What Is a Home Protection Warranty and What Does it Cover?

Owning a home can be expensive. Repairs and general home maintenance cost the average American $168 per month, which adds up to more than $2,000 per year, according to Go Banking Rates. This doesn’t even account for major broken appliances or replacements. To avoid the stress, hassle and costs of hiring an electrician or replacing refrigerators that have given up after years upon years of everyday wear and tear, you can invest in a home protection warranty.

What is a home protection warranty? In basic terms, it’s an annual service plan that covers repairs and replacements of certain home systems and appliances.* As a homeowner, it’s up to you to fix anything that breaks or stops working — and that can be costly and overwhelming, especially if you have a busy schedule and can’t afford the time to fix it.

To learn more about home protection warranties, what they cover, what they cost, who pays for them and how they can benefit you, read on. Choice Home Warranty wants to ensure that you’re covered should anything happen (which it will, because breakdowns are inevitable).* 

When you’re ready to get your free quote from Choice Home Warranty, fill out the form or call (732) 907-4902.

What’s Covered in a Home Warranty?

Home warranty plans are intended for homeowners who maintain their home, perform general upkeep and simply want the peace of mind of not having to deal with the repair or replacement costs of repairing of appliances or systems. A home warranty, however, should not be mistaken for homeowners insurance, which protects you in the case of a fire, natural disaster or accident.

Instead of purchasing a costly, short-lived home appliance warranty with an individual appliance you can invest in a home protection warranty through a company like Choice Home Warranty that covers most, if not all, of your major appliances.* Having home warranty coverage will save your budget and save you the hassle of having to contact multiple companies, go to the store, hire a plumber and pay for another appliance.

In general, here’s what a home warranty covers:

  • Heating and cooling systems (furnace and air conditioners)
  • Water heaters, boilers, tanks
  • Electrical systems
  • Plumbing systems
  • Washer and dryer
  • Kitchen appliances (refrigerators, garbage disposals, dishwashers, ovens, etc.)
  • Ceiling fans
  • Ducting and venting
  • Doorbells

If you properly care for and maintain your home, then you should be covered for all of the above.

Reasons for Coverage Denial

If you have a home protection warranty, you should feel comfortable knowing that if anything goes wrong, you’ll be covered by a trusted warranty service like Choice Home Warranty. But every so often, homeowners are denied coverage, even if they have the warranty. Why? Here are the most common reasons:

Improper care

If you neglect your home, you can’t expect the warranty to cover it. If, however, you keep your house clean and stay up-to-date with your home maintenance, then you’ll be covered when your air conditioner or dishwasher suddenly breaks.

Pre-existing damages

If you purchased a home and were notified of a pre-existing problem, then you will not get this repair or replacement covered under your new warranty plan.

Improper installation

If you purchase a new appliance or system and have it installed incorrectly, then you will be responsible for the costs associated with fixing it. This is why it’s important to hire a professional to ensure a proper installation. However, if you purchase a home and something breaks (that had been installed properly), you may be covered for its repair or replacement.*

Unusual wear tear

Even if it’s accidental, if you break something then the home warranty company won’t pay for its replacement. For example, if your child accidentally hits a baseball into your water heater and breaks it, then you will be responsible for fixing it.

Violation of code

If your home systems (electrical, heating, cooling) aren’t up to code, then you won’t be able to cover the repair under a home protection warranty. This is why it’s important to maintain proper upkeep. If something breaks, you should repair it immediately, before it becomes a safety hazard. Remember, if something breaks from simple wear and tear, it will be covered.

Who Pays for Home Protection Warranties?

This depends. If you are buying or selling a home, you could end up paying for a home protection warranty. A home seller can offer to pay for a home warranty for new buyers as an incentive to buy the home and to provide assurance that if anything were to break in their first year, it would already be paid for by the seller. For many sellers, the home warranty cost is considered a part of the closing costs.

However, if the seller does not include this cost or if you’re a buyer buying a brand-new home or building your own, you may choose to buy a home warranty plan. Just remember, different companies offer different plans so you’ll want to check the policy, before buying or assuming it covers everything.

How Much Do Household Appliance Repairs Actually Cost?

