices with other sellers before agreeing to a package. Some accessories may be available elsewhere at a lower price. Know the difference between warranty and insurance

Warranty and insurance are not the same.

A warranty generally covers certain manufacturing defects or component problems according to the company’s terms.

Insurance is designed to cover specific risks such as accidents theft natural events or third party damage depending on the policy. Normal maintenance wear and tear and some mechanical problems may not be covered.

Always read the warranty and insurance terms before making a purchase.

 Don’t choose insurance only by price

A low premium may look attractive, but the cheaper policy may have different coverage limits deductibles exclusions or workshop options.

Instead of asking only “How much does the insurance cost?” also ask what protection you are getting for that money.

Check the complete On road price

In Pakistan buyers should also confirm whether registration token tax number plate charges and other government fees are included in the quoted price.

These costs can vary and may need to be paid separately.

Buyers should also be careful about unexpected booking or delivery charges. If a dealer asks for any additional payment ask for a clear written explanation and proper documentation.

Final checklist before booking

Before paying for a new car ask the dealer for a written breakdown of

•Ex-showroom price

•Registration and taxes

•Insurance

•Accessories

•Other charges

•Final on road price

Expected delivery date

Car prices taxes and charges can change so check the latest information with the manufacturer’s official website or an authorized dealer before making the final payment.