What is an Extended Warranty?
An extended warranty is an optional service contract that provides additional coverage beyond the manufacturer's basic warranty. Manufacturers typically offer a basic limited warranty that lasts one to three years and covers defects in materials and workmanship. An extended warranty extends this coverage by one or more additional years.

Types of Extended Warranties
There are a few different types of extended warranties available depending on the product:

Mechanical Breakdown Protection
For large appliances, electronics, and other mechanical devices, mechanical breakdown protection covers repairs if internal parts stop functioning due to normal wear and tear after the manufacturer's warranty expires. It does not cover accidental damage from handling.

Accidental Damage Protection
Some Extended Warranty for cell phones, laptops, and other portable devices provide accidental damage from handling coverage. This can cover repairs from things like drops, cracks, liquid spills, and other accidents not covered under basic limited warranties.

Hassle-Free Protection
For major home systems like HVAC, plumbing, and electrical, extended warranties provide hassle-free repairs if any covered components break down. This avoids large unexpected repair bills and hassles with contractors. The warranty company will typically pay approved repair shops directly.

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