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5 Cheapest Home Warranty Companies (2024)

Author Icon Written by Dana Getz + 1 other Reviewer Icon Reviewed by Jacquelyn Kfoury Updated 03/07/2024

Excellent home warranty coverage doesn’t have to break your budget. The key is finding a cheap home warranty company that covers your home’s core systems and appliances at a budget-friendly price.

Based on our research, we chose Liberty Home Guard (LHG) as the top affordable home warranty provider, thanks to its low-cost specialized plans and largest selection of low-cost add-on options. We also picked American Home Shield (AHS) for its comprehensive plans and generous coverage limits. 
To find the cheapest home warranty companies, we reviewed 31 plans from 57 of the top home warranty providers and compared coverage, monthly costs, service fees, and add-on expenses. We also consulted industry experts and conducted secret shopping. Finally, we scored each provider based on 31 key factors to find the top budget-friendly companies. Keep reading to discover our complete list of the cheapest home warranty companies for your home.

Did You Know?

In the last 30 days, more than 2,500 people bought home warranties from the above providers.


Summary of Top Cheap Home Warranty Providers

After evaluating 57 national home warranty providers across 31 factors, we narrowed the top contenders to the five least expensive home warranty companies. 

Liberty Home Guard: Best Customer Ratings
First American Home Warranty: Best Appliance Coverage
American Home Shield: Best for Comprehensive Coverage

Compare Top Cheap Home Warranty Companies

When surveying 2,000 homeowners, we found that was the leading consideration for most homeowners when choosing a home warranty plan. The table below compares the monthly cost, service call fees, and other important factors of our picks for the most affordable home warranty providers.

Company BBB Rating Monthly Cost Service Fee Visit Site
NR $49–$59 $65–$125 VISIT SITE
B $29–$89 $100–$125 VISIT SITE
B- $44–$47 $60–$75 VISIT SITE
B $42–$82 $75–$125 VISIT SITE
B $38–$64 $75–$125 VISIT SITE
No results were found.
Star Rating BBB Rating Monthly Cost Service Fee Response Time Link
Liberty Home Guard Liberty Home Guard
NR $49–$59 $65–$125 Up to 48 hours VISIT SITE
American Home Shield American Home Shield
B $29–$89 $100–$125 Up to 48 hours VISIT SITE
Select Home Warranty Select Home Warranty
B- $44–$47 $60–$75 48-84 hours VISIT SITE
First American Home Warranty First American Home Warranty
B $42–$82 $75–$125 4-48 hours VISIT SITE
AFC Home Warranty AFC Home Warranty
B $38–$64 $75–$125 24-48 hours VISIT SITE
Liberty Home Guard
Logo Liberty Home Guard
Star Rating
BBB Rating NR
Monthly Cost $49–$59
Service Fee $65–$125
Response Time Up to 48 hours
VISIT SITE
American Home Shield
Logo American Home Shield
Star Rating
BBB Rating B
Monthly Cost $29–$89
Service Fee $100–$125
Response Time Up to 48 hours
VISIT SITE
Select Home Warranty
Logo Select Home Warranty
Star Rating
BBB Rating B-
Monthly Cost $44–$47
Service Fee $60–$75
Response Time 48-84 hours
VISIT SITE
First American Home Warranty
Logo First American Home Warranty
Star Rating
BBB Rating B
Monthly Cost $42–$82
Service Fee $75–$125
Response Time 4-48 hours
VISIT SITE
AFC Home Warranty
Logo AFC Home Warranty
Star Rating
BBB Rating B
Monthly Cost $38–$64
Service Fee $75–$125
Response Time 24-48 hours
VISIT SITE

*BBB ratings are accurate as of March 2024.

We based the pricing information in this table and throughout the article on sample quotes we obtained for a 2,373-square-foot, single-family home in Houston. Your pricing may vary depending on your home’s location, size, type, and plan selections.


How We Rated Cheap Home Warranty Companies

Why Trust Us? Our review and rating process for the best home warranty companies
57
Companies Considered We carefully considered 57 companies to find the best home warranty providers available.
2000
Home Owners Surveyed We surveyed 2,000 home owners to see what they care about most when in comes to home protection.
57000
Reviews Analyzed We went through 57,000 customer reviews of home warranty companies to see what people had to say about each provider.
31
Coverages Compared We compared 31 policies to find the best home warranty offerings on the market.

