As a homeowner, you have multiple issues to contend with. For starters, you likely have homeowner’s insurance as part of your mortgage agreement. This protects your home from multiple elements such as theft, fire, lightning, wind, hail, adverse weather, and others. It is also insurance against injuries that may take place on your property, or lawsuits that may be filed against you. Unfortunately, homeowner’s insurance does not offer coverage for the systems and appliances in your home.
Your real estate is arguably the most important purchase you will ever make. The only other things that come close are your education, vehicles, and an exotic global vacation. Your home systems and appliances include multiple items such as your AC unit, your garbage disposal, your washer, dryer, range, heating system, microwave, refrigerator, plumbing, electrical components and the like.
The only way to safeguard these appliances and systems is through a home warranty plan. If you have purchased these items new, you are typically covered by a manufacturer’s warranty for the first year. Unfortunately, the warranties are often buried in impossible terms and conditions.
A home warranty plan is the most cost-effective protection against mishaps, malfunctions, or breakdowns. Home warranty coverage typically costs anywhere from $300 – $500 per year, and it offers much-needed peace of mind. Several elements must be considered, namely:
- The Affordability and Quality of Coverage
- The Range of Home Warranty Plans Offered
- The Reputation of the Home Warranty Company
- Comparative Analysis with Other Leading Home Warranty Providers
- Customer Perception of the Services Offered by the Home Warranty Company
What About Deductibles and Service Fees?
Unfortunately, one of the issues that people pay scant attention to is service calls. In other words, will the home warranty provider send a repair technician to your house in a timely fashion? What approval rates are issued on work orders for the home warranty company? How much are you going to pay for that service call? Also, what are the coverage limits on repairs? These are critical issues to consider when you are seeking a reliable home warranty provider.
If you are purchasing brand-new appliances in your home, chances are you don’t need home warranty coverage for your first year. But that $3,000 refrigerator, $600 microwave, $500 dishwasher, $1,500 range, and your other home systems are going to be subjected to intensive use.
After the first year of the manufacturer’s warranty, you have an option to extend the manufacturer’s warranty on individual items, or simply opt for a blanket solution with a home warranty plan. Home warranty providers are only as good as the customer reviews of them. Always pick a tried and trusted home warranty provider to ensure that you are not short-changed when you need them most.
The Better Business Bureau has reported multiple complaints from dissatisfied customers about home warranty companies that do not deliver on their promises. Some home warranty companies will simply not send a repair technician out if your appliances are too old, although they may not state this in their terms and conditions.
There are many moving components in electro-mechanical gadgets, gizmos, and appliances and it behooves homeowners to take the necessary precautions to protect a home’s systems and appliances with comprehensive coverage.