Should You Consider Getting a Home Warranty?

Should You Consider Getting a Home Warranty?

As a homeowner, you just never know when you’ll face unexpected and costly repairs for your home.  A home warranty can sound like a great solution to this dilemma, but is it really worth it?

Home warranties have gotten a bad rap in the past, but like any warranty or insurance policy, the upfront cost could be worth it in the end.  But you do need to read the fine print and understand any of the terms and conditions.

Let’s explore the pros and cons of home warranties:

Pros:

1. Financial Protection: Home warranties can be a safety net, shielding homeowners from unexpected repair costs on covered items like HVAC systems, appliances, and plumbing.
2. Convenience: One of the advantages is the convenience of a centralized service for repairs. Homeowners can contact the warranty provider, who will arrange for a qualified service technician.
3. Peace of Mind: For many clients, the peace of mind that comes with knowing major home systems are covered can be invaluable, especially for first-time homebuyers.

Cons:

1. Coverage Limitations: Home warranties may have limitations on the types of repairs covered and the maximum payout, leaving homeowners to cover any excess costs.
2. Pre-existing Conditions: Issues existing before the coverage period often aren’t covered, emphasizing the importance of thorough home inspections before purchasing a warranty.
3. Service Quality: While some providers offer excellent service, others may have limitations on the technicians they work with, potentially affecting the quality of repairs.

What’s Covered and What’s Not:

Typically Covered:

• HVAC Systems
• Kitchen Appliances
• Plumbing
• Electrical Systems

Typically Not Covered:

• Structural Damage
• Pre-existing Conditions
• Outdoor Features (e.g., sprinkler systems, fences)

Best Value Considerations:

1. Comprehensive Coverage: Opt for plans that cover a wide range of systems and appliances to ensure comprehensive protection.
2. Reputable Providers: Research and choose reputable warranty providers with a history of reliable service and prompt claim resolutions.
3. Clear Contract Terms: Read contracts carefully, ensuring clarity on coverage, exclusions, and any additional costs.

Additional Coverage Options:

1. Pool and Spa Coverage
2. Extended Appliance Coverage
3. Well Pump or Septic System Coverage

Repair Process:

1. Contacting the Provider: Report the issue to the warranty provider through their designated channels.
2. Service Assignment: The provider assigns a qualified technician to assess and repair the problem.
3. Approval and Repair: Once the issue is verified, the provider approves the repair, and the technician completes the necessary work.

What if something is not covered when I thought it was?

Like any warranty for any other type of purchase, there are times the warranty company can choose not to cover something. That’s why you need to read the fine print carefully!

What do I look for in a home warranty company?

It’s important to find a reputable company that has been highly recommended by others.

• Investigate its long-term history and Better Business Bureau information.
• Compare coverage levels and upgrades to standard packages along with deductibles and service fees.
• Read the fine print in the contract to understand any co-pays and exclusions.
• Understand how you can cancel a contract.

Let me know if you have any questions about getting a home warranty whether you’re a current or new homeowner Jennifer@movewithmestayer.com