Warranty Coverage Gap Estimator

ANA›Life Services Authority›National Calculator Authority›Warranty Coverage Gap Estimator

.calc-container { max-width: 640px; margin: 2rem 0; padding: 1.5rem; background: #fff; border: 1px solid #ddd; border-radius: 8px; box-shadow: 0 1px 3px rgba(0,0,0,0.06); font-family: system-ui, -apple-system, sans-serif; } .calc-container h3 { font-family: Georgia, serif; font-size: 1.15rem; color: #1a1a1a; margin-bottom: 1rem; padding-bottom: 0.5rem; border-bottom: 2px solid var(--ac, #3d5a80); } .calc-row { display: flex; align-items: center; gap: 0.75rem; margin-bottom: 0.75rem; flex-wrap: wrap; } .calc-row label { min-width: 160px; font-size: 0.9rem; color: #333; font-weight: 500; } .calc-row input[type="number"], .calc-row select { flex: 1; min-width: 120px; max-width: 200px; padding: 0.5rem 0.6rem; border: 1px solid #ccc; border-radius: 4px; font-size: 0.9rem; font-family: system-ui, sans-serif; color: #1a1a1a; background: #fafaf8; } .calc-row input:focus, .calc-row select:focus { outline: none; border-color: var(--ac, #3d5a80); box-shadow: 0 0 0 2px rgba(26,74,138,0.12); } .calc-row .unit { font-size: 0.82rem; color: #888; min-width: 30px; } .calc-btn { display: inline-block; margin-top: 0.5rem; padding: 0.55rem 1.5rem; background: var(--ac, #3d5a80); color: #fff; border: none; border-radius: 4px; font-size: 0.9rem; font-weight: 600; cursor: pointer; font-family: system-ui, sans-serif; } .calc-btn:hover { opacity: 0.9; } .calc-result { margin-top: 1.25rem; padding: 1rem 1.25rem; background: #f0f6fc; border-left: 3px solid var(--ac, #3d5a80); border-radius: 0 6px 6px 0; display: none; } .calc-result.visible { display: block; } .calc-result-label { font-size: 0.78rem; text-transform: uppercase; letter-spacing: 0.06em; color: #666; margin-bottom: 0.25rem; } .calc-result-value { font-size: 1.6rem; font-weight: 700; color: var(--ac, #3d5a80); } .calc-result-detail { font-size: 0.85rem; color: #555; margin-top: 0.5rem; line-height: 1.5; } .calc-note { margin-top: 1rem; font-size: 0.8rem; color: #888; font-style: italic; } .calc-grid { display: grid; grid-template-columns: 1fr 1fr; gap: 0.75rem; margin-top: 0.75rem; } .calc-grid-item { padding: 0.6rem 0.8rem; background: #f8f9fa; border-radius: 4px; border: 1px solid #eee; } .calc-grid-item .label { font-size: 0.75rem; color: #888; text-transform: uppercase; letter-spacing: 0.04em; } .calc-grid-item .value { font-size: 1.1rem; font-weight: 600; color: #1a1a1a; } @media (max-width: 720px) { .calc-row { flex-direction: column; align-items: flex-start; gap: 0.3rem; } .calc-row label { min-width: auto; } .calc-row input[type="number"], .calc-row select { max-width: 100%; width: 100%; } .calc-grid { grid-template-columns: 1fr; } } .calc-chart { margin: 1rem 0; text-align: center; } .calc-chart svg { max-width: 100%; height: auto; } .calc-chart-legend { display: flex; flex-wrap: wrap; justify-content: center; gap: 0.6rem 1.2rem; margin-top: 0.6rem; font-size: 0.8rem; color: #555; } .calc-chart-legend span { display: inline-flex; align-items: center; gap: 0.3rem; } .calc-chart-legend i { display: inline-block; width: 10px; height: 10px; border-radius: 2px; font-style: normal; } .calc-related { max-width: 640px; margin: 2rem 0 1rem; padding: 1.25rem 1.5rem; background: #f8f9fa; border: 1px solid #e8e8e8; border-radius: 8px; } .calc-related h3 { font-family: Georgia, serif; font-size: 1rem; color: #1a1a1a; margin: 0 0 0.75rem; padding-bottom: 0.4rem; border-bottom: 2px solid var(--ac, #3d5a80); } .calc-related-list { list-style: none; padding: 0; margin: 0 0 0.75rem; display: grid; grid-template-columns: 1fr 1fr; gap: 0.4rem 1.5rem; } .calc-related-list li a { font-size: 0.88rem; color: var(--ac, #3d5a80); text-decoration: none; } .calc-related-list li a:hover { text-decoration: underline; } .calc-browse-all { margin: 0.5rem 0 0; font-size: 0.9rem; font-weight: 600; } .calc-browse-all a { color: var(--ac, #3d5a80); text-decoration: none; } .calc-browse-all a:hover { text-decoration: underline; } @media (max-width: 720px) { .calc-related-list { grid-template-columns: 1fr; } }

