Digital Sensor Warranties. Are they any good? Should I renew?

I always recommend it.  Here is how it breaks down to me (I am usually anti-warranty).

Here are some hypothetical #s.  Every system has different costs and different warranty programs, but if you dissect them most of the major sensors break down similarly.  Some have prorated portions and warranty terms/length differences.  I am going to keep it simple for argument's sake but most programs break down accordingly.. 

The sensor costs ~ $8500

Warranty costs ~ $1500/yr

Assume your sensor's  life span is roughly 7 years (some last more some last less but that’s a pretty good estimate).

With support you get upgrades to the software for free and discounts on new purchases (boxes, new sensors, etc) at a cost of 7 x $1500  = $10,500.

 vs

$8500 for a new sensor, but when you get the new sensor you will pay ~ $2000 to get the software updated, totaling $10,500. 

These are rough estimates but they seem to converge at 7 years.

Now that being said.  If you opt out of support and your sensor gets rolled over by a chair next month and just stops working, you will be livid!  I’ve been there and it’s not a pretty sight.  I do have some sensors that are over 10 years old, but that is not the norm. I also have many offices that have had 2 or 3 sensors fail in a short time span, again not the norm.

It is all about the same either way, but one way you budget it and your safe.  You also get support for software issues and some systems offer online resources and training as well.  If you are not that concerned, you can go w/ out, but be ready and willing to spend the money all at once, and maybe more than once.

Of course there are many variations in support and you may have discounts for multiple sensors etc.  I would discuss with your vendors and do a similar analysis.