A home warranty is a service contract between you and a provider that covers repair costs on selected major appliances and home systems (such as air conditioning). Home warranties typically cover breakdowns due to routine wear and tear.

The This Old House Reviews Team researched dozens of home warranty companies on a variety of factors, including coverage plans and pricing, to help you find the best home warranty for your home.

Best Home Warranty Companies of 2022

The home warranty companies with the best ratings include the following:

Link Superlative Monthly Cost Service Fee BBB Rating
Liberty Home Guard Best Customer Ratings $40–$60 $65–$125 A-
American Home Shield Best Coverage Caps $40–$58 $75–$125 B
Select Home Warranty Best Value $36–$48 $60–$75 B
AFC Home Club Best for Customization $38–$54 $75–$125 B
First American Home Warranty Best Appliance Coverage $36–$38 $75 B
Cinch Home Services Best Additional Perks $35–$62 $100–$150 B
2-10 Home Buyers Warranty Cheapest Appliances Plan $22–$60 $65–$100 B
ARW Home Affordable Service Call Fees $39.99-$135 $55 A+
The Home Service Club Quickest Coverage $50–$63 $65–$125 C
Liberty Home Guard
Superlative Best Customer Ratings
Monthly Cost $40–$60
Service Fee $65–$125
BBB Rating A-
VISIT SITE
American Home Shield
Superlative Best Coverage Caps
Monthly Cost $40–$58
Service Fee $75–$125
BBB Rating B
VISIT SITE
Select Home Warranty
Superlative Best Value
Monthly Cost $36–$48
Service Fee $60–$75
BBB Rating B
VISIT SITE
AFC Home Club
Superlative Best for Customization
Monthly Cost $38–$54
Service Fee $75–$125
BBB Rating B
VISIT SITE
First American Home Warranty
Superlative Best Appliance Coverage
Monthly Cost $36–$38
Service Fee $75
BBB Rating B
VISIT SITE
Cinch Home Services
Superlative Best Additional Perks
Monthly Cost $35–$62
Service Fee $100–$150
BBB Rating B
VISIT SITE
2-10 Home Buyers Warranty
Superlative Cheapest Appliances Plan
Monthly Cost $22–$60
Service Fee $65–$100
BBB Rating B
VISIT SITE
ARW Home
Superlative Affordable Service Call Fees
Monthly Cost $39.99-$135
Service Fee $55
BBB Rating A+
VISIT SITE
The Home Service Club
Superlative Quickest Coverage
Monthly Cost $50–$63
Service Fee $65–$125
BBB Rating C
VISIT SITE

 

Liberty Home Guard: Best Customer Ratings

Liberty Home Guard (LHG) earned 87 out of 100 points in our rating system and is the best customer-rated home warranty provider on this list, in part due to its A- rating* with the Better Business Bureau (BBB) and its 4.7 out of 5-star rating on Google Reviews. Our team spoke with multiple customer representatives to consider how well LHG handles customer inquiries. Based on our experiences, we believe it holds up to its stellar ratings, with each representative answering the phone quickly and answering all our questions thoroughly.

*BBB and Google Review ratings are accurate as of November 2022.

Pros Extends a 60-day workmanship guarantee Offers 38 unique optional add-ons, including pest control and gutter cleaning Provides a live-chat customer service feature
Cons Doesn't allow plan price or service call fee customization Covers high-end appliances only with add-on purchase Is not transparent about services fees during the quote process

Plans and Pricing

Liberty Home Guard offers three service plan options: Appliance Guard, Systems Guard, and Total Home Guard. Unlike providers with a flexible service call fee, LHG assigns a service call fee to your account based on your plan, add-on selections, and the location of your home. According to the company, service fees range from $65 to $125. All LHG’s covered items are subject to a $2,000 coverage cap and come with a 60-day workmanship guarantee.

