South African Service Plans Glossary (A–Z)

A plain-English A–Z of South African vehicle service plan terms — from authorised dealer and claim to policyholder, recall, and VIN. Use search or the A–Z filter, then tap a term to expand.

A

Answer — What is an authorised dealer?

An authorised dealer is a workshop or service centre accredited by the manufacturer or industry body (e.g., RMI/AA) to perform services and repairs. For South African service plans, using authorised dealers helps keep your cover valid and claims approvable.

Original definition: An authorised dealer is an institution that has received authorisation from a relevant regulatory body to act as a dealer. An authorised dealer refers to the manufacturer’s authorised dealer/servicing centre, or an accredited RMI or AA dealer/servicing centre.

Why it matters

Servicing at non-authorised centres can void cover.
Ensures OEM-approved parts, fluids and procedures.
Supports warranty compliance and resale value.

Example (South Africa)

Illustration: A Toyota with a service plan is serviced at a Toyota-approved dealer or RMI-accredited workshop; claims are processed against the plan for covered items.

What to do next

Verify your workshop’s authorised status.
Book services per the policy schedule.
Keep invoices and service stamps.

C

Answer — What is a claim on a service plan?

A claim is your request for the provider to pay for or complete covered services or repairs as listed in your plan. Only items specified in the policy schedule are claimable.

Original definition: A request by the policyholder for services or repairs based on the coverage stipulated in the Service Plan.

Why it matters

Valid claims prevent out-of-pocket spend on covered items.
Incorrect paperwork or late submissions can be declined.
Clarity on inclusions avoids disputes at the dealer.

Example (South Africa)

Illustration: At 60 000 km, a scheduled service for a Ford includes oil, filters and labour. The dealer submits a claim to your plan for those covered items.

What to do next

Book with an authorised dealer.
Confirm covered parts before work starts.
Retain the stamped service record.

A clause is a provision included in a policy agreement and refers to a section of the contract that deals with a particular subject.

The commencement date is the date on which cover begins, as stipulated in the policy agreement.

The conditions refer to the circumstances under which an insurance policy is in force. Breach of the conditions can result in a refusal by the service provider to pay/cover the loss.

The usual and reasonable charges for the parts and/or labour as per the scheduled services.

Cover refers to the protection provided by insurance.

Answer — What is a covered part?

A covered part is any item listed in your service plan that the provider pays for during scheduled services — commonly oil, air and fuel filters, lubricants and spark plugs.

Original definition: A covered part refers to any part of the vehicle that is listed in the Service Plan and can include, but is not limited to, oil filters, air filters, fuel filters, lubricants and spark plugs.

Why it matters

Sets clear expectations of what you won’t pay for.
Exclusions (e.g., brake pads) avoid surprises.
Helps compare value across providers.

Example (South Africa)

Illustration: At a 30 000 km service, your plan covers the oil filter, air filter, engine oil and labour as listed in the policy schedule.

What to do next

Read your policy schedule for the covered list.
Ask the dealer to confirm inclusions before work.
Keep the service invoice for records and claims.

The customer refers to the owner of the vehicle at the time of purchase of the Service Plan, or in the instance where the Service Plan has been transferred to the new owner of the vehicle.

E

A document attached to the policy agreement that enhances or restricts the policy’s coverage. The endorsement takes precedence over the general contract.

I

Insurance refers to a contract that transfers the risk from an individual to a company. The company (insurer) promises to pay the individual (the insured) for loss occurring after one or more uncertain events in exchange for the payment of a premium.

The insured refers to the individual covered by an insurance policy. This individual is also often referred to as the policyholder.

A provider of insurance. The insurer refers to the service provider that undertakes to indemnify for losses.

M

The make of the vehicle can also be referred to as the brand or manufacturer. The make refers to the company that makes the car. For example, in Toyota Yaris, Toyota is the make.

Manufacturer refers to the entity that manufactured/supplied the vehicle as specified on the policy.

A mechanical breakdown occurs when a vehicle fails to function.

The model refers to the particular type of vehicle. The vehicle is unique and differs from other vehicles made by the same manufacturer. For example, in a Toyota Yaris, Yaris is the model.

P

A policy is a written contract between the insurer and the insured. The policy includes all clauses, endorsements and riders.

The policyholder refers to the policy owner or the insured person. This individual is also often referred to as the insured.

A statement that includes information on the cover options and related premiums.

Q

R

A recall is when a manufacturer orders all vehicles back to the dealership for unplanned repairs. These repairs usually relate to mechanical problems and/or safety issues. The owner of the vehicle does not usually pay for the repairs performed under a recall.

A rider is a form that is attached to the policy agreement that alters the provisions of the policy in some manner.

S

Answer — What is a Service Plan?

A Service Plan is a contract that pays for scheduled services and specified manufacturer parts (such as filters, lubricants and spark plugs) for a fixed time or mileage, as listed in your policy schedule.

Original definition: A policy for servicing your vehicle and covers specified manufacturer parts as listed in the policy agreement.

Why it matters

Helps budget for routine servicing.
Protects against price increases on parts/fluids.
Supports warranty compliance with on-time services.

Example (South Africa)

Illustration: A 3-year/60 000 km plan covers scheduled services at 15 000 km intervals for listed parts and labour.

What to do next

Compare plans for your make/model and mileage.
Check the covered parts list and exclusions.
Confirm authorised dealer network and booking rules.

V

Answer — What is a VIN?

The VIN is a unique 17-digit code that identifies your specific vehicle. It’s used by providers to validate the car linked to your service plan and to check eligibility.

Original definition: The VIN is a unique 17-digit number used by the automotive industry to identify individual motor vehicles.