A home is the largest investment most people make in their lifetimes. They want to protect this investment, and a home warranty is one way they may do so. This warranty differs from homeowner’s insurance in that it pays for repairs needed due to normal wear and tear. What should tech-savvy homeowners know about these plans today?
How Does a Home Warranty Work?
A home warranty is similar in many ways to extended service plans sold with many major appliances. However, the warranty covers multiple appliances and systems in the home rather than only one. If an appliance or household system breaks down because of normal wear and tear, the homeowner contacts the warranty company to file a claim.
Once the claim is approved, the company sends a contractor out to make the necessary repairs. The homeowner must pay the service fee and deductible outlined in the contract, but this is significantly less than the cost of most household repairs today. Learn more over at 2-10 HBW about how this process works.
One thing a person must consider when choosing a warranty is what items it will cover. If there are many high-tech items in the home, it falls on the homeowner to make sure they are covered under the warranty. In addition, the homeowner needs to know which contractors the warranty company partners with. They want to ensure these tech items are handled by someone with knowledge and experience, as these items tend to be costly.
When Should a Home Warranty Be Purchased?
A home warranty can be purchased at any time. The owner doesn’t have to buy it as soon as they purchase a new house. However, the warranty company will probably come out and inspect the home to learn the current state of all appliances and systems. Any pre-existing damage when the warranty is purchased will not be covered under the plan.
Many sellers, however, choose to purchase a plan for the buyer. Doing so tends to increase the odds of a successful sale. If the seller does not make this purchase, the buyer may choose to. They want to make certain they won’t have an expensive repair right after purchasing the home. The warranty ensures they won’t as long as it is a covered repair.
The Cost of a Home Warranty
The cost of a home warranty varies by provider and the plan selected. It falls on the purchaser to know what they will be covered for and what is excluded from the contract. For instance, a refrigerator might be covered but the ice maker is not. Tech items in the home may also be covered under some plans and not others. Again, the homeowner must review the contract carefully to learn this information.
As each contract differs, a person must review several plans to find the one that will cover the items they wish to have this protection for. Once this plan is in place, the owner will know their tech items will be repaired or replaced if something goes wrong. They can enjoy them without the worry of a costly repair hanging over their head. Nevertheless, they need to ensure the contractor selected by the warranty provider can handle the repair and that the work will be done right. When it is, the tech item will work as expected, which is what every owner wants.