Here are details on LHG’s plans and optional add-on coverage:

  • Appliance Guard ($69.99 per month): Covers appliances, such as dishwashers, clothes washers, and dryers
  • Systems Guard ($74.99 per month): Covers built-in systems, such as air conditioning, heating, ductwork, and water heater
  • Total Home Guard ($79.99 per month): Covers all the items in the Appliance Guard and Systems Guard plans
  • Optional Add-ons: Up to 38 options, including pest control, rekey service, gutter cleaning, floor cleaning, and generator coverage

$200 Off + 1 Month Free + Free Roof Coverage


 

American Home Shield: Best Coverage Caps

  • Response Time: 48 hours
  • State Availability: 49 states (excluding Alaska)

American Home Shield (AHS) has a high rating based on our home warranty review methodology with 94 out of 100 available points. We rated it as having “Best Coverage Caps” due to its $3,000 limit per covered system and appliance in its ShieldSilver and ShieldGold plans. AHS doubles its coverage caps per covered item to $6,000 in its ShieldPlatinum plan. AHS also offers comprehensive coverage, flexible service fees, and excellent industry reputation.

AHS plans provide extensive coverage, and even its basic plan, ShieldSilver, covers your HVAC system. Its multiple service call fees allow you to customize your monthly premium to fit your budget.

Pros Offers a flexible service call fee model that allows customers to adjust monthly fees to fit their budget Sets generous coverage caps (no limit on built-in systems and up to $6,000 for appliances with ShieldPlatinum) Provides coverage for unknown preexisting conditions, items damaged by rust and corrosion, and items that have been improperly installed or modified
Cons Requires customers to use contractors within AHS network Offers less coverage flexibility than most providers with only a few add-on options

Plans and Pricing

American Home Shield offers three plans: ShieldSilver, ShieldGold, and ShieldPlatinum. ShieldSilver covers built-in systems and doesn’t impose a coverage cap. ShieldGold has a $3,000 coverage limit on home appliances and doesn’t include an HVAC tune-up. ShieldPlatinum raises that coverage limit to $6,000 per appliance, and it adds roof-leak coverage, up to $1,000 in code upgrades, an HVAC tune-up, and air filter discounts.

You can choose a service call fee of $75, $100, or $125. AHS allows customers to choose the service fee they want to pay—a higher service fee will result in a lower monthly premium and vice versa. Compare the monthly costs of AHS’ plans below. All AHS’ plans come with a 30-day workmanship guarantee.

Here are details on the covered items in each of American Home Shield’s plans:

  • ShieldSilver ($29.99–$44.99 per month): Covers home systems, such as heating, cooling, and electrical
  • ShieldGold ($39.99–$54.99 per month): Covers major systems and appliances, such as air conditioning, roof leaks, and plumbing
  • ShieldPlatinum ($59.99–$74.99 per month): Covers systems and appliances and includes additional benefits, such as $1,500 for roof-leak repairs
  • Optional Add-ons: Electronics, pools/spas, guest units, septic pumps, and well pumps

Limited Offer: Get $50 Off!


 

Select Home Warranty: Best Value

Select Home Warranty scored 89 out of 100 in our review standards, and it offers the best value out of the home warranty companies we reviewed. Select Home Warranty is a great option if you’re looking for an affordable home warranty since all its plans are less than $50 per month and include roof-leak coverage (up to $400 annually) in each standard plan. Roof-leak coverage isn’t typically offered by home warranty companies without an additional fee.

Pros Extends a 90-day repair guarantee Offers discounts on multi-year coverage plans Responds to claims within 12 business hours Provides optional septic system coverage
Cons Doesn’t cover fixtures in standard plans Has lower coverage caps than many competitors May charge multiple service fees if there are multiple claims at the same time

Plans and Pricing

Select Home Warranty offers three plan options: Bronze Care, Gold Care, and Platinum Care. All of Select’s plans require a $75 service call fee per claim. HVAC systems are covered up to $2,000, and plumbing, electrical, and appliances are covered up to $500 per item. Select’s plans include a 30-day workmanship guarantee.

