Home warranties aren’t mandatory by law but they are worth considering when you buy a new or pre-owned property.
An AHS home warranty acts like a form of insurance to provide financial protection for the repairs of appliances and systems within your home. It covers the costs if your home experiences a fire or severe flooding, or if there is a burglary.
When choosing a home warranty, you’ve got several options. Each home warranty company offers a selection of policies, ranging from basic coverage to a more extensive level of coverage.
Knowing if a Home Warranty is Right for You
Since home warranties are a legal obligation for homeowners, you might be wondering whether it’s worth getting one for your property or not. Knowing what a home warranty covers and its advantages and disadvantages will make your decision much easier.
In this article, we’re going to cover everything you need to know about home warranties so that you can decide whether or not to get one.
What is Covered by Most Home Warranties?
Although every home warranty is slightly different, there are some common things that covered by most policies. It’s important to clarify what is covered by a home warranty policy before you agree to a legal contract so you know exactly which items in your home are protected.
Here are some of the things that most home warranties cover:
- Internal plumbing issues
- Problems with electrical circuits and wiring
- Washing machine
- Tumble dryer
- Built-in microwave
- Water boiler or cooler
- HVAC systems
What Else Can You Cover with a Home Warranty?
Most home warranty providers offer their customers the option to add extra coverage onto their policies. If you have certain home appliances that you use more often than others, you might choose to add these to your plan for financial coverage.
Common home warranty add-ons include:
- Indoor and outdoor swimming pools
- Built-in fans
- Ice machines
- Garbage disposal system
- Electronic devices
- Guest houses
Why Should You Consider Getting a Home Warranty?
Of course, the decision is in your hands when it comes to home warranties. However, there are many advantages to taking a policy out on your property.
If you’re somebody who would rather have peace of mind knowing that your home appliances are covered, it might be worth paying for a home warranty.
If your home floods you will need to pay for water damage restoration.
Your home warranty provider has access to top-quality technicians so you won’t need to worry about finding a professional handyman to fix major problems in your home. Instead, you can simply file a claim on your policy and allow the provider to organize things for you.
Having a home warranty also enables you to budget more effectively because you won’t need to set aside an emergency fund ‘just in case’ something breaks in your home. Many repairs can be expensive to fix but your home warranty provider will be able to subsidize the costs significantly.