When a piece of medical equipment breaks down after its warranty has expired, deciding what to do next can be challenging. Although many people instinctively opt for continued repairs, that approach often becomes more costly and time-consuming than expected. Instead of relying on habit, it’s worth taking a structured approach to determine whether repairing or replacing the equipment will offer better long-term value.

The No. 1 ‘Rule of Thumb’ for Repairing or Replacing Medical Equipment

Industry standards recommend basing the decision on several core factors. To begin with, compare the repair cost with the price of a replacement. Additionally, look at the equipment’s age and expected remaining lifespan.

A common guideline suggests that:

• If the repair cost is less than 50% of the replacement cost, and

• If the equipment is still within the first 50% of its expected life cycle,

then repairing is usually the more economical option.

For instance, take the example of a mobile hoist:

12 Top Considerations

However, there are other factors that need to be taken into consideration and the decision must be made on a case-by-case basis including, but not limited to:

☐ The equipment’s service history

☐ Performance and reliability

☐ Overall condition (Hoist use is a big factor as the more use it receives, the quicker it will deteriorate)

☐ Functional importance

☐ Any critical risk the equipment may cause if out-of-use, repaired, or replaced

☐ Likely ongoing operating costs

☐ Impact on productivity and/or quality

☐ Cost of unscheduled downtime, including collateral costs (health, safety, environmental, etc.)

☐ Decommissioning and/or disposal costs

☐ Associated cost to research and purchase a replacement

☐ The capital cost of the replacement equipment

☐ Any training costs on replacement equipment

Making the Final Decision

Because so many variables are involved, choosing whether to repair or replace equipment isn’t always straightforward. Consequently, partnering with a qualified expert can provide valuable clarity by ensuring the assessment accounts for technical condition, long-term performance, and total cost of ownership.

Ultimately, the best decision comes from evaluating the asset holistically. By adopting a broader, long-term perspective, you’ll be better positioned to make a choice that supports both your budget and ongoing operational needs.