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Article Tittle : Insurance News - Insurance News - Warranty buyers beware - know what you are paying for- BY PUPUT PUTRI

Insurance News - Insurance News - Warranty buyers beware - know what you are paying for- BY PUPUT PUTRI

Artikel Insurances Agent,
Consumers can buy warranties on any number of products these days, ranging from a new vehicle to a small gadget or appliance. Before you lay down more money for a warranty, here are a few things you should know:

• Be sure you fully read any warranties before you buy them and don't be afraid to ask questions if something you read needs clarification.
• Warranties do not cover all damage. For example: Vehicle warranties may exclude damage related to after-market modifications to engines, power trains or suspension systems. If you buy a used vehicle that comes with these types of modifications, the warranty may not cover damage to or in the event that those modifications fail. Be sure you understand the limitations of any warranty you are thinking about buying.
• Some warranties require you to pay a fee or copayment if you need to use the warranty. For example, smartphone warranties often require you to pay a fee each time you use them.
• Do the math. Weigh the cost of the warranty over the time period it covers. Would it cost you the same or less money to replace the item if it broke during the warranty period?
• Does your homeowner or renter's insurance cover the item? Your policy may cover you if the item is stolen or destroyed in a fire or other incident. Check your policies and deductibles first, and remember that insurance policies typically don't cover damage to items that you break. 

Read more about warranties and service contracts on our website. Questions? You can contact our consumer advocates online or at 1-800-562-6900.

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