Best Home Warranty Companies in Texas (2023)
In Texas, the best home warranty can protect you against unexpected breakdowns. An HVAC system usually lasts between seven to 15 years, as stated by the International Association of Home Inspectors. However, the intense Texas heat can strain your air conditioning system. A home warranty can significantly cut costs on system and appliance repairs. After evaluating many companies, our team highlighted the top home warranty options in Texas.
Summary of the Best Home Warranties in Texas
Below, we compare our top home warranty companies based on key factors. Monthly costs represent quotes we pulled from each provider during our secret-shop process.
| Best For | Monthly Cost | Service Fee | Response Time | BBB Rating | Link | ||
|---|---|---|---|---|---|---|---|
| Liberty Home Guard | | Best Customer Ratings | $49–$59 | $65–$125 | Up to 48 hours | A | VISIT SITE |
| American Home Shield | | Best for Comprehensive Coverage | $49–$109 | $100–$125 | Up to 48 hours | B | VISIT SITE |
| Select Home Warranty |  | Best Value | $44–$47 | $60–$75 | 48-84 hours | B- | VISIT SITE |
| AFC Home Club |  | Best for Customization | $34–$53 | $75–$125 | 24-48 hours | B | VISIT SITE |
| Liberty Home Guard | |
|---|---|
| Logo |
|
| Best For | Best Customer Ratings |
| Monthly Cost | $49–$59 |
| Service Fee | $65–$125 |
| Response Time | Up to 48 hours |
| BBB Rating | A |
| American Home Shield | |
|---|---|
| Logo |
|
| Best For | Best for Comprehensive Coverage |
| Monthly Cost | $49–$109 |
| Service Fee | $100–$125 |
| Response Time | Up to 48 hours |
| BBB Rating | B |
| Select Home Warranty | |
|---|---|
| Logo |
|
| Best For | Best Value |
| Monthly Cost | $44–$47 |
| Service Fee | $60–$75 |
| Response Time | 48-84 hours |
| BBB Rating | B- |
| AFC Home Club | |
|---|---|
| Logo |
|
| Best For | Best for Customization |
| Monthly Cost | $34–$53 |
| Service Fee | $75–$125 |
| Response Time | 24-48 hours |
| BBB Rating | B |
BBB ratings are accurate as of October 2023.
Texas’ Top Home Warranty Companies
These are the highest-rated Texas home warranty companies:
- Liberty Home Guard: Best Customer Ratings
- American Home Shield: Best for Comprehensive Coverage
- Select Home Warranty: Best Value
- First American Home Warranty: Best Appliance Coverage
- AFC Home Club: Best for Customization
A Texas home warranty covers your most common home appliances and systems when they malfunction, a high possibility given the state’s excessive heat and humidity. Below are five home warranty companies that provide comprehensive coverage for your home systems and appliances, offer competitive service fees, and demonstrate excellent customer service.
The pricing information mentioned throughout the article is based on quotes we received for a 2,345-square-foot, single-family home in Dallas. Your pricing may vary based on your home’s location, size, type, and plan selections.
Liberty Home Guard
Best Customer Ratings
American Home Shield
Best for Comprehensive Coverage
Select Home Warranty
Best Value
First American Home Warranty
Best Appliance Coverage
AFC Home Club
Best for Customization
How Much Does a Home Warranty Cost in Texas?
Based on the pricing information we obtained for this article, a Texas home warranty costs an average of $57 monthly or $679 annually. The typical service call fee ranges from $75 to $125 per claim. The actual cost of your home warranty may vary depending on the provider you choose, the coverage you select, and your home’s size and location. We compiled a list of tips to help you save on your Texas home warranty.
- Choose the right coverage: Think about the home appliances and systems you use the most or that are the most likely to break down. Choose a plan that protects those items rather than a comprehensive plan that includes items you don’t need covered.
- Remember that price isn’t everything: A cheaper home warranty plan may be ideal on the surface, but our research shows providers that charge lower monthly premiums tend to pay less for repairs and replacements. Consider a company that is within your budget and covers the full replacement value of your home items.
- Select an annual premium: Many home warranty companies offer a discounted rate when you purchase an annual plan. Although it’s a higher cost up-front, we’ve found that you can save roughly one month’s premium, on average.
Annual Home Warranty Cost Calculator
Our team created a calculator to break down the estimated annual cost of owning a home warranty. Enter your monthly premium, service call fee, and estimated number of claims to see your projected annual cost. It’s best to request a quote directly from one of our recommended providers, as annual costs and service fees vary between them.
| Appliance | Average Repair Cost | Average 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 |
Note: The annual cost figure generated by our home warranty calculator is not an indication of a company’s actual plan cost, as annual costs and service fees vary based on your plan selections and your home’s size, type, and location.
Do Home Warranties Have Coverage Limits?
Every home warranty policy has a coverage limit. Some providers offer higher coverage limits and pair plans with higher monthly premiums. Providers that offer lower coverage limits tend to have lower monthly premiums. Read sample contracts from at least three providers to get a feel for which one best suits your needs.
How To Choose a Home Warranty in Texas
There are a variety of home warranty companies available in Texas. To select the best home warranty, keep these points in mind:
- Understand coverage limits: Most home warranty providers limit coverage amounts for things such as HVAC, kitchen appliances, and additional features. It’s wise to choose a company that gives full replacement costs for your vital systems.
