No home warranty covers every single element of a house. Hence, it is crucial to meticulously read the terms. You need to know for sure what is included in the home warranty you plan to buy.
This way, you can decide if the contract is worth it or not. And even if you choose to forgo it, your informed decision will help you anticipate things that are not under the warranty’s coverage.
What is a Home Warranty?
A home warranty is a contract that covers the cost of repairs or replacements of broken things in your house. Home warranties generally come in two types: home systems and home appliances. However, many companies also offer a hybrid/combo plan that includes both types of coverage.
Companies usually offer an extendable contract that starts from a one-year period. The payment procedure can either be monthly or annually.
What is Included in a Home Warranty?
Each company’s warranty covers different items., b Here are the most common ones covered by a home warranty:
- HVAC system, including the ductwork installation
- Plumbing system
- Electrical system
- Water heaters
- Large kitchen appliances, such as ovens, stoves, ice makers, freezers, drinking water dispensers, refrigerators, and dishwashers
- Fans, including any kind of exhaust fans
- Washing and drying machines
Where is the Limit of the Coverage?
There is no inspection needed to sign a contract for a home warranty. The company will take care of any issues caused by normal wear and tear. Even pre-existing conditions can be covered by it.
However, they might refuse to cover cosmetic damages. Also, your claim will likely get rejected if the issues come from improper usage, exposure to harmful substances, or zoning code violations.
Each contract also has budget limits for what it will cover. More than that, there are two types of budget limits: the per-item limit and the aggregate limit. Do your calculation and compare it to the monthly bill for this contract to see if it is worth it.
Add-On Options to Expand the Warranty Coverage
Homeowners can add more elements to extend the coverage of the warranties. Most of the time, companies will offer extra coverage for:
- Home spas, whirlpools
- Fire alarms, smoke detectors, and sprinkler systems
- Faucets and plumbing fixtures
- Toilets and septic systems
The more elements warranted, the lower your financial risk. While it can bring a peace of mind, you need to be thoughtful about what to include in your home warranty because not every element is worth the fee.
There are also a few things that a home warranty will not cover, such as:
- Structural elements such as walls, pillars, and foundations
- Light fixtures
- Solar system
- Outdoor water system
There is no need to worry about the items on the exclusion list because, most likely, home insurance can cover those.
Home warranties may sound like a clever strategy because they can prevent you from sudden big spending when something breaks. But if you fail to carefully read what is included in your home warranty, chances are you might get an unpleasant financial surprise in the future.
ECM Air Conditioning, with its headquarters located in Boynton Beach, FL, provides air conditioning services within Palm Beach County, Broward County, Martin County, and St. Lucie County. If you’re looking to have a new HVAC system installed, we’re on-call and ready to assist you. So if you’re in need of an HVAC installation, don’t hesitate to contact us today to schedule an inspection! Our HVAC installation experts will check your ductwork, measure, check wire sizes, and more before making recommendations to ensure maximum efficiency and comfort. Call us at 561-295-1763 or contact our HVAC installation team online by clicking here.