To select the most affordable home warranty companies, we reviewed 57 providers and compared 31 coverage plans. We considered premium costs, coverage limits, add-on expenses, and overall value. We consulted home warranty experts to learn about industry standards and best practices for homeowners. We also gained insight into the customer experience through mystery shopping and testing the claims process for several providers. 

After concluding our research, we created a detailed methodology to score each company. We scored based on four categories: coverage, value, trust and transparency, and availability and service. We awarded points for each category and converted scores to a final 5-star rating scale.

Our Home Warranty Experts

We spoke with over 15 home warranty experts during our home warranty process. Specifically, we turned to the following two experts for insights on this article:
Dave Bringer: Bringer is the Owner and Head Technician of Bringer Appliance Repair based in Louisville, Kentucky. 
Daniel Cabrera: Cabrera is the founder of Sell My House Fast San Antonio, a home-buying real estate business. 

What To Expect From a Cheap Home Warranty

When considering an affordable home warranty, you should understand typical inclusions, key benefits, and estimated costs.

What Does a Cheap Home Warranty Cover?

How Much Does a Cheap Home Warranty Cost?

What Are the Benefits of a Cheap Home Warranty?

A cheap home warranty offers coverage for the same systems and appliances as a more expensive home warranty. However, a cheaper policy usually has lower coverage limits per covered system and appliance. Consider your needs and budget before choosing a home warranty plan.

Here’s an overview of commonly covered items:

Systems

  • Air conditioning
  • Ceiling fans
  • Central vacuum
  • Ductwork
  • Electrical
  • Garbage disposal
  • Heating
  • Instant water dispenser
  • Water heater

Appliances

  • Built-in microwave
  • Clothes dryer
  • Clothes washer
  • Dishwasher
  • Oven
  • Range
  • Refrigerator
  • Stove
  • Trash compactor

Home warranty companies may also provide optional coverage for the following items:

  • Guest house
  • Pool
  • Roof leaks
  • Septic system
  • Spa
  • Sump pumps
  • Well pump

A home warranty generally costs between $38 and $80 per month, or $456–$840 per year. Basic plans fall on the lower end of the spectrum, while more comprehensive coverage costs $60 or more.

The total cost of your warranty includes more than just the monthly premiums. Your location, specific coverage plan, home age, and service fees can also impact the bottom line. Here are some key factors contributing to overall costs:

  • Add-ons: You may want to use add-ons to protect other items, such as your pool, spa, guest unit, or septic system. Remember that each add-on increases your monthly and annual costs. We recommend limiting add-ons to essential items. 
  • Coverage: Most home warranty companies offer various plans, including systems or appliances-only and combination options. Match your selected plan to your current needs. Opt for a lower-priced plan that provides the coverage you need rather than overspending on comprehensive coverage you won’t use.
  • Home age: Older appliances and systems require more frequent repairs and replacements. Bringer says, “Older homes need home warranties because their appliances and systems have most likely used their manufacturer’s warranty coverage.” Few home warranty companies offer protection for older items with preexisting conditions. When they do, these protections are often bundled into comprehensive plans with a higher price tag. Opting for a more inclusive plan with additional coverage will save you more in the long run than a barebones option.
  • Service fees: These service fees typically range between $60 and $125, with some companies allowing you to choose your service fee. While secret shopping, we learned that a lower service fee results in a higher monthly premium and vice versa. Many companies offer two or more options for better pricing customization with their plans. Remember, you will pay this service fee every time you need a repair or replacement, so select the options that you’re comfortable paying.

In addition to protecting important items when they break down, a low-cost home warranty offers the following benefits:

  • Eliminates the hassle of finding your own qualified contractor
  • Helps lower major system and appliance repairs or replacement costs
  • May be an enticing feature for potential homebuyers
  • May include unique benefits such as discounts on maintenance-related supplies or other services
  • Protects your budget by covering the cost of unexpected events

Cheap Home Warranty Provider Reviews

Below is a detailed review of our top choices for affordable home warranty providers.

