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Car cover scrapped by Rover

Wed, 13 Apr 2005

Troubled MG Rover has revealed that it will not honour its warranty obligations for any of its new car owners because of a lack of funds.

The decision, taken by the administrators, means that around 150,000 Rover owners who purchased a car in the last two years will no longer be entitled to cover for potential problems with their vehicles.

Rob Hunt, of the MG Rover administrator team, said: "We're aware that historically MG Rover have reimbursed repairers and authorised dealers the cost of valid warranty claims."

"However, following our appointment as joint administrators on April 8, the company no longer has sufficient funds to reimburse warranties."

Customers are being advised to contact their local dealers to discuss purchasing alternative warranty cover.

However, MG Rover owners will be pleased that US company Cat Logistics, which holds around £40 million worth of Rover parts in stock, plans to keep supplying products in the long-term.

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Endsleigh Insurance Services Limited. Company No: 856706 registered in England at Shurdington Road, Cheltenham Spa, Gloucestershire GL51 4UE.