Once of the biggest reasons to consider home appliance protection plans is the savings involved, so how long do home appliances typically last and how much do they cost to be replaced?

Appliances and systems are meant to last a decade or so, but the cost of repairing them can be expensive. This is why it’s good to stay up-to-date on your home maintenance. Also, keep track of how long the appliances have been running, so you know when they might break or simply stop working.

You can buy basic protection under a home warranty for as little as $1 a day.

Why Purchase a Home Warranty?

There are many reasons why you should consider paying for a home protection warranty: saving money on one-off purchases, convenience and peace of mind, but a home warranty is especially important for the following:

  • First-time home buyers—You don’t want to get stuck paying for a new washer two weeks after you’ve moved in. A warranty protects your major systems and appliances and can help save you money.
  • Homeowners with old appliances—Maybe you’ve owned your home for 10 years and expect your appliances to start breaking down. A warranty can help you prepare for those covered repairs and replacements that you really don’t want to pay for.
  • Real estate agents or home sellers—When it comes to buying a home, the more perks included, the better. Bring peace of mind to potential buyers with a home protection plan.
  • You don’t have access to emergency funds—If you have a tight budget, then fixing your electrical system can be a nightmare. To prevent this, you should consider a home warranty plan, which typically only requires one service call fee.

One of the biggest reasons to invest in a home warranty is to simplify home repairs and replacements. It’s stressful having to call a plumber, an electrician or a repair specialist. Instead of dealing with multiple companies, you only have to deal with one, if you’re covered under a Choice Home Warranty plan.

Understanding Home Protection Plans

The best home warranty companies offer customizable home warranty plans that fit your budget and needs. Not all plans are created equal. Look for home warranties that cover everything from your electrical system and HVAC system to your vacuum and your microwave.

Here’s what Choice Home Warranty offers: a Basic Plan and a Total Plan, as well as optional coverage. Covered items under both the Basic Plan and the Total Plan include items ranging from water heaters and dishwashers to plumbing systems and air conditioning systems.

Here's what's covered in the Basic Plan:

  • Heating system
  • Electrical system
  • Plumbing system
  • Plumbing stoppage
  • Water heater
  • Whirlpool bathtub
  • Oven / range / stove
  • Cooktop
  • Dishwasher
  • Built-in microwave
  • Garbage disposal
  • Ductwork
  • Garage door opener
  • Ceiling and exhaust fans

Want more covered? Here's what you get, in addition, with the Choice Home Warranty Total Plan:

  • Air conditioning system
  • Refrigerator
  • Clothes washer
  • Clothes dryer

If you already have the Total Plan, you may want to consider the additional coverage options, available through Choice Home Warranty:

Additional Coverage Options

  • Pool/spa
  • Central vacuum
  • Second refrigerator
  • Well pump
  • Limited roof leak
  • Stand alone freezer
  • Sump pump
  • Septic system
  • Septic tank pumping

Benefits of Choosing Choice Home Warranty

Paying for home protection warranties requires a one-time annual fee. You don’t have to worry about shelling out a large amount of money several times per year, if multiple covered repairs, replacements or issues occur. Choice Home Warranty is quick to respond, provides high-quality service, up-to-date home technology and affordable pricing for all homeowners.**

You can choose a Basic Plan or a Total Plan. Fill out the form or call (732) 907-4902 to request a free quote. Sign up for an annual plan today and get $30 off plus the first month free.

Once you have a warranty in place, all you have to do is submit a claim to Choice Home Warranty either online or over the phone using the claims hotline at (888) 531-5403.

Choice Home Warranty knows how frustrating it can be when your heating system fails or your washing machine stops working and that’s why Choice Home Warranty guarantees 24/7 home warranty services and local pre-screened technicians who will help with a repair or replacement, if required.*


* Click Here to view complete limits of liability and any exclusions. CHW offers service contracts which are not warranties. ** See policy for specifics on response times. *** CHW reserves the right to offer cash back in lieu of repair or replacement in the amount of CHW’s actual cost (which at times may be less than retail) to repair or replace any covered system, component or appliance. **** In the event a claim is denied, and a customer seeks to have Us review that denial, We have the right to request routine maintenance records in reviewing its decision.