Liberty Home Guard

Best Customer Ratings
4.5 We grade all home warranty companies on the most important factors to homeowners such as coverage, value, trust, transparency, availability, and service. We account for 15 specific data points such as coverage caps, systems and appliances covered, monthly costs, service fees, sample contract availability, response time, claims process, and workmanship guarantee length to then calculate a score, created fully by our Editorial team.

Our rating: 4.5
Monthly cost: $49–$59

We recommend Liberty Home Guard for homeowners seeking specialized coverage for an affordable price. The company offers system-only, appliance-only, and combined coverage plans for under $60 per month, plus over 38 add-ons starting at as low as $3.99 per month.

How We Scored Liberty Home Guard

We scored Liberty Home Guard 4.5 out of 5 stars in our review standards. Here’s how LHG rated in key categories:

  • Coverage (4.7 out of 5): LHG scored well for its specialized plan options and extensive add-on catalog.  
  • Value (4.25 out of 5): LHG lost points for its unclear and inflexible service call fee policy. 
  • Trustworthiness and Transparency (4.8 out of 5): LHG received a high score for its excellent customer review scores, averaging 4.6 stars on third-party review sites.  
  • Availability and Service (4.3 out of 5): LHG lost points for its limiting service contractor policy.

Pros and Cons

Pros Includes a 60-day workmanship guarantee, which is double the industry standard Offers three specialized coverage plans priced under $60 per month Provides 38 add-on options priced as low as $3 per month Cons Includes add-on options as high as $35.99 per month Limits electrical and plumbing systems to a $500 cap Varies service call fee based on location, plan, and add-on choices

Plans and Cost

Liberty Home Guard provides three service plan options: Appliance Guard, Systems Guard, and Total Home Guard. We read through the Liberty Home Guard sample contract and learned that all three plans cost less than $60, making them a midrange option. 

You can choose from three specialized plans targeted for systems, appliances, or combined coverage. LHG includes a $2,000 coverage limit for most items, but plumbing and electrical items receive only $500. All repairs and replacements include a 60-day workmanship guarantee, twice the 30-day industry standard.

Below is an overview of LHG’s coverage plans:

  • Appliance Guard: This appliance-only plan covers nine essential appliances, including built-in microwaves, ranges, and washing machines. You receive a $2,000 coverage cap for appliances. 
  • Systems Guard: This next plan provides systems-only protection for six built-in systems, including cooling, electrical, and plumbing. All systems are covered up to $2,000 except for plumbing and electrical, which have a lower limit of $500.
  • Total Home Guard: The highest plan combines the Appliance Guard and Systems Guard plans for comprehensive home protection. All coverage limits remain the same. 

LHG offers monthly and annual premiums. Our sample quote included two free months of service with an annual option. Unlike other home providers, LHG doesn’t offer standard service call fees or let you choose your preferred option. Instead, the company assigns a fee between $65 and $125 based on your plan, location, and add-on options. Most home warranty companies offer two or more service fee options, letting you customize your pricing. In addition, choosing a higher service call fee typically lowers your fees. However, LGH doesn’t offer that cost flexibility. Premiums remain the same even with the highest service call fee option.  

Here’s an overview of LHG coverage pricing:

Plan

Monthly Cost

Service Fee

Coverage Cap

Appliance Guard

$49.99

$65–$125

$2,000

Systems Guard

$54.99

$65–$125

$2,000 (Plumbing & electrical: $500)

Total Home Guard

$59.99

$65–$125

Coverage caps remain the same

With 38 add-on options, LHG has one of the most extensive catalogs compared to other providers reviewed. Additional add-ons can increase costs by $3.99–$35.99 per month, depending on the coverage. Roof-leak coverage, typically offered as an add-on, will cost $11.99 monthly. This is slightly higher than other reviewed companies. 

Some additional coverage options include the following protections:

  • Central vacuum
  • Instant hot water dispenser
  • Pool and spa
  • Septic system pumping

Our Experience With Liberty Home Guard

In customer reviews, many LHG users praised the efficient customer support line. To test this, we called during secret shopping and connected with a rep in under 30 seconds. LHG also offers live chat, which is unique for a home warranty company, though it first connects you to a bot. After two requests, we were transferred to a live agent. Overall, the reviews citing great service aligned with our experience of fast connection times by phone and chat.

