When deciding whether or not to buy an appliance extended warranty, it is important to consider the pros and cons. Having an appliance protection plan can help prevent unexpected repair costs, and it can also increase the resale value of your home appliances. An appliance extended warranty is a policy that extends the manufacturer’s warranty for a specific appliance. It is different than a bundled home warranty that covers multiple types of systems.
Peace Of Mind
When purchasing a large appliance, an extended warranty can be helpful to provide a financial safety net in case of sudden breakdowns or wear and tear. These protection plans tend to be pricey, but some companies offer the option of spreading out the upfront cost over monthly payments. Most of these warranties include a list of items that are covered, as well as terms and conditions that spell out what’s not. It’s important to read the fine print before purchasing a plan to ensure that you aren’t paying for coverage you might not need.
The best home appliance extended warranty also simplifies the process of keeping up with routine maintenance schedules. While these aren’t a necessity for every homeowner, they can help to reduce the risk of costly repair bills in the long run. Depending on the manufacturer, these protection plans can even be transferable when you sell your home. Several home and appliance stores, including Best Buy and Home Depot, offer these types of protection plans.
Upfront Cost
While appliance manufacturers may offer their own extended warranty plans, it is usually more affordable to buy a home appliance protection plan. These warranties often include more appliances in a single policy than an individual manufacturer’s warranty does and they typically have a shorter term of coverage. It is important to understand the good and bad aspects of these protection plans before you invest in one, as they are not all created equal in terms of cost and coverage.
Salespeople will often push these policies on customers, a practice that has become a $40 billion business. However, the vast majority of consumers will not end up needing to use them. Having a home appliance extended warranty can help ease fears and worries about the likelihood of needing repairs in the future. Moreover, the flat up-front cost is easy to budget for. Most of these plans also allow for the flexibility to add or remove appliances and other items in a given policy.
Repairs Are Covered
Most manufacturers offer a warranty for their products. However, some manufacturers get around these warranties by stating that their appliances are sold “as is.” An extended appliance protection plan allows you to take advantage of implied warranties. A home appliance extended warranty covers the repair and replacement costs of a covered appliance in the event of a breakdown. In the case of a breakdown, the appliance protection plan provider dispatches a service technician to your home to diagnose and repair the problem.
Some warranty providers also provide a number of perks, including 24/7 online support and covering the cost of food spoilage and laundry services. These extras can make an extended warranty a more attractive option for consumers looking to protect their investment in household appliances and avoid the frustration of depleting their emergency funds when these essential items break down. Most appliance protection plans are valid for one year or longer, depending on the plan.
In-Home Service Calls
Home appliance extended warranty typically comes with a service call fee, and you can expect to pay this for any repairs or replacements that are covered under the plan. When you file a claim, your appliance extended warranty provider will assign a third-party contractor to your issue and arrange an in-home appointment to evaluate the damage. You will need to provide detailed information about your problem, including the brand name, unit age, and serial and model numbers.
When shopping for an appliance protection plan, choose a provider with a solid reputation and extensive coverage options. Ask about the fees and coverages involved in each plan and make sure to read your contract carefully before making a decision. Keeping your appliances well-maintained and maintaining diligent record-keeping can also go a long way in preventing problems that may lead to claims being denied. This is especially important if you plan to use your appliance for years. It can be frustrating to get your claim denied when you need a major repair, and it’s often expensive to hire an independent contractor to complete the work.
Conclusion
Home appliance extended warranty plans offer a variety of perks to consumers. However, they don’t make sense for everyone. Appliance extended warranties are usually cheaper than bundled home warranty plans. They also typically cost a flat up-front fee, with no monthly or annual premiums to pay.
