Are Appliance Warranties Worth It?
It can help pay for major repairs, but should you get one?
+1 more
If you’re like many of us, you want to make sure you get your money’s worth on your home appliances — and you might not have the budget to pay for a big repair or replacement in the event something goes wrong.
Most new appliances come with a manufacturer’s warranty, but it’s possible you’ll want to extend coverage to protect your purchase for longer. This is where an appliance extended warranty comes in handy.
An appliance extended warranty provides coverage for the repair and replacement of appliances, but this kind of plan can be pricey — and there’s a chance you won’t need it.
Jump to insightYou can get an appliance extended warranty from the original manufacturer, the vendor or a third party.
Jump to insightExtended warranty coverage for appliances typically costs $25 to $50 per month.
Jump to insightWhether appliance coverage is worth it depends on your situation, including the age of your appliances and whether you can afford the cost of repair or replacement out of pocket.
Jump to insightIs an appliance extended warranty worth it?
Appliance warranties can be worth it if the cost of the plan is lower than potential repair costs and the appliance has a higher likelihood of failure.
We broke down the scenarios in which we think it might be. If any of the following apply, consider spending the extra money upfront to potentially save later:
- You’re buying a high-end appliance with expensive replacement parts
- Your appliance model or brand has a known history of reliability issues
- You cannot afford an unexpected repair bill
- The warranty includes free annual maintenance
- The warranty covers power surges and/or electronics, which are common failure points
When it’s not worth it
On the other hand, there are instances when it's not necessary to spend extra on extended coverage. Before committing to an extended warranty, consider the following scenarios when it may not be worth it:
- You’re buying budget appliances, and replacement is cheaper than repairs
- The manufacturer already offers a long warranty included with the purchase
- The extended warranty has an exceptionally long list of exclusions
- Service call fees make repairs expensive
- You plan to move soon
| Situation | Warranty value |
|---|---|
| High-end appliance | High |
| Appliance with known reliability issues | High |
| You cannot afford a repair bill | High |
| Warranty includes maintenance, power surges and/or electronics | High |
| Budget appliance | Low |
| Manufacturer warranty is long | Low |
| Extended warranty has lots of exclusions | Low |
| High service call fees | Low |
| You’re moving soon | Low |
How do extended warranties for appliances work?
An appliance extended warranty is a service agreement that provides coverage for the repair and replacement of individual appliances listed in your contract. You can get this type of warranty from the manufacturer or dealer of your major home appliances before your manufacturer’s warranty expires to make sure there’s no lapse in coverage.
An appliance extended warranty is a service agreement that covers the repair and replacement of specific appliances listed in your contract.
“Typically, customers have the opportunity to purchase an extended warranty at the time of purchasing the appliance or within a specified period of time (e.g., 30 days, 60 days, etc.),” explained Brian Jones, the vice president of marketing at appliance company ASKO.
“This can be through the manufacturer, retailer or a third-party provider. Factors to look for in the terms include the duration of coverage, the scope of coverage and any exclusions,” he said.
Jones explained that using an extended warranty is usually a simple process. The customer starts by filing a claim, which the warranty company then reviews to confirm the issue is covered. If it qualifies, the provider arranges for a technician to inspect and repair the problem. In many cases, there’s no upfront cost for the policyholder, though some warranties include a deductible or service fee.
Appliance extended warranty coverage
If you’ve bought an appliance at a brick-and-mortar store, you’ve probably been asked by a salesperson if you want to go ahead and extend your warranty at the time of purchase. Typical appliance extended warranties cover individual major appliances like refrigerators, dishwashers, ovens, cooktops, water heaters and clothes washers and dryers.
Appliance extended warranty coverage differs depending on the specific warranty plan; some coverage lasts a short period, while other plans last years, and particular parts coverage and conditions vary. These contracts are often similar to the original manufacturer’s warranty — they just extend the period of time you’re covered.
Appliance extended warranty exclusions
Like all contracts, extended warranties on your appliances come with fine print. Most extended warranties don’t cover things like cosmetic issues or neglect. Here are the most commonly excluded items in extended appliance warranties:
- Accidental damage
- Cosmetic issues
- Improper installation
- Neglect or poor maintenance
- Nonfunctional parts (lights, knobs, shelves)
- Damage from power surges or electrical issues
- Problems caused by misuse or unauthorized repairs
- Consumable items (filters, batteries, water lines)
- Damage from pests, mold or environmental conditions
» MORE: What does a home warranty cover?
How much does an appliance extended warranty cost?
