Car warranties

This page is for: 
Consumer

Car warranties specify what you may be entitled to and the process for making a claim if you discover a vehicle defect or fault after purchase.

New car warranties

Manufacturer's warranty

Most new cars come with a manufacturer's warranty covering faults or defects.

A manufacturer's warranty promises to repair product defects under specific conditions. It is a voluntary inclusion offered by the manufacturer to enhance the sale. If you discover a defect within the warranty period, you may have the right to repair without incurring any costs. Check what is included in the manufacturer’s warranty before purchasing the car.

The terms of your manufacturer's warranty will differ based on the manufacturer, but certain manufacturers provide warranties extending for up to five years or 100,000 kilometres.

Even if you don’t have a manufacturer’s warranty or if it has expired, you may still be entitled to claim for manufacturing defects or faults under the Australian Consumer Law (ACL).

Used car warranties

Statutory warranty

The Motor Vehicle Dealers Act’s statutory warranty exclusively covers used vehicles purchased from licensed dealers.

If you buy from a dealer, the dealer must give you an information statement about the statutory warranty, if any, that applies. The information statement contains important details about what is and is not covered by the statutory warranty.

The statutory warranty applies solely to cars priced at $4,000 or higher and motorcycles priced at $3,500 or higher, with added restrictions on age and the number of kilometres travelled at the time of sale.

Age of Car
purchase price $4,000 or higher		 Kilometres travelled at time of sale Warranty Entitlement
Not more than 10 years Not more than 150,000 3 months or 5,000 km (whichever happens first)
More than 10 years but not more than 12 years  Between 150,000 and 180,000 1 month or 1,500 km (whichever happens first)
More than 12 years More than 180,000 No warranty

 

Age of Motor Cycle 
purchase price of $3,500 or higher		 Kilometres travelled at time of sale Warranty Entitlement
Not more than 8 years Not more than 80,000 3 months or 5,000 km (whichever happens first)
More than 8 years More than 80,000 No warranty

 

What it applies to

The statutory warranty applies to the following categories of second-hand cars purchased from a dealer:

  • Passenger cars, including:
    • Off-road passenger four-wheel drives (with two rows of seats);
    • Station wagons and dual-cab utes (including four-wheel drives);
    • Vans with a seating capacity of up to eight (8) individuals; and
    • Campervans equipped with cooking and sleeping facilities.
  • Passenger motorcycles:
    • All types of passenger motorcycles.

What it does not apply to

The statutory warranty does not apply to the following second-hand vehicles when purchased from a dealer:

  • Commercial vehicles primarily designed for transporting goods or materials;
  • Utes with a single row of seats (well body and tray back);
  • Trucks;
  • Caravans;
  • Off-road motorcycles not intended for passenger use;
  • Multi-wheeled motorcycles (e.g., three or four wheelers); and
  • Buses designed to accommodate more than nine individuals.

However, these vehicles are still protected by the Australian Consumer Law’s consumer guarantees.

What is not covered by warranty

Manufacturer and Statutory warranties do not usually cover:

  • Routine services;
  • Tune-ups; and
  • Defects arising from an accident or misuse of the car.
Buying a car
Buying a car, by Motor vehicles

What does a statutory warranty cover

The image shows what is and is not covered under a used car statutory warranty. 

View a larger version of the User Car Warranty image

Extended warranties

When purchasing a car, you may be asked to purchase an extended warranty, which provides general cover for mechanical failure or breakdown. Extended warranties are not a substitute for any statutory warranty or consumer guarantees applicable and can increase the price of the purchase. Before agreeing to an extended warranty, you should check whether it would provide you with benefits greater than what you are already entitled to under manufacturer’s warranty or the Australian Consumer Law (ACL).

Private sale

Used cars purchased from a private seller are not protected by statutory warranty or consumer guarantees under the Australian Consumer Law (ACL). However, a car may still be covered by Manufacturer’s warranty or extended warranty. Ask the seller if there is any warranty remaining on the car and, if so, arrange with the seller to have the warranty transferred to you.

Car buyers checklist
Car buyers checklist, by undefined

Don't get taken for a ride - Used car buyer's checklist

Consumer Protection’s Don’t be taken for a ride – used car buyer’s checklist will help you ask the right questions of the seller and find out exactly what you’re buying before you drive away.

Last modified: