- Consumer survey launched into extended car warranty sales in WA
- Complaints reveal high-pressure tactics, unclear terms and minimal benefit
- Public feedback will guide possible reforms to strengthen consumer protection
Western Australians are being asked to share their experiences with extended car warranty sales through a new public survey supporting an ongoing inquiry.
Consumer Protection, part of the Department of Local Government, Industry Regulation and Safety, has observed a rise in complaints and concerning reports from its advocacy networks about the way some extended warranty products are being marketed and sold alongside new and used vehicles in WA.
In response, Consumer Protection has launched an own-motion inquiry under the Fair Trading Act 20210 (WA) to better understand how these products are marketed and sold.
Recent complaints include reports of high-pressure sales tactics, unclear or incomplete disclosure of key terms, and instances where consumers were encouraged to purchase extended warranties that offer little or no benefit beyond the existing protections provided under the Australian Consumer Law.
The survey invites consumers who have recently purchased, or taken steps to purchase, a vehicle from 1 January 2023 to 30 June 2025 and experienced a sales pitch for an extended warranty product as part of the process to share their experiences. This includes:
- Whether key terms and conditions were clearly explained;
- Whether the product was understood at the point of sale; and
- Any experiences making a claim under an extended warranty policy.
Commissioner for Consumer Protection Trish Blake said the information gathered will help the Department assess whether policy or legislative changes are needed to strengthen consumer safeguards.
“The rise in complaints suggests some motorists may be paying for products that offer little value beyond their existing rights, and that’s something we need to examine closely,” Ms Blake said.
“Extended motor vehicle warranties are optional policies that cover unexpected mechanical or electrical failures after the manufacturer’s warranty expires. While marketed as offering peace of mind against expensive repairs, consumers should be aware that vehicles automatically come with guarantees of acceptable quality under the Australian Consumer Law (ACL).
“If a major failure occurs, consumers may already be entitled to a free repair or refund.”
Consumers offered an extended warranty are encouraged to ask the salesperson to explain the benefits beyond their automatic and free ACL rights to a refund, product replacement or repair.
“It is illegal for a retailer to mislead consumers into buying an extended warranty for rights they already have under the ACL.
“We’d encourage consumers to remain vigilant against high pressure sales tactics and be aware that retailers may also rebrand an extended warranty as product care.”
The survey will be open for four weeks and can be accessed here: www.lgirs.wa.gov.au/mvextendedwarranty
Further information can be found on the Consumer Protection website or enquiries can be made by calling 1300 30 40 54.
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Media Contact: cpmedia@lgirs.wa.gov.au
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