We understand, and we are sorry to lose you. In an effort to improve, please tell us why you cancelled your policy in the first place, and why you have decided not to give us another chance.
The primary purpose of a home warranty policy is to provide home maintenance services and appliance repair at an affordable cost. If the total home warranty cost year over year exceeds what the homeowner would have otherwise spent by personally hiring independent contractors, the warranty is almost useless.
Consumers need to know the ins and outs of home warranty prices to make an informed decision when shopping for a plan. This means being aware of hidden or indirect expenses as well. In this article, we’ll break down the costs associated with home warranty plans. We’ll also review the average home warranty cost to help you see how the right warranty policy can save you money.
There are two main costs associated with the average home warranty plan: the premium and the service fee.
While these two costs comprise your main out-of-pocket expenses, there are also some less obvious costs to consider.
It’s important to consider these potential expenses when calculating your potential total home warranty cost per year.
Home warranties come in all shapes and sizes, and their prices reflect that. There are plenty of home warranty policies with low premiums, though these plans are typically more limited in coverage and have high deductibles and low coverage limits. Conversely, policies with high premiums usually have comprehensive coverage, lower deductibles, and higher coverage limits.
On average, homeowners in the United States spend between $300 and $600 per year on home warranty premiums. The premium cost can easily exceed $600 if the plan includes luxury appliances and optional add ons.
The average service fee is between $75 and $150, but remember this is due whenever you submit a claim.
Coverage limits can vary significantly, but the average limit is between $1,500 and $3,000 per year.
Now that we understand the average costs that factor into a home warranty, let’s explore how these costs add up in practice.
Suppose a homeowner has a policy with a yearly premium of $500. The homeowner submits three claims throughout the year, paying $100 each time. This brings the yearly total to $800.
If those service calls were for inexpensive repairs, such as replacing a filter or other cheap part, the warranty would not have saved the homeowner much, if any, money.
If, however, one of those service calls entailed repairing or replacing a refrigerator, the warranty would have possibly saved the homeowner thousands, even if the coverage limit was reached.
Bear in mind, too, that a home warranty may save money in the long term, even if it fails to save the homeowner money during one particular year. In other words, there may be one or two years in which a homeowner spends more money on a warranty than he or she would have spent on home repairs, but the marked savings of replacing an expensive appliance in just one year can result in net savings over a multiyear period.
Ensuring that our home warranty policies save our customers money requires a personalized approach. We recently achieved an A+ rating from the Better Business Bureau—something no other home warranty company can claim—because of our customer-focused practices.
We can help you weigh the potential costs of a home warranty against average appliance repair costs so you can find the plan that works for your home and budget. Get started by requesting a free quote through our website, or call our team at (866)-526-1752.
The right home warranty plan shouldn’t be tailored just to a home’s appliances and systems. It should also match the policy holder’s relationship to the home. Home buyers, home sellers, and longtime residents of a home who are not planning to sell all have different needs when i
Though it’s easy to forget in the bustle of day-to-day life, we depend on all kinds of home systems and appliances to keep our homes safe and comfortable. Our lives would be very difficult without reliable plumbing or electricity, or without a functioning refrigerator or stovetop.
In this 2021 home warranty guide, we’ll go into the specifics of what our home warranty plans can cover. We’ll also share some information on how the home warranty process works.
While a home warranty is an excellent way to protect any home, Liberty Home Guard understands that there is tremendous variety in the specific needs and circumstances of American homeowners. What use, then, is a one-size-fits-all warranty policy?
A home warranty can be a wise investment that saves homeowners money on home maintenance and repair, but consumers need to find the right plan to maximize their savings. Part of determining the best plan is having a thorough understanding of all the costs associated with a given policy.
A home warranty and appliance warranty are similar policies. People sometimes even use the terms interchangeably. So, which one is for you? In this article, we’ll give you the information you need to make the right decision.
