Is Getting An Extended Appliance Warranty Worth The Money?
So you wonder if it’s worth it to pay for an extended warranty on your high-priced appliances. The answer is…it depends. Below you will find the advantages and disadvantages.
The debate rages on as to whether or not extended appliance warranties are worth the price. Some appliance technicians suggest you get them for today’s bigger, more costly appliances, while others recommend that you ensure regular maintenance and that will be enough to keep appliances in running in fine shape.
We think extended warranties are a good idea for the majority of large appliances sold today. If you’re going to invest $800, $1,500 or $3,000 to buy an appliance, then it’s definitely worth buying one.
However, not everyone agrees that they are worth the additional cost.
Some would say it’s probably not worth it unless there is no way that regular maintenance will be performed.
The majority of manufacturers offer warranties for appliances that last from three months to up to one year. After that, the manufacturer claims no responsibility if the unit breaks down, unless the customer purchased an extended warranty.
A lot of retailers will offer you an extended warranty — also called service plan — when you make your purchase. Some manufacturers, though, offer them throughout the first year before the original, manufacturer warranty expires.
Extended warranties vary in price and length of contract. For example, warranties may run for as little as one year or extend up to five or more years, and cost less if purchased for a longer period of time.
Are extended warranties a sound investment?
Twenty years ago we wouldn’t have recommended extended warranties for large appliances. But these days?
Appliances are built quite a bit differently than they were years ago. Some refrigerators and washers cost more than $3,000. And the parts are so costly because newer units all come with computer boards. It can cost $200 and $300 for a single part. The high cost of parts to energy-efficient machines that seem to break down more easily is the biggest difference.
Our verdict is that consumers should start giving buying an extended warranty some consideration when cost of the item climbs north of $500 or more. If an appliance costs $800 or more, we definitely recommend purchasing one.