A service agreement helps provides peace of mind. However, service agreements aren't all the same. Here are some tips on what to check before signing on the dotted line.

What Type of Agreement Is It?

Energy Star.gov lists four types of service contracts.

  • Preventative Maintenance: The service contract provider performs set tasks to keep the equipment running smoothly. Being a member of this type of plan with Ragsdale will provide benefits such as discounts and savings on service calls, repairs, and equipment. It also can allow for savings and discounts on other services provided such as plumbing or electrical.
  • Inspection Service: inspecting for potential problems is the main service provided, possibly with small cleaning and replacement tasks included.

What Services Are Provided?

To choose the best option for your home heating and air conditioning systems, check the agreement for services provided. Eco Friend explains the tasks often included, such as checking the coils and evaporator on the cooling system, and the burner and heat exchange on the heating system. The technician might also lubricate the moving parts, inspect electrical connections and condensate drain, and check the thermostat is operating correctly.

Is It Value For Money?

A service agreement may not be the best choice if it costs more than regular maintenance and repairs per year, but it's hard to know beforehand what those costs might be. With a service agreement, the customer has a better idea of how to budget for heating and air costs. Consumers' Checkbook states that the main advantages of service agreements are maintenance, which helps prevent breakdowns and priority over other customers in an emergency.

Are There Hidden Benefits?

When weighing up the cost of a service agreement, don't forget to take its hidden benefits into consideration. As well as saving money by reducing breakdowns, service agreements can improve fuel efficiency, cutting down on energy costs. According to Smarter House, preventative maintenance also increases the lifespan of the equipment, reduces polluting emissions, and decreases the risks of breakdowns and repairs.

Before buying a service contract, check what it offers in terms of labor, parts and materials costs, preventative maintenance, emergency call outs, breakdowns, and repairs. Contact Ragsdale to speak to an adviser about what service agreements they provide.

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