There are many different types of home warranty coverage being offered today. In most cases the plans offered today tend to provide coverage to repair or replace items in the home not covered by regular homeowner’s insurance. These items include major appliances, electrical, plumbing, and roof as a result of normal wear and tear to them.

home warranty comparision

Let’s face it. Things in the house break down despite of the best maintenance. The major components could easily cost thousands of dollars to repair. Just imagine in the middle of dead winter your furnace stopped working. The repair man wanted to charge you $2500 for a new unit. What would you do?

Well, if you have a home warranty, simply call the warranty company and they will take care of the rest. The contractor sent to your home will be well qualified so you can be sure the work will be done right. You will only be responsible for the deductible (typically $40-$50 service call fee) unless it’s something not covered by the plan.

If you are selling your home, it is a good idea to get a home warranty.

It provides protection not only while your home is on the market but also after you have sold the house. In fact, most buyers nowadays expects the seller to offer one-year home warranty as part of the deal. If you bought a home that comes with a home warranty, you should consider review it once it expires.

 

Home warranty plan varies from company to company.

In general, most plans would cover the following components:

  • Central Heat
  • Centra Air
  • Water Heater
  • Interior Plumbing System
  • Interior Electrical System
  • Kitchen Appliances
  • Water Well Pump
  • Septic System
  • Electrical Items such as central vacuum, lighting fixtures, fire alarms
  • Clothes Washer & Dryer
  • Roof Leaks

In addition, most home warranty plans allow you to buy up the coverage to include additional items such as a hot tub or swimming pool.

However, before you purchase a home warranty or renew your current coverage it is worth doing some research first.  By doing some of this it could actually help to save you some money in the future on the premiums you pay.

Below we offer some ideas that you may find helpful in getting the right sort of home warranty coverage for less money than you pay currently.

1. Be sure to read the fine print on the plan to find out exactly what are covered. For example, the sales brochure may say central air is covered but the actual policy may further describe that compressors larger than five tons and outside piping are not covered.

2.     It is a good idea to do some comparison shopping beforehand and obtain several quotes from companies that provide this form of coverage.  When you receive this information don’t look just at the price they are quoting but also the amount of coverage they provide.  You may be quietly surprised to see how much the level of coverage that each company provides varies.

3.    Another way that you can help to keep the costs down when it comes to home warranty coverage is to only buy the coverage you need. The warranty company may try to sell you expensive upgrades which provides additional coverage but the chance of you actually need it is extremely small. Buying the plan that covers basic major components in your home will give you most bang for your bucks.

4.    When it comes to getting home warranty coverage before obtaining any quotes review your credit report.  If your credit report remains in good order then this could help substantially with getting much better quotes when renewing your policy.

5.    Finally if you can when it comes to paying your home warranty coverage premiums try to do so in one lump sum rather than as monthly or quarterly payments.  Remember the insurance companies will charge you interest on the monthly and quarterly payments that can over the course of a year substantially increase how much you pay them.