Having home appliance insurance, also called a “home warranty,” can be a great investment if you don’t have money saved for unexpected home repairs and replacements. It can also provide peace of mind that if something were to break in your home, you’d be covered. In this guide, we’ll discuss what home appliance insurance is, how coverage works, and how to find the best home warranty for you and your home.


What Is Home Appliance Insurance?

Home appliance insurance, also known as a home warranty, is optional insurance that covers repairs or replacements on major home appliances and systems. Home warranty policies are typically purchased by people who want to avoid the costs associated with unexpected breakdowns of expensive items within the home or those who just want an added layer of protection on systems and appliances.

This type of insurance is optional as opposed to a homeowners insurance policy, which is required by a mortgage lender. To receive coverage, homeowners will need to only pay a monthly or annual premium and a one-time service fee for every claim made.


 

Top 5 Home Appliance Insurance Providers

VIEW MORE

American Home Shield

American Home Shield (AHS) scored 94 out of 100 available points in our rating system and is our top pick for comprehensive coverage. It’s also one of the oldest home warranty providers in the industry and serves all states except for Alaska.

AHS’s coverage for appliances is generous compared to other providers. The company will cover up to $3,000 per appliance with the ShieldGold plan and as much as $6,000 per appliance with the ShieldPlatinum Plan. It also provides coverage for unknown preexisting conditions, improper installation, modification, and items damaged by rust and corrosion.

Pros and Cons of American Home Shield

✔ Has generous coverage caps
✔ Does not require maintenance records
✔ Allows customers to choose a $75, $100, or $125 service fee

✘ Not available in Alaska
✘ Repairs only guaranteed for 30 days

Plans and Coverage

American Home Shield offers three plan options, two of which cover appliances. Unlike other providers on this list, it does not offer an appliance-only plan option; it must be bundled with home systems. You can compare the coverage of the ShieldSilver, ShieldGold, and ShieldPlatinum plans in the table below.

CoverageShieldSilverShieldGoldShieldPlatinum
Air conditioners
Built-in exhaust/vent/attic fans
Built-in microwave ovens
Ceiling fans
Clothes dryers
Clothes washers
Dishwashers
Doorbells and chimes
Ductwork
Faucets and valves
Garage door openers
Garbage disposals
Heating units
Instant hot/cold water dispensers
Interior electrical lines
Interior plumbing lines
Main breaker and fuse panel box
Ranges/cooktops
Refrigerators
Roof-leak repairs
Ovens
Toilets
Water heaters
Whirlpool tub motor and components

Learn More: American Home Shield Review


 

Liberty Home Guard

Liberty Home Guard (LHG) earned 87 out of 100 points in our rating system. It stands out against its competitors by offering a responsive customer support service through live chat. Customers can reach out to customer support 24 hours per day, seven days per week. When you reach out, you’ll be connected to an actual person, not a bot or a delayed contact form. 

LHG covers up to $2,000 per appliance, and you can even elect coverage for pro-series appliances, which other home warranty providers often exclude. 

Pros and Cons of Liberty Home Guard

✔ Allows customers to reach out to support via live chat

✔ Extends up to 38 additional coverage options, including pro-series appliances

✔ Offers a 60-day workmanship guarantee

✘ Doesn’t display service call fee during the quote process

✘ Limits plumbing and electrical coverage to $500 per item

Plans and Coverage

LHG offers three home warranty plans, two of which will cover appliances up to $2,000 per item. You can compare the coverage of the Appliance Guard, Systems Guard, and Total Home Guard plans in the table below.

FeatureAppliance GuardSystems GuardTotal Home Guard
Air conditioning
Built-in microwave ovens
Ceiling and exhaust fans
Clothes dryer
Clothes washer
Dishwashers
Ductwork
Electrical
Garage door openers
Garbage disposals
Heating
Plumbing
Ranges/ovens/cooktops
Refrigerator with ice maker and display
Water heaters

Learn more: Liberty Home Guard Review


 

Select Home Warranty

Select Home Warranty (SHW) offers an excellent value at an affordable price point. All its plans are less than $47 per month, and all plans come with free roof-leak coverage. For these reasons and its quick claim response time, Select earned 89 out of 100 available points in our rating system. 

