Tower Hill Insurance Group appliance breakdown insurance
 

I received an email from Tower insurance trying to sell me the above added coverage for 50 dollars per month with a 500 dollar deductible. Covers most appliances and electrical equipment such as TVs and computers Wondering if anybody here has this and their thoughts. States “normal wear and tear” not covered. My fear is that they will tell me that any claim I may have is due to this and not covered. Just wondering if anybody has filed a successful claim. Thanks

Seems incredibly expensive. If you have one claim in a year you could have purchased most of the appliances in your house for that cost.

I agree.

The normal wear and tear clause should be the least of your concerns. This is not "insurance", which is regulated by the state. It is an extended warranty agreement. They are a waste of money. You are locked in to allowing them to decide who does the repair, when the repair is done, and whether or not you want the appliance repaired or replaced. These should all be your decisions and not decided by a warranty company who is only trying to maximize their profit. Also, you will never get a first class technician to repair anything because first class technicians would never share their profit with a warranty company.

Sorry. 50 dollars per year with a 500 dollar deductible

Still a waste of money. Most appliance repairs are way less than $500. So, that means that they could charge you $400 or more for a repair that is only worth $100, and you would have to pay it.

Insurance is for what you can not afford.

Not for, what insurance you can afford.

Our fridge died in May 2020. Becks charged $60, for visit, wanted $700 to repair, with no guarantee it would work. Took 3 months to get a fridge. Lowe’s strongly suggested extending warranty, for $140. For 3 years, which we never do, but with appliances at a gamble bought the plan..3 days after regular warranty fridge dies. Factory repair guy said because if appliance shortages, during pandemic plus they found many issues with new appliances, when they were delivered.

For my $140 the gave me a $405 check for food, new board, and part for ice, which would have run $475. Since the initial cost of fridge was almost $2,000, that $140 was a bargain. If they come out again, I get a new fridge, so win win.

I got a letter about this awhile ago but felt I didn’t need it. Not sure how claims would work.

I would avoid this company. $500.00 deductible? Dishwasher & microwave can be less than that. Plus $600.00 per year in premiums. Wear & tear? That could mean, “ It worked for five years and you wore it out, sorry.” No thank you.

RetiredGuy123 nailed it. I've had neighbors who have had three separate "repairs" all for $350-$400 within a few months of each other instead of just fixing the problem once (different "issues" so not the same deductible). They make their money on lower skilled repairmen, multiple repairs, and when a need to replace it is with a lower quality appliance that you can "upgrade" (ie: they make more $$$).

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We have used American Home Shield. It's approximately $400 per year, $100 for each service call. Then American Home Shield repairs your appliance at no additional cost. We've used them for over 12 years in Hawaii and just signed up for Florida.

Extended warranty
 

I am not promoting this, but Broward has extended warranty coverage for most items in a home for a lot less than $600 per year with no deductible. Plans include circuit boards and even replacement if items cannot be repaired.

I totally agree. If you feel you want this kind of "Insurance" on your appliances, look into
Broward Factory Service (352-307-5100.) I have their coverage but have not needed to call them for any problem. The last time I purchased new appliances, my refrigerator and my washing machine both needed very costly repairs about two months after my one year warranty was up. I did not have a plan like Broward at the time so this time I decided to try one. Of course, everything has been fine for 2 1/2 years. Maybe I will never need them.