In our latest survey on electronics buying, 74 percent of in-store shoppers said that sales staff had pitched them the idea of buying a service plan. In-store electronics shoppers, however, were not much more likely than online shoppers to buy a plan (16 percent vs.12 percent). Overall, the median price paid also was quite similar at $81 in-store and $82 online. Our survey results were similar for those who bought major appliances. Eighty-five percent said their checkout didn't conclude without at least a suggestion that they purchase a service plan. At some stores, shoppers felt "strongly urged" to spring for the extra coverage. The median price paid for a plan was $123 for a major appliance and $37 for a small one. There are many reasons why we recommend against buying service plans: Repairs May Be Covered by Manufacturer's Warranty Although manufacturers' written, or "express," warranties often don't last as long as they used to, there's a good chance your product is covered for at least 90 days.

Buying a service plan may not only duplicate coverage you already have, it sends manufacturers a message that limiting their express warranties will increase the sale of service plans. You shouldn't have to pay extra to get manufacturers or retailers to stand behind their products. Products Seldom Break Within the Service Plan Window Our data show that products usually don't break during the two-to-three-year period after the manufacturer's warranty expires and the service plan is in effect. Repairs Aren't That Costly When electronics and appliances do break, the repairs, on average, cost not much more on average than a service plan. The median difference in our latest survey was $16. Manufacturers Sometimes Cover Out-of-Warranty Items If a product breaks down in an unreasonably short time or if there's a known problem affecting many customers, manufacturers often will help by replacing the item free or at low cost or by providing free or discount parts or repairs.

So contact the manufacturer and ask for help. If necessary, appeal all the way to the executive office. Your Credit Card May Have You Covered Many credit cards automatically extend the manufacturer's warranty up to a year or so on many products purchased entirely with the card. The coverage is free. Even More Reasons to Skip Service Plans You may have other warranty rights. As a result of state laws, most products automatically come with an unwritten "implied warranty of merchantability," which means the items must function as a person reasonably would expect, be free of substantial defects, and last a reasonable amount of time (although the duration of the implied warranty usually is no more than four years). carpet cleaning orlando reviewsIf a product can't meet these requirements, you may have a right to pursue the retailer and/or manufacturer legally. best way to clean carpet fringe

An exception is allowed for items that were sold using such terms as "as-is," which unfortunately is the case for much of what's being sold online, based on the fine print we've read on many retail websites. But about a dozen states (Connecticut, Kansas, Maine, Maryland, Massachusetts, Minnesota, Mississippi, New Hampshire, Vermont, Washington, and West Virginia) and Washington, D.C., prohibit such exceptions; so you're covered no matter what. For more information on your warranty rights, read our 2013 report: "The word on warranty protection. steam cleaning carpets austin txYou have more rights than you might think."steam cleaner and vacuum combo Insurance May Cover Youbest cordless vacuum cleaner for tile floors

Plans that cover you if an item is stolen, destroyed in a fire or other major event, or vandalized may only duplicate coverage you have under your homeowner's or rental insurance policy. But check your policy deductibles. Homeowner policies generally don't cover items that you break, for example by dropping them. The Plan May Let You Down Service plans typically have many fine-print exceptions that a provider can use to deny your claim. Among survey respondents whose repairs were covered by warranties, 62 percent were highly satisfied and 19 percent were dissatisfied with their repair. las vegas pool maintenance costsThose numbers are similar to the percentages found for those who paid for repairs out of pocket. car carpet cleaning in houstonNotably, repairs covered by warranties had slightly more problems than repairs covered out of pocket.

• More likely to have taken at least two weeks (23 percent compared with 15 percent for out-of-pocket repairs). • More likely to have resulted in a repair not done correctly the first time (22 percent compared with 12 percent for out-of-pocket repairs). Automotive service plans sold by third-party companies, instead of by car manufacturers, have been a particular problem. There have been many complaints from customers who say the providers often refuse to pay claims, often saying the problem isn't covered. In 2011, the St. Louis-based Better Business Bureau issued a critical report of the industry titled, "Vehicle Service Contract Industry. How Consumers Lost Millions of Dollars." You Can't Afford to Protect Everything Even if the plans were worth every penny, it's simply not cost-effective to buy a plan to cover every major purchase in your life. While a service plan may leave you coming out ahead once in a while, overall you'll probably save money by avoiding plans and seeking other ways of tackling broken or defective products.

Save the money you'd otherwise spend on service plans. Place it in a savings account, where you've socked away six months to a year of living expenses, or put it in a designated product repair/replacement fund. Then, when a product breaks, you'll have the money to repair or replace it. Of course, you first should try your other options, such as contacting the manufacturer or retailer if you think the problem was the result of a defect, or using coverage you may have from your credit card. Another benefit is that the money you've set aside will be available if you need it for some other reason, such as paying your living expenses if you lose your job. The more reliable the product, the less likely it will be that you'll have to fix or replace it prematurely. Also, check out user reviews on this website and by using a general web search with the product name and/or model number and the word "reviews." Read Manufacturer Warranties Before Buying Under federal law, a seller is required to show you the warranty before you make a purchase.