The cost of an extended warranty depends on the type of appliance, the type of coverage, the warranty provider and your location. As of publishing, a typical appliance extended warranty costs between $25 and $50 per month. More expensive appliances will usually have a higher extended warranty cost than less expensive appliances.
| Brand | Cost |
|---|---|
| Frigidaire | $57 to $470 |
| GE | $67 to $847 |
| Bosch | Depends on the appliance |
| Samsung | $90 to $700 |
| Maytag | ~$50 |
Appliance repair vs. extended warranty cost comparison
When deciding whether an extended warranty is worth it for a particular appliance, it helps to consider how much you’d spend to repair or replace it without coverage.
In many cases, the cost to repair an appliance exceeds the cost of the warranty, making it a worthwhile investment. In others, the costs pretty much even out, so whether it’s worth it is a matter of how risk-averse you are.
| Appliance | Average repair costs | Average replacement costs | Average extended warranty costs* | Is the warranty worth it? |
|---|---|---|---|---|
| Refrigerator | $300 to $500 | $1,000+ | $100 to $200 for 1 to 2 years; $150 to $500 for 3 to 5 years | Often worth it for high-end models because repair and replacement costs are high |
| Clothes washer | $150 to $500 | $450 to $2,000 | $100 to $350+ for 2 to 4 years | Sometimes worth it, especially for front-load or high-tech models |
| Clothes dryer | $100 to $400 | $600 to $1,500 | $45 to $100 for 1 to 3 years; $130 to $300 for 4 to 5 years | Usually not worth it unless the model is expensive |
| Dishwasher | $160 to $300 | $300 to $600 | $40 to $120 for 1 to 3 years; $100 to $180 for 3 to 5 years | Often not worth it because replacement is relatively affordable |
Factors to consider when deciding on an appliance extended warranty
When deciding whether an appliance extended warranty is right for you, consider the following:
- Appliance age and expected lifespan: Older appliances are more likely to break down, making coverage more valuable.
- Repair and replacement costs: Compare potential repair costs with the warranty cost to see if the investment is worthwhile.
- Manufacturer reliability: Some brands have a strong reputation for reliability, which might reduce the likelihood of needing a warranty.
- Household usage: Heavily used appliances may benefit more from extended coverage.
- Financial flexibility: If an unexpected large repair bill would be a burden, an extended warranty might provide peace of mind.
- Coverage details: Always read the fine print. Check for exclusions, coverage limits and whether service fees or deductibles apply.
How reliable are the top appliance brands?
Whether an extended warranty makes sense for your appliance depends on the likelihood of it needing a repair during the warranty period and the cost of that repair. While every appliance is different, certain brands are less likely to need expensive fixes than others.
For more reliable appliance brands with less expensive parts, a warranty might be an unnecessary added cost. But for a high-end appliance with expensive components, an extended warranty could save you hundreds in the event of a breakdown. Here’s how the top appliance brands stack up:
| Brand | Reliability |
|---|---|
| LG | Feature-heavy models with pricier electronic repairs |
| Samsung | Complex tech that can lead to higher repair costs |
| Whirlpool | Generally reliable with fewer repair issues |
| Maytag | Durable, long-lasting appliances with low failure rates |
| Sub-Zero | Premium builds, but very expensive to repair |
| Viking | High-end appliances with costly specialized service |
| Bosch | Reliable but precision parts make repairs pricey |
Pros and cons of appliance extended warranties
Appliance extended warranties offer a number of benefits — for instance, they can be more affordable than a bundled home warranty plan — but they don’t make sense for everyone.
Pros
- Cost-efficient when repairs or replacements are needed
- Guaranteed repairs by a qualified technician
- No hidden fees or charges and you know expenses when purchasing warranty
Cons
- Can be expensive
- Accidents are not covered
- May be unnecessary if warranty is never used
Jones walked us through the upsides and downsides of appliance extended warranties. “There are some advantages to appliance extended warranties, such as the longer protection you get beyond the manufacturer’s warranty, as well as the fact that the costs for any future repairs are typically locked in at today’s prices — rather than paying more in the future due to inflation,” he explained.
At the same time, he cautioned that extended warranties aren’t always cost-effective. “It is possible that the cost of the extended warranty may end up exceeding the potential repair costs,” he said, noting that this is particularly true for well-made, high-end appliances that are less prone to major issues.
He also noted that issues involving slow response times or low-quality replacement parts are not uncommon, but this varies by service provider.
One ConsumerAffairs reviewer from Oklahoma, Danielle, was impressed with the benefits of her extended warranty. “We were pleased to receive a next day appointment for our issue,” she said. “Our assigned technician, Ed, arrived and examined the problem, offering a full explanation of what went wrong, as well as the solution and how to possibly prevent it in the future. He was friendly and knowledgeable. Would highly recommend.”
