Homeowners want to preserve their home’s value for long periods after they first move in. That requires regular plumbing, appliance replacement, and repair efforts. And if you’re a homeowner, this can demand a huge maintenance budget and several out-of-pocket costs unless you opt for a home warranty plan. Today, home warranty companies have become popular for modern homeowners. For many of them, it’s a great way to guarantee their peace of mind on the quest to preserve their home’s value. This article delves deeper into home warranties and what your home warranty plan can cover.
What is a home warranty?
A home warranty is a service contract signed by a home buyer or owner to protect their home appliances and other properties. Often, this contract spans over a year, and experts recommend it for any prospective buyer interested in an older home on the market. Buying old homes has its pros and cons. Older homes may be cheaper than new ones, but an old home can bring up several maintenance-lacking areas, including electric issues and pest control. Therefore, securing a home warranty coverage can afford you greater peace of mind with your new purchase.
With its current market size of over 2 billion dollars, the home warranty industry has seen tremendous growth over the years. The growth can be ascribed to several factors, including how home warranty companies consistently leverage digital technologies to make it easy for customers to find the right plan. For instance, a homeowner in Texas can generate several results with a quick Google search for “home warranty companies in Texas.” Users can do in-depth research on the best providers in their community based on their costs, claims process, and other factors.
It’s tempting to confuse home warranty for homeowners insurance. Many people think they’re the same, but a home warranty has its distinctions. The overarching difference is that a homeowners insurance policy covers unexpected events like natural disasters. In contrast, a warranty covers events meant to happen, like appliance breakdown.
What does a home warranty cover?
This next section deals with the specific components of home warranties. You will find the following items covered by most home warranty providers.
Add-ons: Note that different home warranty companies offer plan options based on their market and customer needs. Therefore, you can opt for a modified plan best fitting for your home. You may find excellent coverage options if you decide to remodel your entire bathroom. In this case, it’s essential to enlist capable bath remodel technicians who can understand the due processes involved. For instance, a quick Google query for “bathroom remodel Lubbock” can suffice if you live in the Lubbock area.
Major appliances: You can rely on home warranty services to repair major appliances in your home. Depending on your coverage limits and warranty company, you can get claims to cover workmanship and other related costs to field a complete repair.
Systems: Home warranties can be a great option for major home systems like your HVAC unit and electric systems. Providers can offer replacement costs depending on your home size, the scope of your project, and other factors.
What does a home warranty not cover?
Some items are generally excluded from home warranty protection. They include the items listed below.
Structural issues: Home warranty protection plans cannot apply if you have to reconstruct your house due to zoning violations or other authorities’ issues.
Preexisting conditions: Home warranty coverage may not apply to any defect in your home before you signed your contract. Professionals may perform a thorough home inspection to register existing issues. After signing your contract, you can report new ones to include in the protection plans.
Nonessential components: If a covered item comes with an accessory listed in the nonessential category, warrant providers can provide the covered item’s replacement costs without the nonessential accessory. Take remote controls or oven racks, for example.
Homeownership can be expensive and draining, but several ways exist for homeowners to facilitate home improvement services without breaking the bank. Generally, enlisting the right warranty providers and policy options can make the journey a little less difficult.
