When speaking with a home warranty representative be sure to ask these questions in order to get the best deal.
What does your warranty cover?
Home warranty coverage varies by provider and plan. You’ll want to note which appliances and systems are covered (and not covered). Some follow-up questions to ask include:
Does the age or brand of the home or its systems and appliances matter? The answer should be no.
Does the plan cover systems or appliances or both? Reflect on what you’d like to cover and choose your plan accordingly.
Can additional coverage be added for specialty items? (e.g. spa equipment, Whirlpool tubs, and additional refrigerators or freezers?
How much is coverage capped at? Note the amount the provider is willing to pay-out. This limited amount often covers repair costs, but not always the total cost of a replacement plus installation. We consider pay-outs of $500 and above to be generous coverage caps.
How much will it cost?
For reference, most home warranties cost $40–$67 per month on average.
Can I save money by paying for an annual plan upfront? You can usually save money by paying the annual premium upfront at the time of signing. Sometimes you can even get a month of coverage for free in doing so.
Do you offer adjustable premium amounts for a higher service fee? Since most homeowners only file two claims per year, we believe a higher service fee for a lower monthly premium is a valuable trade-off.
Can I lock in pricing for future years? We’ve heard several complaints of providers raising their prices year after year. Unfortunately, this is common as the demand for home warranties increases. You can always ask if you can lock in a price at the time of signing. Sometimes home warranty companies will guarantee your rate if you pay for a 3 or 5-year plan upfront. This is a large sum of money upfront, but you can usually cancel at any time and receive a refund of the amount you don’t use
Can I cancel and are their related fees? Although you can usually cancel at any time and receive a prorated refund, we’ve seen administrative cancellation fees range from $50 to $75.
What’s the service fee?
Service fees are usually $75–$125. These are non-negotiable and non-refundable and every home warranty provider charges one.
Will I be charged for repeat visits if the problem persists?
If I am not happy with the service received, can I get a 2nd opinion or will you send another technician?
If the repair is inexpensive, will I pay the lesser amount between the service fee and the actual cost of the repair?