A home warranty is a service contract that covers the repair and replacement costs of major appliances and systems in a home. Home warranty companies offer a variety of coverage plans and options to meet the needs of different homeowners. We will be listing some of the top home warranty companies in the United States.
Home warranty companies work with a network of licensed and insured contractors to provide repair and replacement services when covered items break down due to normal wear and tear. For example, a home warranty may cover the repair or replacement of a broken air conditioning unit, a malfunctioning dishwasher, or a leaking water heater.
Some home warranty plans cover only basic appliances and systems, while others offer more comprehensive coverage for high-end appliances and systems. These plans provide coverage for home systems and appliances that are typically not covered by homeowner’s insurance. The cost of a home warranty plan varies depending on the level of coverage and the provider.
Top home warranty companies in the United States
- Choice Home Warranty: Offers comprehensive coverage with low deductibles.
- Select Home Warranty: Offers affordable plans with customizable coverage options and has a wide network of contractors.
- First American Home Warranty: Offers comprehensive coverage with competitive pricing.
- HomeServe: Offers plans for specific systems and appliances, as well as a comprehensive plan that covers multiple systems and appliances
- American Home Shield: American Home Shield is one of the oldest and most established home warranty companies in the industry. They offer a variety of coverage options and have a large network of contractors.
- Total Home Protection: Total Home Protection offers a range of coverage options and has a large
How Home Warranties Work
When a homeowner experiences a problem with a covered appliance or system, they can contact their home warranty company to file a claim. The home warranty company will then dispatch a licensed contractor to diagnose and repair the problem. If the appliance or system cannot be repaired, the home warranty company will cover the cost of a replacement.
Home warranty plans typically have a deductible, which is the amount that the homeowner must pay before the warranty company begins covering the costs of repairs or replacements. Deductibles can vary depending on the plan and the provider.
Benefits of a Home Warranty
- Protection from Unexpected Expenses: A home warranty protects homeowners from unexpected repair or replacement expenses when covered items break down due to normal wear and tear. With a home warranty, homeowners can have peace of mind knowing that they are covered if something goes wrong.
- Convenience: Home warranty companies handle the repair and replacement process from start to finish, which means homeowners do not have to spend time finding a qualified contractor or paying for repairs out of pocket.
- Budget-Friendly: A home warranty can help homeowners budget for unexpected repair costs by providing a fixed annual cost for coverage. This can be especially helpful for homeowners on a fixed income or with limited savings.
- Increased Home Value: A home warranty can increase the value of a home, as it provides potential buyers with the reassurance that the major appliances and systems in the home are covered.
Tips for Choosing the Best Home Warranty Company
- Coverage Options: Look for a home warranty company that offers coverage options that meet your specific needs. Consider the appliances and systems you want to be covered and choose a plan that provides the right level of coverage.
- Cost: Home warranty costs vary based on the level of coverage, deductible, and service fees. Look for a home warranty company that offers competitive pricing for the level of coverage you need.
- Customer Service: Look for a home warranty company with a reputation for excellent customer service. Read reviews and testimonials from other customers to get an idea of the company’s responsiveness and willingness to help.
- Contractor Network: Look for a home warranty company with a large and diverse contractor network. This ensures that you have access to qualified and reliable contractors when you need them.
- Exclusions and Limitations: Be sure to read the fine print of the home warranty contract to understand the exclusions and limitations of coverage. Make sure you understand what is covered and what is not.
Cons of home warranty
- Limited coverage: Home warranty plans typically have exclusions and limitations, and may not cover all types of repairs or replacements.
- High deductibles: Some plans may have high deductibles that can add up quickly if multiple repairs are needed.
- Service limitations: Homeowners may be limited to using contractors approved by the home warranty company, which can be inconvenient if a preferred contractor is not on the list.
- Fine print: Home warranty contracts can be complex and may have exclusions and limitations buried in the fine print.