American Home Shield

Best for Comprehensive Coverage
4.4 We grade all home warranty companies on the most important factors to homeowners such as coverage, value, trust, transparency, availability, and service. We account for 15 specific data points such as coverage caps, systems and appliances covered, monthly costs, service fees, sample contract availability, response time, claims process, and workmanship guarantee length to then calculate a score, created fully by our Editorial team.

Our rating: 4.4
Monthly cost: $39–$99

We recommend American Home Shield for homeowners seeking comprehensive protection for older homes and appliances. The company includes more system and appliance protection under its standard plans, plus protection for preexisting conditions and damage. Because of its extensive coverage, its plans have the highest plan costs in this review. 

How We Scored American Home Shield

We scored American Home Shield 4.4 out of 5 stars in our review standards. Here’s how we rated it in key categories.

  • Coverage (4.7 out of 5): AHS received a high score for its comprehensive appliance coverage, which includes preexisting conditions. 
  • Value (4 out of 5): AHS lost points for its comprehensive plan costs, which are the highest in this review. 
  • Trustworthiness and Transparency (4.25 out of 5): AHS lost points for its lower customer review scores.
  • Availability and Service (4.7 out of 5): AHS scored well for quick claims processing.

Pros and Cons

Pros Covers physical damage, improper modifications, and preexisting conditions Includes two service call fees for pricing customization Offers a $5,000 coverage cap and up to $4,000 for appliances Cons Charges higher monthly premiums than other providers Doesn’t offer an appliance-only plan, limiting its plan variety Excludes annual pricing for its plans

Plans and Cost

American Home Shield provides three plans: ShieldSilver, ShieldGold, and ShieldPlatinum. We read through the American Home Shield sample contract and learned that AHS does not offer an appliance-only plan option. The company offers one system-only plan and two comprehensive options, which cost more than the other reviewed providers. The highest plan, ShieldPlatinum, includes free roof-leak coverage, which many companies don’t offer in standard plans. Despite its higher cost, AHS plans offer generous coverage limits that help offset more repair and replacement costs.  

We’ll explain American Home Shield’s coverage plans below:

  • ShieldSilver: This system-only coverage plan protects major home systems, such as cooling, heating, and electrical. Each system received a $5,000 coverage limit.  
  • ShieldGold: The lowest comprehensive plan includes systems and appliances, such as built-in microwaves, garbage disposals, and ovens. Systems limits remain the same, but you receive $2,000 for appliances. 
  • ShieldPlatinum: The highest coverage plan includes ShieldGold protections, plus roof-leak repairs and HVAC tune-ups. The appliance limit doubles to $4,000, but system coverage remains unchanged. 

AHS is one of the few companies not to offer an annual option, eliminating the chance for added savings with bonus months of coverage or an annual discount. You can adjust your premiums with a $100 or $125 service call fee. AHS is the only reviewed company that doesn’t offer any service calls fee below $100. 

Here’s a breakdown of  AHS costs and service fees:

Plan

Monthly Cost

Service Fee

Coverage Cap

ShieldSilver

$39.99–$49.99

$100–$125

$5000

ShieldGold

$59.99–$69.99

$100–$125

Systems: $5,000
Appliances: $2,000

ShieldPlatinum

$89.99–$99.99

$100–$125

Systems: $5,000
Appliances: $4,000

Due to its comprehensive protections, AHS offers only six add-on options. Add-on pricing falls between $4.99 and $21.99. Adding roof-leak coverage for the ShieldSilver and ShieldGold plans will add $9.99 to your monthly costs. 

We’ve highlighted additional AHS add-ons below:

  • Electronics protection plan
  • Guest units
  • Pools and built-in spa equipment  
  • Septic pumps

Our Experience With American Home Shield

Our team tested the AHS home warranty claims process. After filing an online claim for a leaky bathroom pipe, text and email confirmations arrived instantly. AHS scheduled a next-day service appointment five minutes after the confirmations arrived. The covered repairs took only two hours. The only out-of-pocket cost was the service call fee. 

Select Home Warranty

Best Value
4.3 We grade all home warranty companies on the most important factors to homeowners such as coverage, value, trust, transparency, availability, and service. We account for 15 specific data points such as coverage caps, systems and appliances covered, monthly costs, service fees, sample contract availability, response time, claims process, and workmanship guarantee length to then calculate a score, created fully by our Editorial team.