Here are more details about Select Home Warranty’s plans:

  • Bronze Care ($41.67 per month): Covers appliances, such as clothes washers and dryers, garbage disposals, refrigerators, and cooktops
  • Gold Care ($41.67 per month): Covers systems, such as air conditioning, heating, plumbing, electrical systems, water heaters, and ductwork
  • Platinum Care ($46.08 per month): Covers all the appliances and built-in systems in the Bronze and Gold Care plans, plus garage-door openers and ceiling fans
  • Optional Add-ons: Central vacuums, lawn sprinkler systems, pools, spas, stand-alone freezers, sump pumps, and well pumps

Use Code HOUSE25 for $150 Off & 2 Months Free


 

America’s First Choice Home Club: Best for Customization

  • Response Time: 2 business hours
  • State Availability: 49 states (excluding Hawaii)

America’s First Choice Home Club (AFC Home Club) made it onto our list thanks to its customization options for add-ons and its four distinct plans. In our review standards, the company earned a score of 90 out of 100. Along with its flexible service call fee model, the variety of plans offered by AFC Home Club is ideal for homeowners who want a personalized home warranty package and pricing.

Pros Adds security perks, including identity protection, credit monitoring, and Emergency Alert Network service Guarantees parts and labor for the life of your membership Allows customization with four plan options and flexible service call fees
Cons Requires claims be submitted within one day of noticing a system or appliance problem Members must pay $75 for canceling after the first 30 days of their plan

Plans and Pricing

AFC Home Club offers a portfolio of four plan options: a Platinum Plan, Gold Plan, Silver Plan, and Systems Plan. AFC Home Club offers a flexible service call fee model with options at $75, $100, and $125. Appliances are subject to a $2,000 coverage cap, and the coverage cap is set for each built-in system separately based on its depreciated value. All repairs and replacements are protected by a plan-length workmanship guarantee.

Here are details on each plan offered by AFC Home Club:

  • Silver Plan ($33–$37.67 per month): Covers appliances, such as clothes washer, clothes dryer, garbage disposal, and dishwasher
  • Systems Plan ($40–$44.75 per month): Covers systems, such as air conditioning, heating, water heaters, and plumbing
  • Gold Plan ($47.08–$51.83 per month): Covers both appliances and systems, such as electrical, ductwork, oven, range, plumbing stoppages, and garage-door openers
  • Platinum Plan ($51.83–$56.50 per month): Covers all items and systems included with the Gold Plan, plus a built-in microwave and ice maker
  • Optional Add-ons: Sump pump, septic system, central vacuum, pool, spa, stand-alone freezer, and roof-leak repair

Save up to $150!


 

First American Home Warranty: Best Appliance Coverage

First American Home Warranty earned 88 out of 100 points in our review standards. What makes First American Home Warranty a stand-out is its affordably priced Basic Plan, which covers appliances for about $36 per month. It also offers an optional First-Class Upgrade, which protects systems and appliances that were improperly maintained, modified, or installed—a rarity in the home warranty business.

Pros Doesn’t have a coverage cap on heating, cooling, or ductwork Covers pest control, including mice, pillbugs, spiders, roaches, and sowbugs Offers affordable plan options for less than $50
Cons Covers air conditioning only as an add-on Limits service to 35 states, which is considerably fewer than many other providers

Plans and Pricing

First American Home Warranty offers two plans: the Basic Plan and the Total Plan. Both plans include an $85 service fee. The coverage limit for appliances is set at $3,500 per item, and the company doesn’t outline hard limits for built-in systems coverage. All covered repairs are protected for 30 days.

Here are more details about First American’s plan coverage:

  • Basic Plan ($36.00 per month): Covers appliances, such as garbage disposals, dishwashers, oven/ranges, and refrigerators
  • Premier Plan ($46.50 per month): Covers all the appliances in the Basic Plan plus built-in systems, such as ductwork and electrical
  • Optional Add-ons: Central air conditioning, additional refrigerators, pool and spa equipment, well pumps, First Class Upgrade, septic tank systems, and HVAC tune-ups

$100 Instant Online Discount


 

Cinch Home Services: Best Additional Perks

  • Response Time: 2 business hours or 24 hours outside business hours
  • State Availability: 48 states (excluding Alaska and Hawaii)

Cinch Home Services (CHS) earned 88 out of 100 points in our review standards. The company brings a lot to the table, including its lengthy 180-day workmanship guarantee, which is significantly longer than the industry standard of 30 days. It also offers a unique $500 home insurance deductible reimbursement that comes with the Complete Home Plan. We recommend this provider to homeowners who want to get the most out of their plan with a lengthy reservicing guarantee.

