Do you think you need to get a home warranty?
Our homes are our most valuable possession, but that means that when things go wrong, it can be expensive. A home warranty is a great way to protect your home. But if you haven’t had a home warranty before, you may not know all the benefits they can bring.
We are here to help. Read on for seven reasons why you should get a home warranty.
What is a Home Warranty?
A home warranty, or home service contract, is a protection plan for your home. They are provided by third parties such as Select Home Warranty. It will cover the costs of replacements or repairs of your home’s vital systems. It covers you for inevitable age or wear and tear related damage and break downs. Usually, they cover:
- Vital appliances like refrigerators, washers, dryers, and microwaves
- HVAC, central vacuum, and garbage disposal
- Contractor/repair services
Home warranty plans have a variety of price and coverage options. More expensive plans will offer more coverage. The cheapest plans may only cover one set appliance, like your refrigerator or HVAC unit. Make sure you check what the plan covers, as even a high-cost, in-depth plan might not cover everything.
Look at the warranty contract to find the exclusions. Usually, these are things like an outdoor pool or a second refrigerator. If you don’t want separate plans for those items, you can negotiate with the insurer. For an extra cost, they may add in these extras.
So let’s now take a look at the benefits of a home warranty.
- Save Money
Without coverage, if an appliance or system goes down, you’re footing the full cost. This includes getting a technician out and paying for their service.
You also need to pay for parts and repairs. Or, after all that, you still could end up having to pay for a replacement. The costs can stack up, and without a home warranty it could end up costing a fortune.
Take a refrigerator or HVAC system for example. You might think the chances are slim, but if both break at the same time do you have $2000+ for the repairs? Almost one third of Americans have less than $1000 in savings. Unless your systems still come under a manufacturer’s warranty, a home warranty is a must.
- Gives a Wide Range of Cover
The wide range of cover you can get from plans is well worth the cost. Note that these plans won’t cover every item in your home (replacing windows, flooring, etc.). You’ll still need an emergency fund for those.
But what it does do is protect the major components that you use daily. Water heaters, HVAC units, electrical, plumbing, and appliances fall under its cover. Over the years, it could end up saving you thousands with how much it covers.
- Quick Fixes
A great feature of a home warranty is the quick turn around. You’re not faced with a long waiting period. From the date you sign up, there’s only a 15-30 day waiting period for some companies.
Others won’t have a waiting period at all. For those plans, once you sign up and pay your premium, you’re able to request services right away. There isn’t an inspection before sign-up either. You can also sign up for a plan even if your home and appliances are old.
- Complete Protection
Homeowners insurance will protect your home and contents from damage. But it won’t help if your appliances break down from age or wear and tear. A home warranty is a perfect complement to your insurance to ensure that you have complete protection for your home.
You know that no matter what happens in your home, your appliances are covered.
- Saves You Energy and Time
Even if you’re an avid DIY fan, it’s likely you won’t have time to do every repair yourself. With so many repairmen available now, you likely won’t have the time to shop around for the best quotes.
With a home warranty, the company takes care of it for you. Your warranty company will have partnerships with a variety of licensed technicians. Some companies ask you to file your request online, others will let you call up.
Once you put in your request, the warranty company will call on a technician. This technician then contacts you to set up a time to look at the request that suits you.
It’s a streamlined process that’ll save you energy and time. You don’t have to worry about spending hours online trawling reviews. Or worry about finding a technician that isn’t a cowboy.
- Reduced Risk
Not a lot of people would bet their entire savings pot on their home running without a glitch. Appliances break down all the time. Sometimes one or two systems break at the same time which is even more inconvenient.
It’s not worth the stress, heartache, and expense if this happens, so don’t risk it. A home warranty will be there in your time of need.
Imagine your heating system not working and you have to have a cold shower, or can’t get warm in winter. What if your refrigerator or freezer broke down and your food went to waste? A home warranty takes all that worry away so you won’t be high and dry in an emergency.
- Set Price
Not all technicians are the same, and some of them may try and take you for a ride. Prices can mysteriously go up after you have agreed to a job, or hidden fees may appear on your final invoice.
If you are on a managed budget then this kind of price inflation could cause real problems. A home warranty ensures that you know exactly what you will be paying, with no hidden surprises appearing throughout the year.
Getting a Home Warranty
So, there you have it. Although we don’t like to think about it, most of us wouldn’t be ready if a home appliance breaks.
Most of us don’t have the money or time to deal with a replacement, which is why a home warranty is such a big help. You know exactly what your costs are, and have peace of mind for the duration.
If you found this article useful, be sure to check out our other blog posts.