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Coverage varies significantly across home warranty companies. Home warranty contracts do not cover all home repairs. Basic home warranty coverage includes the main systems of the home and certain appliances. Most companies cover plumbing, electrical, heating systems, as well as refrigerators, dishwashers, and Microwave ovens. Some charge additional coverage for appliances such as clothes washers and clothes dryers. A home warranty company will pay for the cost to repair or replace the system or appliance, as long as it has broken down from normal wear and tear. If the system or appliance failed because it wasn’t maintained the water heater was not flushed or the fridge’s evaporative coils were not cleaned, most home warranty contracts will not cover the cost to repair or replace it. Home warranties exist to repair or replace old worn out systems that have been properly cared for by the homeowner. Buyers should read the home warranty contract carefully to understand coverages, limitations, and exclusions. Most home warranty contracts will state that repairs and replacements will not be covered if the problem was known prior to the date of coverage. This is sometimes referred to as a known condition.

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They will not allow us to speak to a manager, because managers are always busy on conference calls. We are told that purchasing has to approve our order, but we cannot speak to anyone in purchasing. It's a shady operation that has no problem taking our premium but has yet to fulfill their end of the deal. When you purchase a home, even a home that isn't new, there is a very good chance that you will be offered a home warranty. The seller may offer to purchase one on your behalf to provide peace of mind that any component of the home that fails can be fixed affordably. If not, you will likely receive numerous mail solicitations to purchase a home warranty once the sale closes.