Pros Provides an air conditioner or water filter credit of $25 with each plan Includes a $50 Green Reward that is redeemable for energy-efficiency products Covers items damaged by rust and corrosion
Cons Does not offer roof-leak protection Offers a short list of add-ons limited mostly to pools and spas

Plans and Pricing

Cinch Home Services offers three plans: the Appliances Plan, Built-In Systems Plan, and Complete Home Plan. Cinch also offers a flexible service call fee model, and its options for service fees are $100, $125, and $150. Cinch’s workmanship guarantee is valid for 180-days (about six months) after the original repair date. The company sets its coverage caps at $1,500 for central air conditioning and $1,000 for plumbing systems, which will be subtracted from the policy’s total coverage limit of $10,000 for all covered items.

Here are more details about Cinch Home Services’ plans:

  • Appliances Plan ($27.99–$50.99 per month): Covers appliances, such as clothes dryer, washer, built-in food center, freestanding ice maker, microwave, and refrigerator
  • Built-In Systems ($32.99–$57.99 per month): Covers built-in systems, such as water heater, air conditioner, built-in trash compactor, smoke detector, and jetted tub
  • Complete Home ($39.99–$67.99 per month): Covers all the items in the earlier plans, plus up to $500 per term for a homeowners insurance deductible reimbursement
  • Optional Add-ons ($4.58 to $22 depending on the item): Pools, spas, pools with spas (heater included), septic tanks, well pumps, and a Premier Upgrade Package (increases limits up to $1,000 to help pay for unforeseen costs during a claim, such as debris removal or code upgrades)

First Two Months Free on All Plans (Exclusions Apply)


 

2-10 Home Buyers Warranty: Cheapest Appliance Plan

2-10 Home Buyers Warranty earned 93 out of 100 available points in our rating system. Not only does it offer an affordably priced appliance plan, but its customizable service call fee, competitive add-on options, comprehensive policies, and easy-to-understand coverage caps make it a worthwhile consideration for any homeowner.  

Pros Offers a flexible service call fee model Provides a plan-length workmanship guarantee Breaks down sample contract terms in easy-to-understand language
Cons May take up to 48 hours to respond to a claim Doesn’t offer a systems-only plan option

Plans and Pricing

2-10 Home Buyers Warranty offers three plan options: Simply Kitchen, Complete Home, and Pinnacle Home. Simply Kitchen covers appliances, such as your range, dishwasher, and built-in microwave. Complete Home covers all the items in the Simply Kitchen plan, plus six built-in systems. Pinnacle Home is 2-10’s most comprehensive policy, and it covers all the items in the previous plans, plus concrete or encased systems, disposal fees, crane costs, and more. 

2-10 offers a flexible service call fee model, which means you can select a $65, $85, or $100 service call fee. Like other companies with flexible service call fees, the higher your service call fee, the lower your monthly fees will be. 

You can compare 2-10’s monthly prices below:

  • Simply Kitchen ($15.49–$25.18 per month): Covers appliances, including built-in microwave, cooktop, dishwasher, oven, range, and refrigerator with ice maker
  • Complete Home ($47.09–$56.94 per month): Covers appliances and home systems, including all the items in the Simply Kitchen plan, plus air conditioning, electrical, heating system, interior gas lines, plumbing, electrical, and thermostats
  • Pinnacle Home ($62.41–$72.27 per month): Covers all the items in the two earlier plans, plus attic and bathroom exhaust fans; burglar and fire alarms; concrete encased or concealed water lines; concrete encased or concealed wiring; cosmetic appliance parts; crane costs; electrical cut-off switches; faucets and faucet handles; filters, gas, waste, and vent piping leaks or breaks in the plumbing system; haul away/disposal fees; interior and exterior hose bibbs; PEX manifold plumbing system; refrigerant recovery and recharge up to $150; shower heads, shower arms and tub spouts; and washer and dryer
  • Optional Add-ons: Additional freestanding freezer, additional refrigerator, additional wet bar refrigerator, additional wine cooler, extended pipe leak, garage-door opener, HVAC surplus, luxury package (increases coverage limits), pool, preseason HVAC tune-up, roof leak, septic system, washer and dryer, water softener, and well pump

