{"id":132067,"date":"2023-04-17T10:04:00","date_gmt":"2023-04-17T14:04:00","guid":{"rendered":"https:\/\/milesopedia.com\/news\/extended-warranty-credit-cards\/"},"modified":"2024-05-31T14:27:12","modified_gmt":"2024-05-31T18:27:12","slug":"extended-warranty-credit-cards","status":"publish","type":"post","link":"https:\/\/milesopedia.com\/en\/personal-finance\/insurance\/extended-warranty-credit-cards\/","title":{"rendered":"Insurance: How does credit card extended warranty insurance work?"},"content":{"rendered":"

[vc_row][vc_column][vc_column_text el_class=”checkmarks”]<\/p>\n

Quite often, when you buy an item of a certain value in a store, despite its legal warranty<\/a>we’ll try to sell you an insurance policy that offers extended product warranty<\/a><\/strong>.<\/a> This often costs between 10% and 30% of the total value, which can add to your bill!<\/p>\n

Yet most credit cards in Canada come with an extended warranty. Even some credit cards with no annual fee<\/strong>!<\/p>\n

[\/vc_column_text][vc_message]Technically, we are protected by the Legal Guarantee as outlined by the Office for Consumer Protection<\/a> (OPC). However, it can be difficult to claim it from the manufacturer and often it will be quicker to deal with your credit card insurance.[\/vc_message][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=”The extended warranty offered by your credit card” google_fonts=”” el_id=”the_extended_warranty_offered_by_your_credit_card”][vc_custom_heading text=”The Principle” font_container=”tag:h3|text_align:left” google_fonts=”” el_id=”the_principle”][vc_column_text el_class=”checkmarks”]The Extended Warranty Insurance on your credit card requires that you pay for your purchase in full on the credit card<\/strong> (or with the card’s reward points). This may include the majority of movable property. But as you will see below, restrictions may apply.[\/vc_column_text][vc_single_image image=”83571″ img_size=”large” alignment=”center” style=”vc_box_rounded”][vc_column_text el_class=”checkmarks”]During the first year (or even the first two years in some cases), you are normally covered by the manufacturer’s insurance. Extended Warranty Insurance<\/strong> will then activate as soon as the manufacturer’s insurance coverage ends<\/strong>.<\/p>\n

This warranty will generally be for an additional year<\/strong>, or even two years<\/strong> for some credit cards.<\/p>\n

Of course, if you wish to benefit from the extended warranty, your credit card must still be active<\/strong> at the time of the claim.<\/p>\n

So think twice before you cancel your credit card<\/a>! This is where it can be interesting to have a credit card with no annual fee<\/strong> on which you charge items to eventually benefit from the extended warranty![\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_custom_heading text=”Restrictions” font_container=”tag:h3|text_align:left” google_fonts=”” el_id=”restrictions”][vc_column_text el_class=”red-cross”]As with any insurance contract, you must be careful about the various restrictions:<\/p>\n