Get The Most Out Of Your Extended Warranty Program | Protect My Iron®
Purchasing an extended warranty for your construction equipment can be a strategically smart move, but it’s important to consider your options so you know you’re getting the financial peace of mind you expect. You want the right coverage, at the right price – an extended warranty program you can count on.
Like all insurance, an extended warranty protects you in case the unwanted occurs. OEMs provide initial warranties, but some last only a year, the best ones only a few years. The older your equipment, though, the more likely something truly expensive will break or wear out. What if that failure comes at a time when you’re low on cash? Or you haven’t accumulated enough in your reserve account to pay for the repairs? You can bet this will happen when you most need the machine.
Repairs cost money and the downtime involved costs you, too, so your ability to complete jobs on time is in jeopardy in two ways. That makes an extended warranty program a good idea, whether you’re a small contractor or you own a large fleet of equipment. Typically you can purchase an extended warranty at the same time you purchase the machine or about six months before the original warranty expires.
Modern technology makes extended coverage an even better investment.
It used to be that your mechanics had the skills and tools to repair virtually anything that went wrong with your construction equipment. It was fairly straight-forward to budget a contingency sum to cover the cost of repairs or rebuilding components, so obtaining extended coverage didn’t seem imperative.
Today, though, construction equipment incorporates complex electronics, emission control devices, etc. For most firms, it’s no longer feasible to train and equip in-house technicians to perform this work. And the technology continues to change.
With factory-installed telematics, anyone can see how your equipment has been used and maintained. If the on-board data shows the machine has been operated outside specs, your claim could be denied. On the other hand, those same telematics give you earlier visibility into impending problems, making it easier to head off potentially costly repairs.
Constructing your extended warranty.
Things can break or wear out prematurely, but knowing the life expectancy of critical components enables you to think ahead about what you should cover. You should consider the cost of the extended warranty program versus the risk of operating without coverage as your machine ages. In part, that relates to how frequently you use the equipment and in what conditions. Every warranty program requires you to operate and maintain the equipment according to OEM recommendations.
Policies differ in terms of what they cover. Like original coverage, extended warranties cover OEM defects, not problems that occur due to neglect or misuse or damage resulting from theft, natural disasters or other events outside your control. Some warranties cover consumables, and some do not cover normal wear and tear. That can make a tremendous difference down the road, because construction equipment usually includes “perishable” components that are very expensive to rebuild.
Ask who will perform repairs and under what conditions, and ask about transferability if you sell the machine.
Protect My Iron® offers tiered coverage for parts and labor.
You can insure the:
The more you cover, the higher your premium, but choosing a less-than-full-machine option leaves other components unprotected. The harder you work the machine, or the harsher the conditions, the more coverage you will want.
Protect My Iron® gives you more than insurance coverage.
Because this program was developed by a team of experts with extensive experience in both construction and insurance, it provides maximum convenience as well as top-quality coverage. Warranty Connect software enables dealers, customers and OEMs to track claims in real time via their own access portal and customers can stores all their warranty-related information in one place.
An extended warranty program is a business investment. You get peace of mind and you can predictably budget the cost over a given period of time.