Learn More: 2-10 Home Buyers Warranty Review
Free Quote: Get your quote from 2-10 Home Buyers Warranty


 

ARW Home: Affordable Service Call Fees

  • Response Time: 24–48 hours
  • State Availability: 50 states

ARW Home (formerly known as American Residential Warranty) scored 74 out of 100 in our rating system. It offers one of the lowest service call fees in the industry, a range of customizable plans, comprehensive electronics coverage as an add-on, and coverage for items other providers exclude, such as humidifiers and food spoilage.

Pros Offers low service call fee Provides five customizable plans Includes coverage for multiple cooling and heating systems
Cons Provides clothes washer and dryer coverage as an add-on only Caps home systems at $1,000 per covered item ($500 per covered appliance) Excludes roof-leak coverage

Plans and Pricing

ARW Home provides five protection plans for your home systems and appliances: Kitchen Plus, Heating and Cooling, Platinum, Platinum Premier, and 4-in-1 Bundle plans. Its Kitchen Plus plan covers standard kitchen appliances, such as refrigerators. The Heating and Cooling plan protects humidifiers, heating, cooling, and electrical systems. The Platinum plan bundles the plans mentioned above, and the Platinum Premier plan adds plumbing systems coverage and more to the mix. Its 4-in-1 Bundle includes all the coverage options above plus optional add-on packages, such as its Ultimate Electronics Protection plan.

ARW Home pairs all plans with its standard $55 service call fee, which is lower than most providers’ service call fees.

Compare ARW Home’s monthly prices and coverage options below:

  • Kitchen Plus ($39.99 per month): Covers six kitchen appliances: cooktops, refrigerators, dishwashers, built-in microwaves, garbage disposals and kitchen exhaust fans. Also covers water heaters and interior electrical systems.
  • Heating and Cooling ($43.78 per month): ARW Home’s basic plan, it covers heating and cooling systems, humidifiers, and interior electrical systems. 
  • Platinum ($54.50 per month): Covers everything in the Kitchen Plus and Heating and Cooling plans. The Platinum plan is available without air conditioning coverage, which lowers your monthly premium.
  • Platinum Premier ($64.99 per month): Covers everything in the Platinum plan plus plumbing systems, ductwork, garage-door openers, and ceiling fans. The Platinum Premier plan is also available without air conditioning coverage if you wish to lower your monthly cost.
  • 4-in-1 Bundle: ($134.99 per month): 4-in-1 Bundle is ARW Home’s most comprehensive plan. It includes all the items mentioned above plus clothes washers, dryers, sewer and water line stoppage coverage, as well as stand-alone add-on packages, such as the Ultimate Electronics Protection and Deluxe Advantage plans.
  • Optional Add-ons: Clothes washer and dryer, swimming pool and spa, swimming pool only, spa only, plumbing system (does not include fixtures or clogs), additional air conditioning system, additional central heating system, second refrigerator or freezer (does not include ice maker), food spoilage, ceiling fans, ice maker (in refrigerator or stand-alone), water heater, range, oven or cooktop, AC Advantage for refrigerant and coils, Plumbing Advantage for fixtures, Deluxe Advantage Package, and Ultimate Electronics Protection.

Learn More: ARW Home Review


 

The Home Service Club: Quickest Coverage

  • Response Time: 12 business hours
  • State Availability: 49 states (excluding Wisconsin)

The Home Service Club (HSC) is another reputable provider that offers speedy claims processing, unique add-on coverage, and coverage for working systems and appliances regardless of age, make, or model. HSC scored 78 out of 100 points in our review standards. It lost points due to charging a $55 transfer fee plus a lack of a free cancellation period. Most providers offer a free cancellation period and a no-fee transfer of ownership policy. That said, HSC offers comprehensive home systems and appliance coverage with more than 40 home items, plus a 90-day workmanship guarantee for parts and 30 days for labor.

