Driving Trust in the Warranty Market

In this insightful conversation, Tony is joined by Petrus Potgieter (Country Manager) and Lorenzo Farelo (Operations Manager) from Veritas Global Protection South Africa to explore the changing landscape of vehicle warranties—both globally and within the local context.

They begin by unpacking the trends driving mechanical warranties today: increasing demand for extended warranties, growing consumer reliance on aftermarket products in the used vehicle market, and the influence of economic pressures. One core theme is the consumer’s desire for peace of mind, especially in a cost-sensitive environment where major repairs can cripple budgets.

Veritas distinguishes itself from other providers by covering the full market value of the vehicle in the event of a major mechanical breakdown—an uncommon offering in the local space, where most warranties are capped by component limits. Their innovative approach has propelled global success, and they’re bringing this model to South Africa with the same mission: “Peace of Mind Worldwide.”

The conversation touches on industry challenges, including trust, fine print exclusions, inconsistent repair networks (especially in rural areas), and evolving regulatory demands. Lorenzo and Piera also outline Veritas’s distribution strategy, which includes partnerships with dealers, brokers, and eventually call centres for direct-to-customer offerings.

Looking ahead, Veritas is also eyeing coverage for electric vehicles (EVs), ensuring their relevance in an evolving global car market. With global credibility and a local team ready to innovate, Veritas is poised to shift perceptions around warranties and provide genuine value for South African consumers and partners alike.

Key Points

• Warranties are evolving globally due to vehicle tech, consumer expectations, economic strain, and regulatory oversight.

• South Africa’s used car market is booming, creating higher demand for aftermarket warranties.

• Veritas sets itself apart by offering mechanical breakdown coverage up to the full market value of the vehicle—unlike most local providers with capped benefits.

• Trust and transparency remain major challenges in the warranty space.

• The dealer network and brokers are central to Veritas’s distribution strategy, with monthly product options also on the horizon.

• Plans are underway to establish call centres to support customer acquisition and engagement.

• Veritas is preparing for the electric vehicle (EV) warranty market, which is still emerging in South Africa.

• They bring a proven global model, operating in the US, Canada, Chile, UK, and now South Africa.

• Strong commitment to customer service, innovation, and simplicity in product delivery.

• Compliance with the Consumer Protection Act (CPA) ensures clear disclosure and fair terms.