What Is A Home Warranty?
A home warranty is a service contract that covers repairing or replacing certain home systems and appliances that break down due to normal wear and tear. The homeowner typically purchases the warranty, which is intended to protect against unexpected repair costs.
Home warranties typically cover heating and cooling systems, electrical and plumbing systems, water heaters, and major appliances like refrigerators, stoves, and washing machines. The coverage and terms of a home warranty can vary, so it’s important to carefully review the contract before purchasing. Some home warranties also offer optional coverage for items such as pools, spas, and septic systems.
Home warranties differ from homeowners insurance, which covers damage to a home caused by fires, storms, or burglaries. Home warranties also differ from manufacturers’ warranties, which cover defects in new products.
Suppose you are considering purchasing a home warranty. In that case, it’s a good idea to compare different plans and read reviews to find a reputable company that offers coverage that meets your needs.
what are the best home warranty companies
A home warranty is a type of insurance that covers the repair or replacement of certain systems and appliances in a home. Home warranty companies offer plans that cover a specific list of items, such as HVAC systems, plumbing, and major appliances.
When you purchase a home warranty, you pay an annual or one-time fee for coverage. If one of the covered items in your home breaks down or fails, you can file a claim with the home warranty company. The company will then send a technician to diagnose the issue and either repair or replace the covered item.
There are many home warranty companies to choose from, and it is important to carefully research and compare their policies and coverage before making a decision. Some things to consider when evaluating home warranty companies include:
- The list of covered items: Make sure the company covers the items most important to you.
- The deductible: Most home warranty companies have a deductible that you must pay each time you file a claim.
- The exclusions: Home warranty policies often exclude certain items or types of damage. Be sure to carefully read the fine print to understand what is not covered.
- The company’s reputation: Check its ratings and reviews to understand how they handle claims and customer service.
It is also a good idea to get quotes from multiple home warranty companies and compare the costs and coverage options before making a decision.
Best Home Warranty Companies of 2023
The home warranty companies with the best ratings include the following:
- Liberty Home Guard: Best Customer Ratings
- American Home Shield: Best Coverage Caps
- Select Home Warranty: Best Value
- America’s First Choice Home Club: Best for Customization
- First American Home Warranty: Best Appliance Coverage
- Cinch Home Services: Best Additional Perks
- 2-10 Home Buyers Warranty: Cheapest Appliance Plan
- ARW Home: Affordable Service Call Fees
- The Home Service Club: Quickest Coverage
Summary of the Best Home Warranty Companies
|Superlative||Monthly Cost||Service Fee||BBB Rating|
|Liberty Home Guard||Best Customer Ratings||$49–$60||$65–$125||A-|
|American Home Shield||Best Coverage Caps||$19–$90||$75–$125||B|
|Select Home Warranty||Best Value||$44–$48||$60–$75||B-|
|AFC Home Club||Best for Customization||$38–$63||$75–$125||B|
|First American Home Warranty||Best Appliance Coverage||$40–$53||$85||B|
|Cinch Home Services||Best Additional Perks||$35–$62||$100–$150||B|
|2-10 Home Buyers Warranty||Cheapest Appliances Plan||$22–$74||$65–$100||B|
|ARW Home||Affordable Service Call Fees||$40-$130||$55||A+|
|The Home Service Club||Quickest Coverage||$50–$63||$65–$125||C|
Top 5 home warranty companies
It is difficult for me to provide a list of the top 5 home warranty companies as it may vary depending on individual needs and preferences, as well as geographical location. Some factors that you may want to consider when choosing a home warranty company include the types of coverage they offer, the cost of their plans, their reputation and customer service record, and the limitations and exclusions of their policies. Here are some suggestions for researching and comparing home warranty companies:
- Read reviews and ratings: Look for reviews and ratings of home warranty companies on consumer review websites, as well as on the company’s website. This can give you an idea of the experiences that other customers have had with the company.
- Compare coverage and pricing: Make a list of the home systems and appliances that you want to have covered, and compare the coverage and pricing of different home warranty companies to see which one offers the best value for your needs.