Pros Extends a 90 workmanship guarantee on parts and 30 days for labor Offers a $2,000 coverage cap for heating and air conditioning systems Provides a generous $5,000 annual coverage cap for outside power, sewer, and water line add-on coverage
Cons Limits coverage caps for appliances and certain home systems Adds a monthly surcharge when you opt for monthly payments Charges a higher service call fee compared to other providers

Plans and Pricing

The Home Service Club offers two coverage plans: the Standard and Comprehensive plans. The Standard plan covers a variety of major systems and appliances, such as air conditioning, plumbing systems, dishwashers, and microwaves. The Comprehensive plan covers everything in the Standard, plus additional items such as alarm wiring and ductwork. 

HSC includes a $2,000 coverage cap for air conditioning and heating systems. However, other systems, such as electrical and plumbing, are limited to $500 and $750, respectively. HSC also limits appliances to less than $1,000 per covered appliance.

HSC includes its standard $95 service call fee for each plan. Compare HSC’s plan costs and coverage details below:

  • Standard ($51.25 per month): Covers a mix of essential home systems and appliances, such as electrical systems, water heaters, refrigerators, and cooktops
  • Comprehensive ($62.50 per month): Covers all systems and appliances mentioned above plus additional coverage for gas and water leaks, ductwork, sump pump, smoke detectors, water dispensers, whirlpool motors, alarm and telephone wiring
  • Optional Add-ons: Additional dishwasher, freezer, oven, range, cooktop, microwave, refrigerator and water heater, jetted bathtubs, plumbing sprinkler, pool and spa equipment, roof coverage, refrigerator dual compressor, second freezer, service line, sewage ejector pump, spa and spa heater, water softener, and well pump

Learn More: The Home Service Club Review
Free Quote: Get your quote from The Home Service Club.


 

Our Conclusion

The best home warranty company for you depends on your unique coverage needs and budget. Your home is one of your most valuable assets—it deserves a reputable warranty provider to help keep your appliances and home systems running smoothly. It’s important to choose a home warranty company that offers excellent customer service, comprehensive coverage for the items you have in your home, and affordable plans and service call fees.

We recommend Liberty Home Guard due to its $2,000 coverage cap per covered item, extensive add-on selections, and its quality customer reputation. If LHG isn’t the perfect fit for you, First American Home Warranty is a top pick for added appliance protection if you have a long list of appliances you want included in coverage. Similarly, American Home Shield is another top recommendation for its generous coverage, flexible contractor options, and customizable service fee.

Before making your final choice, we recommend getting at least three quotes to ensure you find the best price and home protection plan for you. Once you’ve received your personalized quotes, we suggest carefully reading and comparing the service contracts to choose the one that has the best coverage and service for your budget and home.


 

Best Home Warranty Comparison

Provider

Superlative

Monthly Cost

Service Fee

BBB Rating

States Not Covered

Liberty Home Guard

Best Customer Ratings

$40–$60

$65–$125

A-

WA, WI

American Home Shield

Best Coverage Caps

$40–$58

$75–$125

B

AK

Select Home Warranty

Best Value

$36–$38

$60–$75

B

NV, WA

AFC Home Club

Best for Customization

$38–$54

$75–$125

B

HI

First American Home Warranty

Best Appliance Coverage

$36–$38

$75

B

AK, CT, DE, HI, IL, LA, ME, MA, MN, NH, NY, ND, RI, VT, WI

Cinch Home Services

Best Additional Perks

$35–$62

$100–$150

B

AK, HI

2-10 Home Buyers Warranty

Cheapest Appliances Plan

$22–$60

$65–$100

B

AK, HI, MT, NH, ND, OK, SD, WY

ARW Home

Affordable Service Call Fees

$39–$65

$55

A+

N/A

The Home Service Club

Quickest Coverage

$51–$63

$95

C

WI


Infographic showing time and effort put into this article's research

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How To Choose the Best Home Warranty

