Your appliances are some of the most expensive (and essential) components of your home — if they break down, repairs can be costly and disruptive.
An appliance’s extended warranty provides additional coverage for an appliance you buy beyond the standard manufacturer’s warranty. Most manufacturers offer you the opportunity to purchase an extended warranty for your major appliances at the time of purchase. This manufacturer’s warranty can provide peace of mind and protection when appliances stop working. In some cases, they protect you from spending money on costly repairs. But in others, they’re not a good deal — it all depends on the specific extended warranty.
In this article, I’ll talk about whether you should buy an extended warranty for your home appliances and I’ll help you gain an accurate understanding of the pros and cons of spending your money on this protection plan.
In my experience, I find that extended warranties are generally not worth the cost. Instead, I recommend that you buy a home warranty plan. The best home warranty plans will cover all of your major appliances for roughly the same amount of money you’d pay for an extended warranty that covers just one.
What Is an Appliance Extended Warranty?
Most appliances you buy come with some sort of manufacturer’s warranty. These policies provide a free repair or replacement if there is something wrong with the machine during the warranty period. Often, they’ll last for about a year and provide peace of mind.
Appliance extended warranties are different. These types of protection plans are usually offered by a third-party company or retailer and are purchased separately from the appliance itself. For a fee, they’ll extend the timeframe where you can get a free or inexpensive repair or replacement for your appliance. Usually when the manufacturer’s warranty period expires, your optional extended warranty goes into effect.
While similar in some respects, an appliance extended warranty is not the same as a home warranty plan. Most home warranty plans will help cover the cost of repairing or replacing your appliances if they break down due to normal wear and tear. They typically cover major appliances of any age, and aren’t tied to the date you bought them.
A homeowner can purchase a home warranty plan at any time, no matter when they purchased the appliance. This is different from an appliance extended warranty, which you’ll generally need to buy upfront when purchasing the appliance.
Another key difference: Most home warranty providers will cover many home appliances under one protection plan, while an extended warranty typically covers just one.
What Are the Pros and Cons of Appliance Extended Warranties?
Appliance extended warranties can provide peace of mind when buying an expensive machine. You’ll need to be prepared to purchase the extended warranty within a specific period — and understand the protection plan’s limitations.
Pros of Extended Appliance Warranties
Longer coverage: Today’s home appliances are expensive. For example, a new washing machine may cost up to $3,000, leaving homeowners with little cash on hand or credit to cover the cost of repairs or replacements if it were to break down.
The primary advantage of an extended warranty is the extra coverage it provides beyond the manufacturer’s warranty. It offers protection against unexpected failures that may occur after the original warranty period expires. This means homeowners have more time to replenish a household emergency fund or pay off credit card debt before becoming responsible for repair bills.
Convenience: With an extended warranty, the warranty provider typically handles the appliance repair process. This might include multiple time-consuming steps like arranging for part replacements and coordinating with authorized service centers qualified to provide safe and efficient repairs. This can save time and effort for you as the homeowner, as you have professional help navigating the appliance repair process.
Affordability: Extended appliance warranties may cost only a few dollars a month but extend the manufacturer’s warranty period coverage for up to three years. This can be ideal if you’re looking for a cheap way to protect only one appliance rather than investing in an entire protection plan policy.
Cons of Extended Appliance Warranties
Limited usage: When most people look for home appliance warranties, they’re looking for protection against breakdowns. New appliances are the least likely to breakdown, meaning that you’re more likely to be paying for extended warranty coverage you don’t need.
Conditions on when you can purchase: You’ll usually need to purchase an extended warranty upfront at the time you buy the home appliance. Depending on the type of appliance you want to protect and the date you bought it, you might not qualify to buy this type of protection plan.
Exclusions and conditions: Extended warranties often have specific terms, conditions, and exclusions that limit when you can use coverage. Certain breakdowns may not be covered, or there may be limitations on the types of appliance repairs or replacements provided. It’s crucial to carefully review the extended warranty terms to understand what’s covered and what isn’t as well as any deductibles.
How Much Do Appliance Extended Warranties Cost?
Overall, the average annual price of an appliance extended warranty is generally between $20 and $150 per year. It’s a big range, because there’s a lot at play. Your cost will vary depending on the company manufacturing your home appliance and the price you paid for it.
