Manufacturer's Extended Warranty: the alternatives compared
Compare Manufacturer's Extended Warranty with 2 alternatives — price, trust and what each is best for. An evidence-backed second opinion before you buy.
Extended warranties are generally considered poor financial investments because they are expensive insurance policies for risks that are often not catastrophic. Most products are reliable, and retailers profit heavily by selling these plans, meaning the likelihood of getting your money's worth is low. Before considering one, check if you already have coverage through your credit card or manufacturer, and instead consider building your own emergency fund for repairs.
Statistically, you are likely to save money by setting aside the amount you would have spent on a premium into a dedicated repair fund instead.
Many credit cards offer free extended warranty coverage for products purchased with the card, often adding 1-2 years to the manufacturer's warranty at no extra cost.
Alternatives are suggestions from public sources; prices are approximate. How we score →