You have every right to be concerned about buying a warranty. The many horror stories are true. Most of the time you are buying nothing more than paper.
However, sometimes warranties are a smart purchase because a few appliances will almost always break within 5 years.
In this article, you will learn how to buy a warranty. You will also know the most commonly repaired appliances and those most costly to fix. We have 25 techs in 8-12 homes daily, so we have a better understanding of repair than most.
But first, you need a bit of perspective.
Thirty-one years ago, we did not sell warranties. There was no point. An average Maytag washer lasted 17-19 years, so why would I sell a 5-year warranty? We did not want to build Yale on paper.
However, with a shift to higher energy efficiency standards and globalization of parts, appliances began to break more often.
So we started selling them through a third-party insurance company. They sell us the warranty and back it when the product breaks. This is a great idea but has very poor execution because insurance companies are not so quick to pay.
We back our own warranty as of 10 years ago. You call with a problem. We fix it without approval from a third party.
You most likely read the reviews online. Someone buys a warranty and cannot have the product fixed. Think about it: The product was bought online from New York and shipped to California with a warranty covered by a provider in Texas. This will never end well.
Moral of the story, NEVER buy a warranty from a company without a service department even from the same town. You are better off just taking your chances. Without actual service technicians, the product will never be fixed.
The most reliable appliances are disposers. We sold 1,000 with 1 repair (actually my disposer).
Microwaves are reliable because there is not much to break. Yes, even the drawers are reliable -provided they are installed correctly.
Hoods move air….which is not hard to do. You can pass on an extended warranty.
Dishwashers, in general, are very reliable and not expensive to fix.
I am on the fence on this one, but they are generally reliable.
Washers have a very low repair rate. However, they are very expensive to repair. In fact, after spending $1,000 just on parts fixing a couple, we typically replace washers with direct drive problems.
These products have fewer parts and features yet more service calls. Most of the time, they are minor.
The most reliable refrigerator with a dispenser requires service 19% of the time within the first year. That is a staggering number. Refrigerators have had to conform to tough energy standards. The downside has become their reliability.
Also, most French door refrigerators with dispensers are sending a frozen cube through a warmer refrigerator. Over time, it will leak.
Separate icemakers almost always require service within 5 years. We send an email yearly to clean your ice maker as scaling will cause the product to malfunction among other issues.
When was the last time you cleaned your icemaker? Don’t feel bad. I cannot remember either.
First, do not buy one. If you are buying your appliances from a company without service, you are indeed throwing your money away. At best, you will experience a ton of hassle and inconvenience.
If you want a piece of mind, buy warranties on every appliance. Many contractors do that and subcontract us to fix any issues.
However, the most prudent products would be washers, pro ranges, and any type of refrigerator or ice-making appliance.
Lastly, here are my last tips you should know.
Additional Resources
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