Appliance Insurance

[Attar14]

I'm just wondering what everyone's take on appliance insurance is.  In my area, for around $35 per month, you can insure all your major appliances.  Good idea or waste of money?

[Matte]

I think it's a really bad idea! Put that 35 a month away in an account if your so worried about appliances breaking.  35 a month is over 400 dollars a year.  You can buy almost an appliance a year for that much.  Considering that most appliances go 10+ years without any problems and by that time there near worthless insurance is a bad idea.  Honestly in most cases paying a repairman to fix appliances is even bad, it's way easier to just pick up cheap used (clean modern) ones on Craigslist or 2nd hand shops and run to fail.

[matchewed]

I think it's a waste of money personally. But I'm okay with getting my hands dirty and figuring out how to fix my own stuff. If I can't fix it then I'll buy a used one.

I also have the luxury of renting so I'm not going to buy $35/month insurance on a $5 microwave. But even if I own my own house I'd never have insurance for my appliances. Take that $35 a month and save it. You can pay for repairs or buy a used appliance with the amount you save in a year.

[Attar14]

I figured that would be the response.....the reason i ask is this.  We just moved into a new house and everything is about 8 years old.  I'm not worried about washer, dryer, or dishwasher because as you said, those are easy enough to fix or get used very cheap.  This insurance includes furnace and central air which I am most concerned about.  Either way, I was just looking for other points of view.

[Matte]

Even counting in the furnace under $1k if it's low efficiency, or $2k if it's high efficiency is not that bad to replace.  Gas furnaces are very simple units, chances are if anything goes it will be a control board or heat exchanger, both plug and play parts.  Furnaces should go for 20+ years.  The ac I can see how it's a bit of a time bomb , they have next to no serviceable parts, and are delicit by design.  Check out the replacement cost of the unit. 

Even at 8 years, it's hard to imagine everything going over a short period. 

If you are at all handy, can follow directions, read, you should be able to diagnose your problems pretty easily, and make an educated rescission on when to repair or replace.  If your the type of person who would call a repair guy when something went wrong and be at their mercy, maybe I would consider the insurance as a lesser of two evils.