We chose American Home Shield as the best home warranty company thanks to its generous coverage limits and protection for older systems and appliances. With higher payout caps than most competitors and no plumbing or electrical limits, the company’s plans can help homeowners avoid high out-of-pocket costs when major systems or appliances break down.
To determine the best providers, we reviewed 13 home warranty companies and compared plan and add-on options, coverage specifics, pricing, service fees, and workmanship guarantees. We also surveyed 2,000 home warranty customers nationwide and tested providers by signing up for real plans and filing claims, giving us firsthand insights into the enrollment and repair processes.
Key Takeaways
- American Home Shield tops our list as the best home warranty company because of its comprehensive coverage and wide availability.
- Home warranty costs typically range from $47–$82 per month or $564–$984 per year, depending on your chosen coverage level and service fee.
- In our 2026 survey of 2,000 homeowners nationwide, nearly nine in 10 homeowners said their most recent claim was approved.
- More than 83% of surveyed homeowners reported being satisfied with their plan, and 88% said they intend to renew once their current term ends.
Top Home Warranty Providers
After reviewing 13 home warranty providers, we chose the following companies as our top picks:
- American Home Shield: Best Comprehensive Coverage
- Choice Home Warranty: Best Basic Plan Coverage
- First American Home Warranty: Best for High-End Items
- AFC Home Warranty: Best Technician Flexibility
- Liberty Home Guard: Best Customer Support
- Cinch Home Services: Best Additional Perks
Compare Home Warranty Companies
The panel below compares our top home warranty companies based on national average monthly pricing, service call fees—or per-use charges for technician visits—and other factors we consider important when selecting a home warranty provider.
| Company | Star Rating | BBB Rating | Monthly Cost | Service Fee |
|---|---|---|---|---|
B | $36–$100 | $100–$125 | ||
B | $60–$68 | $100 | ||
NR | $57–$68 | $65–$125 | ||
B+ | $77–$130 | $100–$125 | ||
B | $44–$82 | $75–$125 | ||
B+ | $51–$68 | $100–$150 |
Our Review of the Top Home Warranty Companies
When scoring home warranty companies, we looked at what’s most likely to impact a homeowner’s buying decision, including coverage options for essential systems and appliances, customer satisfaction ratings, pricing, and add-on availability.
American Home Shield
American Home Shield Overview
American Home Shield stands out for its coverage of unknown preexisting conditions, including rust, corrosion, and sediment damage—issues rarely covered by other providers. The company also offers generous coverage limits of up to $4,000 for home appliances, $5,000 for most systems, and no caps on plumbing or electrical repairs. The ShieldGold and ShieldPlatinum plans also include free access to a video chat feature, which connects you with a repair expert to help troubleshoot issues remotely. This feature, offered through the company’s mobile app, can help you resolve minor problems faster and save on service call fees.
Best for: Homeowners with older homes or aging systems who want coverage for wear-and-tear issues and unknown preexisting conditions.
Pros and Cons
Pros
- Covers preexisting conditions and damage, a common exclusion in the home warranty industry
- Includes unlimited coverage for most electrical and plumbing system components
- Offers video chat with experts to troubleshoot issues before requesting service repairs
Cons
- Charges slightly higher for its top comprehensive plan than some other providers
- Only has six add-on options, offering limited plan customization
Plan Details and Cost
American Home Shield offers the following three plans:
- ShieldSilver ($36 per month): The ShieldSilver plan covers 14 systems, including HVAC, electrical, and plumbing.
- ShieldGold ($50 per month): The ShieldGold plan covers 14 systems and nine home appliances, including dishwashers, laundry appliances, and refrigerators.
- ShieldPlatinum ($100 per month): The ShieldPlatinum plan includes the ShieldGold coverage and adds roof-leak coverage, HVAC tuneups, and other benefits.
