Is Applecare worth it?

[Mike in Kansas]

How am I discounting all opinions when I respond to all of them? The reason I make such a blanket statement is because if it were a good deal, they wouldn't be offering it. Period. It's a business.

Then I guess by extension all of the hardware they sell isn't a good deal either, because they offer that too. But you have no problem buying it; heck, you even stated that you buy it more for the aesthetics than the performance. How is THAT financially wise? I find it curious that you rail against Apple Care, but have no problem buying a machine that the majority of the world thinks is over-priced and under-powered. Who else sees something wrong in THAT?

 

[Mike in Kansas]

Maybe I'm just financially conservative but I don't think any $30k/year family needs a $1000-$2000 computer. A cheap Dell is fine.

I remember when I was younger, I saved a long time for a very expensive high-end laptop. I babied that thing, always trying to make sure it was perfect, using it very carefully. This made the experience much less enjoyable than it should've been. There was a lot of fear/worry because I knew if something happened to it, I'd be screwed.

These sound like value judgements and not "facts", as you keep referring to them as. Who are you to decide what a person "needs" and "doesn't need" based on their income? If they are willing to sacrifice for something, and then they get great pleasure in what they eventually purchase, great for them. Just because you have a hang-up about that don't go imposing your issues on to them.

I can assure you, even though it takes me some time to accumulate the cash for my "toys" like a Mac, a good DSLR, good lenses, etc., I don't obsess over possibly damaging them, because I purchased them to USE them, not have them for badges. And it's paid for. If I can get an extended warranty for a complex electronic device that costs less then 5% of the replacement cost of the device, that sounds like a good deal given the mid term failure rate of electronic components.

 

[Mike in Kansas]

You get one year of AppleCare as standard with every new machine, right?

The AppleCare you buy seperate adds another two years onto your existing "supplied" year?

And, am I right in that you have until one year from purchase to extend/buy AppleCare?

Correct. You also get the phone tech support extended beyond the initial 90 days when you buy it as well.

 

[drjsway]

Then I guess by extension all of the hardware they sell isn't a good deal either, because they offer that too. But you have no problem buying it; heck, you even stated that you buy it more for the aesthetics than the performance. How is THAT financially wise? I find it curious that you rail against Apple Care, but have no problem buying a machine that the majority of the world thinks is over-priced and under-powered. Who else sees something wrong in THAT?

Because when I buy hardware, I get hardware. When I buy for aesthetics, I get aesthetics. When I buy AppleCare, there's a 90% chance I get nothing.

You honestly don't see something wrong with Apple selling a service that only covers their own defects and making a profit off it? Dell and many others offer accidental damage. Is it not reasonable to buy buy hardware and expect it to work for three years without it breaking? And if it does break, is it not reasonable to have the manufacturer stand by their hardware?

 

[drjsway]

These sound like value judgements and not "facts", as you keep referring to them as. Who are you to decide what a person "needs" and "doesn't need" based on their income? If they are willing to sacrifice for something, and then they get great pleasure in what they eventually purchase, great for them. Just because you have a hang-up about that don't go imposing your issues on to them.

These are value judgements and I never said otherwise. The only thing I claimed as fact is that extended warranties are not financially wise in the long run. Everything else is opinion and we are only debating here so I don't know why you feel it's necessary to make it personal in numerous posts now.

 

[Mike in Kansas]

You honestly don't see something wrong with Apple selling a service that only covers their own defects and making a profit off it? Dell and many others offer accidental damage. Is it not reasonable to buy buy hardware and expect it to work for three years without it breaking? And if it does break, is it not reasonable to have the manufacturer stand by their hardware?

Because a computer consists of many many parts that aren't manufactured by the computer builder, you need to worry about component failures much more so than the computer manufacturer's "own defects". Apple is offering assurance against components that THEY purchase, not just assurance against the act of putting the computer together.

Yes, Dell does offer accidental damage, and that is an additional cost above and beyond their extended non-accidental warranty, which is an additional cost above and beyond their standard non-accidental included 1 year warranty. Don't make it sound like their standard defect warranty is any different than Apple's; it's a 1-year non-accidental damage warranty.

 

[Mike in Kansas]

The only thing I claimed as fact is that extended warranties are not financially wise in the long run. Everything else is opinion and we are only debating here so I don't know why you feel it's necessary to make it personal in numerous posts now.

