Tech care vs. manufacturer's warranty: What you need to know to protect your devices

Our homes are filled with expensive electronic gadgets, from TVs and speaker systems to computers and tablets. According to Parks and Associates 2023 data, the average home contains $11,500 worth of technology and replacing these devices can be costly and frustrating.

That’s where tech care and manufacturers warranties come in. But understanding the differences between them can be tricky. We’ll go over the differences.

Here at Asurion, we don’t just fix and protect ​​your smart devices—we teach you how to get the most out of your tech and appliances. Asurion’s solution? Tech care. It doesn’t just cover your devices or appliances, it takes care of them—hundreds of them—in one monthly plan. In this guide, we’ll help you understand what a tech care plan is and how it’s different from a manufacturer's warranty.

What is a manufacturer’s warranty?

When you buy a laptop or TV, you’ve probably noticed that it comes with a manufacturer’s warranty. A warranty is often included in the cost of your device and promises to cover repair and replacement fees if your tech has a faulty part or some other production-related error, but only for a limited time. Also, if you spill coffee all over your laptop or drop it on the kitchen floor, you’re likely on your own.

What do tech care plans cover?

Tech care plans give customers added coverage for a monthly fee. If their device has a manufacturer's defect or malfunction, the plan will help them with repairs or replacements, but it may also offer additional services, like 24/7 tech support and installations for devices. Some care plans are sold by the original manufacturers, and others are sold by third-party companies, like Asurion.

Are your devices already covered through homeowners or renters insurance?

If you have a standard plan for your homeowners or renters insurance, the personal property section of your policy should cover your electronic devices. This means you may be reimbursed if your laptop or phone is stolen, destroyed by a fire, or ruined in some other way that’s included in the policy. But limits do apply—some of which may surprise you—so check the details of your plan with your insurance provider.

How to choose the best plan for you

Before buying a care plan of any kind, make sure you understand how long it lasts, what it covers, how the company will reimburse you, and the return policy. Some protection plans cover accidental damage from handling, but others don’t. 

Are care plans worth it?

Sometimes people pass on a tech care plan because they don’t want to pay extra money upfront for an issue they may or may not have. But care plans can also pay off if you suddenly need to repair or replace one of your devices. 

If the plan costs more than 20% of the replacement cost of your device, you may want to reconsider—the plan could be more expensive than typical repair costs.

Another way to think about it: Without a care plan, you may spend about $1800 replacing your TV and laptop combined. But if you pay a smaller monthly cost to cover most of the devices in your home, you could save money assuming most of those covered devices will stop working once over the next 5 years.