Mylek Posted November 19, 2012 Share #1 Â Posted November 19, 2012 Advertisement (gone after registration) Is it worthwhile to buy the extended warranty for my M9? So far, it went in NJ to repair the memory lock switch 2 months ago. I'm not a professional who is using his camera daily... Â Regards! Link to post Share on other sites More sharing options...
Advertisement Posted November 19, 2012 Posted November 19, 2012 Hi Mylek, Take a look here extended warranty. I'm sure you'll find what you were looking for!
TomB_tx Posted November 19, 2012 Share #2 Â Posted November 19, 2012 Those who sell extended warranties are gambling that on average people will pay more for the warranty than they pay out for repairs. Never bet against the house... Link to post Share on other sites More sharing options...
iphoenix Posted December 7, 2012 Share #3 Â Posted December 7, 2012 Those who sell extended warranties are gambling that on average people will pay more for the warranty than they pay out for repairs. Never bet against the house... In the 1980's I did the calculations for a prestige German automotive company's "Approved Cars" (read second hand) Warranty. It was not offered on anything that did not pass a number of set inspections. Those inspections ensured that the cars were in good condition, therefore few warranty claims occurred. It was a great money earner for the dealers involved. As far as I am concerned, if a second-hand warranty is offered, the camera/tv/whatever has already passed enough tests for the seller/insurer to believe there will be no problems. As a result, they will get more profit; and the customer will have little chance of problems; but have paid more. If such a warranty makes you feel good, go for it. Personally, I'd prefer to save my money. Link to post Share on other sites More sharing options...
efreed2754 Posted December 7, 2012 Share #4  Posted December 7, 2012 Hmmm.... All insurance plans contain some basic elements.  First, there are sales and marketing expenses. 10% to 20% of premium?  Second are administrative and claim expenses, the costs to collect premiums, provide customer service, manage and investigate claims. 20% or more of premium?  Third are the actual payment of claims. For this type of program it would be 1 minus the above expenses of 30 to 40% or 60 to 70% or premiums. Could be 50% pay out.  That means that perhaps the manufacturer intends to pay less than 70% out in actual reimbursements. What above post meant about betting against the house.  There are people who never have a need, they get peace of mind. Others may have a significant number of claims and will receive more in payments than the premiums paid.  Of course the company could have defective parts or supplier issues which could mean they pay out a lot more in payments than anticipated  The consumer is usually better off not purchasing this type of insurance if they can afford repair costs over time. Link to post Share on other sites More sharing options...
Michael Hiles Posted December 8, 2012 Share #5 Â Posted December 8, 2012 The consumer is usually better off not purchasing this type of insurance if they can afford repair costs over time. Â The point of any insurance is to transfer risk to someone else, in return for a premium. Included in the premium is profit for the insurer. Generally, there is little point in buying insurance if you can stand the risk associated with a loss. If you cannot manage the risk and consequences of a loss - buy insurance. Link to post Share on other sites More sharing options...
pgk Posted December 8, 2012 Share #6  Posted December 8, 2012 The M9 has a two year warranty and the extra (third) year can be purchased for €290. Given the high cost of a potential repair I don't think that this is a bad deal myself regardless of the costings of its break down. The point being I suppose, that the camera is still new enough and worth sufficient to make an expensive repair viable. But having to fork out a large sum on top of the purchase price after 2~3 years would not be a pleasant route to take. After three years, the economics of value versus cost of repair kick in as an expensive repair may not be worth carrying out... . (So I will probably pay the €290). Link to post Share on other sites More sharing options...
earleygallery Posted December 8, 2012 Share #7 Â Posted December 8, 2012 Advertisement (gone after registration) If you buy it and your camera breaks down, then it will be seen as good value. Â If you buy it and nothing happens to your camera, you'll feel like you wasted the money. Link to post Share on other sites More sharing options...
TomB_tx Posted December 8, 2012 Share #8 Â Posted December 8, 2012 I bought one extended warranty - for a new 2004 model car with lots of new electronics. It needed one repair during the period that didn't cost quite as much as the warranty. I've never regretted not getting one on anything else. Life has risks - manage them. Link to post Share on other sites More sharing options...
Michael Hiles Posted December 8, 2012 Share #9 Â Posted December 8, 2012 Life has risks - manage them. Â Sometimes the best way to manage risk is to transfer it elsewhere - that is the purpose of insurance. The premium is the cost to reduce or eliminate the risk. If the covered risk does not happen, to conclude that the premium is wasted indicates a misunderstanding of the contract and what has been purchased. Link to post Share on other sites More sharing options...
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