Is the Walmart Protection Plan Worth It?

If you’re buying expensive products, such as electronics or power equipment from Walmart, you want a guarantee that it will work. Unfortunately, there’s never a guarantee that all products will work as described, even if they are expensive.

Walmart wants to guarantee its customers that their products will work or they’ll receive a replacement. It sounds great, but it costs you money. 

Walmart offers a Walmart Protection Plan that covers mishaps and broken equipment but only in certain situations.

Is buying a Walmart Protection Plan worth it? Find out in our review below.

What is the Walmart Protection Plan?

Walmart sells a protection plan on a wide number of its products sold online and in-store.

The plan protects your purchase from failures resulting from ‘regular use.’ Each category has specific reasons you could use the Protection Plan coverage, but overall it’s a way to get you to buy an ‘insurance plan’ to cover products when they no longer work, but Allstate has the final say in whether they cover the occurrence or not.

How Does the Walmart Protection Plan Work?

The Walmart Protection Plan is issued through Allstate, one of the country’s largest insurance providers. 

You must purchase the plan when you buy your product or within 30 days after purchase to get protection. If you buy it, and your product breaks from normal use or a manufacturer defect, you can file a claim. Walmart automatically registers you for the protection plan if you purchase it – you don’t have to take any extra steps.

Allstate offers two ways to file the claim:

  • Online – You must log into your Walmart account and it will direct you to the SquareTrade, Allstate’s claims site where you can follow the prompts to file a claim
  • Over the phone – You can call Allstate directly and talk to a representative who will file the claim for you

If they accept your claim (it’s not hard), they’ll send you a box to return the product. Allstate will determine if they’ll repair the product or take the return and send you a replacement. Either way, you must send the product back in the provided shipping box and wait for them to either repair or replace the item.

How to File a Claim?

Walmart/Allstate makes it easy to file a claim. They prefer that you do it online since it’s the easiest and fastest way to file it. Here’s how:

  • Log into your dashboard, if you didn’t create an account yet, set it up now
  • Gather your item and the purchase receipt
  • Enter the required information

You’ll typically get an answer right away unless Allstate needs more information. If so, a representative will call you to guide you through the final steps. Next, they’ll send you a box to return the product which they will either repair or replace if your claim was approved.

What’s the Cost?

The cost of the Walmart Protection Plan varies by the product purchased and the length of the protection (2 – 3 years). On average, plans cost between $2 – $39

What’s Covered on the Walmart Protection Plan?

What your Walmart Protection Plan covers varies by product. Here’s a quick summary of each category.

TVS

TV plans cover electronic and mechanical issues resulting from normal use. Examples of covered services include remote or screen not working, TV won’t turn on, or the speakers stop working.

Laptops

Laptop plans cover electronic and mechanical issues resulting from normal use and accidents. This includes spills, falling, or other accidents. Examples of covered issues include battery issues, cracked screen, spills, and hard drive issues.

Mobile Phones and Tablets

Mobile phone and tablet plans cover electronic and mechanical issues resulting from normal use and accidents. This includes accidental damage. Examples of covered issues including cracked screens, charging issues, touch screen issues, or damage from spills.

Outdoor Power Equipment 

Outdoor power equipment plans cover electronic and mechanical issues only from normal use. Examples of covered issues include electronic issues, power supply issues, motor failure, or normal wear and tear issues.

General Merchandise

General merchandise plans cover electronic and mechanical issues only. Examples of covered issues include the product won’t power up, electronic issues, failure from normal use (nothing excessive or damaging).

Jewelry and Watches

Jewelry and watches plans cover jewelry that’s broken or damaged only from normal use. You must prove the damage occurred only during normal use and you didn’t do anything that could make the issue worse (submitting a watch in water, etc.).

What’s Excluded from the Plan?

The Walmart Protection plan covers a lot, but it excludes a lot too. In most cases, any damage from accidents, intentional damage, vandalism, or theft is not covered on most products, but there are some exceptions for accidents on mobile phones, tablets, and laptops.

It also does not cover:

  • Lost items
  • Items stored incorrectly
  • Damage occurred from buildup of dust, debris or other items resulting from lack of care
  • Damage caused by improper care
  • Cosmetic damage
  • Projector bulbs
  • Consumer replaceable items like batteries, toner, or ribbons
  • Products used for commercial use
  • Manufacturer’s defects
  • Computer issues caused by a virus
  • Any damages or issues covered by another plan

What are the Benefits of the Walmart Protection Plan?

  • Allstate is a reputable insurance company that’s been in business for 85+ years
  • You can have Walmart Protection Plans save your receipt online so you don’t have to worry about digging it out when you need to file a claim. You’ll need to download the Walmart app and click Register a Plan to scan your receipt. 
  • You can get a full refund if you change your mind and cancel the protection plan within 30 days of your purchase
  • Allstate offers 24/7 support for your product
  • You can transfer the plan by logging into your account and clicking ‘Transfer Plan’ if you sell or give away the item

What are the Downsides?

  • The repair or replacement is at the discretion of Allstate. If you don’t have adequate proof regarding what happened or they deem it an ‘accident’ you may not get coverage.
  • It’s an extra cost, sometimes as much as $39 on top of the purchase price.
  • You must have a receipt to file a claim. If you don’t store the receipt in your Walmart Protection Plan dashboard and can’t find the physical receipt, you can’t file a claim.
  • Only items sold by Walmart are covered. Since Walmart is a marketplace too, it can be hard to differentiate.

Walmart Protection Plan FAQs

What does the Walmart Protection Plan cover?

Each category has a list of what it covers, but in general, the protection plan covers damage from normal use. In certain cases, such as laptops, phones, and tablets, it also covers damage from accidents including spills or falling and cracking a screen. The decision of whether an incident is covered is up to Allstate when you file a claim.

How does the Walmart Protection Plan work with a manufacturer’s warranty?

Allstate/Walmart will direct you to use the manufacturer’s warranty if the issue you’re claiming falls within the warranty and you’re still within the warranty window. Most product warranties last from 90 days to 1 year depending on the product.

Do I need to register my Walmart Protection Plan?

There’s no need to register your Walmart Protection Plan. Walmart automatically registers it for you when you purchase it. You will need to set up an account though, using the email you provided when you bought the protection plan.

Can I get a refund on the Walmart Protection Plan?

You can cancel your Walmart Protection Plan within the first 30 days of purchase for a full refund. If you bought it in the store, you’ll need to return it to the store with your receipt. If you bought it online, sign in to your account and follow the prompts to cancel your account. 

If you’re past the 30 days, you may still cancel it, but won’t receive a full refund. You must visit SquareTrade to cancel it.

Should you Sign up for the Walmart Protection Plan?

Is a Walmart Protection Plan worth it? 

It depends.

If you bought an expensive electronic that you plan to keep for several years, it may make sense to spend the extra $39 (most plans are around this much for expensive items), but otherwise, it’s a waste of money.

Even if you only spend $2 on a protection plan, that’s another $2 for the product you bought. Chances are the plan won’t cover much of anything and you’ll have to buy another product anyway. 

Unless you’re buying a phone, laptop, or tablet, accidents aren’t covered and that’s usually what causes products to stop working. Instead, focus your money on saving for a new product if you know you’re prone to dropping, kicking, or otherwise damaging items around your home.

Kim Pinnelli is a personal finance freelance writer and koopy.com contributor. She lives in the Chicago suburbs, writing from home for the last 13 years. Kim enjoys helping people understand personal finances and writes on topics about saving money, investing, planning for retirement, and ways to increase income. In her free time, Kim enjoys hanging out with her 3 children, reading, crocheting, and spending time outdoors.

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