But that's not "fact", it's conjecture. It depends on the cost of the extended warranty, the expected life of what you are covering, and the replacement cost. That's my whole point. To make the blanket statement that "extended warranties are not financially wise" and call it a fact is just wrong. I don't care WHO says it - Consumer Reports, Dave Ramsey, etc. They are making a generalization. Now, the PRACTICE of upselling extended warranties to ignorant consumers is wrong, and many places will gouge you during the transaction. However, to say that all extended warranties are not financially wise is not a fact, it's an opinion.

That's like the often misquoted line "money is the root of all evil", when the REAL quote is "the LOVE of money is the root of all evil". Money by itself isn't bad. Extended warranties by themselves are not bad. It is situationally dependent.

Nothing personal in this round...

 

[drjsway]

Because a computer consists of many many parts that aren't manufactured by the computer builder, you need to worry about component failures much more so than the computer manufacturer's "own defects". Apple is offering assurance against components that THEY purchase, not just assurance against the act of putting the computer together.

Okay, I concede the point that Apple is insuring third party components in addition to their own.

Question: Can you use the warranty of the component's manufacturer? For example, Apple uses Toshiba HDDs. Toshiba offers a 3-year warranty on their HDDs. If my HDD fails, can I contact Toshiba directly?

But that's not "fact", it's conjecture. It depends on the cost of the extended warranty, the expected life of what you are covering, and the replacement cost. That's my whole point. To make the blanket statement that "extended warranties are not financially wise" and call it a fact is just wrong.

I define "financially wise" as something you are more likely to benefit from financially than not. I will concede that it may make sense in certain situations. Using this definition, all insurance, including life/health/home/car etc., is not financially wise, but it may still make sense for many people. It is still a fact that it's not financially wise.

Just curious, do you get extended warranties on all your electronics? If so, how often have you taken advantage of them? This is only my personal experience but I have bought many LCDs, rear projection TVs, projectors, A/V receivers, sound systems, pcs, DVD/HD-DVD/Blu Ray players, etc., and never once has any of these components failed in the extended warranty period. I have broken 2 laptops in my day, due to my own clumsiness.

Nothing personal in this round...

Thank you.

 

[Mike in Kansas]

Just curious, do you get extended warranties on all your electronics?

I have never purchased an extended warranty on any electronic - yet. Most of them (for me) have been on the verge of being "disposable" (various P&S cameras, iPods, consumer video camera, previous PC's, etc.), with the exception of our three new computers (a 20" and 24" iMac and a Toshiba laptop) and my DSLR (Nikon D300). I will probably get eBay Apple Care for both of my iMacs, but probably not for the laptop as it was (relatively) cheap and can be replaced (relatively) cheaply.

As I do video and photo production on my iMac, I need something with some decent processing power. My 24"/2.8 iMac has been my most expensive electronic purchase to date, even more than my DSLR. The fact that it is an all-in-one excaberates the issue; I have replaced power supplies, fans, NIC cards, RAM, etc. on my prior "beige boxes", but really don't want to go poking around inside my iMac. Plus, as everything seems to be integrated, it's not as user friendly to work on.

My company puts service contracts on all the laptops and desktops we lease, especially for remote users like myself. It has been well worth it. I have had to use these service contracts more often than I have would have expected. For just my 2-1/2 year old Dell Latitude alone, it has had 2 mobo's replaced (integrated NIC failures ), 1 keyboard replaced, 1 RAM stick replaced, and the bezel around the screen replaced. I think I have had to have had work done on every laptop I have gotten for work (3 Dell Latitudes, an IBM Thinkpad, and some other IBM laptop over the past 12 years), so the service contracts definitely were worth it.

Major appliances are another area where extended warranties are often pushed and debated; I have never purchased one with the exception of getting one for a new fridge. The retailer had a deal on a 5 year warranty and the cost of entry was $50 for a $2400 fridge. Although statistics have no memory (ha ha!) I have had 3 fridges in a row fail before 5 years, so to me it was worth it. They even had a clause that insures the food inside the fridge!

 

[trip1ex]

Many credit cards double warranties for items purchased with them.

I know mine does or at least used to. I haven't checked in awhile. I might have a 2-yr warranty on my iMac. I wonder if that means AppleCAre would be doubled too? Actually most have a maximum of 1 additional year. Still would that mean an extra year for the iMac and for Applecare if purchased with a credit card that extends warranties?

If you buy off Ebay Applecare is a decent deal. $87 for an iMac. Phone support included so you can call them up anytime. Also it's a selling point when you get rid of your iMac which means you can recoup some of the cost of the warranty.

 

[Jackintosh]

Many credit cards double warranties for items purchased with them.

