"Dan Espen" wrote in message
...
"Dr. Hardcrab" writes:

"Dan Espen" wrote in message
...
Doug Smith writes:

How usefull are the 10-year extended warranties for new furnaces, such
as
for Trane, Carrier, Lennox, etc. My gut instinct is that I don't want
to
spend $4500 on a new furnace that is likely to break down in under 10
years...

It may help if you realize that that warranty is nothing more than
insurance.

My own rule is never insure what I can afford to loose.

I can't afford to loose my home so I insure it.
I can afford to replace the furnace so I would never insure it.
Your average loss on a furnace is a few hundred dollars, not the
total cost.

Try replacing a heat exchanger (or even a blower motor!) for "a few
hundred
dollars".....

Well, if you can't affort the 1K, 2K, whatever it is, insure it.

Be prepared to pay more in insurance than your _likely_ loss,
the odds are against you.

I see your point. Like extended warranties on cars or appliances: Not really
worth the money, but makes the "insurance companies" rich...

I was thinking more along the lines of the way we do warranties:

2 years labor, 5 years parts, and then whatever the manufacturer offers (10
years on compressor, limited lifetime on heat exchanger, etc.). We offer
"extended labor" policies (for the remainder of the 5 years) for $100. If
you look at the mnimum cost on a service call, that's a bargain.....