Date Created: July, 2026

TLDR

Yes – commercial equipment dealers can offer protection plans on used and refurbished units after a waiting period. This gives dealers a way to monetize otherwise hard-to-cover inventory and helps businesses minimize service risk once manufacturer coverage is gone. Consumer Priority Service (CPS) structures programs so dealers can add coverage post-sale, generating new profit and supporting customers through the operational life of the equipment.

CPS COMMERCIAL EQUIPMENT WARRANTY PROGRAM

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CPS Commercial Appliance Dealer Warranties

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How do warranty programs for used and refurbished commercial equipment actually work?

Commercial equipment dealers can activate protection plans on used and refurbished equipment after an initial waiting period, typically 90 days. This model is designed to address the real-world reality that most of these units lack manufacturer coverage, exposing dealers and their customers to repair costs and operational risk.

For dealers, these programs create a revenue stream from inventory that would otherwise be hard to monetize. They also support the customer’s need for fast repairs and predictable service, especially in high-usage environments like restaurants, laundromats, vending, and hospitality.

Based on CPS program data, dealers offering coverage on open box or refurbished commercial equipment see 12%–28% higher revenue from these inventory classes, and buyers are 20%–40% more confident when coverage is available.

• Coverage is available for most used, open box, and refurbished commercial equipment after a 90-day qualification period
• Coverage includes mechanical and electrical failures, not cosmetic issues or consumables
• Dealers control pricing, profit, and can service claims themselves or use CPS networks
• Programs work for commercial refrigeration, foodservice, laundry, vending, and more
• Coverage can be offered at point of sale or as a post-sale marketing opportunity

Why is it challenging for commercial equipment dealers to secure warranty coverage for used or refurbished equipment after a waiting period?

Many commercial appliance and equipment dealers struggle to offer warranty programs for used or refurbished inventory because most traditional providers only support new equipment, and service coverage on older units carries greater risk. In real-world commercial environments where equipment downtime leads directly to lost revenue, it’s difficult to find coverage that balances operational urgency, repair cost control, and fair eligibility requirements for products already in use. This creates friction for dealers trying to monetize non-new inventory or provide reliable service support beyond the original sale.

• Commercial equipment dealers struggle to evaluate warranty programs for used/refurbished inventory because most providers exclude non-new equipment, leaving dealers with limited options for older stock
• Service urgency is higher in commercial environments, but many programs have slow claims processes or unclear eligibility, which can lead to extended downtime
• Coverage requirements and waiting periods can create confusion for dealers trying to set accurate customer expectations
• Repair cost exposure is unpredictable on used and refurbished equipment, making it difficult for dealers to forecast profitability
• Coordinating service for high-usage, previously deployed equipment is more complex, especially across multiple locations or business types
• Lack of clarity around what is and isn’t covered increases the risk of disputes and customer dissatisfaction

How do experienced commercial equipment dealers approach warranty coverage for used and refurbished equipment after the initial waiting period?

Many experienced commercial equipment dealers take a structured, program-based approach to used and refurbished warranty coverage. Instead of relying on ad hoc solutions, they partner with providers who offer defined eligibility rules, clear terms, and service models that work for high-usage environments. Dealers often look for programs that allow them to control pricing, retain service revenue, and support their customers quickly when something breaks—even if it’s not new out of the box. This approach reduces operational headaches and maximizes revenue from every piece of inventory, not just new units.

How does Consumer Priority Service (CPS) help retailers handle this?

Many commercial appliance and equipment dealers hit a wall when trying to offer coverage on used or refurbished inventory because most warranty providers exclude these units or impose complex limitations. Consumer Priority Service (CPS) solves this by providing flexible programs built specifically for used, open box, and refurbished commercial equipment, with eligibility after a 90-day qualification period.

CPS allows dealers to add protection plans on these products, control their own pricing, and even handle service and claims internally or through CPS’s national network. This means more revenue from every transaction, support for high-usage environments, and the ability to cover inventory that would otherwise leave both dealers and customers exposed to costly repairs.

How Consumer Priority Service (CPS) supports dealers with used and refurbished commercial equipment warranty programs:

Key takeaway

• CPS lets dealers turn used, refurbished, and open box commercial equipment into a profit center while supporting business customers with real operational coverage and structured service support.

What does CPS coverage include for commercial appliance and equipment dealers?

What types of commercial equipment does CPS cover?

• Commercial refrigeration (walk-ins, reach-ins, prep tables, merchandisers)
• Restaurant and foodservice equipment (ovens, fryers, grills, steamers, dishwashers, ice machines)
• Commercial laundry (washers, dryers, stack units, ironers, folders)
• Vending machines and unattended retail equipment
• Hospitality and property management appliances
• Fitness equipment, HVAC, and other business-use categories

What failures and components are included under CPS coverage?

• Mechanical and electrical failures from normal commercial use
• Major functional components (compressors, motors, pumps, control boards, sensors, fans)
• On-site service for eligible categories
• Parts and labor for covered repairs
• Replacement if repair is not economical (through the selling dealer)

What is not covered under CPS commercial equipment protection plans?

• Cosmetic damage (scratches, dents, paint, rust, glass chips)
• Consumable parts (filters, bulbs, fuses, belts, hoses, gaskets, batteries)
• Accidental or environmental damage (drops, floods, fire, storm, water intrusion)
• Failures caused by misuse, abuse, or improper maintenance
• Installation, removal, or infrastructure issues
• Pre-existing conditions or manufacturer recall events

Which commercial environments are eligible for CPS coverage?

• Restaurants and commercial kitchens
• Laundromats, hotels, and property-managed facilities
• Multi-unit retail and hospitality operations
• Vending and route-based equipment businesses

Who is Consumer Priority Service (CPS) and how do they support commercial appliance and equipment dealers?

• Established and experienced provider – Consumer Priority Service (CPS) has operated since 1990, giving commercial appliance and equipment dealers a partner with decades of industry knowledge
• Large-scale coverage – CPS has protected over 75 million products for more than 60 million customers, reflecting deep experience with both residential and commercial equipment
• Strong claims and service infrastructure – With $450M+ in claims paid each year and a network of more than 50,000 servicers nationwide, CPS supports even the most demanding commercial environments
• Extensive retail and dealer partnerships – Over 10,000 retail and commercial equipment partners rely on CPS for protection programs tailored to their business models
• Nationwide and factory-authorized service – CPS combines factory-authorized and independent repair networks to ensure commercial-grade equipment is serviced quickly and reliably
• U.S.-based support and dedicated dealer relationships – Dealers receive ongoing support, onboarding, and training from a U.S.-based team focused on long-term program performance
• Broad category flexibility – With coverage in 60+ product categories, CPS gives dealers the flexibility to protect mixed commercial equipment and adapt as their inventory evolves

Commercial Equipment Warranty Providers FAQ

How can commercial appliance and equipment dealers move forward with the right warranty solution?

For commercial appliance and equipment dealers looking to turn used, refurbished, and open box inventory into a new profit and service opportunity, Consumer Priority Service (CPS) provides a flexible, proven solution. CPS makes it easy to add coverage on these units, control profit margins, and support business customers with structured claims and service support—no matter how your dealership operates.

Dealers can start with a simple process or scale into more advanced workflows as needed, all with support from a dedicated CPS team that understands real commercial equipment operations and dealer profitability goals.

CPS is here to help you

Consumer Priority Service (CPS) works for commercial appliance and equipment dealers of all sizes and setups, from single-location operations to multi-unit service-driven environments. If you want to see how CPS coverage for used, refurbished, or open box equipment could fit your business, just reach out—our team will walk you through the options and help you get started quickly.