A Home Warranty is really “home maintenance” insurance policy.
Home Warranty Companies “issue” home warranty policies. These specialized “insurers” charge an annual fee for the “coverage”, and offer service call “deductibles” where authorized, screened contractors are dispatched to resolve household maintenance issues upon your request. Each company offers at least one type of coverage that normally offers repairs for HVAC, water heaters, electrical or plumbing issues.
Despite some recent negative news about horror stories of home warranties…home warranties are good protection plans for some people who like to have one source to call for home service vendors.
Consumer forums are full of stories from angry homeowners who were failed by their warranty providers. The most common complaints from them are: the company not honoring its promises; bad contractors; and avoidance of replacements.
Note: If you can fix or troubleshoot the obvious (a GFCI outlet trips just once & press the reset button or a simple $15 toilet tank flush valve repair), you can save a $50+ service call. Otherwise, call your home warranty provider and get a professional to help you.
(Hint: Whenever you move into a new home, walk around and get to know it a bit – Where are the circuit breakers and are any tripped? Where are the CFCI outlets that will trip when triggered? Where is your furnace and how do you change your filters? Where is your water heater and is it turned onto the proper heat setting? Do your kitchen appliances work properly? All exterior lighting have fresh light bulbs? etc,…)
SOME HOME WARRANTY COMPANY WEBSITES
Reviews of the above and other home home warranty service providers can be viewed at either http://www.homewarrantyreviews.com/ or http://www.homewarrantyreviews.org/, but I have only seen warranty plans from the above companies.
According to many home warranty providers, the highest rate of homeowner claims encompasses water heaters, furnaces and central-air conditioning, while major appliances covered by a home warranty generally start to require servicing at five years of age. Since home systems and large or built-in appliances are acquired during a home sale, there are many unknowns, such as how things previously have been used and maintained.
References to products and services are not a specific endorsement, but the user must perform their due diligence and investigate whether the product or service is right for them. I welcome any or all comments that would help others.