What is home appliance insurance?
Home insurance will repair or replace your home’s white goods and other appliances if they stop working through mechanical failure or accidental damage.
Your appliances will typically have to be less than eight years old to qualify for this type of cover.
Home appliance policies usually run for 12 months – after which time you can either renew or shop around for a better deal.
What appliances does it cover?
Most providers offer cover for cookers and microwaves; fridges and freezers; washing machines and tumble dryers; dishwashers, TVs and TV boxes, games consoles and music systems.
Digital equipment such as laptops do not tend to count as household appliances. They will need to be insured under your home contents cover – and declared separately if their value exceeds the ‘single item limit’ stated in your policy agreement.
Alternatively, some packaged current accounts – usually ones that charge a monthly fee – may provide cover for your gadgets if you register them with your bank.
Why would I need appliance insurance?
Running a busy household without white goods – especially a washing machine and tumble dryer – can become very challenging very quickly. Having appliance breakdown cover provides 24/7 peace of mind that, should your appliance lifelines stop working, an engineer will be sent out (usually within 24 hours) to fix or replace it.
Paying premiums for domestic appliance insurance also means you don’t have to find the cost of replacing an appliance – or for arranging for it to be installed – when it breaks down or is damaged.
What costs are included under the policy?
A typical domestic appliances home insurance policy should pay for the parts, labour and call out charge – including emergency call outs – when an appliance breaks down due to mechanical failure or accidental damage. However, always check the provider’s terms and conditions so you know exactly what is and isn’t covered.
How many home appliances can I cover?
You can cover multiple home appliances under one policy. In fact, doing this often leads to a discount on the annual premium.
When would I not need domestic appliance cover?
There are some scenarios when you may not need home appliances insurance – or buying it would mean doubling up on cover you already have. Here are some examples:
- If you’re renting your home. In this case, the landlord will be responsible for repairing or replacing any appliances that come under the letting agreement
- If it’s under a manufacturer’s warranty. If you bought the appliance brand new it probably came with a warranty – also known as guarantee – for a set period. If the warranty was free of charge, make sure you have activated it by emailing or calling the phone number provided
- If you have home contents insurance. Your existing home insurance policy might offer cover for your appliances if they were damaged by fire or theft. However, accidental damage will typically only be covered if you have bought it as a ‘bolt-on’ to your policy, while mechanical breakdown of appliances is unlikely to be covered at all
- If you have a packaged bank account. Some fee-charging bank accounts come with rewards or benefits such as free extended warranties for your home appliances. Check to see what yours covers with your bank
- If you are still withing your consumer rights. Under the 2015 Consumer Rights Act you can get a refund within 30 days if your goods are not fit for purpose, as the manufacturer or retailer described or are of unsatisfactory quality. You’ll also be entitled to a refund within six months of the purchase for the same reasons if the retailer can’t prove otherwise.
As part of the Consumer Credit Act, you’ll be entitled to a refund if an appliance is faulty, cost between £100 and £30,000, and you bought it with a credit card.
How much does home appliance insurance cost?
Your premium quote will depend on several factors such as where you live (for example, an area of high crime rates or flood risk), the value of appliances you are covering, your own personal claims history – and whether you choose to pay your premiums monthly or annually (paying monthly is more expensive overall).
However, basic cover can start from just a few pounds a month.
Will my appliance be replaced?
Providers usually operate a new-for-old policy as part of their home appliance insurance, which means you’ll be given a brand-new replacement, usually market-equivalent, for the damaged appliance. Check your policy details.
Where do I get home appliance insurance?
You can also buy off-the-peg appliance insurance from some standalone specialist providers.
Alternatively, contact the manufacturer of the appliance – or the retailer you purchased it from – and buy an extended warranty – a ‘top up’ to the initial one it came with.
What is not covered by home appliance insurance?
Many types of insurance policies come with exclusions – these are the ones that you might find in a typical domestic appliance policy:
- Unnecessary call-outs: If you request an emergency call out for repairs and there is no fault with the appliance
- Cosmetic damage: Where the damage you’re claiming for just looks bad but doesn’t affect it working
- Wear and tear: If the damage is a result of general use
- Pre-existing damage: If the damage existed before you took out the policy
- Still under warranty: If you’re still under your manufacturer’s warranty you’ll have to claim through that instead.
Start your journey to protect your home’s appliances by answering these quick and easy questions from MoneySuperMarket.