What does the average home warranty plan cost?
The cost of the home warranty plan you select can vary depending on the level of coverage and the provider you select. Some plans can be as low as about $1 per day, or around $350 per year. More expensive plans can cost around $1,000 per year, but typically include systems such as garage doors that can be more pricey to fix or replace.With any home warranty plan you will have to pay a deductible at the time of service. This is typically a $60 service fee though this price can vary.
How much can I save?
How much you can save with a home warranty plan depends on the cost of the products you’re ensuring. With plans that cost around $1 per day, the cost of a single repair can pay for the membership. For instance, if you have to repair a washer or dryer, even with the price of the home warranty for a year and the service deductible, you could potentially still be hundreds of dollars below the price of replacing the appliance out of pocket.The biggest difference though can be with complicated home systems such as the air conditioning. In these cases, a home warranty can potentially save you thousands of dollars, but you’ll have to look very closely to make sure that the system is covered by your plan beforehand.
What about home warranty vs homeowners insurance?
People tend to get confused between home warranty plans and homeowners insurance. You can think of a home warranty plan as a sort of extended warranty to repair or replace the things inside your house, while the home insurance plan covers all types of calamities that can strike your house itself.In other words, if a fire tears through your house, you can count on homeowners insurance to pay for the rebuilding process. If your major kitchen appliances break down though, homeowners insurance won’t help you, though a home warranty plan can mean that a service professional is dispatched to your house to repair the item, or that the company will pay to replace it.
What does a home warranty cover?
A home warranty will cover appliances and systems in your house—such as washers and dryers or your A/C system—but will not cover the house itself. A home warranty can cover the cost to fix or replace these items that you have insured with the plan.Make sure to check what the plan’s payout limit is. Typically this is in the low thousands, so it may not cover the entire cost of replacing or repairing a major home system.
What won’t a home warranty cover?
A home warranty won’t cover any damages caused to your house as a result of natural disasters, fire, weather, or theft. Home warranty plans are meant to cover the things inside of the house, not the house itself.Another thing to keep in mind with home warranties is to read the fine print. Many home warranty companies won’t cover an item that has already been repaired in the past. These plans won’t cover items that were broken through misuse, and may have other stipulations as well, such as that they won’t cover professional grade systems like industrial-style stoves or walk-in refrigerators.
How do I file a claim with a home warranty plan?
The method for filing a claim depends on the company you choose, but by and large most allow you to file a claim online. You can also usually reach out to the company by phone.And while you can often file a claim 24/7, help may not be dispatched around the clock. The company will first find a contractor in your area that they work with and set a time to send them over for an assessment. You or someone else will need to be at the house when this takes place.The decision whether or not to repair or replace is made at the home warranty company’s discretion, and is typically based on the bottom line for the company.
What if I want to cancel or extend my home warranty plan?
Home warranty plans tend to be flexible and don’t require some sort of multi-year commitment. People often change companies within a year or 2, so home warranty companies tend to offer deals to entice new customers. If you want to extend your plan, these companies also usually make it easier to tack on more time or upgrade to a new, more (or less) comprehensive coverage plan.
Are there any special considerations for Texas?
The second-most populous state in the US has been booming for years, and we don’t just mean oil. For the past decade, the Austin, San Antonio, Houston, and Dallas-Fort Worth areas have all been among the top 10 fastest growing cities in America, and with low cost of living, no state income tax, a booming economy, and more BBQ per capita than anywhere in America, this is a trend that should continue.This boom has been huge for the real estate industry, and with so many people buying houses, it’s little surprise that there are more home warranty companies in Texas than in any other state.
Does the weather in Texas affect my home warranty?
People in Texas love to complain about the weather, and they might just be forgiven for doing so, what with frequent droughts, flash floods, and hurricanes being just a few of the delights that can bedevil a homeowner. Much of the damage that inclement weather causes is more the provenance of home insurance plans. Still, before insuring your appliances with a home warranty, make sure that they aren’t exposed to the elements (in the garage, the back porch, the deer blind) in a way that might mean you’re not eligible for coverage if you need a repair. And consider getting a plan that covers your air conditioning, after all, it’ll be working overtime during the 9-month season called “summer,” and may be your most valuable possession.
Are there any special considerations for Florida?
Florida may have a reputation for being pricey, but when it comes to home warranties, you can still find the same affordable deals that are commonplace in other states.The sunshine state has for decades attracted people from across the country drawn by the warm weather, beaches, and community. Senior citizens have long flocked to Florida and while they don’t need to worry about work anymore, they still need to think about upkeep of their property.A home warranty can be a handy way for Florida residents to make sure that their home systems and appliances can be reimbursed if need be.
Does the weather in Florida affect my home warranty?
One thing to keep in mind about Florida, with the mild (on non-existent winters) and sunny summers, it’s also a state that contends with hurricanes and tropical weather every year. Having home insurance is crucial, but these weather systems may mean that some of the damage caused to your appliances and home systems won’t be covered.
Are there any special considerations for California?
The Golden State has been blessed with just about every treasure in God’s bounty—soaring mountain ranges, a breathtaking Pacific coastline, wine country, Silicon Valley and Hollywood. Perhaps to even the pot a bit, the state has also been blessed with its fair share of natural disasters, from mudslides to earthquakes to wildfires.Keeping your home in one piece will require a solid home insurance policy that you can count on, and if you’re looking to take out a home warranty, make sure that the plan will provide the coverage you want for your home appliances and systems, which can take a beating in California.Home warranty plans may not cover items that were damaged partly due to the weather, so read the fine print, and get your items inside the house as much as possible.
Are there any special considerations for Georgia?
The state of Georgia has been booming for a long time now, and not just in Atlanta. With so many new homeowners, home warranty plans should continue to be a popular item.If a home warranty is on your mind, here are a few things to keep in mind for residents of Georgia. The state can suffer from some serious weather issues, including tornadoes and on the coast, hurricane season is nothing to laugh at. Also, with serious heat through the long summer months, your A/C system should be working overtime.Take a look at the small print to determine which systems are covered under your warranty plan, and do what it takes to keep them from suffering damage from the elements.
Are there any special considerations for Virginia?
Yes, we know Virginia is for lovers, but it’s also arguably for realtors with all the new homeowners in the commonwealth in recent years.For homeowners in Virginia, there are a lot of climate issues to take into account. This is especially true if you live in the Tidewater region, where floods and storms are never a distant memory. Further inland, from the Piedmont to the Blue Ridge Mountains and the Appalachian Plateau, unseasonably cold winters can also be a consideration as a homeowner.Make sure to look at the fine print when it comes to what your plan will cover, and also try to keep your appliances and systems unexposed to the elements.