American Home Shield also offers six add-on options, including:
- Guest units
- Pool and built-in spa
- Roof-leak repair
- Septic pump
- Well pump
What American Home Shield Customers Say
In our survey, American Home Shield customers were most concentrated in the Southeast, particularly in Virginia, Georgia, and South Carolina. Respondents frequently mentioned that their coverage helped them manage unexpected repair costs and reduce financial stress. Nearly 93% of survey respondents reported their most recent claim was approved, and claims were more likely to result in a repair than a replacement. One homeowner said the “peace of mind knowing unexpected repairs are covered without huge out-of-pocket costs” was a key benefit of having American Home Shield.
Choice Home Warranty
Choice Home Warranty Overview
Choice Home Warranty offers affordable, bundled coverage for both systems and appliances, making it a strong option for homeowners who want broad protection in a single, straightforward plan. Choice’s comprehensive plans cost less than $70 per month, making it more affordable than most other providers in our review. The company provides a $3,000 coverage limit per item and includes a 90-day workmanship guarantee on parts and a 60-day labor guarantee, which is slightly longer than the 30-day standard many providers offer.
Best for: Budget-conscious homeowners who want straightforward, combined coverage at a lower monthly price.
Pros and Cons
Pros
- Backs its repairs with a 90-day guarantee for parts and a 60-day guarantee for labor
- Charges under $70 per month for comprehensive plans
- Includes a $3,000 cap for most covered repairs
Cons
- Charges a $2.50 fee with its monthly payment option
- Excludes AC, refrigerator, and laundry appliance coverage from its lowest-tier plan
Plan Details and Cost
Choice Home Warranty provides two coverage plans:
- Basic Plan ($60 per month): The Basic Plan covers seven systems and seven appliances, including heating, ovens, and plumbing.
- Total Plan ($68 per month): The Total Plan covers eight systems and 10 appliances, including air conditioning, clothes washers and dryers, and refrigerators.
Choice Home Warranty also offers 11 add-on options, including:
- Limited roof leak
- Pool and spa
- Second refrigerator
- Stand-alone freezer
- Sprinkler system
What Choice Home Warranty Customers Say
Based on our survey responses, Choice Home Warranty customers often described their coverage as a way to offset the cost of major system or appliance failures. Respondents were most concentrated in the Midwest and parts of the South, particularly in Illinois, Ohio, and Texas. Nearly 90% of surveyed customers said their most recent claim was approved, with outcomes split between repairs and replacements. One respondent added, “Our home warranty saved us several thousand dollars,” highlighting the financial impact of having a plan.
First American Home Warranty
First American Home Warranty Overview
First American Home Warranty offers some of the best appliance coverage in our review. The Starter and Essential plans include $3,500 in coverage, which goes up to $7,000 with the Premium Plan. These high coverage limits make First American a good option for homeowners with high-end appliances. Comparatively, American Home Shield’s highest plan caps appliance coverage at $4,000. First American also provides unlimited coverage for most systems, unlike American Home Shield, which offers this level of protection only for plumbing and electrical. Additionally, you can add the First American Advantage upgrade to cover damage from improper installation or modification.
Best for: Homeowners with high-value appliances or major systems who want more coverage and fewer payout limits.
Pros and Cons
Pros
- Covers improper installations and modifications under the First American Advantage upgrade
- Includes up to a $7,000 appliance cap, the highest in this review
- Provides unlimited coverage caps on most home systems
Cons
- Doesn’t offer appliance-only or system-only plans, so you may pay for coverage you don’t need
- Excludes some key systems and appliances from its basic plan
Plan Details and Cost
First American Home Warranty offers three combination plans:
- Starter Plan ($77 per month): The lowest-tier plan offers appliance and system coverage for some major items, like built-in microwaves, heating systems, and refrigerators.
- Essential Plan ($100 per month): The next plan tier includes Starter Plan items, plus air conditioning, clothes washers and dryers, and ceiling, attic, and exhaust fans.
- Premium Plan ($130 per month): The highest-tier plan covers all items in the Essential Plan, plus luxury appliances, roof leaks, and window air conditioning units.