Our rating: 4.3
Monthly cost: $44–$47

We recommend Select Home Warranty for homeowners looking for minimal coverage at a reasonable price point. The company provides plans under $48 per month and service fees of $60–$75 per claim, some of the industry’s lowest prices.

How We Scored Select Home Warranty

We scored Select Home Warranty 4.3 out of 5 stars in our review standards. Here’s how we rated it in key categories.

  • Coverage (3.7 out of 5): Select received a low rating due to its coverage caps, which are below industry standards.
  • Value (5.5 out of 5): Select received a perfect score for its cost-effective pricing.    
  • Trustworthiness and Transparency (4.5 out of 5): We deducted points due to its lower review scores across multiple third-party review sites. 
  • Availability and Service (4.3 out of 5): Select lost points due to its slower claim process than other reviewed providers.

Pros and Cons

Pros Includes free roof-leak coverage with every plan Offers three plans priced below $48 per month, the lowest in this review Provides two months of free coverage when you choose an annual plan Cons Charges multiple service fees even if claims are filed simultaneously Excludes coverage for preexisting conditions Limits appliances and select home systems to a $500 coverage cap

Plans and Cost

Select Home Warranty offers three plan options: Bronze Care, Gold Care, and Platinum Care. After we reviewed the Select Home Warranty’s sample contract, we discovered each plan includes free roof-leak coverage, which is a rarity in the home warranty industry. Most companies require additional fees for this coverage.  Platinum Care offers combined appliance and systems coverage for less than $48 monthly. This is one of the lowest costs we’ve seen for comprehensive home coverage.

However, the trade-off for lower premiums is reduced coverage caps. While Select offers a $3,000 limit for HVAC, all other appliances and systems receive $500 max. 

Here are full details on Select Home Warranty’s coverage plans:

  • Bronze Care: This appliance-only plan includes dishwashers, garbage disposals, and stoves. You receive a $500 coverage limit for each appliance. 
  • Gold Care: This system-only plan covers essential home systems, including HVAC, electrical systems, and water heaters. The coverage limit for HVAC is $3,000, but all other systems are capped at only $500.
  • Platinum Care: The highest plan tier combines the Bronze and Gold Care plans and includes plumbing stoppages and ceiling fans. All coverage caps remain the same. 

Select offers annual and monthly plan options, which is typical for most home warranty companies. Annual options also include two free months of service. A service call fee of $60–$75 is assigned to your account, limiting your pricing options. However, Select offers lower service call fees compared to its competitors. 

See below for a breakdown of Select Home Warranty’s coverage pricing:

Plan

Monthly Cost

Service Fee

Coverage Cap

Bronze Care

$44.42

$60-$75

$500

Gold Care

$44.42

$60-$75

$500 (HVAC: $3,000)

Platinum Care

$47.75

$60-$75

Coverage caps remain the same

Select has nine add-on options with pricing ranging from $3.33–$8.33, lower than other reviewed companies. However, there’s a $400 coverage limit for add-on items, which is lower than the $500 industry standard.  

 

Additional add-on coverage includes the following items: 

  • Central vacuums
  • Pools
  • Septic pumps 
  • Standalone freezers

Our Experience With Select Home Warranty

Through conversations with Select’s customer service, we learned they prefer handling plan issues and claims by phone rather than online. They dispatch technicians from their approved network but will allow customers to choose their own provider if none are available locally, pending Select’s approval.

First American Home Warranty

Best Appliance Coverage
4.6 We grade all home warranty companies on the most important factors to homeowners such as coverage, value, trust, transparency, availability, and service. We account for 15 specific data points such as coverage caps, systems and appliances covered, monthly costs, service fees, sample contract availability, response time, claims process, and workmanship guarantee length to then calculate a score, created fully by our Editorial team.

Our rating: 4.6
Monthly cost: $47–$87

We recommend First American Home Warranty for homeowners seeking coverage for their high-end appliances. The company offers appliance caps ranging from $3,500–$7,000, plus coverage plans starting at $47 per month. 

How We Scored First American Home Warranty

We scored First American Home Warranty 4.6 out of 5 stars in our review standards. Here’s how we rated it in key categories.