I know mine does or at least used to. I haven't checked in awhile. I might have a 2-yr warranty on my iMac. I wonder if that means AppleCAre would be doubled too? Actually most have a maximum of 1 additional year. Still would that mean an extra year for the iMac and for Applecare if purchased with a credit card that extends warranties?

If you buy off Ebay Applecare is a decent deal. $87 for an iMac. Phone support included so you can call them up anytime. Also it's a selling point when you get rid of your iMac which means you can recoup some of the cost of the warranty.

That's true and a good point. But have you ever tried to actually use extended warranty service from a credit card company? It's a nightmare. You have to send in an application for warranty reimbursement, provide detailed documentation, write up a statement of facts and circumstances, and then they may in the end deny your request based on a technicality.

You won't get Applecare phone support from a credit card company, and they won't understand most of what you're issue is or what you're talking about. So I see credit card extended warranties in this case as more PR hype from them than anything useful.

 

[aristobrat]

Question: Can you use the warranty of the component's manufacturer? For example, Apple uses Toshiba HDDs. Toshiba offers a 3-year warranty on their HDDs. If my HDD fails, can I contact Toshiba directly?

No. When an OEM like Toshiba sells parts to companies like Apple, the parts have a different model number that indicates that Toshiba is not responsible for the warranty.

 

[jmpage2]

Because when I buy hardware, I get hardware. When I buy for aesthetics, I get aesthetics. When I buy AppleCare, there's a 90% chance I get nothing.

You honestly don't see something wrong with Apple selling a service that only covers their own defects and making a profit off it? Dell and many others offer accidental damage. Is it not reasonable to buy buy hardware and expect it to work for three years without it breaking? And if it does break, is it not reasonable to have the manufacturer stand by their hardware?

Actually, that's not entirely correct. Apple Care extends the technical support on the product from the initial 90 days to the full 3 years of the Apple Care contract.

People will call the technical support line with Apple Care for things that have nothing to do with product defects, questions such as "how do I migrate my iPhoto library" and they will get support at no cost.

The profit margins built in to Apple Care do help Apple provide this tech support at a reasonable cost, as opposed to calling MS for any reason with any of their products and having to pay a minimum $100 incident fee just to talk to a human.

If that has no value for you then fine, but to claim that Apple is getting rich off of maintenance contracts is laughable.

Another point of fact is that the bulk of Apple tech support is still based out of the US. While US tech support operations have their issues, I will take them over calling over seas any day of the weak and it's certainly worth a small price premium for that benefit alone.

 

[txnoob]

Another point of fact is that the bulk of Apple tech support is still based out of the US. While US tech support operations have their issues, I will take them over calling over seas any day of the weak and it's certainly worth a small price premium for that benefit alone.

You hit the nail on the head right there. I commend Apple for this.

 

[Shaun.P]

I would recommend AppleCare.

Apple has (usually) outstanding customer service when it comes to repairs / replacement. You can usually pick it up on eBay marginally cheaper than what Apple charges.

 

[macffooky]

I received an email receipt for the repairs to my 2006 24" iMac yesterday, a small matter of £1250 ($1843). I know Apple charge a premium for their repairs but that would have been a hefty bill from anyone (new display, inverter, logic board, GPU, HD and a left fan).

"I'm an AppleCare and I'm bloody glad about it"

 

[rich.smith]

As an economic proposition, it's not cheap. And as I've said a couple of times before, Apple inflates the cost of these repairs, which gives people who buy AppleCare the impression that they're getting value for money.

You have no way of knowing Apple's motivation, cost structure, or any other information that determines the cost of repairs.

In any case, the statement I made holds true. If you are someone who can't afford to replace or repair your computer if it breaks (and know that Apple isn't the only place where you can have it repaired), then an extended warranty may be something to consider.

This should be the only reason for buying AppleCare. Clearly more people can afford to pay for AppleCare than replace or repair a computer.

 

[gasport]

Interestingly, I did bite and got AppleCare on Ebay for under $80. Then I read about some credit card companies doubling the warranty. I wrote to my credit card company (Chase) and got the following response. I have purchased many items and unfortunately, never took advantage of the service. You better believe from now on I am going to register every product with them. I have a digital camera that is now out of 1 year warranty and stopped working. I would still be covered if I did take advantage of the free service. You can actually get extended warranties but I am not sure of the cost of that. So I am assuming my new iMac will be covered for 2 years. I am going to inquire today to see if it is just repair or if it includes the telephone support (which is 3 months, I believe). This will be interesting as I received a note from Apple saying my 1 year warranty on my Macbook was about to expire and wanted me to buy AppleCare.