- Determine your primary needs: In Texas, your home warranty should prioritize and cover the built-in systems you use frequently, such as your air conditioner.
- Navigate the claims process: Before finalizing your home warranty, understand how a company manages claims. Some only allow you to access technicians from their network, while others might postpone requests made after business hours. Ensure the chosen home warranty provider has a transparent claims procedure.
How Are Texas Home Warranties Regulated?
The Texas Department of Licensing and Registration (TDLR) regulates home warranty companies in the state. The TDLR requires providers to send in reports demonstrating financial soundness routinely. In addition, providers must keep a record of all consumer claims, which the TDLR audits annually.
In addition to government regulation, industry associations, such as the Service Contract Industry Council, regulate home warranties.
To avoid signing up with an unreputable provider, Timothy Meenan, the managing shareholder at Meenan Regulatory and Legislative Attorneys Law Firm, recommends a quick company search to see if your state licensed the provider. The TDLR provides a business license database on its website.
If you believe your provider is neglecting its contractual obligations, you may file a complaint with the TDLR.
Expert Takes on Home Warranties
We asked industry experts to answer common questions homeowners have on Texas home warranties. Here is what they have to say:
- Anything I should know before buying a Texas home warranty? According to Danny Margagliano, a World Impact Real Estate Realtor, you should know whether a home warranty company offers multiple plans. “Depending on the age of your home appliances, the cheapest plan may be good,” he says. “A more expensive plan that covers more parts of the home may be a better choice for someone else.”
- Are there ways to tell whether a Texas home warranty is trustworthy? Utopia Property Management’s Peter Evering recommends checking customer reviews for the provider you’re interested in. He adds, “Reading customer reviews and ratings can provide insights into the experiences of other homeowners and help you gauge the level of customer satisfaction.”
- Should I get a Texas home warranty if I own an older home? Dave Bringer, owner of Bringer Appliance Repair, says, “Older homes need home warranties because their appliances and systems have most likely used their manufacturer’s warranty coverage.”
Our Conclusion
We recommend American Home Shield for Texas homeowners who want comprehensive system and appliance coverage. Liberty Home Guard is another solid choice due to its 60-day workmanship guarantee. Finally, Select Home Warranty offers affordable air conditioning coverage if you’re on a tight budget.
We recommend getting quotes from at least three home warranty providers in this review to compare service contracts and pricing and find the best plan that fits your budget.
Other Resources for Residents in Texas
FAQ About Texas Home Warranties
Do home warranties cover air conditioning systems?
Most reputable home warranty companies include air conditioning system coverage in their base plans. Some providers only include air conditioning coverage in more expensive plans or as an add-on. Before signing up with a provider, read through its sample contract to fully understand your coverage options and exclusions.
What types of homes do home warranties cover?
Most home warranty providers cover single-family homes, mobile homes, condos, and townhomes. Multi-family homes and apartment complexes are usually not covered. Providers may cover rental properties if they aren’t multi-family units or apartment complexes.
Do I need to have maintenance records for my systems and appliances before I get coverage?
Various home warranty providers require itemized maintenance records of your home’s systems and appliances to fully cover a breakdown. Other providers, such as American Home Shield, provide coverage for appliance and home systems breakdowns without previous maintenance records.
Can I transfer my home warranty if I sell my house?
Yes, most home warranty companies allow for the warranty transfer to a new homeowner. However, there may be specific requirements and fees associated with the transfer. Check with your home warranty provider for their policy on transferring coverage.
Can I choose my own service technician?
Most providers send service providers within their network to your home whenever you request service. However, if an in-network technician isn’t available near you, providers allow you to choose your own. You must first request authorization from your provider, however.
Our Rating Methodology
We back up our home warranty ratings and recommendations with a detailed rating methodology to score each provider objectively. We conduct research by speaking with company representatives, requesting quotes, analyzing sample contracts, and conducting focus groups and consumer surveys.
We score each provider against our review standards, which include four comparison categories: coverage, value, trust and transparency, and availability and service. We rate each provider across 31 factors within these categories. Each factor is assigned a point value based on its importance to a homeowner, totaling 100 points. We then convert the final scores to a 5-star rating.
Here’s a breakdown of our weighted factors:
- Coverage (40%): We scored coverage based on included home systems and appliances, add-on options, and unique benefits. We also compared coverage caps and policy exclusions.
- Additional coverage items
- Annual coverage cap
- Home systems coverage
- Major appliances coverage
- Obstructed wall coverage cap
- Value (30%): We compared the coverage level received to monthly pricing to determine plan value. We considered premium pricing, service fees, and flexibility in customizing plan costs.
- Average monthly cost
- Cost flexibility
- Lowest service fee
- Trust and Transparency (16%): We evaluated each company’s reputation using the Better Business Bureau ratings and customer reviews on third-party review sites. We read through plan change policies, workmanship protections, and sample contract availability.
- Brand reputation
- Policy change flexibility
- Sample contract availability
- Workmanship guarantee length
- Availability and Service (14%): We award higher scores for faster claim processing and response times. We also considered service technician policies, including options to choose your technician.
- Claims process
- Guaranteed response time
- Service flexibility
To share feedback or ask a question about this article, send a note to our Reviews Team at reviews@thisoldhousereviews.com.