  • Coverage (4.7 out of 5): First American received high scores for its unlimited system caps and high appliance limits. 
  • Value (4 out of 5): First American lost points due to its slightly higher service call fees.
  • Trustworthiness and Transparency (4.8 out of 5): First American scored well due to its high customer review scores and excellent brand reputation. 
  • Availability and Service (4.3 out of 5): First American lost points for its restrictive service technician policy.

Pros and Cons

Pros Doesn’t place coverage caps on HVAC, electrical, and ductwork systems Offers three flexible service call fee options Provides generous appliance limits up to $7,000 Cons Doesn’t offer discounts or bonus months of service with its annual plans Excludes certain essential systems and appliances in its lowest plan Offers the third-highest premiums in this review

Plans and Cost

First American Home Warranty offers three plan options: the Starter Plan, Essential Plan, and Premium Plan. After analyzing the First American’s sample contract, the company doesn’t offer appliance-only or system-plus plans. Each plan tier includes varying levels of comprehensive coverage, leading to higher premium costs.

In addition, the company excludes some essential items, including clothes washers, dryers, and air conditioners, from its Starter Plan. You must move to a more expensive plan to get coverage. The First American Upgrade can be added at no cost to the Essential and Premium plans, providing coverage for preexisting conditions and damage.

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

  • Starter Plan: The lowest comprehensive plan covers some appliances and systems, such as cooktops, heating systems, and refrigerators. Appliances are covered up to $3,500, while systems have unlimited coverage.
  • Essential Plan: The next plan tier includes Starter Plan coverage and adds items, including air conditioning, clothes dryers, and washing machines. All coverage caps remain the same. 
  • Premium Plan: The highest plan includes Essential Plan items, adding luxury appliances, roof leaks, and window air conditioning units. The unlimited systems coverage remains the same, but appliance coverage doubles to $7,000.

First American provides flexible service call fees, offering more options for customized pricing.  Our sample quote included options for a  $75, $100, or $125 service call fee. Our premium increased or decreased depending on our selected service call fee. We received the largest premium discount with the highest service call fee. First American charges a $2 processing fee if you choose monthly premiums. You avoid this fee by choosing an annual premium.

Below is an overview of First American Home Warranty costs:

Plan

Monthly Cost

Service Fee

Coverage Cap

Starter Plan

$47-$62

$75–$125

Systems: Unlimited

Appliances: $3,500

Essential Plan

$57-$72

$75–$125

Systems: Unlimited (Water heaters: $1,000)

Appliances: $3,500

Premium Plan

$72-$87

$75–$125

Systems: Unlimited (Water heaters: $1,000)

Appliances: $3,500

First American includes 12 add-on options, with pricing ranging from $2.08–$20.83. Adding roof-leak coverage to the Starter Plan and Essential Plan costs  $8.33, which is midrange compared to other providers. If you want central air conditioning coverage for the Starter Plan, you’ll add $8.33 to your monthly premium.  

 

First American offers additional add-ons, such as:

  • HVAC tune-ups
  • Septic tank pumping/system
  • Up to two pools/spa equipment
  • Water Softener

Our Experience With First American Home Warranty

We tested the First American claim process with a team member who had an active plan. He submitted a claim to fix a broken garage door opener. After completing his online submission on a Friday, he received a text 30 minutes later with his technician’s details. The technician then called to schedule a repair visit for the following Monday. Repairs took less than 30 minutes, and he only paid the service call fee. 

AFC Home Warranty

Best for Customization
4.6 We grade all home warranty companies on the most important factors to homeowners such as coverage, value, trust, transparency, availability, and service. We account for 15 specific data points such as coverage caps, systems and appliances covered, monthly costs, service fees, sample contract availability, response time, claims process, and workmanship guarantee length to then calculate a score, created fully by our Editorial team.

Our rating: 4.6
Monthly cost: $36–$96

We recommend America’s First Choice Home Warranty (AFC Home Warranty) for homeowners who want the best plan flexibility and customization. The company offers four coverage plans, three service call fees, and 13 add-on options, offering more variety than other reviewed providers. 

How We Scored AFC Home Warranty

We scored AFC Home Warranty 4.6 out of 5 stars in our review standards. Here’s how we rated it in key categories.