First American Home Warranty also offer 12 add-on options, including:
- Additional refrigeration
- HVAC tune-up
- Pool and spa equipment
- Septic system
- Water softener
What First American Home Warranty Customers Say
First American Home Warranty customers in our survey frequently described their experiences with the company as straightforward and predictable, especially with service fees and claim handling. One homeowner said that knowing “exactly what’s covered and how much I’m going to pay” reduced the stress of unexpected repairs. Close to 90% of respondents said their most recent claim was approved, with outcomes split between repairs and replacements, and some received cash payouts. The First American customers who participated in our survey were most commonly located in the South, especially in Florida, Georgia, and Texas.
AFC Home Warranty
AFC Home Warranty Overview
AFC Home Warranty offers strong pricing flexibility, with four plan options and three service call fees that let you adjust monthly costs based on your budget. Its standout feature is a workmanship guarantee that lasts the life of your policy, helping you avoid additional service fees for repeat issues. AFC Home Warranty also allows homeowners to request their own licensed technician with prior approval, a feature that’s less common among home warranty providers.
Best for: Homeowners who want more control over pricing and technician selection.
Pros and Cons
Pros
- Has an unlimited workmanship guarantee
- Lets you choose your own technician
- Offers four coverage plans and three service call fees for plan customization
Cons
- Applies a depreciation policy to items five years old or older
- Offers low electrical and plumbing coverage caps
Plan Details and Cost
AFC Home Warranty offers four coverage plans:
- Silver Plan (call for a quote): This plan includes nine appliances, including cooktops, garage door openers, and kitchen refrigerators.
- Gold Plan ($44 per month): This plan covers nine appliances and six home systems, including air conditioning, heating, and plumbing.
- Platinum Plan ($51 per month): This plan covers 10 appliances and nine home systems, including built-in microwaves, plumbing stoppages, and faucets.
- Diamond Plan ($82 per month): This plan includes Platinum Plan coverage, plus coverage for electronics and exterior sewer and water lines.
AFC Home Warranty also offers eight add-ons, including:
- Central vacuum
- Electronics
- In-ground pool and spa
- Roof-leak coverage
- Septic system
What AFC Home Warranty Customers Say
Among AFC Home Warranty customers in our survey, nearly 89% said their most recent claim was approved, with replacements occurring slightly more often than repairs. Many respondents were located in the South and Northeast, with notable concentrations in California, Georgia, New York, and Ohio. Several homeowners described the coverage as a way to ease the financial pressure of unexpected breakdowns. One respondent said the “peace of mind of not having to worry about paying more than the deductible” was an important benefit of having AFC Home Warranty coverage.
Liberty Home Guard
Liberty Home Guard Overview
Liberty Home Guard offers the largest add-on catalog of any provider in our review, with 42 optional coverage items. Homeowners can customize their plan with protection for secondary appliances, professional-grade kitchen equipment, pools, guest houses, and more. The company also includes unique home service add-ons like gutter cleaning and pest control, which can help streamline ongoing home maintenance through a single provider. For added convenience, Liberty offers a mobile app and live chat support.
Best for: Homeowners who want highly customizable coverage with the widest range of add-on options.
Pros and Cons
Pros
- Has the largest add-on catalog in this review with 42 options
- Extends a 60-day workmanship guarantee, double the industry standard
- Offers a 24/7 live-chat support option, a rare feature
Cons
- Has lower electrical and plumbing caps than other providers
- Lacks the service call fee flexibility of other providers, such as AFC Home Warranty or First American Home Warranty
Plan Details and Cost
Liberty Home Guard offers three plan options:
- Appliance Guard ($57 per month): An appliance-only plan that covers nine appliances, including built-in microwaves, dishwashers, and kitchen refrigerators.
- Systems Guard ($63 per month): A systems-only plan that covers six systems, including cooling, electrical, and plumbing.
- Total Home Guard ($68 per month): A combination plan includes comprehensive coverage for nine appliances and six systems.