Warranty Coverage Gap Estimator

Estimate your potential out-of-pocket exposure when your warranty doesn't fully cover repair or replacement costs.

Original Product Value ($)

Warranty Coverage (% of repair/replacement cost covered)

Warranty Deductible per Claim ($)

Maximum Claim Limit ($, 0 = unlimited)

Annual Failure Probability (%)

Estimated Repair Cost (% of product value)

Warranty Duration (years)

Expected Number of Claims Over Warranty Period

Calculate Coverage Gap

function warCalc() { var resultDiv = document.getElementById('war-result'); resultDiv.style.display = 'none'; resultDiv.innerHTML = '';

var productValue = parseFloat(document.getElementById('war-product-value').value); var coveragePct = parseFloat(document.getElementById('war-warranty-coverage-pct').value); var deductible = parseFloat(document.getElementById('war-deductible').value); var maxClaimLimit = parseFloat(document.getElementById('war-max-claim-limit').value); var failureProb = parseFloat(document.getElementById('war-failure-prob').value); var repairCostPct = parseFloat(document.getElementById('war-repair-cost-pct').value); var warrantyYears = parseInt(document.getElementById('war-warranty-years').value); var numClaims = parseInt(document.getElementById('war-num-claims').value);

// Validation var errors = []; if (isNaN(productValue) || productValue 100) errors.push("Warranty coverage must be between 0 and 100."); if (isNaN(deductible) || deductible 100) errors.push("Annual failure probability must be between 0.1 and 100."); if (isNaN(repairCostPct) || repairCostPct 200) errors.push("Repair cost percentage must be between 1 and 200."); if (isNaN(warrantyYears) || warrantyYears 0) { resultDiv.style.display = 'block'; resultDiv.innerHTML = 'Please fix the following:' + errors.map(function(e){ return ''; }).join('') + ''; return; }

// ── Core Calculations ──────────────────────────────────────────────────────

// Step 1: Estimated repair cost per incident var repairCostPerIncident = productValue * (repairCostPct / 100);

// Step 2: Gross warranty payout per claim (before deductible and cap) var grossWarrantyPayout = repairCostPerIncident * (coveragePct / 100);

// Step 3: Apply deductible — warranty pays gross minus deductible, floored at 0 var warrantyPayoutAfterDeductible = Math.max(0, grossWarrantyPayout - deductible);

// Step 4: Apply maximum claim limit cap (0 means no cap) var effectiveWarrantyPayout; var capApplied = false; if (maxClaimLimit > 0 && warrantyPayoutAfterDeductible > maxClaimLimit) { effectiveWarrantyPayout = maxClaimLimit; capApplied = true; } else { effectiveWarrantyPayout = warrantyPayoutAfterDeductible; }

// Step 5: Out-of-pocket gap per claim // Gap = RepairCost - EffectiveWarrantyPayout var gapPerClaim = Math.max(0, repairCostPerIncident - effectiveWarrantyPayout);

// Step 6: Probability of at least one failure over warranty period // P(at least 1 failure) = 1 - (1 - p)^n where p = annual failure prob, n = years var annualFailureRate = failureProb / 100; var probAtLeastOneFailure = 1 - Math.pow(1 - annualFailureRate, warrantyYears);

// Step 7: Expected number of failures over warranty period // E[failures] = annualFailureRate * warrantyYears (Poisson approximation) var expectedFailures = annualFailureRate * warrantyYears;

