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The Pros and Cons of Extended Warranties Print E-mail
Saturday, 01 April 2006
Article Index
The Pros and Cons of Extended Warranties
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It is too myopic to suggest that you shouldn’t ever invest in an extended warranty. You do want to shop for the best deal and consider warranty, service and support as part of the overall value proposition. I buy Apple’s Apple Care package for $2,000 G5 desktop computers for, because I know that I get premium service at my independent Mac reseller in West Los Angeles. I also get a slight price break on my computers and an even bigger price break on other more expensive items that are attached to the sale at the time, like a few gigs of RAM or some software. At other times, I either invest in higher-end products that come with good service and support or simply risk it. Not getting a warranty for the recent acquisition of an HP fax-printer-scanner for $699 turned out to potentially be a mistake, but a better version of the unit was available for $399 and was plugged in waiting for a three-year ad deal to come in via fax that next morning. In that instance, the cost of downtime simply wasn’t worth waiting for a repair when we didn’t have a backup ready to go online.

In the end, use your good sense when investing in warranties. Be fearless in asking for a break on the price, considering how profitable they are for big retailers. The right deal just might save your butt.

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