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Appliance extended warranties are often not worth the cost, as highlighted in the scenario where a faulty oven led to a frustrating warranty process and no immediate solutions. The video explains why extended warranties generally do not work and how they operate. Despite this, there is one scenario where buying an extended warranty may be beneficial. The high demand for appliance service is a significant issue, with over 40,000 service calls in Boston alone last year for appliances bought from the store. Manufacturers' limited technicians exacerbate this problem.