// Step 8: Total expected gap (using user-specified claim count for deterministic view) var totalGapDeterministic = gapPerClaim * numClaims;

// Step 9: Probabilistic expected gap (expected failures × gap per claim) var expectedGapProbabilistic = expectedFailures * gapPerClaim;

// Step 10: Coverage efficiency ratio
// How much of the repair cost is actually covered by warranty
var coverageEfficiency = repairCostPerIncident > 0
? (effectiveWarrantyPayout / repairCostPerIncident) * 100: 0;

// Step 11: Total warranty value paid in (not an input here, but gap as % of product value) var gapAsPctOfProductValue = (totalGapDeterministic / productValue) * 100;

// ── Format helpers ───────────────────────────────────────────────────────── function fmt(n, dec) { dec = dec === undefined ? 2 : dec; return n.toLocaleString('en-US', {minimumFractionDigits: dec, maximumFractionDigits: dec}); } function fmtUSD(n) { return '$' + fmt(n); } function fmtPct(n) { return fmt(n, 1) + '%'; }

// Risk level classification var riskLabel, riskClass; if (coverageEfficiency >= 80) { riskLabel = 'Low Gap Risk'; riskClass = 'calc-badge-green'; } else if (coverageEfficiency >= 50) { riskLabel = 'Moderate Gap Risk'; riskClass = 'calc-badge-yellow'; } else { riskLabel = 'High Gap Risk'; riskClass = 'calc-badge-red'; }

var capNote = capApplied
? 'Claim Cap Applied?Yes — payout capped at ' + fmtUSD(maxClaimLimit) + '': 'Claim Cap Applied?No';

resultDiv.style.display = 'block'; resultDiv.innerHTML = '### Coverage Gap Analysis ' + '' + riskLabel + '' + '' + 'Estimated Repair Cost per Incident' + fmtUSD(repairCostPerIncident) + '' + 'Gross Warranty Payout (before deductible)' + fmtUSD(grossWarrantyPayout) + '' + 'Warranty Payout After Deductible' + fmtUSD(warrantyPayoutAfterDeductible) + '' + capNote + 'Effective Warranty Payout per Claim' + fmtUSD(effectiveWarrantyPayout) + '' + 'Out-of-Pocket Gap per Claim' + fmtUSD(gapPerClaim) + '' + 'Coverage Efficiency' + fmtPct(coverageEfficiency) + '' + 'Over Full Warranty Period (' + warrantyYears + ' yr)' + 'Probability of At Least One Failure' + fmtPct(probAtLeastOneFailure * 100) + '' + 'Expected Number of Failures (probabilistic)' + fmt(expectedFailures, 2) + '' + 'Total Gap — Deterministic (' + numClaims + ' claim' + (numClaims > 1 ? 's' : '') + ')' + fmtUSD(totalGapDeterministic) + '' + 'Total Expected Gap — Probabilistic' + fmtUSD(expectedGapProbabilistic) + '' + 'Gap as % of Product Value' + fmtPct(gapAsPctOfProductValue) + '' + ''; }

#### Formulas Used

1. Repair Cost per Incident RepairCost = ProductValue × (RepairCostPct / 100)

2. Gross Warranty Payout GrossPayout = RepairCost × (CoveragePct / 100)

3. Payout After Deductible PayoutAfterDeductible = max(0, GrossPayout − Deductible)

4. Effective Payout (with cap) EffectivePayout = min(PayoutAfterDeductible, MaxClaimLimit) [if cap > 0]

5. Gap per Claim GapPerClaim = max(0, RepairCost − EffectivePayout)

6. Probability of At Least One Failure P(≥1 failure) = 1 − (1 − AnnualFailureRate)^WarrantyYears

7. Expected Failures (Poisson approximation) E[failures] = AnnualFailureRate × WarrantyYears

8. Probabilistic Expected Gap ExpectedGap = E[failures] × GapPerClaim

9. Coverage Efficiency Efficiency = (EffectivePayout / RepairCost) × 100

#### Assumptions & References

The probability of at least one failure uses the complementary binomial formula: 1 − (1 − p)^n.
Expected failures use a Poisson/linear approximation: p × n, valid when annual failure rates are low (<30%).

Warranty Coverage Gap Estimator

Warranty Coverage Gap Estimator

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