Liberty Home Guard also offers 42 add-ons, including:
- Electronics
- HVAC maintenance
- Lawn sprinkler system
- Limited roof-leak repair
- Pro-series appliances
What Liberty Home Guard Customers Say
Liberty Home Guard customers in our survey were most commonly located in the South and Northeast, with high numbers in New York, Michigan, and New Jersey. Many described their coverage as a way to keep repair costs predictable and avoid large, unexpected bills. One homeowner said that the “peace of mind knowing repairs are covered without surprise costs” was a top benefit of having coverage. About 90% of respondents said their most recent claim was approved, with resolutions slightly favoring replacements over repairs, and some homeowners received cash payouts.
Cinch Home Services
Cinch Home Services Overview
Cinch Home Services, like American Home Shield, covers rust, corrosion, and certain preexisting conditions, which can offer value for homeowners with aging systems or appliances. The company also offers plans at competitive pricing, along with added perks like a $25 credit toward air conditioners or water filters and an annual $500 homeowners insurance deductible reimbursement. These extras can help offset maintenance and unexpected costs beyond standard repairs.
Best for: Homeowners who want coverage for preexisting issues without paying top-tier prices.
Pros and Cons
Pros
- Covers items damaged by rust, corrosion, and preexisting conditions
- Offers a $500 annual reimbursement towards your homeowners insurance deductible
- Provides a $25 credit for air conditioners or water filters with each plan
Cons
- Excludes roof-leak coverage from its plans and add-ons
- Offers only six add-ons mostly limited to pools and spas
Plan Details and Cost
Cinch Home Services offers the following three home warranty plans:
- Appliances ($51 per month): This appliance-only plan includes 12 appliances, including built-in food centers, ranges, and wall ovens.
- Built-In Systems ($57 per month): This systems-only plan includes 16 built-in systems, including air conditioners, garbage disposals, and plumbing.
- Complete Home ($68 per month): This plan covers 12 appliances and 12 built-in systems, and offers up to a $500 homeowners insurance deductible reimbursement.
Cinch Home Services also offers six add-ons, including:
- Pool
- Pool with spa
- Septic tank and pumping
- Spa
- Well pump
What Cinch Home Services Customers Say
Based on our survey results, Cinch Home Services customers were most concentrated in the South and Midwest, especially in Ohio and Missouri. Many respondents said their coverage helped reduce out-of-pocket expenses when major systems failed. One respondent said that avoiding “large out-of-pocket expenses” was a primary reason they valued Cinch coverage. About 86% of survey respondents reported their most recent claim was approved, and claims were more likely to result in a replacement than a repair.
Home Warranty Survey Insights from Homeowners Nationwide
In 2026, we surveyed 2,000 homeowners with active home warranty plans to better understand their coverage priorities, provider choices, and claims experiences. Here’s what we found:
- Most popular providers: American Home Shield was the leading choice, used by 41% of respondents. First American and Choice Home Warranty also ranked highly.
- Most important coverage items: Air conditioning (27%) and heating (25%) were the top systems homeowners wanted protected most. For appliances, refrigerators (51%) and ovens, ranges, and cooktops (23%) were the most valued.
- Add-on coverage trends: Roof-leak protection was the most popular upgrade, purchased by 40% of homeowners. Sewer or water line coverage (28%) and extra appliance coverage (27%) were also common.
- Claims activity: About 49% of homeowners filed a claim for a system repair or replacement, while 40% filed one for appliance repairs. Most claims were approved, with a total of 90% approval rate. Specifically, almost 44% were resolved through repairs, and 39% through replacements.
These results suggest that homeowners view home warranties as a practical safeguard for big-ticket systems and appliances, with high approval rates helping build confidence in the value of coverage.
Home Warranty Trends by Region
Where you live often shapes what matters most in a home warranty plan. Climate, a home’s age, and common repair issues all influence the type of coverage homeowners prioritize and how they use their plans. Here’s how home warranty preferences varied by region in our survey.
- Midwest: In colder climates, heating systems were the clear coverage priority. Many Midwest homeowners emphasized furnace coverage as essential, and their claims experiences reflected a steady mix of repairs and replacements.
