Sainsbury's Bank warns homeowners about warranties

14 April 2005
Sainsbury's Bank is advising homeowners to check their home contents insurance before taking out warranties on electrical products.

According to the bank, such items may already be protected by home insurance policies, making the annual £800 million paid out on extended warranties unnecessary.

"An extended warranty is simply an insurance policy so before taking another one out, people should first find out if they are already covered under their existing home insurance," advised Robert O'May, home insurance manager at Sainsbury's Bank.

Mr O'May added: "It's worth noting that some of today's warranties can provide cover for theft and accidental damage, elements that most home insurers provide as standard."

The bank's warning comes as retailers face up to new regulations meaning they will have to be more transparent about the cover provided through warranties.

Click here to find out more about home insurance.

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