What are the company standards for repairing versus replacing the unit?
Standard #1 – The “4K” Rule
Price of the repair times the age of the equipment*…To make it simple, we call it the “4K” rule. 4K stands for $4000, making it fast and simple to understand our company “speak.” At 4K, we believe we are justified in beginning to discuss a repair-versus-replace option with you.
*As an example: a $400 repair multiplied by ten-year-old piece of equipment equals $4000 or 4K.
Standard #2 – The “Over 10” Rule
Anytime the equipment is over ten years old and there is a service event, the technician is encouraged to initiate the repair-versus-replace discussion with you about the merits of considering replacing/upgrading your equipment.
Given ever-increasing utility costs, the sensitivity many in our community have towards our dependence on foreign oil, and desire to conserve energy, having our technicians initiate a conversation about the merits of replacing your ten-plus-year-old air conditioning system with you during a service call is reasonable and responsible.
What is in your best interest given your lifestyle, budget, condition of your home comfort equipment?
1. What is the age of the equipment?
|Years||1, 2, 3, 4, 5||6, 7, 8, 9||10, 11, 12, 13, 14||15 or more|
2. Equipment usage in hours (operating hours)
701 – 1400
1401 – 2000
|Average Per Day||0-2 hours||2-4 hours||4-5.5 hours||5.5+ hours|
3. How long do you plan to live in this home?
|Years||1 – 3 Years||4 – 6 Years||7 – 9 Years||10+|
4. Today’s repair cost that can be saved/reduced from invoice?
|Amount in $$||$0 to $100||$101 to $300||$301 to $500||$501 and above|
How did you score?
Points: 1 to 10
Repairing your system is the best option.
Points: 11 to 19
It is your decision. Refer to the questions below.
Points: 20 & above
Replacement is the best economic decision given projected energy and repair costs.