Whenever you go to buy a new AC, TV, fridge, laptop or any other electronics item, salesmen pitch you for extended warranty. Not only this, many times you will see the offer of extended warranty on online platforms, for which some extra charge is taken from you. Should you get an extended warranty? Are companies fooling you for their own benefit?
What is extended warranty?
Extended warranty is a warranty which is taken by the company to extend the warranty given on a product. For example, if you buy an AC, TV or refrigerator, then a warranty of 1 or 2 years is offered by the company. In extended warranty, you can take extra warranty for 1 or 2 years apart from the regular warranty. Companies offer you extended warranty by charging some nominal charges.
What are the benefits of extended warranty?
Let us tell you that no rules have been set by the government for extended warranty. It entirely depends on the company whether it offers extended warranty to the customer or not. The biggest advantage of extended warranty is that if your product gets damaged during the warranty period, you will not have to pay charges for servicing. Also, components are replaced at low cost. However, it also completely depends on the company what it is offering to the customer.
What is the benefit to the company?
Generally the company also benefits from extended warranty. Generally no product gets spoiled so quickly i.e. during the warranty period. In such a situation, companies get an opportunity to charge the customer for extra warranty. Additionally, customers are tied to getting the product repaired at the company’s service center. Even after the product is old, they do not get it repaired at any third party service center.
What should you keep in mind?
Before taking an extended warranty, the customer should check whether it is being offered by the company itself or by a renowned third party or retailer. Many times salesmen or online platforms sell extended warranties to customers, but when there is a problem with the product, customers have to make several rounds to get it repaired. In such a situation, customers should do thorough investigation before taking warranty.
Also read – How long will it take to recover the cost of a 3kW solar panel? understand the complete mathematics
SK Sharma is a content writer who writes on news, entertainment, and lifestyle topics. She has over four years of experience and is known for conveying information in simple and clear language.