» CALCULATE: Home warranty costs
Appliance extended warranty alternatives
If an appliance extended warranty isn’t the right fit for you, there are other ways to protect your appliances or prepare for future repair costs:
- Home warranty plans: These plans bundle appliance and home system coverage, which may be more cost-effective for homeowners with several aging systems and appliances.
- Manufacturer or retailer protection plans: Some retailers offer in-house protection plans that may differ slightly from extended warranties.
- Credit card protection: Certain credit cards offer purchase protection or extended warranty coverage on eligible items.
- Savings fund: Instead of paying for a warranty, consider setting aside money in a dedicated appliance repair fund.
- Homeowners insurance endorsements: While traditional homeowners insurance doesn’t cover appliance breakdowns, some policies may offer optional endorsements for appliance-related coverage.
Evaluating these alternatives can help you determine the best way to safeguard your home investment without overpaying for coverage you may not use.
Appliance extended warranty vs. home warranty
While an appliance extended warranty covers only the appliance you’re concerned about, such as a refrigerator or dishwasher, a home warranty provides bundled coverage for multiple home appliances and various home systems, depending on your plan.
When you sign up for a home warranty, your company will cover the cost of fixing or replacing a covered household item when it breaks down from wear and tear. You can purchase a home warranty at any time, and coverage lasts as long as you pay for it, making it ideal for homes with many aging appliances. Here’s how they compare:
| Feature | Appliance extended warranty | Home warranty |
|---|---|---|
| Coverage | One appliance | Multiple appliances and/or systems |
| Cost | $25 to $50 per month | $30 to $90 per month |
| Deductible/service call fee | $0 to $150 | $75 to $150 |
| When to buy | At the time of appliance purchase | Any time |
| Best for | Protecting a new, expensive appliance | Covering multiple aging appliances and/or systems |
FAQ
What is an extended warranty?
Extended warranties typically function like an original manufacturer’s warranty, but they lengthen your coverage period. With an appliance extended warranty, when an issue occurs, you can file a claim with the warranty provider, and it sends a technician to assess and fix the problem or replace the appliance entirely.
Are refrigerator extended warranties worth it?
An extended warranty for a refrigerator can save you money if something goes wrong with a refrigerator no longer under the manufacturer’s warranty. However, with any extended warranty, there’s always the chance you won’t end up using the coverage.
Can I cancel my extended warranty?
You should be able to cancel, but each warranty plan is different, and each provider has its own rules for cancellation. Make sure you’re familiar with these rules — you don’t want to be stuck in a contract and paying for coverage you don’t want.
Do appliance warranties actually save money?
Appliance extended warranties can save you money, but not always. Warranties may save you money if your appliance needs major repairs, but many people never use them. It really depends on the appliance’s reliability, the cost of the plan and how long you plan to keep it.
Is a manufacturer's extended warranty better than a store warranty?
A manufacturer’s warranty is often better than a store warranty. Manufacturer’s warranties tend to offer more consistent coverage and use authorized technicians. Store warranties can be convenient, but service quality and repair networks vary widely, so it’s worth comparing the details before you buy.
How long should appliance warranties last?
Most appliance manufacturers' warranties last one year, though some premium brands offer longer coverage for certain components. Extended warranties typically add one to five additional years of protection. For many appliances, a total coverage period of three to five years is common and often aligns with the period when breakdowns are most likely.
Is it better to self-insure appliances?
Self-insuring appliances means setting aside money in savings instead of paying for a warranty plan. For many households, this can be a cost-effective strategy because not every appliance will require repairs. However, self-insuring works best if you have enough savings to comfortably cover a large repair or replacement if one happens unexpectedly.
Which appliances are most likely to break?
Appliances with complex electronics or heavy daily use tend to experience more issues. Refrigerators, dishwashers and washing machines are among the appliances most likely to require repairs over time because they run frequently and rely on multiple mechanical and electronic components.
Bottom line: Are appliance extended warranties worth it?
An appliance extended warranty can help pay for issues that unexpectedly arise with your major home appliances. Purchasing coverage may be a good choice if you have older appliances or if you know you won’t be able to handle the cost of any major repairs or replacement out of pocket.
Before purchasing an appliance extended warranty, check for an existing manufacturer's warranty and find out if you already have extended coverage through your credit card. Whether an appliance extended warranty is worth it depends entirely on you and your situation. Make sure you read over any agreement carefully before purchasing extended coverage.
