The extended warranty is always an interesting issue when I purchase new hardware, especially something that is as big of an “investment” as the new Macbook.

These items always come with some sort of standard factory warranty, typically for 1 year.  The place you purchased the item from then wants to sell you their extended warranty so it can be covered for one or two more years. The warranty is basically insurance that the product is going to function as it should for the duration of the warranty.

In my mind, an extended warranty is basically the retailer betting you $x that the product will not break.  For my macbook, the extended warranty was $250.  So, Best Buy is telling me that based on their research, the odds of any problem occuring during the extended warranty period that costs up to or more than $250 is slim.  If the odds were good, they would quit selling these warranties (or up the price).  This is where they make their money.  You placed a sucker bet and gave them $250 saying that your Macbook will break outside of the original warranty but in less than the extended warranty time frame.  If it doesn’t, then you are out.  If it does and costs less than $250 to fix, then you also lose.  The only way you win with a extended warranty is if the item breaks after the initial warranty and costs more than $250 to fix.

The warranty typically only covers defects in manufacturing or workmanship, not human-created problems.  Macs are well built, but things happen.  What are the odds that a part with a manufacturing error works fine for the first year while the original warranty is in place, but stops during the second year?  It could happen, and I’m sure it does, but the odds are in your favor on that one.

In vegas, they say always bet on the house.  The house knows the stakes, and the games are always in their favor.  In the case of an extended warranty, you can make the same bet the house is making.  If the retailers, after spending millions researching the subject, decide that it is a safe bet that the item won’t have repairs of more than $250, then it’s a bet I’m willing to take.  Consequently, I rarely get the extended warranty on anything.

NOTE:  You need to make up your own mind, I’m just putting out my opinion on my blog.  If you don’t get the extended warranty and your crap breaks, don’t come complaining to me.