- Northeast: Heating coverage was very important in this region. Homeowners were more likely to add protections like roof-leak and septic coverage. Among those who chose not to renew their plans, switching providers was more common than cost concerns.
- South: Air conditioning dominated in the South. With long, hot seasons, protecting cooling systems was a top concern. While most respondents planned to renew coverage, those who didn’t often cited frustrations with their claims experience as the most common reason why.
- West: Western homeowners showed more varied priorities, though air conditioning coverage was still common. Add-ons like roof-leak protection and extra appliance coverage were popular. For those reconsidering their plans, switching providers or reevaluating costs were the most frequent reasons.
How We Collected Our Survey Data
To understand real homeowner experiences with home warranties, we surveyed 2,000 home warranty policyholders across all 50 U.S. states in 2026. The survey gathered insights on why homeowners chose their warranties, their satisfaction with coverage options, and their experiences with filing claims and customer service. We also examined factors such as pricing, add-on coverage choices, and plans for renewing their warranties.
How Much Does a Home Warranty Cost?
On average, a home warranty costs $47–$82 per month, based on quotes we pulled for top-rated providers nationwide. This puts the median home warranty price at about $56 per month nationwide. Your total cost will depend on the provider, the level of coverage you choose, and the service fee attached to your plan. Service fees, which you owe each time you need a repair, typically range from $75–$125 per use.
Below, you’ll find a comparison of our top-rated home warranty providers based on monthly costs and service fee options.
| Provider | Monthly Cost* | Service Fee |
|---|---|---|
| American Home Shield | $36–$100 | $100–$125 |
| Choice Home Warranty | $60–$68 | $100 |
| First American Home Warranty | $77–$130 | $100–$125 |
| AFC Home Warranty | $44–$82 | $75–$125 |
| Liberty Home Guard | $57–$68 | $65–$125 |
| Cinch Home Services | $51–$68 | $100–$150 |
Our 2026 national homeowner survey showed that home warranty costs vary by billing structure and chosen coverage level. Monthly charges, including base premiums and add-ons, most often fall between $100 and $200, though only 46% of respondents said they pay month to month. Nearly 54% of respondents choose an annual plan instead, reporting average yearly costs of around $1,200.
How Much Can You Save With a Home Warranty?
While exact savings will vary by homeowner, a home warranty can reduce the cost of replacing systems and appliances. Having coverage can help lower repair expenses to a more manageable monthly or annual premium and service fee. You can see the highest savings when expensive systems like HVAC units or furnaces fail and repair costs fall within your plan’s coverage limits.
Below, we compare the cost of repairing common household appliances and systems using a sample home warranty plan that costs $672 per year and includes a $2,000 coverage limit per item. We determined possible savings by subtracting replacement costs from our sample plan’s annual premium. Our estimates assume the plan pays the full coverage limit for a qualifying replacement and do not include service call fees.
| Appliance or System | Replacement Cost | Possible Savings With a Home Warranty |
|---|---|---|
| Air conditioner | $7,400–$8,800 | Up to $1,328 |
| Dishwasher | $900–$1,700 | $228–$1,028 |
| Furnace | $3,200–$3,800 | Up to $1,328 |
| Oven | $1,700–$3,700 | $1,028–$1,328 |
| Refrigerator | $1,500–$3,100 | $828–$1,328 |
| Water heater | $1,600–$1,800 | $928–$1,128 |
Real Homeowner Claim Outcomes
The amount you save with a home warranty depends on how many claims you file and the results. In our nationwide survey, nearly nine in 10 homeowners said their most recent home warranty claim was approved. Claim outcomes were split between repairs and full replacements, allowing many respondents to avoid large, one-time expenses when covered systems or appliances failed. Our firsthand plan testing showed similar results, with most covered issues resolved after filing a claim and paying only the required service fee.
However, one consistent takeaway from both our survey and testing data is that coverage limits matter. High-ticket items like HVAC systems and refrigerators can exceed standard coverage caps, so understanding your plan’s maximum payout before you file a claim can help set realistic expectations about your true out-of-pocket cost.
