Extended Warranties: Your Rights

When retailers provide extended domestic electrical goods warranties:

The price and length of one applicable warranty shall be specified in shops, ads, catalogues and online retailers, clearly and legibly, next to the price of the product or selection of goods. This duty does not apply to ads from retailers if they have sold extended warranties worth less than £10,000 (including VAT) in the previous business year. 

In supermarkets, retailers must clearly display that it is optional to buy an extended warranty. 

The following details must be made prominently accessible in supermarkets, catalogues and online retailers:

(a) what the contractual rights of customers are when obtaining an extended warranty and where they can find more information about it; 

(b) that it is possible to receive expanded assurances elsewhere; 

(c) household insurance may be applicable to the procurement of electrical power. 

(d) that it is not appropriate to buy an extended warranty at the same time as the goods; 

(e) specifics of any rights to cancel and terminate; 

(f) the Financial Security Statement that customers have in the case of an event That the extended warranty company is going out of business; and 

(g) if an argument is made, the extended guarantee will come to an end or not.

Providing in-store customers with quotes 

If the extended warranty costs more than £ 20 (including VAT), retailers must have a written price quote to in-store customers that states prominently: 

(a) the price and length of the Warranty Extended; 

(b) that the quoted price is valid for a period of 30 days; 

(c) that the extended warranty does not have to be obtained concurrently with the goods; 

(d) whether the extended warranty will stop or not if a claim is made 


If an extended warranty lasts more than a year 

Consumers are willing to: 

(a) cancel it within 45 days of the purchase and obtain a complete refund if no demand has been made;

(b) earn a pro rata refund if, after 45 days, they wish to cancel the extended warranty, even if a claim has been made. 

(c) If extended warranties cost more than £ 20 (including VAT) for a year, retailers must inform customers in writing of their termination rights no more than 24 days after they have purchased the warranty.

For extended warranties that are distance contracts to which European Directive 2002/65/EC refers, different cancellation and termination rights apply.

Further Details

The above advice is intended only as a reference to main rights and responsibilities relating to extended warranties for electrical domestic products. 

If you require any further advice regarding an extended warranty you have taken out you can contact us.

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