Your Visa card carries free warranty service. Visa's
Warranty Manager Service offers:

· A registration service to keep track of warranties and
provide key information about coverage when Cardmembers
need it. Cardmembers are encouraged to send in sales
receipts and warranty information so that Visa can keep
documents on file for you. This will ensure hassle-free
arrangement for repair.

· Extended Warranty Protection that doubles the free
repair period under the original manufacturer's written
U.S. repair warranty up to one additional year. This
protection is for eligible warranties of three years or
less when the item is purchased entirely with an eligible
Chase Visa credit card.

 

[jmpage2]

You get no tech support with the credit card extension of your warranty though, just break-fix type support for actual repairs and it's usually done through a reimbursement process, requires you to do additional paperwork, etc.

 

[Shivetya]

Well I was cleaning up the office and came across a receipt that puts it all into perspective.

I have an iMac (white/24/2.16c2d/7600gt) and it died one day.

Well the repair receipt lists the following costs

Part credit 661-4293 was 1050.00
Part credit 661-4180 was 235.77

They did list labor so might I assume the second line was labor, well the first was for the logic board and video card that fried.

1285.77 versus whatever I actually paid for Applecare

 

[JayLenochiniMac]

Many credit cards double warranties for items purchased with them.

I know mine does or at least used to. I haven't checked in awhile. I might have a 2-yr warranty on my iMac. I wonder if that means AppleCAre would be doubled too? Actually most have a maximum of 1 additional year. Still would that mean an extra year for the iMac and for Applecare if purchased with a credit card that extends warranties?

If you charge both the computer and Applecare to an American Express card, American Express will mirror the original 1st year warranty at the end of the third year, so you'd get a total of 4 years of protection. Mastercard unfortunately will only double the warranty on warranties of 1 year or less (e.g. iPhone). VISA is better than Mastercard and will extend the terms of warranties of three years or less, but I can't seem to find any information on what happens if you purchase Applecare with it (does Applecare nullify it?).

AmEx seems to be the best card to use for extended warranty protection.

 

[JayLenochiniMac]

Interestingly, I did bite and got AppleCare on Ebay for under $80. Then I read about some credit card companies doubling the warranty. I wrote to my credit card company (Chase) and got the following response. I have purchased many items and unfortunately, never took advantage of the service. You better believe from now on I am going to register every product with them. I have a digital camera that is now out of 1 year warranty and stopped working. I would still be covered if I did take advantage of the free service. You can actually get extended warranties but I am not sure of the cost of that. So I am assuming my new iMac will be covered for 2 years. I am going to inquire today to see if it is just repair or if it includes the telephone support (which is 3 months, I believe). This will be interesting as I received a note from Apple saying my 1 year warranty on my Macbook was about to expire and wanted me to buy AppleCare.

Gasport, do you know what happens if you charge both the machine and Applecare to VISA? I know with AmEx it'll mirror the original first year warranty at the end of third year (when Applecare expires) to give you 4 years of protection, but does VISA do the same? Can't seem to find any information on what happens when you purchase a separate extended warranty with a product, but I do know that with some cards doing so will void the CC's extended warranty protection.

 

[JayLenochiniMac]

But have you ever tried to actually use extended warranty service from a credit card company? It's a nightmare. You have to send in an application for warranty reimbursement, provide detailed documentation, write up a statement of facts and circumstances, and then they may in the end deny your request based on a technicality.

Someone I know went through VISA for a broken PC and the paperwork requirements were a nightmare. They wanted the original receipt and stuff. American Express, on the other hand, didn't seem to require the original receipt from me when I used their extended warranty program for a broken dishwasher. All they did was look in their records and asked me "Did you purchase X on this date for this much money?" After all, why should a CC company require the original receipt if they already have a record of it?

 

[brop52]

Someone I know went through VISA for a broken PC and the paperwork requirements were a nightmare. They wanted the original receipt and stuff. American Express, on the other hand, didn't seem to require the original receipt from me when I used their extended warranty program for a broken dishwasher. All they did was look in their records and asked me "Did you purchase X on this date for this much money?" After all, why should a CC company require the original receipt if they already have a record of it?

This is the beauty of buying online. The receipts are all printable.

 

[sgtbilko28]

i used to manage an apple service centre. take it from me, applecare is your best friend.

buy it, register it and hope to never have to use it (mostly you don't), but on that day in 2 and half years time when one little circuit dies and fraks your logic board or the display start flickering, your going to be really pleased you spend a few hundred bucks on applecare for your imac.

the VAST MAJORITY of apple HARDWARE repairs cost more than applecare does