Home Warranties Q&A

Guest blog by Home Warranty of America.

Today we’re going to answer a few basic questions about home warranties.

1) What is a home warranty?
A home warranty covers costly home repairs and replacements of major appliances and systems due to normal wear and tear.

If a covered system or appliance breaks down or malfunctions, an authorized technician will be dispatched to the home, with a small trade call fee (typically between $50-$100) to diagnose and approve the service request. This saves the homeowner the time and trouble of researching and contacting various service vendors on their own in a time of stress and urgency.

A home warranty also protects the homeowner with set coverage costs so there is not a large, unexpected expense when an inconvenient repair is needed.

When a home warranty is understood and utilized for its intended purposes, it can be the easiest way to save on home repairs and reduce the extra stress that comes with buying or selling a home.

2) How is a home warranty different from homeowner’s insurance?
Home insurance and home warranties are both designed to help you in the event that you experience loss or damage to your home and/or your belongings.

A typical home insurance policy covers many things including the structure of your home, personal belongings, and other structures on your property if damage or loss is caused by a covered peril.

A home warranty, on the other hand, offers repairs and replacements for your home appliances and systems that fail due to normal wear and tear. A home warranty is a contract, not a policy.

3)Why should someone purchase a home warranty? Is it worth it?
A home warranty can protect your home and budget from unexpected repair costs. Take a look at this comparison chart of common home repairs with and without a home warranty:


 4) What types of things are covered under the average home warranty?
A typical home warranty covers a home’s vital systems such as heating system/furnace, air conditioning system/cooler, water heater and kitchen appliances. There are many additional items that are frequently covered, such as door bells, ceiling fans, fire alarms, etc. Most home warranty plans offer a base coverage plan and a more inclusive and comprehensive premium plan at a higher cost, as well as optional coverage items that can be added to either plan a la carte.

5) Who normally purchases the home warranty, the home buyer or seller?
This is a case by case basis. A home seller may choose to add a home warranty as a gift to the home buyer. HWA offers free Seller’s Coverage in most states for sellers to cover their home in the listing period to make their home more attractive to prospective home buyers in a competitive market. At HWA, the Seller’s Coverage converts to a full 13-months of coverage for the home buyer at the homes closing.

A buyer may choose to add a home warranty for peace of mind. A buyer may prefer to select the home warranty company themselves rather than have the Seller make the decision. Or, if no home warranty is offered, a home owner may elect to add the home warranty themselves.

6) How long does the warranty last? Can I renew it?
Typical home warranties cover a home for a year. HWA offers 13-months of full home warranty coverage on all of our real estate plans. All home warranties are eligible and encouraged to be renewed.

PrintAt Home Warranty of America, Inc. we have built our business on simplifying the lives of our customers and helping them immediately, in a time of great need and uncertainty. We strive to always offer our customers fast, easy solutions with excellent service technicians. You are looking for value for your money, and we believe we provide high value and protection against the high costs of home and appliance repair.