What Do Home Warranties Cover?
Most home warranties cover the following major home systems and appliances.
Systems:
- Air conditioning
- Ductwork
- Electrical systems
- Heating (including furnaces and heat pumps)
- Plumbing
- Water heaters
Appliances:
- Built-in microwaves
- Clothes dryers
- Clothes washers
- Dishwashers
- Garbage disposals
- Ovens, cooktops, and ranges
- Refrigerators
According to our 2026 nationwide home warranty survey, coverage was the most important feature homeowners considered when choosing a plan. Over 52% of respondents selected coverage as their top priority, more than double the amount of those who chose price, while other factors like company reputation, the claims process, and customer service, ranked significantly lower.
What Do Home Warranties Not Cover?
While home warranties cover many common breakdowns, there are limits to what providers include. Most exclusions fall into one of these categories:
- Cosmetic issues: Damage that doesn’t affect performance, such as dents or scratches
- External causes: Failures from natural disasters, accidents, or misuse
- Maintenance-related problems: Issues caused by neglect, improper installation, or lack of regular service
- Overlap with manufacturer warranties: Items still covered by an active manufacturer or builder warranty
- Contractual limits: Parts or components not listed in your plan, such as shelving inside a refrigerator or certain ductwork repairs
Common Reasons for Denied Claims
Not every claim is approved, even when a home warranty plan covers certain systems or appliances. According to our 2026 survey, only 4% of homeowners nationwide have had their latest claim denied. The most common reasons were:
- Pre-existing conditions (29%): The issue causing the breakdown started before home warranty coverage began.
- Uncovered items (29%): The item or component in question was not included in the plan.
- Exceeded payout limits (20%): The repair cost was higher than the plan’s maximum coverage cap.
- Improper maintenance (13%): The system or appliance was not serviced as required under the home warranty contract.
Quick Tip
- Before filing a home warranty claim, review your contract’s coverage limits, exclusions, and maintenance requirements to avoid unexpected denials.
What Our Firsthand Testing Revealed About Home Warranties
We gathered feedback from 19 in-house testers who signed up for and filed claims with 11 different home warranty providers. If you’re shopping for or purchasing a home warranty, keep these real-world insights in mind.
Ask Specific Questions Before You Enroll
During our test calls for help, representatives typically explained plan tiers, monthly pricing, and current promotions. However, details like coverage caps, service fee options, annual limits, cancellation terms, and exclusions were not always proactively disclosed. In several cases, our testers only learned about important coverage limitations after reviewing their contract.
The takeaway? Don’t just confirm what’s covered—ask about how much is covered, payout limits, how the company handles replacements, and when you will receive your contract documents.
The Contract Tells the Full Story
Many testers felt confident in their coverage after enrollment, but reviewing the full policy often revealed additional conditions. Annual coverage caps, technician approval requirements, depreciation policies, and exclusions were sometimes buried in longer documents. In a few cases, contracts were sent after payment was processed or once the waiting period began. The initial sales call covers the highlights, but the written agreement defines what actually applies when you file a claim.
Filing a Claim Is Simple, but Timelines Can Vary
Across providers, submitting a claim was generally straightforward. Most of our testers filed a claim online in just a few minutes and received confirmation by email or text shortly after. However, follow-up time frames varied. Some testers were contacted by contractors within minutes and scheduled service within 24 hours. Others experienced longer wait times, extended holds, or multiple communications before securing an appointment. The submission process is simple, but response times are not always predictable.
The Technician Shapes the Experience
In most cases, providers assigned local contractors to handle repairs, and many of our testers reported professional, timely service. Some technicians resolved issues during a single visit and clearly explained the repair. However, not every experience was seamless. A few testers required second visits when the initial fix didn’t fully resolve the problem, and some encountered communication challenges or limited availability. Even with an approved claim, the quality of the visit often depends on the assigned technician.
