Keeping You Safe, Your Home Smart & Your Life Fun - since 2014

Why Do I Need A Home Warranty Plan?

To sustain this free service, we receive affiliate commissions via some of our links. This doesn’t affect rankings. Our review process.

Person stuck in dryer at laundromat: Why Do I Need A Home Warranty Plan?What is a home warranty plan and what does it cover? Before you begin your research for the best home warranty company there are a few things you should know. We want you to be an informed buyer while you read through our home warranty reviews and that means knowing what a home warranty is, what it covers and some other need-to-know information. So, be sure to read more about the basics of home warranties so you can find the best home warranty companies.

What is a Home Warranty?

Home warranties protect you financially from malfunctions that may occur with specific appliances and systems in your home, aka home appliance insurance. Home warranty insurance is most often bought after (or with) the purchase of a new home but is also a good idea for a home that has aging appliances or systems.

What is Included in Your Home Warranty Coverage?

Items you can expect to be covered are your appliances, plumbing system, electrical system, HVAC and other systems. However, the items covered can vary depending on the company and plan you choose.

What is NOT Included in Your Home Warranty Coverage?

Things like fire/flood damage, the roof and other items that your homeowners insurance typically covers are not covered by your home warranty.

How Does a Home Warranty Work?

A home warranty works like most other insurance plans. You pay a monthly fee for coverage and if an appliance or system breaks that you have covered you only have to pay the deductible and the rest is paid by the home warranty company. What’s the catch? The company you choose for your home warranty has the option to either fix the broken appliance/system or buy a new one. Unfortunately, some companies choose to fix the appliance/system over and over instead of just replacing it with a new one which can be very time consuming and headache inducing for you, the homeowner who just wants a house with working pieces and parts! This can vary based on location so it’s extremely important that you do your research, so you know you’re getting the best home warranty plan for you!

Below is a video with a good tip for you to consider when buying your house.

What Does a Home Warranty Cover?

What’s covered by your home warranty can vary. The majority of basic plans from each provider include: clothes washer and dryer, refrigerator, dishwasher, oven/range, heater and air conditioner. However, this can vary depending on the company you choose. That’s why it’s EXTREMELY IMPORTANT that you read every sentence, every word and every letter in your contract so you know what is covered and what the process is for filing a claim and getting your appliance/system fixed. You can also upgrade plans or add-on items to be covered that are less common (i.e. pool, hot tub, etc.).

Learn more about home warranties in our all-inclusive guide

Home Warranties Reviews

Finding the best home warranty can be overwhelming. We hope we have provided some insight and can help you feel more prepared while making your decision. Now you can explore the top home warranty companies and read some of our reviews so you have the perfect fit for you!

What questions do you still have about home warranties?

Michelle loves spending time outdoors which means she leans a lot on home security and home automation to keep everything safe while she's away. Smart home gadgets fascinate her and inspire her to find new ways to make the necessities of life more fun. Her VPN is her favorite privacy tool, allowing her to take advantage of free wifi on the go and her smart thermostat helps her save some green (on the electric bill and the planet).

Leave a Reply