Broken down Passat
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DID you know that there were a record 5.7 million private sector businesses in the UK at the start of 2017? Or that this represents an increase of 197,000 since 2016, and 2.2 million since 2000?

No, neither did we until we saw the statistics, and that’s not even the impressive bit.

Of those 5.7 million businesses, small and medium-sized (SMEs) account for 99.9%. Those SMEs contribute £1.9 trillion to the UK economy – more than half of all private sector turnover – and account for 60% of all private sector employment.

Talk about multi-national conglomerates ruling the world if you want to, but the fact is they represent a tiny fraction of the businesses out there operating on a daily basis.

It’s the small businesses that really matter.

Which is why it’s important SMEs do all they can to ensure they operate as smoothly and efficiently as possible.

But what happens when your business dream ends up on the side of the road because your car has broken down and the necessary repairs will wipe out any profits?

If you’re running an SME, or just a small business, then you probably haven’t got a huge amount of time and money to throw around. Your car or cars are likely to be used to save on money – and therefore out of manufacturer warranty. So why risk operating your business cars without a warranty in place?

Peace of mind warranty for peace of mind business motoring

No matter how many vehicles the business operates the one thing that’s guaranteed is that if something breaks down it’s going to a major inconvenience, and a potentially significant cost.

Whether you’re a start up and running around in a used car, or you’ve no intention of getting rid of your beloved vehicle, a breakdown can have a significant impact on your business.

Without a warranty a breakdown represents a loss of productivity, delays, and expensive repair bills.

With a warranty you get the exact opposite.

Warranty Direct offer SMEs a flexible warranty consisting of core cover and various options to enhance it.

The basic warranty includes;

  • Air conditioning
  • Casings
  • Clutch
  • Cooling and Cabin Heating systems
  • ECUs and computers
  • Electrics
  • Engine
  • Flywheels & drive plates
  • Fuel System
  • Gearboxes
  • Ignition system
  • Supercharger
  • Suspension
  • Transmissions
  • Turbocharger

In other words, pretty much everything. On top of the core cover you can also add Safety System Protection, Emissions System Protection, and Multimedia System Protection to ensure every conceivable problem is protected.*

Imagine you are the person who loves your vehicle more than life itself – yes, that is possible – but your pride and joy breaks down. What now? Without a warranty you’re faced with a huge repair bill and time off the road while you deal with it. With the warranty it’s a different matter.

A Porsche 911 broke down needing nearly £20k worth of repairs. Fortunately for the owner, their vehicle was protected by Warranty Direct cover and cost just £250 to repair

We have used the Porsche example because Warranty Direct in July 2018 have paid out a claim on a 911 Carrera S with worn piston bores. If it were your car and we told you the total cost of the repair was a whopping £19.016.97** what would you do?

If it was us we’d probably shed a tear and have no choice but to scrap the car. You might be faced with the same impossible decision but the warranty customer in question paid a £250 excess, had the car repaired and is now back on the road.

Luckily not all repairs run into those kinds of numbers but the principal holds true.

The average payout for Warranty Direct is around £500 so colossal bills are the exception rather than the norm. Having said that, any breakdown however minor and inexpensive can cause a major headache when time is short, deadlines loom, and cash flow is tight. You might only need a new relay, or a set of wheel bearings, or a new door lock, but even cheap parts take time to fit and can impact your profits.

With fixed monthly payments you can put a warranty in place that will protect you from all of the stress and hassle of a breakdown. You can tailor a warranty to suit your requirements and budget. You can select the level of cover you require and know that in the event of the worst happening your business has a safety net that it can rely on.

*Exclusions do apply

**Based on Warranty Directs July2018 claims data

Warranty Cover is arranged and administered by BNP Paribas Cardif Limited, trading as Warranty Direct. Warranty policies are underwritten by Pinnacle Insurance plc. BNP Paribas Cardif Limited is a company, registered in England and Wales No. 3233010 at Pinnacle House, A1 Barnet Way, Borehamwood, Herts, WD6 2XX and is authorised and regulated by the Financial Conduct Authority, Register No.309075

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