The days of washing machines lasting for decades are over. To boost sales, manufacturers may be installing consumables that often breaks. In order to counteract this, additional insurance for household appliances may well be worthwhile. Depending on the insurer, repair costs are often fully covered with no or low excess rates.
Even in the event of a total loss, most insurance companies provide for a replacement service.
Electrical appliances become prone to damage with age. This can be expensive, as after the warranty period has expired, the repair costs will be your responsibility. Even during the manufacturer’s warranty, not all damages are covered. With appliance insurance, you are protected from repair costs. These are caused by wear, material defects or improper handling (e.g. fall or water damage). The insurance then covers the costs of spare parts, labour, as well as call-outs and replacements.
You will also receive a new purchase grant if a repair is no longer worthwhile or considered beyond economical to repair by the insurance company. Optionally, you can also protect your device against theft, robbery and vandalism.
If you take out warranty insurance during the warranty period of your device, the new insurance cover will be seamlessly linked. Otherwise, the warranty insurance usually starts after a mandatory wait period.
Replacement and a cash grant
Even if the repair of your device is no longer worthwhile, you are protected from high expenses with the warranty insurance. This is because you receive some cash grant some times in the form of vouchers a subsidy for the new purchase, depending on the age of the equipment.
The sum insured
The insured sum determines the claims settlements. Household appliance insurance companies usually use the actual purchase price for this purpose. Damages will be adjusted up to this amount. The advantage of a household appliances insurance is that it can be taken out at any time, so it makes no difference whether the device is new or used. The duration of insurance can also be adjusted at will. In contrast to the conventional warranty and warranty claims, the duration of device insurance is not limited. As a rule, it can be transferred when you replace the old device with a new one. The only important thing is that the device is in good working order at the time of setting up the insurance.