Pros and Cons of Select Home Warranty

✔ Covers additional refrigerator and stand-alone freezers as an add-on

✔ Includes free roof-leak coverage up to $400 with all plan options

✔ Responds to claims within 12 business hours

✘ Does not specify workmanship guarantee in the sample contract

✘ Has lower coverage limits than other providers (limits appliances to $500)

Plans and Coverage

Select Home Warranty offers three plan options, two of which cover home appliances. You can compare the coverage of the Bronze Care, Gold Care, and Platinum Care plans in the table below.

FeatureBronze CareGold CarePlatinum Care
AC/cooling
Built-in microwave
Clothes dryer
Clothes washer
Cooktop
Dishwasher
Ductwork
Electrical system
Garage door openers
Garbage disposal
Heating system
Plumbing stoppages
Plumbing system
Refrigerator
Stove/oven
Water heater

First American Home Warranty

First American Home Warranty was another one of our top scores in our rating system, earning 88 out of 100 points. First American offers affordably plans with a generous coverage cap of $3,500 per covered appliance. This high coverage cap and its First Class Upgrade’s inclusion of cosmetic defects and additional appliance components distinguished it as one of our top picks for affordable appliance protection.

Pros and Cons of First American Home Warranty

✔ 24/7 ability to submit a claim

✔ Affordable monthly premiums

✔ Covers systems and appliances that were improperly installed or maintained

✘ Air conditioning is only covered if purchased through an optional add-on.

✘ Doesn’t provide coverage for roof leaks

✘ Not available in the following 15 states— AK, CT, DE, HI, IL, LA, ME, MA, MN, NH, NY, ND, RI, VT, or WI

Plans and Coverage

First American Home Warranty offers two plan options: the Basic Plan and the Premier Plan, both of which cover appliances. You can compare the two plans in the table below.

CoverageBasic PlanPremier Plan
Central vacuum system
Clothes dryer
Clothes washer
Dishwasher
Ductwork
Electrical systems
Garage door opener
Garbage disposal
Heating system
Refrigerator
Microwave
Oven/range/cooktop
Plumbing
Plumbing stoppages
Trash compactor
Water heaters

America’s First Choice Home Club

We awarded America’s First Choice Home Club (AFC Home Club) 90 out of 100  points in our rating system, one of the highest scores of all the providers we reviewed. 

AFC Home Club is an excellent option for homeowners who want the flexibility to choose from a wide variety of plans that cover appliances. It also offers customers a flexible service call fee to have more control over their monthly prices.

Pros and Cons of AFC Home Club

✔ Includes a plan-length workmanship guarantee with all plans

✔ Offers four plans, which is more than the typical two or three plans offered by other providers, and a flexible service call fee model

✔ Provides additional benefits, such as discounts on wholesale parts through Encompass

✘ Charges a $75 cancellation fee after 30 days

✘ Limits coverage to the depreciated value of an appliance older than five years

Plans and Coverage

AFC Home Club offers four plan options: the Silver Plan, the Systems Plan, the Gold Plan, and the Platinum Plan. You can compare the coverage of each plan in the table below.

CoverageSystems PlanSilver PlanGold PlanPlatinum Plan
Clothes dryer
Clothes washer
Refrigerator
Oven/range/cooktop/stove
Dishwasher
Garbage disposal
Garage door opener
Water heater
Air conditioning
Heating system
Electrical system
Plumbing system
Ductwork
Plumbing stoppages
Faucets
Ice maker
Built-in microwave

Learn More: AFC Home Club Review


 

Compare Home Appliance Insurance Companies

Use the table below to compare our picks for the top home appliance insurance companies. American Home Shield stands out for its comprehensive coverage, generous coverage caps, and nationwide availability, while Liberty Home Guard stands out for its long list of add-ons and responsive customer service system. AFC Home Club is another strong choice for customers who prioritize customization and pricing flexibility. 

If you’re on a budget, First American and Select Home Warranty are is the most wallet-friendly on our list.

