Normal wear and tear, accidental damage, and power surges are at the top of the list of things that might not be covered.
There have been a lot of people burned by claims made by a salesperson about what the extended warranty would cover only to find out that it wasn’t covered under the warranty.
These greedy salespeople are partially at fault, but where does the consumer take ownership for buying something that they didn’t understand in the first place? There is a difference between what you think the extended warranty should protect and what it actually protects.
Forget what the salesperson tells you the warranty covers. Forget what your friends told you. The bottom line is that the extended warranty will only cover what is detailed in the terms and conditions for the policy you purchase.
Read the fine print before buying any extended warranty no matter how trustworthy the person or company selling the warranty appears to be. Ask questions when you are unclear and when in doubt get clarification in writing if you don‘t see the protection listed in the warranty‘s terms and conditions. It’s your money being spent, not theirs.
How Much is an Extended Warranty?
In most circumstances, the price of a TV repair will be more expensive than the price of the extended warranty.
Whether you buy an extended warranty online or in a store, prices for extended warranties are determined by the price of the TV, which might also factor in the type of TV. This means that a warranty for a LCD TV could cost differently than the same extended warranty for a same size, same priced plasma TV.
So be sure to ask about the price for the extended warranty as it applies to each television. Don’t assume that one price covers all. This is important to remember if you’re on the fence regarding the type of technology you want inside the TV - LCD, plasma, DLP, etc.
In addition to being priced by TV type, a funny thing about extended warranties in a not-so-funny way is that an extended warranty for a $499 television could have an entirely different purchase price than a warranty for a TV that costs $500 even though both extended warranties are identical in coverage.
This is an unfortunate side-effect of what happens when you price warranties based on a range of prices, like $500-1000. So, it’s critically important to pay attention to where the price breaks are for extended warranties. Depending on where you buy the extended warranty could determine how much of a gap there is between price breaks. It might make it worth your while to move up or down the price ladder depending on the added cost of the extended warranty.
Buying Advice for an Extended Warranty
What’s the worst possible damage that could happen to your equipment? Do you have kids or pets? Do you host wild parties or plan on moving your TV from room to room or house to house?
Extended warranties can be well worth the extra expense. Then again, they can be an incredible waste of money and chances are that you’ll never use your extended warranty.
Advantages of the extended warranty include financial protection from costly repairs, in-home service, and a theoretical peace of mind while the product is under warranty.
Disadvantages include the cost of the extended warranty, potential hassles when trying to submit a claim, or a rejected claim due to a loophole in the contract’s wording.
When shopping for a TV, you’ll want to know how much extended warranties cost in comparison to the TVs you’re looking at. You can save a few dollars if you know where the extended warranty price increases. Maybe then you can feel like you got the most out of the warranty purchase as far as price is concerned.
Always read the extended warranty terms and conditions. If the warranty vendor can't produce them then kindly ask the vendor why they would expect you to pay for something as important as an extended warranty without seeing written documentation.
Also, ask if someone can explain in detail what a typical claim process would look like from your perspective. You never know when someone will pass you a tidbit of information that will help you out down the road. Salespeople know their product so use them as a resource.
Whatever you decide, your decision will undoubtedly come under scrutiny by someone -- be it a friend, family member or online writer. Ultimately, you’ll buy or pass on the extended warranty for your own reasons. Hopefully, this guide helped you on your way.