The other day I spoke with a neighbor that was unhappy because of a problem he had with a major purchase for his home. As he explained his dissatisfaction, I asked to read his copy of the product manufacturer’s material warranty. Upon opening the warranty card, the first thing that caught my eye was the familiar phrase, “Lifetime Warranty” typed in enormous boldface letters. Reading further, I noticed that the substance of the warranty was written in a very small font. After further review, I noticed that my neighbor’s discrepancy was specifically excluded from the warranty coverage and I informed him. As I suspected, he then told me that the sales representative stated that the product in question was the best product on the market and that it had a manufacturer’s lifetime warranty. I asked my neighbor if he had read the warranty before purchasing this product. He proceeded to tell me that he didn’t read the warranty because the product was made by a major manufacturer and that he trusted that company. As I continued reading the warranty, I found that it contained numerous exclusions and limitations that in my opinion were ridiculous! The warranty wasn’t worth the paper it was printed on and was obviously designed to protect the manufacturer not the purchaser. I read each of the exclusions to him out loud and then asked him: Since we now know what isn’t covered under the warranty, can you tell me what is covered by this warranty that your homeowners insurance won’t cover? His reply was, “nothing” and this is when he started to feel sick to his stomach.
The sad truth to the above reality, is that this same scenario happens to consumers all of the time. My neighbor did learn several things from his unfortunate incident: He now knows that the manufacturer printed the warranty exclusions in small print to be less noticeable when read. He also learned that just because a product is made by a reputable company with a reputation for quality products, it doesn’t necessarily guarantee the product’s quality or it’s coverage with a comprehensive warranty. Last, he learned to always read the entire warranty before he decides to purchase a product, regardless of what a salesperson claims regarding the warranty.
Admittedly, reading a warranty is not as exciting as reading a murder mystery novel but, I can say that the information I have listed below, has helped me to make major purchasing decisions with ease, confidence, and save me money. Think of the warranty as the textbook required for an open book test. If you spend a few minutes reading your text, you will pass the test with flying colors. If you choose instead to just save your time, don’t be upset if you end up making an unwise investment. In the end, how much time did you save?
Here are the conditions I look to meet and questions that I look to get answered when reading a warranty:
- The company backing the warranty is financially stable. – A warranty is only as good as the company behind it and if that company is gone, so is the warranty.
- The warranty is not an extended warranty. – If the product
performs as advertised, it won’t need an extended warranty.
- The answers to the following questions are clearly spelled out in the warranty: – Who is backing the warranty? What does the warranty cover? How long does the coverage last? What corrective action will be taken to remedy a claim? What is not covered under the warranty? Are there any limitations? How is the warranty registered? Is the warranty voided if the manufacturer has not received the registration card within a specified period of time following completion? Is the warranty transferable? If so, on what terms or conditions? Is there a pro-ration clause? How is a claim submitted? Is material, labor, and installation quality included?
Robert (Bob) W. Birner is a Certified Graduate Remodelor (CGR) and Vice President and General Manager of Houston based Amazing Siding Corp. He also answers your home related questions on Saturday mornings when co-hosting, “The Remodeling Pro Radio Show” that airs from 7-9AM on News Talk 1070 AM KNTH radio. |