Coverage Outcomes Don’t Always Match Expectations
When claims were approved, testers typically paid only their service fee, and several received full repairs or replacements. However, outcomes were sometimes different than homeowners’ expectations. Some of our testers encountered partial payouts because of coverage caps or aging equipment, while others received lower-tier replacement models. Claim approvals are common, but coverage limits, replacement standards, and policy language ultimately determine how much you save.
Are Home Warranties Worth the Money?
A home warranty is worth the investment if you want protection against large, unexpected repair bills. In our 2026 survey of 2,000 homeowners, more than 83% said they felt satisfied with their current plan, and 88% plan to renew, a strong sign that most feel their plan offers value. That said, a home warranty will not cover every repair or eliminate all out-of-pocket costs. The key is choosing a plan that fits your home coverage needs, understanding what is covered and what is not, and deciding whether the added predictability is worth the annual cost for you.
FAQs About the Best Home Warranty Companies
How does a home warranty differ from homeowners insurance?
A home warranty covers the repair or replacement of home systems and appliances, such as HVAC systems or refrigerators, that break due to normal use. Homeowners insurance protects against property damage or loss due to events such as fires, theft, or natural disasters.
What are the downsides of a home warranty?
Home warranties come with coverage limits, exclusions, and service fees that can add to your overall costs. Companies may deny some claims because of preexisting conditions, improper maintenance, or components not included in your plan. Service quality can also vary depending on the contractor network in your area.
When can you buy a home warranty?
You can purchase a home warranty at any time, whether you’re buying, selling, or already living in your home. Many homeowners buy coverage during a real estate transaction, but you can also enroll after closing. Note that most home warranty providers require a waiting period before coverage actually begins.
What should you look for when comparing home warranty companies?
When comparing home warranty companies, review coverage caps, service call fees, and exclusions carefully. Also consider contractor availability in your area and how the company handles repairs versus replacements. In addition, reviews and claims satisfaction can provide insights into real-world plan performance.
How does the home warranty claims process work?
To file a claim, you typically submit a request online or by phone and pay a service call fee. The company assigns a contractor to diagnose the issue and determine whether the item needs a repair or replacement. If approved, the provider covers the cost up to your plan’s limits.
Our Rating Methodology
We used a thorough and objective rating methodology to evaluate each home warranty company. Our process included researching each company’s available plans and features, obtaining quotes, and analyzing sample contracts.
To get a hands-on feel for each company’s products, we tested online quote tools, reached out to customer support teams, and surveyed 2,000 home warranty policyholders nationwide to learn more about their experiences. We’ve also signed up for home warranty plans with 11 leading providers over a two-year span to directly experience the enrollment and claims processes ourselves.
Using this data, we scored each provider across six key comparison categories essential when selecting a home warranty. Each company received a total score of 100 points, which we converted into a 5-star rating.
Here’s a breakdown of our weighted factors:
- Coverage (35%): This category looks at how comprehensive each provider’s coverage is, including whether it covers unique items. Companies that cover the most items and have higher annual limits received the highest scores. We docked points from providers that impose long waiting periods or have depreciation policies that decrease your payouts for aging items.
- Cost (20%): We looked at average monthly prices and service call fees. We gave the most points to companies offering pricing at or below the industry average that don’t impose any surcharges or extra fees.
- Trustworthiness (15%): To gauge reputation and reliability, we reviewed customer ratings across sites such as the Better Business Bureau and Trustpilot, as well as companies’ responses to complaints. We also checked for National Home Service Contract Association (NHSCA) membership. Providers with the highest ratings and longest workmanship guarantees received higher scores. We deducted points for any ongoing legal issues.
- Plan transparency (10%): We read terms, policies, and disclosures in provided contracts and on each company’s website. Providers with transparent contract details and policies received more points.
- Customer support (10%): Companies with multiple claims filing options, fast response times, and accessible customer support scored well in this category.
- Flexibility (10%): We awarded more points to providers offering more plan options, larger add-on catalogs, the ability to choose your own technician, and customer-friendly cancellation policies.