- Check the fine print: Be sure to carefully read the terms and conditions of any home warranty policy you are considering. Pay particular attention to any exclusions or limitations that may affect your coverage.
- Contact the company: If you have any questions or concerns about a home warranty policy, don’t be afraid to contact the company and ask. A helpful and responsive customer service team can be a good indicator of the overall quality of the company.
- Consider additional coverage: Some home warranty companies offer additional coverage options that may be worth considering, such as coverage for pools, spas, or outdoor appliances.
Are Home Warranties Worth It?
Home warranties can be a good option for some homeowners, but they may not be worth it for others. It’s important to carefully consider your needs and the home warranty terms before deciding whether to purchase one.
Here are a few things to consider when deciding whether a home warranty is worth it for you:
- What does the home warranty cover? Some home warranties cover many systems and appliances, while others are more limited. Make sure you understand what is covered under the home warranty before purchasing it.
- How much does the home warranty cost? Home warranties typically cost several hundred dollars per year. If you’re considering purchasing one, be sure to compare the cost of the home warranty to the cost of repairing or replacing any covered items on your own.
- Are you comfortable making repairs yourself? You may not need a home warranty if you’re handy and comfortable making repairs around the house. However, if you’re uncomfortable tackling repairs yourself, a home warranty can give you peace of mind knowing that you have a resource to turn to if something goes wrong.
- What are the terms of the home warranty? Be sure to carefully read the home warranty terms to understand any exclusions or limitations. Some home warranties may have deductibles, and you may be required to pay for certain repairs or replacements upfront before being reimbursed.
Whether a home warranty is worth it depends on your circumstances and needs. It can be a good option for homeowners who are not comfortable making repairs themselves or for those who live in an older home with more systems and appliances that are likely to need repairs. However, if you’re comfortable making repairs yourself or have a newer home with fewer systems and appliances that are likely to need repair, a home warranty may not be worth the cost.
Compare Home Warranty Plans
A home warranty is a service contract that covers the repair or replacement of various appliances and systems in a home, such as the heating and cooling system, plumbing and electrical system, and major appliances like the refrigerator and washing machine. Homeowners often purchase these plans to provide peace of mind and protection against unexpected expenses.
When comparing home warranty plans, there are several key factors to consider:
- Coverage: Make sure the plan covers the appliances and systems that are important to you. Some plans may offer more comprehensive coverage than others.
- Exclusions: Look at the exclusions in the plan carefully. Some plans may exclude certain appliances or systems or have exclusions for certain types of damage.
- Deductibles: Some plans may have a deductible that you need to pay before the plan covers repairs. Ensure you understand this and whether the deductible is reasonable for your needs.
- Service fees: Most home warranty plans charge a service fee for each repair or replacement covered by the plan. This fee is usually paid directly to the technician who performs the work. Compare service fees across different plans to find the best value.
- Customer service: Consider the reputation of the home warranty company and their track record for customer service. It’s important to choose a responsive and reliable company when you need them.
- Cost: Finally, compare the cost of different home warranty plans to find the best value for your needs. Keep in mind that the cheapest plan may only sometimes be the best option, as it may have fewer benefits or more exclusions.
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What should I look for when choosing a home warranty?
When choosing a home warranty, there are several things you should consider:
- Coverage: Make sure the home warranty covers the systems and appliances that are important to you. Some home warranties only cover certain items, while others offer more comprehensive coverage.
- Exclusions: Pay attention to what is not covered by the home warranty. This can help you identify potential gaps in coverage that you may need to address separately.
- Reputation: Research the home warranty company’s reputation and read reviews from past customers. Look for companies that have a good track record of responding to claims and providing prompt service.
- Cost: Compare the costs of different home warranties to find the best value for your money. Make sure to consider both the upfront cost and any deductibles or service fees that may be charged.
- Contract terms: Carefully review the contract terms before signing up for a home warranty. This will help you understand what is covered, what is not covered, and any exclusions or limitations.
- Cancellation policy: Consider whether the home warranty allows you to cancel your coverage and receive a refund if you are not satisfied with the service.
By considering these factors, you can choose a home warranty that meets your needs and provides the protection you need for your home.
