Question: I recently got a laptop and I read online that purchasing an extended warranty at the same time at an additional cost is permissible because that extended service comes as a gift or servicing cost. After this, I got an extended warranty with a laptop, but I noticed that the warranty provided is not by the same company that provides the initial warranty that is a company of laptop like Dell, Apple, etc. (not the extended one). The extended warranty is by a third party. Is this permissible?
Answer:
Wa ‘alaykum assalam wa rahmatullah wa barakatuh,
I pray you are well.
Extended Warranties Are Permissible
Yes, purchasing such extended warranties are permissible if purchased at the time of the sale. The fact that the provider is another company does not affect the validity of the contract. The seller can be seen as a representative of the company who will provide the service to you (Usmani, Fiqh al Buyu’).
Please consider taking our course on Money Matters. It will provide a lot of guidance on money and the principles of Islamic Finance.
May Allah grant you the best of both worlds.
[Shaykh] Abdul-Rahim
Checked and Approved by Shaykh Faraz Rabbani