What does a home warranty cover?

Owning a home is a major accomplishment, but it also comes with major responsibilities. Paying off a mortgage is costly enough, so you'll want to make sure you're not hit with any shocking home repair bills.

There's a significant difference between home insurance and a home warranty. Most lending institutions and banks mandate that homeowners have insurance in place to protect themselves and the lender, but that's often where the coverage stops. In short: home insurance is the minimum requirement but it doesn't mean that the security and peace of mind that a homeowner desires will be met.

There are several reasons to get a home warranty, which can protect you and your family by covering the costs of common (and, sometimes, frequent) household repairs and appliance replacements. 

It's added protection every homeowner should contemplate getting. Not sure if you're in the market for a home warranty? Find out today with a few quick and easy steps. 

What does a home warranty cover?

A home warranty covers only what's in the agreement with the service provider. Exclusions specified in the deal are the responsibility of the homeowner. That's why it's important to read the fine print before assuming broader coverage than you may actually have.

Typically, home warranties can cover all or some of the following items:

• Dishwashers
• Refrigerators
• Microwaves
• Ovens
• Garage door openers
• Air conditioners
• Furnaces
• Clothes washer
• Clothes dryer

This list is not exhaustive and warranties can cover more or fewer items. It can also be set up to cover select items only. 

Are the big-ticket appliances and equipment you need covered fall listed above? Then you may be a candidate for a home warranty. Check out what kind of protection you're eligible for today. 

While seemingly endless, the list of items a home warranty won't cover is also considerable. Typically home warranties won't cover:

• Items/appliances that were already broken
• Items/appliances that were initially installed improperly
• Structural, plumbing and electrical adjustments needed to install new items
• Cosmetic issues
• Modifications or adjustments made to new appliances

Is a home warranty worth it?

Unfortunately, there is no definitive answer to this question. It all comes down to the homeowner's individual circumstances and preferences. There are, however, some baseline ways to determine if a home warranty is worth it. 

Two of the most common ways to determine if a home warranty is worth it are as follows:

• Your manufacturer warranty has expired. If one or more of your items have since passed their warranty expiration date then it may make sense to shore up coverage with a home warranty.
• Your appliances are old or aging. If your manufacturer warranty has expired then it's because your dishwasher, fridge or other appliance has aged out of the coverage zone. As is predictable, older appliances tend to break down more often than newer ones. This is when you may benefit from having a warranty.

Do a realistic check of your home and appliances to determine which items need protection (particularly your newer ones). If you want more safety and security than regular home insurance provides, a home warranty is a good place to start.

Want to learn more? Home warranty providers are ready to help you today.