Use these tips to find the best home warranty for your specific coverage needs:

  • Determine your coverage needs: Determine which items in your home you want to protect before deciding on a plan. Many companies have plans that cover appliances only, plans that cover systems only, and plans that cover both systems and appliances.
  • Request multiple quotes: Request quotes from at least three providers before making your final decision. Timothy Meenan, JD, who serves as executive director and general counsel for the Service Contract Industry Council (SCIC), recommends that homeowners shop around because there may be another provider with similar coverage at a lower price. He noted that providers are competitive and “trying to do things better, faster, cheaper, and give more consumer choice.”
  • Read sample contracts: Comparing contract details for several home warranty providers is a great way to determine which home warranty is best for your needs. All home warranty companies provide a sample contract, which details home warranty coverage limits, exclusions, and the provider’s claims process.

Learn More: How to Buy a Home Warranty


 

Are Home Warranties Worth It?

Home warranties are worth it if you aren’t financially prepared for unpredictable repairs and replacements for your most-used appliances and home systems. When we surveyed 1,000 homeowners in 2021, we found that more than 74% of respondents had spent at least $400 on a home repair, and 27% of these homeowners spent more than $1,000 on a repair. Home warranties can help defray these expenses and give you peace of mind. According to House Method’s analysis of the average cost of a home warranty in every state, the annual price of a plan generally falls in the range of $600–$800 no matter where you live, making it likely that you will come out ahead if you unexpectedly need to repair or replace a major system or appliance.

However, if you have a significant financial nest egg set aside for home repairs or your appliances and systems are protected by manufacturers’ or installation warranties, a home warranty isn’t going to be worth it for you. Home warranty contracts stipulate that any item currently covered by another warranty is not covered.

Learn More: Are Home Warranties Worth It?


 

How Do Home Warranties Work?

When a home system or major appliance breaks down due to normal wear and tear, you can call your home warranty company to file a claim or submit a service request online. Your company will respond to your service request within a specified timeframe, which is typically less than 48 hours. If a contractor can’t be located within this time frame, the company may allow you to choose an approved contractor of your choice.

After the company responds to your request, it will forward your claim to an approved contractor who will schedule with you directly. At this initial visit, the technician will access, diagnose, and determine whether the malfunction is the result of a covered issue. Minor repairs will typically be completed during this initial visit if the claim is approved, while other repairs or replacements may require an additional visit to order the necessary parts.

It’s typical for home warranty companies to offer at least a 30-day workmanship guarantee after they’ve completed a covered repair. This guarantee means your contractor will assess the issue and provide service without an additional service charge if the item breaks down again after the initial repair.

Learn More: How Does A Home Warranty Work?


 

How Are Home Warranties Regulated?

Each state regulates home warranty and service contract licensure independently. For example, in Texas, the Department of Licensing and Regulation handles service contracts, whereas in Arizona, home warranties are regulated by the Consumer Protection Division of the Department of Insurance. According to Meenan, some states, such as Pennsylvania, have a more hands-off approach, whereas states such as Florida and California can be more difficult for new providers to get licensed. 

Many states do have similar rules based on the Service Contract Model Act that the SCIC and the National Association of Insurance Commissioners (NAIC) promoted to state legislatures. Since 1988, the SCIC has worked to promote industry regulation nationwide. Regulation provides assurance that you can trust that your home warranty provider is financially sound and can follow through on its promises. State regulations also ensure various consumer protections, such as these measures:

  • Contracts that are clear and use easy-to-read print
  • Extensive disclosures of what is covered and excluded
  • The ability to cancel and receive a full refund within a certain time period (typically 30 to 45 days)

While you’re shopping for a home warranty policy, it’s a good idea to check with your state’s regulatory body to confirm the provider is licensed to operate in your state. You can also read through a sample contract, many of which have state-specific clauses that clarify the protections and exclusions you are subject to.


 

What Do Home Warranties Cover?

