How to Choose a Home Warranty

Becoming a homeowner is such an exciting venture! Whether it’s your first home or your last, the joy of having a property that’s all your own never really fades. After the initial excitement, however, the reality of home expenses settles in and can often be overwhelming.

What is a Home Warranty?

A home warranty plan is simply a service contract that protects appliances and systems in your home that are covered in the contract if they experience a mechanical breakdown. If a breakdown occurs and covered items need repair or replacement, a home warranty plan will cover or reduce the costs to fix it.

Is a Home Warranty Worth it?

Short answer: YES.

Owning a home means you’re on the hook for price repairs or replacements. If you have savings set aside or are living paycheck-to-paycheck, having a coverage plan in place to protect you against these unexpected mechanical breakdowns is a necessary thing to have.

For example, if your HVAC system malfunctions, without a home warranty plan in place, you’ll have to pay out-of-pocket for a new HVAC or to repair it. If one of your covered systems experiences a mechanical breakdown and you have a home warranty – that money could be put toward a vacation or a down payment on a new car!

How Does a Home Warranty Work?

A home warranty plan is actually very simple; If a covered system or appliance suffers a covered mechanical breakdown, such as your water heater or refrigerator, the home warranty will cover or greatly reduce the costs to fix it With a trusted home warranty provider, you’ll not only get great coverage, but you’ll also get a network of trusted technicians and expert customer service agents who can help walk you through the process.

Why Do I Need a Home Warranty?

A new refrigerator can cost anywhere between $1,000 to $3,000 – if yours breaks, would you rather pay a small out-of-pocket service fee if you have a covered repair or several hundred/thousand dollars or more to cover the repair?

According to a recent report from Bankrate, nearly 60% of Americans don’t have enough money to cover a $500 – $1000 expense, which is why having a home warranty plan to cover or partially cover expensive repairs is something each family should have.

A home warranty plan is a reliable option for any type of homeowner looking to save money and avoid unnecessary stress.

Here are a few key reasons why we believe having a home warranty plan in place can help.

Appliance and Systems Protection

Depending on the level of coverage you choose, home warranty plans can help cover either the full cost or partial cost if an appliance or home system stops working. Anything from a stove and a refrigerator to an electrical system can be covered.

Overall Assurance

With a home warranty plan in place, you can feel better about making your car payment or keeping your vacation fund. Each plan is designed to give you a stress-free experience, so that you can focus on what truly matters.

Older Appliance Protection

If you have older appliances or are moving into a new home with older appliances already in it, a home warranty plan can offer assurance in case any unexpected mechanical breakdowns can occur.

What Does a Home Warranty Cover?

Coverage depends on the specific home warranty plan you choose, but items eligible for coverage include:

• HVAC
• Plumbing Systems
• Kitchen Appliances
• Electrical Systems
• Laundry Appliances
• Additional Systems and Appliances
• And more!

What does a Home Warranty Not Cover?

There are a few things that a home warranty plan won’t cover, including:

• Regular Maintenance
• Code Upgrades
• Damage Due to Natural Disasters
• Structural Issues
• Items Not Listed on Coverage

How Much Does a Home Warranty Cost?

The pricing plan of a home warranty will differ based on your unique needs. The more you want covered, typically the higher you’ll pay for your plan.

It’s important to speak to a knowledgeable representative when trying to determine what type of coverage you’ll need. Not only can they help you figure out what plan is best, but they can help to find an option that you can afford.

Is There a Difference Between Home Insurance and a Home Warranty?

While a home warranty plan covers appliances and home systems in your home such as HVAC, plumbing, and electrical, homeowner’s insurance protects you from external sources and unforeseen events (i.e., wind, tornados, hurricanes, etc.)

Both are a necessary piece of keeping a home protected and can be used in conjunction with one another.

Why Should I Choose Simplicity Protection?

At Simplicity Protection, we’re different. With more than 45 years of experience in protecting consumers, we know the ins-and-outs of what truly helps homeowners save money.

Our team of friendly customer service professionals are here to work directly with you to find a coverage plan that works with your unique home and budget.

For more information on our home warranty plans, please contact us today!