Are appliance warranty plans worth the additional investment? Consider several factors to decide if the appliance service contracts are the right way to go for you. Follow these tips on assessing the value of an appliance extended warranty:
1. Do Your Homework
The first thing to consider is the appliance itself and the coverage that is being offered. Regardless of what the salesperson says, you have to make the decision based on your own needs. Do your homework in advance, and be ready, when the warranty on electronics question arises.
2. Coverage- exactly for what?
Understand and know exactly what the warranty covers. Read carefully, whether the contract provides additional coverage that is sufficient to warrant the extra expense. Your appliance surely includes a limited term product warranty, so you have to ensure that you’re not just buying more of the same. Also, check any exclusion on the appliance service contract; is there anything that you expect to be covered, but it’s actually not?
3. Know the appliance
The better you know the consumer reviews on the appliance you’re buying, the better it is. Know the likely failures and its dependable strengths, so that you are better armed for making a sound decision about the virtues of any appliance service contract.
4. Are there hidden costs?
These contracts are like insurance policies and they often have deductibles. They can also have use of service fees, applied each time you draw upon the warranty. Be fully aware of all the costs that will be involved in using such an extended warranty or your cost-benefit calculations could lead to unhappy realizations later.
5. Reputation matters
The top quality producers in any field do not just sell you a specific product or service but are also selling you their reputation. If they produce reliable goods, provide excellent customer service, and client satisfaction is their top priority, people will find out soon. These solid companies will provide you a product unlikely to need such warranties, but in case you decide to be safe and spend some extra, you’ll be comforted to know that warranty will be honored in spirit as well as in letter.
Appliance service contracts can be tricky yet provide great value, but if poorly chosen can be a waste of your valuable money.