Best Home Warranty Companies in Texas
Several home warranty companies operate in Texas. Here are a few that you may want to consider:
- American Home Shield: This company has been in business for over 50 years and offers a variety of home warranty plans.
- Choice Home Warranty: This company offers customizable home warranty plans and has a network of over 11,000 contractors.
- First American Home Warranty: This company offers a range of home warranty plans, including ones for new and existing homes.
- Home Warranty of America: This company offers a variety of home warranty plans and has a network of over 10,000 contractors.
It’s important to shop around and compare different home warranty companies to find the one that best meets your needs and budget. It’s also a good idea to read customer reviews and check the company’s ratings with the Better Business Bureau before making a decision.
FAQ about home warranty companies
Do home warranties actually cover anything?
Home warranties can provide coverage for certain repairs or replacements of home systems and appliances. The specific coverage depends on the terms of the home warranty plan you purchase. Some home warranties cover a wide range of systems and appliances, while others may only cover certain items.
It’s important to carefully review the terms of your home warranty plan to understand what is covered and what is not. Some common items that may be covered by a home warranty include:
. Heating, ventilation, and air conditioning (HVAC) systems
. Plumbing systems and fixtures
. Electrical systems and components
. Water heaters
. Washers and dryers
It’s important to note that home warranties generally do not cover everything in your home. They typically exclude coverage for things like regular maintenance, cosmetic issues, and pre-existing conditions. In addition, some home warranties may have exclusions or limitations on certain items, such as appliances that are considered high-end or luxury items.
It’s always a good idea to carefully review the terms of your home warranty plan and ask any questions you may have before purchasing it. This will help you understand what is covered and what is not, so you can make an informed decision about whether a home warranty is right for you.
Does home warranty cover repiping?
It depends on the specific home warranty policy you have. Some home warranties may cover repiping as part of their coverage, while others may not. Repiping is typically considered a major repair, and it is not uncommon for home warranties to exclude coverage for major repairs.
To determine whether your home warranty covers repiping, you should carefully review the terms of your policy. Look for any exclusions or limitations that may apply to repiping, as well as any requirements for obtaining coverage.
If your home warranty does not cover repiping, you may need to pay for the repair out of pocket or consider purchasing additional coverage through a separate policy. You can also contact the home warranty company to ask about the availability of additional coverage for major repairs such as repiping.
Is a home warranty worth it for an older home?
A home warranty can be worth it for an older home, as it can provide peace of mind and protection against unexpected expenses due to the failure of certain systems or appliances. However, it’s important to carefully consider the terms and conditions of the home warranty, as well as the age and condition of your home, before deciding whether or not to purchase one.
One factor to consider is the likelihood of needing to use the home warranty. If your home is well-maintained and has newer systems and appliances, you may not need a home warranty as much as if your home is older and has systems and appliances that are more prone to breaking down.
Another factor to consider is the cost of the home warranty and whether it is a good value for the money. Some home warranties can be expensive, and it’s important to carefully review the terms of the contract to understand what is and is not covered. In some cases, the cost of repairs may exceed the cost of the home warranty, in which case it may not be a good value.
Finally, it’s a good idea to shop around and compare different home warranty options to find the one that best fits your needs and budget. It may also be a good idea to speak with a trusted professional, such as a real estate agent or home inspector, to get their perspective on the pros and cons of a home warranty for your specific home.
Is a leaky faucet covered by home warranty?
It depends on the terms of your home warranty and the specific cause of the leaky faucet. Some home warranties may cover repairs to a leaky faucet if it is due to a failure of the faucet itself or a problem with the plumbing that supplies the faucet. However, if the cause of the leak is due to normal wear and tear or user error (such as improper installation or misuse), it may not be covered by the home warranty.
It’s important to carefully review the terms of your home warranty to understand what is and is not covered. Many home warranties have exclusions for certain types of repairs or damages, and it’s important to be aware of these exclusions so you know what to expect in terms of coverage. If you are unsure whether a particular repair is covered by your home warranty, it’s a good idea to contact the home warranty company and ask for clarification.