Home audio & video forum: Extended Warranty.........are they worth it????

Wether or not to purchase an extended warranty depends upon the quality of the product and the reputation of the company that makes it. The better the quality the least likely the need for an extended warranty, both because the quality minded companies make products with minimum issues, and they usually back up the products with service guarantees. If the product is poorly made, and you buy the warranty then it may be worth it. But in such a case if you have to replace it multiple times because of poor quality, is it still worth it? If the product is not of high quality, then you will probably be replacing it either way. So why buy cheap products in the first place?

well normaly when you buy something it has 1 year of waranty. simply i think that something which is good doesn't have to go to reperation even after several years so getting the extended waranty is useless, kind of waste of money

but if you're not sure about the brand well it's worthit, better to lose your money after 1 year

To begin with I will admit that I sell service contracts for recreational items with financing, been doing this for 6yrs.

This is what I have found and do.
1. remember that not everything is 100% reliable. There is always situations that either due to human error or material defect you will end up with a break down. And don't think a product is all bad because it's failed you once and you took it back and changed it for something else... NOTHING IS 100%. (This is why I always check places like C-net for not only their reviews, but all of the user reviews).

2. The price of a service contract/ ext warranty should pay for itself in one breakdown. And figure in the cost of not just the parts, but also labor, taxes and other fees that can come up (like the company that I work for will pay for towing, hoist & lift out for boats and even hotel/meals if you are in a RV).Plus the service contracts I've had and used have paid for the food I lost when a refrigerator quit on me with no questions or need of reciepts. I've also had a service guy come to my house to replace a mother board on my 2yr old laptop (these would not have been paid under the manufacture's warranty in writing). Then look at your deductable, no deductible is the best, but usually it's between $25-$50 dollars. And be expected to pay for any troubleshooting at first, but a reputable company will reimburse you if the problem was not user damage/neglet or just common use (but sometimes common use can be paid).

3. Check where the repairs are done. Best is to be able to have the repairs done locally to you. If you have to ship it to a facility, check to see if you have to pay for shipping & handling and if so, will they reimburse you for it.

4. How will the repairs be paid for. The best programs should not make you pay for everything up front then pay you back later. Again, expect to pay for troubleshooting, but for the repairs itself should be done by the underwriter of you service contract and then you get reibursed. Check to see how they are paid too, it should be done with a credit card directly from the underwriter to the repair facility.

5. If you buy a service contract... don't forget that you have it and use it!!! I have heard alot of customers tell me that "I've bought those before but never used it" then to find out later that the reason they are buying the new item, thier old item could've been repaired with a service contract. For me, the first sign of a problem there should be a toll free number to call for advise.

So after all this... whew!!.. I sell service contracts, I buy service contracts, and I use service contracts, but I do not buy everyone that I come across by reading all the terms of the agreement.

yes if the purchase is a major one that u won't change for at least 4 years.

Also have u ever noticed how everything breaks down when your warranty's run out!!!

i had 2 years xtd warranty on fridge got 4 year one on laptop.

but u should always say it too expensive and u don't really want it at that price u will always get offered a discount or they throw something in for free.

I'm sure most consumers take great care in the item where they spend a load of money. I agree with most of the responses in that the extended warranty usually covers things that are less likely to go wrong or manufacture problems. The stories I've heard from people who have bought them, gave them the run around where most people peter out. By the time something goes, it's usually some years in. In this case, the buyer usually wants to get a brand new item. Or they loose the receipt to prove they purchased it there or the receipt was printed on those thermal papers that decay overnight.

I say nay to extended warranties and yay to taking care of stuff and just buying when you're finished enjoying it.

A few years ago, I bought my first digital camera at an online store. I had called their 800 number, because at that time, I didn't feel comfortable giving out credit card information online. After I bought the camera, the salesman was really pushy about selling me an extended warranty. He started at $150 for it, which was half the price of the camera! Long story short, we dickered about the cost of the warranty for a good five minutes. Finally, he said, exasperatedly, "Well, how much do you WANT to pay for it?" I said, "Twenty-five dollars." He said, " I tell you what, I'll settle for $35.00." I said, "Done!" It was a full warranty, covering everything no matter how it happened. Five months later, while enjoying Thanksgiving dinner at my oldest daughter's house, someone accidently knocked it off the kitchen counter onto the hard, tile floor. It shattered the battery door on the camera. I sent the camera off to the repair site, and in about 10 days, I had it back good as new. The $35 was far less than what I would have had to pay without it. However, this is one of the very few times an extended warranty has paid for itself in our experience. It's a 'c___ shoot, at best."

A guy I know a work will walk out on the spot if offered insurance.

What is the last thing you want to hear when you are about to slide a card for a $2000 TV? Try this:

"Well these Plasma TV's are very expensive when they fail and that gas they have in them leaks some time (Myth by the way). We see lots of people wishing they bought the insurance. Trust me....this product is a real lemon, you better get the insurance."

We bought the extended warranty with our Toyota - in was inexpensive comparied to all the other costs of the truck... rolling out the door at $46K - whats another $1K.

In the end it has paid off - but we have taken care of the vehicle pretty well its whole life. If you consider the time value of the money - maybe it wasn't a good value - but it does keep me from worrying about the Engine and Transmission much...

