A warranty covers repairs for unexpected mechanical failures or defects in materials, typically lasting for a specific period. A service plan covers routine maintenance—such as oil changes, filter replacements, and check-ups—scheduled at set intervals. While warranties handle failures, service plans ensure regular upkeep.

Unlike an insurance policy, warranty and service repair plans aren't regulated, so you won't benefit from FSCS protection, and you can't go to the Financial Ombudsman with a complaint about your provider, but you may have some recourse with Trading Standards.

Before committing to a policy, it is important to shop around, check the terms, and know exactly what type of policy you're buying.