Company Comparison

Providers

American Home Shield

Liberty Home Guard

Select Home Warranty

First American Home Warranty

AFC Home Club

Get Quote

Visit site

Visit site

Visit site

Visit site

Visit site

Best For

Best Overall

Most Responsive

Best Value

Best Appliance Coverage

Best for Customization

Monthly Cost

$40–$58

$69.99–$79.99

$40.67–$46.08

$36–$38

$38.25–$54.00

Service Fee

$75–$125

$65–$125

$75

$785

$75–$125


Find The Best Home Warranty Provider for Your State

Get your free quote in under 2 minutes!


What Does Home Appliance Insurance Cover?

Rather than protecting the structural integrity of a home like homeowners insurance, home appliance insurance covers the cost of repairs or replacements for appliances and systems.

Each covered system or appliance has exclusions and limitations, so be sure to review the terms and conditions of your home warranty before opting into a policy.

In general, home warranty companies provide a variety of plans: systems plans, appliances plans, combo plans, and build-your-own plans.

Systems plans cover:

  • Air conditioning
  • Heating system
  • Electrical system

Appliances plans cover:

  • Refrigerator
  • Clothes washer/dryer
  • Built-in microwave
  • Other important appliances

Combo plans cover:

  • A combination of both systems and appliances

Build-your-own plans cover:

  • Whatever systems and/or appliances the homeowners decides need coverage

 

How Much Does Home Appliance Insurance Cost?

The average cost for basic to comprehensive home warranty coverage typically ranges between $300 and $600. Pricing for a home warranty will depend on the company you go with, the coverage you choose, and where you live.

While the monthly premium is usually the most expensive factor when buying a home appliance warranty, there are other costs to consider.

  • Service call fee—This fee is paid when a service technician comes to your house to inspect a broken system or appliance. Most service fees range between $75–$125.
  • Enrollment fees—Check with your potential home warranty provider to determine if they require a one-time enrollment fee upon signing up.
  • Cancellation fee—If you choose to cancel before a contract expires, you should expect to pay an early termination fee. The average cancellation fee for customers who cancel after 30 days of coverage is $75, but it can range between $25–$90 depending on the company.

We recommend getting quotes from a few different providers to negotiate pricing and get the best deal. We also recommend asking about current home warranty offers and promotions, as some companies, will offer free coverage for a couple of months.


 

How Does Home Appliance Insurance Work?

Customers can file a claim on covered systems and appliances once coverage begins (usually 30 days after signing a contract). The home warranty company will typically take 24 hours to approve a claim and will then send a contractor to inspect the issue within 48 hours of the claim being filed. If the issue is covered per its terms and conditions, homeowners are only responsible for paying a trade service fee when the technician arrives at their house.


 

What to Consider When Buying Home Appliance Insurance

Before buying a home appliance insurance policy, there are a variety of factors to consider, such as cost, coverage, customer service, and claims processes. Here are some tips to keep in mind when searching for a home protection plan that’s right for you:

  • Think about the coverage you need—Evaluate which items in your home need the most protection. Do you have only a few appliances that are aging and need protection or do you need comprehensive coverage for both systems and appliances? Once you know which items you want covered, compare plans and choose an option that provides the coverage you need.
  • Determine the coverage limits in your policy—Home warranty companies will set coverage limits on certain items in the policy and require homeowners to pay the remaining cost once a limit is reached. For example, if there’s a $2,500 limit on air conditioning and heating for the contract term, customers are responsible for paying any costs that exceed that amount.
  • Figure out how the claims process works—Most home warranty providers will approve claims within 24 hours and send a contractor to inspect your appliance or system within 48 hours. However, this isn’t a guarantee among all companies, and some providers will wait as long as four days to send a contractor to help you.
  • Read trusted, third-party reviews—It’s a good idea to read trusted customer reviews from sites like the Better Business Bureau (BBB) before signing up for a home warranty. This gives you another perspective from consumers who have held policies with the company you’re thinking about purchasing from.

 

When to Buy a Home Warranty

While home warranties are often purchased during real estate transactions, they can be bought at any time during homeownership. This is especially true for homeowners who live in older homes with aging appliances—the assistance for financial support during sudden breakdowns helps policyholders protect their budget.

One of the best times to buy home appliance insurance is when you notice your equipment is beginning to age—not after it starts experiencing problems.

VIEW MORE

 

 

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.