Just bought a Mercedes recently - its warranty is $3800 - that one is making me think twice.

On almost all electronics - I pretty much skip the warranty.

Bought the ex-warr. for a Compaq computer--3 years.
Watch this slick move on their part. You are really buying a two year extended. When my ram broke down in the first year, they said I had to wait ( actually turned out to be about two weeks) for them to get the ram from Compaq. They said they could not use their ram on hand since the first year was the Compaq warranty. They try to sell you by saying they protect you for three years and it "enhances" the factory warranty in the first year. NOT REALLY TRUE. I also lost all my data--they did not provide a back up disk for the data.
Wish I had not bought the warranty--never again. If something goes it will likeLy happen in the forst year and yu can then take it to a certified service depot.
The best extended warranty I have ever had was that provided through my credit card-VISA. It provides one year beyond the factory at no cost. this is a great benefit that many people do not realize they have--or have forgotten. CHECK YOUR CREDIT CARD BENEFITS.
TO CLAIM ON THIS BE SURE TO KEEP YOUR ORIGINAL RECEIPT AND THE MONTHLY STATEMENT SHOWING THE PURCHASE. ALSO KEEP THE WARRANTY DOCUMENTS THAT CAME WITH THE COMPUTER.

I bought the extended warranty for my new Mitsubishi 73" DLP hdtv. I may have paid too much for the warranty, but when the color engine (?) on that TV failed 3 times in the second year and the replacement part alone was supposed to be worth $1,100 each time, I was not too worried anymore. A warranty is an Insurance Policy and if the product is tried and true for many years, I do not bother. On big ticket Electronics or Vehicles, I always go for the warranty. On throw away items like DVD players and such, no way.

I am a service tech for a nationwide company who just happens to sell these warrantees to it's customers,and in fact,on the job I have sold them to customers. From my experience,I had a replacement policy on a PS 2 system, and I did wind up making use of it,so in that case it did work out.However,not everything actually needs one,when it comes to some high end electronic-read the warranty-and see what it covers- and see if there is a replacement clause in it. If you do purchase one,make sure you read the owners manual and follow it to the "T", because if you don't,that's where they will find a technical problem and you get the shaft. I do strongly recommend,if anyone buys exercise equipment-GET THE EXTENDED WARRANTY//// as it will always pay for itself in the short and long run,without a doubt. In my job, I've heard all kinds of stories where they have and have not paid for themselves,but by and large,get them for expensive electronics. Hope this helps someone..

In 2006 I bought a fairly expensive side-by-side refrigerator from PC Richards (and other appliances) and purchased a 10 year extended warranty which was fairly expensive. In the nearly 2 years I've had the fridge (wot a lemon!) I have had 7 service calls for the same 2 chronic problems. Next week they are finally replacing the defective part. A couple of those visits, the guy told us we needed to go to the expense of hiring a plumber to hook up a special water line and filter -- nothing in the manufacturer's literature suggests such an expense should be necessary. If the new icemaker fails to work after installation I'm thinking of asking PC Richards to replace the appliance and when they predictably refuse, take 'em to small claims court, along with the manufacturer. My last fridge I bought from Sears and for 8 years I never had a problem with it -- should have kept it until it died I think. So I've gotten a good deal of mileage out of my extended warranty which is worth it -- though the larger issue is, why has the quality of the merchandise become so shoddy?

You said, "Then, perhaps, the manufacturers will get a clue and make a solid product." I wouldn't count on that. My feeling, based on experience over the past few years is that they just don't give a damn anymore. They suck the money out of our bank accounts and are completely not accountable for the quality of what they sell. However, I normally use American Express to make purchases and AmEx is pretty good at going to bat for their members, at least if the product fails quickly -- refusing to pay the vendor until the issue is resolved.

So we see what is happening in the marketplace these days. We are becoming accustomed now to the expectation of shoddy merchandise for which we are invited to pay a sort of extra "tax", and a high one at that, to continually fix that which should not be broken in the first place. Parenthetically, my partner and I just spent about $150 to get our two IPods fixed -- both of them had worn out headphone connections and we weren't getting stereo reception anymore. The repair people told us that this happens all the time, and that also, contrary to what most people think, it's possible to replace the batteries in them when they are shot. We also purchased a warranty from the repair place to guarantee their work. Apple of course wants us to just go out and replace our IPods with the latest and greatest (and obscenely expensive) model they happen to be pushing at the moment. You know, with such poor quality in the merchandise, the serious environmental issues arising from the disposability of these costly toys, I'm thinking we all need to de-tox from our addiction to all this "stuff" they've convinced us we can't live without.

I'm getting used to losing. My refrigerator was manufactured in Mexico. Enough said on that score. The warranty contract is all money under the bridge now so going forward all I'm losing is the time I have to waste waiting for the repair guy to come and the inconvenience and frustration of dealing with a faulty product. Your suggestion about threatening not to buy the product seems a little futile to me. They can just shrug their shoulders, not issue the contract and wait for the screaming customer to come back with complaints to which they can reply "you shoulda bought the warranty". In any event the customer is always the schmuck. By and large "customer service" has become a meaningless term. Just doesn't exist anymore, with a handful of exceptions. We are being taught to accept the unacceptable and to pay through the nose for it. I should call Judge Judy.