  • Coverage (4.3 out of 5): AFC Home Warranty lost points for its depreciated value coverage, which lowers the claim payout amount for older items.
  • Value (4.5 out of 5): AFC Home Warranty received a high score for its extensive coverage plan options and flexible service fees. 
  • Trustworthiness and Transparency (4.8 out of 5): AFC Home Warranty scored well for its unlimited workmanship guarantee.  
  • Availability and Service (5 out of 5): AFC Home Warranty received a perfect score for its flexible service technician policy.

Pros and Cons

Pros Offers the best pricing customization with four plans and three service fees Extends an unlimited workmanship guarantee per covered repair Provides a $3,000 coverage cap per covered appliance, higher than the industry standard Cons Excludes coverage for items with unknown preexisting conditions May reduce coverage cap based on its depreciated value Offers the second-highest comprehensive plan in this review

Plans and Cost

AFC Home Warranty offers four plan options: the Silver Plan, the Gold Plan, the Platinum Plan, and the Diamond Plan. We read the AFC Home Warranty’s sample contract and learned that the company offers an unlimited workmanship guarantee, the longest of this review. You receive roof-leak protection on every plan with a no-cost add-on feature.  Coverage includes $3,000 for appliances and varying limits for systems. However, AFC Home Warranty adjusts its payout for items five years or older. 

We’ll explain each plan offered by AFC Home Warranty below:

  • Silver Plan: This appliance-only plan protects nine appliances, including cooktops, dishwashers, and refrigerators. You receive a $3,000 coverage cap for covered appliances. 
  • Gold Plan: The next plan provides comprehensive system and appliance protection for 15 items, including air conditioning, heating, and plumbing. Coverage caps remain the same for appliances but vary between systems. 
  • Platinum Plan: This plan extends coverage to 20 systems and appliances, such as built-in microwaves and ice makers. Coverage caps remain the same.  
  • Diamond Plan: The highest plan includes Platinum coverage plus coverage for electronics and external sewer and water lines. Note: The Diamond Plan is unavailable in AK, CA, HI, MT, MS, NC, NJ, UT, VA, WA, WV, or WI.

AFC Home Warranty warranty pricing falls on the high end for comprehensive plans, placing it closer to American Home Shield. The company offers a $75, $100, or $125 service call fee.  It’s one of the few companies offering annual and monthly plans and a three-year plan option. Our sample contract included a $100 discount for a one-year plan and $250 off for a three-year premium. 

We’ve detailed AFC Home Warranty’s costs and fees below:

Plan

Monthly Cost

Service Fee

Coverage Cap

Silver Plan

$35.25–$40.08

$75-$125

$3,000

Gold Plan

$49.75–$54.58

$75-$125

Caps vary by system

Platinum Plan

$54.58–$59.42

$75-$125

Systems: varies

Appliances: $3,000

Diamond Plan

$89.17–$94

$75-$125

Systems: varies

Appliances: $3,000

AFC Home Warranty offers 13 add-on options, with costs from $25 to $150 per year. The company offers annual rates for its add-ons but offers a cost breakdown when using the online quote tool. For example, adding septic system coverage for $50/year added $4.17 to our estimated monthly premium. The one exception is the electronics add-on, which costs $24.99 monthly, adding almost $300 to your plan. 

 

Below are some add-on coverage options offered:

  • Double ovens
  • Ice makers
  • Septic systems
  • Standalone freezers

Our Experience With AFC Home Warranty

We learned that AFC Home Warranty is one of the few providers allowing you to select your service technician. In addition, AFC Home Warranty offers some exclusive membership perks not found with other providers. The company offers several unique services, such as emergency alert services, free credit monitoring, and identity protection. 


How Do I Shop for a Cheap Home Warranty?

The cheapest isn’t always the best when looking for an affordable home warranty. While the above companies offer affordable pricing and comprehensive plans, some home warranty companies offer extremely limited coverage for a low price. In addition, some providers have exclusions that could cost you more money in the long run. 