Typically, a home warranty plan covers the repair, service, or replacement of major home systems and appliances. However, many companies split coverage options into systems plans, appliance plans, and combination plans.

The most common systems and appliances covered under home warranty plans include these:

  • Air conditioning
  • Built-in microwaves
  • Clothes dryers
  • Clothes washers
  • Dishwashers
  • Ductwork
  • Electrical
  • Garbage disposals
  • Heating system
  • Ovens
  • Plumbing
  • Refrigerators
  • Water heaters

Learn More: What Does a Home Warranty Cover?


 

What Do Home Warranties Typically Not Cover?

Home warranties typically do not cover built-in systems and appliances that have been modified incorrectly or improperly installed or that suffer malfunctions as a result of neglect, misuse, accidental damage, or an “act of God.” It’s important to read service contracts carefully because the terms can vary considerably.

As a general rule, home warranties do not cover structural elements. Home warranties also don’t cover any item that’s protected by a manufacturer’s warranty, such as a Samsung warranty.


 

How Much Does a Home Warranty Cost?

A home warranty typically costs $465 to $760 per year, according to quotes we’ve requested from providers across the nation. It’s important to factor in service fees when determining the price of your home warranty. These charges are an added cost each time your home needs repairs and replacements. The range of service call fees typically falls within $65 to $125.

According to our research on more than 57 home warranty companies, only 12 home warranty companies allow you to choose your own service call fee. Lower service fees can make your monthly fees more expensive, which is an important consideration if you plan on making several service requests throughout your home warranty term. However, if you choose a higher service fee, your monthly cost will likely be lower. Just remember that when you choose a high service fee, you’ll pay more for a technician’s visit.

Learn More: How Much Does a Home Warranty Cost?


 

What Are Common Home Warranty Complaints?

In reading thousands of third-party customer reviews, we have learned these are some of the common home warranty complaints:

  • Slow or refused claims payouts
  • Inexperienced technicians
  • Long wait times for replacements on appliances or parts
  • Unclear coverage limits
  • Slow responses to complaints

These traits are the hallmarks of poor service from a home warranty and are certainly not true for every provider on the market. We recommend that you ask questions about policies on claims, wait times, and coverage limits before buying to be sure you are aware of your home warranty company’s terms.


 

Frequently Asked Questions


 


 

Our Rating Methodology

The This Old House Reviews Team is committed to providing comprehensive and unbiased reviews to our readers, and we aim to provide transparency in our review standards and research process.

Our research process includes speaking with representatives from more than 40 home warranty providers, requesting quotes, and asking clarifying questions to gain insight into each provider’s benefits and downsides. We also analyze sample contracts from each company to understand specific coverage terms.

To rate companies, we apply the data we have gathered to our review standards. These standards are on a 100-point scoring system, which is detailed below:

  • Coverage (35 points): Providers are scored based on breadth and depth of coverage. We focused on key home systems (HVAC, plumbing, and electrical), essential appliances (refrigerator, ovens, and laundry machines), and unique coverage items (such as roof-leak coverage and code violation allowances). Coverage scores are weighted by taking into account coverage caps and other limiting factors, meaning providers with greater range of coverage and higher coverage caps score the highest.
  • Value (30 points): A company’s plan value is a reflection of how well it serves the customer in comparison to what the customer pays for the policy. We accounted for monthly costs, service call fees, and cost flexibility (such as customizable service call fees, discounts, and multi-year policies).
  • Trustworthiness and Transparency (21 points): Trustworthiness and transparency are a reflection of how well the provider considers the customer’s interests. We scored items such as the length of workmanship guarantees, online availability of a sample contract, policy change flexibility, and ease of cancellation. Additionally, we scored items that reflect industry reputation and customer satisfaction, including analyzing brand reputation across the Better Business Bureau and third-party customer review aggregators.
  • Availability and Service (14 points): Quality of customer service is key to customer satisfaction. We dug into each provider’s guaranteed response times, claims processes, service flexibility, emergency availability, and more.

To share feedback or ask a question about this article, send a note to our Reviews Team at reviews@thisoldhousereviews.com.