Hi-Fi industry organisation takes swipe at United Warranties

Published on Tue, 24/07/2012, 12:51:09

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By Claire Reilly

Another industry group has come out in a scathing attack against the now defunct United Warranties group of companies, which went into administration earlier this month. Following the collapse, the Australian Hi-Fi Association (AHA) has announced that its members offer consumers free extended warranties on selected audio-visual products in their stores.

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The CEO of the AHA, Peter Familari, made the announcement in a statement today, using the opportunity to criticise United and spruik the solidity of the member organisation he heads.

“Consumers who bought an extended warranty for their spanking new LCD or Plasma TV have been left holding a worthless piece of paper,” said Familari.

“United warranties, which sold the extended warranties through Myer, Big W and many other retailers, has gone belly up with a reported 300 TVs still unaccounted for.

“Australian Hi-Fi Association (AHA) members offer a free 12-months extended warranty on a wide range of audio-video equipment. But unlike other extended warranties sold by third parties via retailers, the AHA warranty is backed by supplier members – and it’s free, no fine print, no strings attached."

According to Familari, the AHA was formed by a group of independent specialist retailers and suppliers 16 years ago "to unashamedly promote the benefits of shopping at a member store.

"The AHA also provides industry accreditation ensuring consumers shop at a member store that has passed our ethical and commercial standards.

“Every application for AHA membership must be vetted and approved by the AHA’s nine-member board. Criteria for successful membership includes industry experience, quality and range of stock, trained staff and demonstration rooms that meet the AHA standard.”




The collapse of United Warranties is unfortunate situation which could have been avoided by the retailers. The protection afforded by an insured warranty program should not be overlooked even as you go forward to provide free warranties to your customers. Companies like The Warranty Group with insured programs through Virginia Surety Company provide a great level of security. I would urge you not to make the same mistake again. The cost to the dealer may be slightly more expensive in some cases but will provide all parties with a better level of security.
Posted by James Donaldson. 27/07/2012 08:39:21 AM
The above comment referencing The Warranty Group was posted from an IP address based in Tinley Park, Illinois, USA - approximately 45 kilometres from The Warranty Group's global head office in Chicago, Illinois, USA. Patrick, editor, Current.com.au.
Posted by Patrick. 27/07/2012 12:26:26 PM
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