Before signing up for a home warranty, consider the following factors to ensure you find a cheap home warranty with excellent protection:

  • Assess your coverage needs: Before looking for an affordable home warranty plan, determine your exact coverage needs. Limit coverage to only essential appliances, systems, and add-on coverage. Make a list of your coverage needs and find coverage plans that match them. 
  • Avoid unnecessary premium costs: You’ll pay more for comprehensive plans than system- or appliance-focused coverage. We recommend getting a quote from at least three providers. Compare quotes, prices, and coverage before making a final decision. 
  • Check for promotions: Compare current promotions and offerings from each provider to see how much money you could save on your contract. Many companies provide a few months of free coverage and discounts for choosing an annual plan. 
  • Read through exclusions: Companies often include coverage caps and exclusions on certain items in their contract. Cabrera recommends inquiring about the limitations and exclusions to fully comprehend what exact items, components, or circumstances aren’t covered under the warranty contract. Avoid plans with too many exclusions, as you may end up paying more out-of-pocket for unprotected items than you save on covered repairs.

How Are Home Warranties Regulated?

Each state regulates home warranties independently. For example, the Department of Financial Services oversees home warranty companies in New York. New Jersey’s Division of Consumer Affairs, however, regulates service contracts. 

Many states follow the Service Contract Model Act, which establishes rules and requirements providers must follow to do business within a state. Governmental regulation assures that your home warranty provider is financially sound and holds the appropriate level of financial reserves to pay out claims. These regulations also ensure various consumer protections, such as the following:

  • Customer cancellation within a set timeframe (30–45 days) to receive a full refund
  • Fine print that is clear to read and understand
  • Full disclosures of covered items and exclusions
QUICK Tip
Before signing up with a provider, check your state’s regulatory body to confirm the home warranty company is licensed to operate in your state. In addition, read through its sample contract. Many providers have state-specific clauses that outline the coverage and exclusions most applicable to you.

Home Warranty Cost Calculator

Our team created a calculator to break down the estimated annual cost of owning a home warranty. 

To calculate your projected annual cost, use the following steps:

  1. Enter your monthly premium
  2. Enter your service call fee
  3. Enter your estimated number of claims 

It’s best to request a quote directly from one of our recommended providers, as annual costs and service fees vary.

Use the table below to compare your calculated cost to repair and replacement costs for common appliances.

ApplianceAverage Repair CostAverage Replacement Cost

Dehumidifier

$50–$200

$1,300–$2,800

Microwave

$50–$400

$60–$2,000

Dishwasher

$50–$500

$400–$3,000

Exhaust Fans

$16–$300

$250–$950

Electric Range

$100–$500

$230–$3,000

Gas Range

$100–$500

$230–$3,000

Dryer

$100–$400

$450–$2,300

Oven

$100–$430

$400–$3,000

Washer

$50–$450

$400–$2,300

Freezer

$90–$500

$160–$2,900

Refrigerator

$40–$350

$200–$5,000

Life span and repair cost data sourced from InterNACHI and Home Depot


FAQ About Cheap Home Warranty

Who pays for a home warranty?

Homebuyers, sellers, realtors, and rental property owners can all pay for a home warranty. Homebuyers will pay for coverage if they purchase a plan at any point during homeownership or after the closing process. Sellers, real estate agents, or realtors might pay for coverage as part of the home sale. Rental property owners could pay for a home warranty and include part of the cost in their tenants’ rent.

When can I buy a home warranty?

You can buy a home warranty at any point during homeownership. However, we recommend buying a home warranty when you first purchase your home so coverage can begin sooner. 

What does a home warranty not cover?

Home warranties generally don’t cover appliance removal and disposal fees, commercial property coverage, cosmetic damage, hazardous waste handling fees, routine maintenance and more. Before signing up, we recommend reading your provider’s sample contract to determine what is and isn’t covered by your policy.

Is buying a home warranty cost-effective?

Yes, buying a home warranty can be cost-effective because it can save you hundreds of dollars on repairs and replacements when home systems and appliances break down. Even if you don’t have an issue with a system or appliance, it’s always a good idea to have protection in case something unexpected happens, leaving you to pay expensive repair or replacement costs.


How Do I Find the Best Home Warranty Company in My Area?

Find in-depth reviews on the best home warranty companies for each state below.


Related Resources

We’ve compiled several easy-to-digest guides based on our extensive home warranty coverage. Learn more below.

More on Home Warranties

Related to Home Appliances

Related to Home Systems