New research from Gocompare.com car insurance has found that some insurers use non-manufacturer parts or even reconditioned parts when repairing customers’ vehicles.
In a study of 238 comprehensive car insurance policies*, the comparison site found that just 15% guarantee that only original equipment manufacturer (OEM) parts will be used to repair a policyholder’s vehicle following an accident. The vast majority (75%) of policies do not provide a guarantee that genuine parts will be used though.
Using non-OEM parts isn’t the only way that insurers are trying to trim repair costs. Gocompare.com’s research also found that nearly a quarter (23%) use reconditioned or recycled parts, which are typically salvaged from other vehicles.
Matt Oliver, car insurance spokesperson at Gocompare.com, said: “It’s surprising to see such a large number of insurers using non-standard or recycled parts in vehicle repairs, and some consumers may feel short-changed that their insurance premiums aren’t necessarily buying them what they might expect.
“Over 1 in 10 (13%) policies won’t provide a guarantee for repairs, with less than two fifths (37%) guaranteeing repairs for five or more years. As such it’s well worth checking what cover your insurer will provide, especially if parts for your car are particularly expensive.
“Customers have a right to the service they deserve, so if you are particularly concerned about having your car fixed with recycled parts, or parts that are not made by your manufacturer, then check what assurances your insurer can provide, should you have an accident.”
*Source: Defaqto matrix of 238 comprehensive car insurance policies - instant and unbiased market and competitor intelligence, from independent financial researcher Defaqto (correct as of 28th August 2014). Gocompare.com is a comparison website that enables people to compare the costs and features of a wide variety of insurance policies, financial products and energy tariffs.