The Value of an HVAC Extended Warranty

Your HVAC system is one of the most important investments for your home. From keeping you and your family cool to providing a little warmth during those unexpected cold spells, ensuring your system is working properly is key to your happiness.

However, like any major appliance, HVAC systems can experience breakdowns, which can impact your wallet over time.

That’s where an extended warranty can help by saving you money and reducing stress.

Let’s take a closer look at an extended warranty.

What Is an Extended Warranty?

An Extended Warranty is an agreement that covers AC Repairs after the original manufacturer’s warranty expires (see below), typically for 5-10 years.

This comprehensive protection includes parts and labor.

It allows homeowners to continue receiving AC Repairs for their system’s components without incurring high out-of-pocket costs.

Typically, regular maintenance is required to keep the warranty intact.

Not all extended warranties are created equal; so be sure to review and understand the agreement before committing.

When you work with us, we will explain your protection in detail.

What Is A Manufacturer’s Warranty?

An Original Equipment Manufacturer (OEM) Warranty is provided by the manufacturer upon purchasing a new system.

This warranty differs from an extended warranty because it typically does NOT cover labor costs.

When you call for AC Repair, parts may be replaced for free for a specific time frame (typically 5-10 years). But, you’ll be responsible for labor including diagnosis and installation, which can add up quickly.

Benefits Of An Extended Warranty

With an extended warranty, you’ll experience savings over time.

Let’s consider one scenario: After the original manufacturer’s warranty expires (OEM), your AC system experiences several issues over its life span (10 years). These estimates include labor between $75-$175 per hour:

• Blower Motor Repair – $600 (Forbes.com)
• Refrigerant Leak – $1000 (Forbes.com)
• Compressor Replacement – $1600 (Today’s Homeowner)

Without an extended warranty, you would be facing $3200 in repairs.

Let’s assume the upfront cost of an extended warranty covering these AC Repairs is approximately $1250. This would result in savings of $1950 over the lifespan of your unit.

Peace of Mind

Similar to insurance you have for your car, an extended warranty gives you peace of mind your system is protected. The cost for AC Repair will be covered (including labor), reducing the stress of sudden, surprise expenses.