In some cases, you’ll pay just as much for an appliance extended warranty as you would to repair the major appliance yourself. This is especially true if the warranty is on the higher end of the price range. When you’re offered an appliance extended warranty, compare the price you’re quoted to the average repair costs of major appliances shown in the table below.
| Appliance | Average cost of repair |
| Dishwasher | $150 to $400 |
| Microwave | $100 to $250 |
| Oven | $100 to $350 |
| Refrigerator | $90 to $650 |
| Washing machine | $150 to $275 |
However, you should consider more than just the cost when considering an appliance extended warranty. The warranty company will also help arrange for the appliance repair, which can provide peace of mind. It’s worth noting that a traditional home warranty company will do this, too.
What Should I Look for in an Appliance Extended Warranty?
Many manufacturing defects should show up during the normal warranty period. Look for an extended warranty on expensive major appliances with a long lifespan. An extended warranty on an inexpensive or short-lifetime item is not likely to be a good economic decision. Set a price point where it makes sense to just buy a new appliance rather than repair an old one. Anything above that threshold, you might want to look into an extended warranty to cover potential repairs down the line. Set aside the money you would pay for extended warranties into your own account for repairs and replacement costs.
What Do Extended Warranties for Appliances Cover?
Extended warranties for appliances cover repair and replacement costs for one of your major appliances after the manufacturer’s warranty expires.
Extended warranties can commonly cover major appliances such as refrigerators, dishwashers, ovens, freezers, washers, dryers, and water heaters. These major appliances are typically expensive to repair or replace, making extended warranties particularly attractive for homeowners. Brands like Samsung and LG might partner with local third-party extended coverage providers to offer this protection at the time of purchase.
In terms of coverage, extended warranties for appliances generally focus on the mechanical components of the appliances. These components are prone to malfunctions due to normal wear and tear or potential manufacturer defects. Some examples of components you might find covered could include motors, compressors, heating elements, control panels, timers, pumps, valves, and sensors.
If any of these components fail during the initial warranty period, the extended warranty will typically cover the costs associated with repairing or replacing them. This can include the expenses for parts and labor, restoring the major appliance to proper working condition without you as the homeowner incurring significant out-of-pocket expenses. Be sure to review the terms and conditions of your extended warranty coverage to learn more about components and situations covered.
A traditional home warranty covers most of the same things, but for all of your major appliances instead of just the one you’re buying. I recommend going with a full home warranty plan instead. Here are a few of our top picks.
So, Are Appliance Extended Warranties Worth It?
I’ve found from my experience that in most cases, an appliance extended warranty is too limited to be useful. Appliance extended warranties must be purchased shortly after investing in the appliance. The cost of the extended warranty could be more than the cost of a repair or future replacement.
In cases where the appliance’s extended warranty is a small monthly or annual fee, it can be worth the price.
Instead of an appliance extended warranty, I recommend exploring home warranty service plans. These plans bundle coverage for a wide range of appliances and systems with a single, affordable monthly premium.
FAQs About Appliance Extended Warranties
What is the difference between a regular warranty and an extended warranty?
Extended warranties build off the coverage provided on the regular manufacturer’s warranty that comes when you buy a new or refurbished appliance. Your manufacturer’s warranty will include a list of terms, inclusions, and exclusions for the first year that you own the appliance. An extended warranty continues these same protections for an additional time period after the warranty expires.
Can you extend an extended warranty on appliances?
In general, it is not common to extend an extended warranty on appliances. Extended warranties are typically purchased for a specific duration at the time of appliance purchase. Once the extended warranty expires, it is not usually possible to further extend the coverage. Check with the warranty provider or consult the terms and conditions of the warranty to confirm the possibilities for extension.
Is it a good idea to get an extended warranty on appliances?
Buying an extended warranty on appliances can be worth it for exceptionally expensive appliance investment. However, in most cases, it’s more advantageous for homeowners to buy a home warranty, which offers coverage for a wider range of appliances and systems.
Will a home warranty cover my appliances?
Yes, most home warranty plans will provide some level of coverage for appliances unless they are specifically designed to cover only home systems. Be sure to review the terms of the appliance coverage included with a home warranty if you do decide to invest in this type of plan.
