Have a major appliance or other large piece of equipment break down? It can cost big money to repair or replace a unit such as a washing machine, refrigerator or oven. Even outdoor items such as a lawn mower or weed-wacker can run up a big bill when the repair man comes to call.
It is pretty common these days to be offered an extended warranty whenever you make a major purchase. Manufacturer warranties seem to be shrinking by the day. No longer do you get a lifetime warranty on products, or even a year-long warranty. Most of the time, you have 90, 60 or even only 30 days for something to break.
Clever companies have come in with their offer of extended warranties to cover this gap. Usually they are administered by third parties with no link to the company that manufactures the original product. Sometimes they are affiliated with the store, though, when the store “purchases” coverage. Most of the time, salespeople are encouraged to sell an extended warranty as an “add-on” to the purchase. These encouragement can come in the form of quotas or commissions. So, needless to say, they may recommend the warranty for their own good instead of yours.
So let’s talk some more about extended warranties. Most of the time we pass over buying these expensive insurance plans. Generally the cost almost as much as the appliance itself. And even with the warranty, not everything is covered.
But, there are two times when buying an extended plan does make sense. The first is when the appliance you are buying is truly high end and contains a lot of electronics that could get fried by a power surge or other common household event.
The second time an extended warranty might make sense is if you there is absolutely no chance that there is a single repair-handy bone in your body. The peace of mine that comes with knowing you are covered by an extended warranty might just be worth the added expense.
Still, before agreeing to the warranty, do some research. Divide out the cost of the warranty per year to see if it makes sense to you to carry it. And confirm what is and is not covered.
Mary Ann Romans also writes for the Computing Blog here at Families.com where she shares everything from the latest news on technology to cool downloads and fun websites.
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