You may ask yourself if covering your home appliances important, which ones to cover (if any), and how worthwhile it would be.
The answer to this will vary, but consider the following:
1). The cost of your appliance(s)
2). The cost of insurance
3). The average life-span of your appliance(s)
4). What would the insurance provide you
Beginning with 1). depending on the appliance, costs may range between £200-1500. A tumble dryer for example, will more than likely be the cheapest of your appliances, around the £200 mark whereas a fridge-freezer will more than likely be the most expensive, especially an American/ French style which pushes up to and well over the £1000 mark.
Realistically, you may be happy to live without your tumble dryer for a short period; but living without your fridge-freezer…..? Based on purchase price, it’s likely that you’d be able to replace your tumble dryer a lot quicker than you can replace your fridge-freezer.
But the fridge-freezer is of a lot more use – and here you have a classic dilemma.
You may choose to insure one of your appliances, maybe the one that costs the most, the one that has the highest possibility of breakdown, or the one that gets used the most.
Or, you may consider a multi-appliance cover. This way you can cover all of your appliances, or a few that seem more important – this is possibly where your cooker and washing machine come into consideration. Multi-appliance insurance offers better value as you are able to cover more than one appliance under the same policy, but at a reduced rate for the second and subsequent appliances.
Moving onto 2). the cost of insurance varies across providers as does the coverage, so it is important to have analysed the terms and conditions and not just go with price alone. The cost of insuring an individual appliance will start around the £50 mark. The premium will depend on the value and age of the appliance normally, and possibly the brand. Miele appliances for example, may mark up with a higher premium due to their premium price tag.
It’s a good question – 3). what is the average lifespan of your appliance(s)? The answer to this probably varies the most. Better brands generally speaking should last longer and no doubt would have cost more at the time of purchase for this reason.
It has been reported that a washing machines standard lifespan is now only around 4-5 years, nothing like the lifespan they used to have where you’d see your grandparents with machines that have lasted a couple of decades.
4). Here’s where you make your decision. Insurance should cover you for the cost of all engineer charges and repair costs, including all parts and labour. Depending on the cover you get, replacements should also be included.
Labour and callouts again vary between engineers, and many charge a diagnostic fee separate to their call-out charge. Without cover, it’s likely you would pay an engineer’s callout, for them to tell you that the machine is unrepairable – and in that case you would have lost out on average £50 – this being a typical engineer callout charge.
As manufacturers introduce new models to the market, repairs become much harder to complete as parts become obsolete when newer style parts arrive. This means having a cover that includes replacement appliance(s) if BER is really important, as repairs aren’t always guaranteed.
Accidental damage is another clause that may or may not be included. This is a significant addition to have within a policy as of course accidents do happen, and not all faults will be mechanical or electrical – such as damaged door seals.
Another important factor is the number of claims that can or can’t be made during the policy period. If a cover caps the amount of claims that can be made, avoid this and opt for a cover which doesn’t have a restriction to the number of times you can claim.
We have looked at some areas of consideration; what to cover, why to cover and what the cover should involve/cost. Hopefully this has given some food for thought – If you want to find out more about our Appliance insurance, see http://www.prominencesupport.co.uk/home-appliance-cover/