More Americans are investing in home warranties to afford some level of protection for their major home appliances. Even the most luxurious kitchen and laundry appliances can malfunction or break down, and repairing or replacing them—especially if the manufacturer’s warranty has expir
As home warranties become a more popular investment for homeowners across the United States, many people previously unfamiliar with the service are wondering how home warranty coverage compares to traditional homeowner’s insurance. Understandably, homeowners are reluctant to purchase a home
Along with plumbing and electrical, the heating, ventilation, and air conditioning system is one of a home’s most critical infrastructural components. The effects of a failing HVAC system can be more severe than just discomfort in the heat or cold. An improperly ventilated or climate-contro
Some homeowners are surprised to learn that there are different categories of home warranties. Depending on the situation, one can purchase a buyer’s home warranty, seller’s home warranty, or even a real estate home warranty. All are designed to save you money and help you more easily
As home warranties gain in popularity, most people understand them as ways to protect your major home appliances, such as refrigerators, dishwashers, and washing machines. And that’s absolutely true! A home warranty is an excellent way to keep those machines in tip-top shape. But the possib
Life as a homeowner is expensive. Many homeowners are reluctant to take on additional costs unless absolutely necessary. As home warranty plans become more popular, many people find themselves asking the same question: Are home warranties worth the money?
GE, or General Electric, has been a familiar name in American households for well over a century. Given the company’s longevity and the breadth of their line of products, it’s likely that you have a GE appliance somewhere in your home.
In this article, we’ll provide an ov
Whirlpool appliances are common fixtures in homes throughout the United States and beyond. The company has earned a reputation for manufacturing quality refrigerators, dishwashers, washing machines, dryers, and more, but even the best mass-produced products can malfunction or break down sooner or
Smartphones, televisions, refrigerators, dishwashers—if it has an electrical component, Samsung probably makes it. Given the brand’s versatile line of products and volume of sales, chances are a Samsung product has found its way into your home.
While Samsung products are genera
Moving is one of the most high-stress events we experience. Fortunately, a home warranty can make the process of selling your home a little bit easier.
There are of course the standard benefits of home warranties. If the water heater suddenly starts acting up, or the garage door is on the&
Appliance repair costs are an unwelcome but inevitable part of homeownership. Daily use can wear down an oven, dishwasher, or other appliance more quickly than we might like. Fortunately, there are ways to mitigate the expenses associated with broken appliances. An investment in insurance on home
Most home warranty providers stipulate a mandatory home warranty waiting period before you can schedule a service call to your home. If you purchase a home warranty plan from Liberty Home Guard, the waiting period can be 30–60 days, depending on the plan you are enrolled in. This is fairly<
A home warranty is an excellent way to protect systems, appliances, and structures in your home, but there are limits to what a warranty plan will cover.
While every plan is different, home warranties typically cover general wear and tear. If home equipment is damaged for some other reason
High temperatures are a welcome part of summer if you have the opportunity to steal to the beach or pool. The heat isn’t so welcome when it means your home is hot and stifling, even after the sun has set.
An air conditioner is an indispensable amenity of modern life. For populations&
A home warranty is one of the most effective ways to protect your home. They ensure your home systems and appliances can be affordably repaired or replaced when something goes wrong, and they often go beyond the scope of homeowner’s insurance. For those just beginning to investigate home wa
An outdoor ceiling fan is a great addition to your home patio or deck. There’s the obvious benefit of cooling down your outdoor space so it’s comfortable in hot weather, but an outdoor ceiling fan is also an effective form of pest control. Fans keep flying insects at bay so you can en
A faulty appliance can be a homeowner’s worst nightmare. A broken range or oven can stop you from cooking in your own home. A refrigerator on the fritz can lead to an abundance of spoiled food. A busted air conditioner in the height of the summer means sticky, uncomfortable days and sleeple
A home warranty for multi-family dwellings or a home warranty for apartment building complexes can save landlords a significant amount of time and money.
A leaky roof is more than just a mild inconvenience. If water enters a home through the roof, it can damage systems and appliances within the home, invite mold, and compromise the home’s structural integrity. Homeowners should attend to a leak in the roof as soon as they notice it
Senior citizens often search for a place they can settle down in. They usually want to relax and live in peace during retirement and enjoy the luxuries of life on a relaxing Sunday morning.
As a result, they are making a significant investment in their current homes. One way to secure that
Nothing feels better than enjoying a cool, inviting swim on a hot summer’s day right in your backyard
Home warranties cover the maintenance and repair of appliances and major home systems like
While home warranties are easy to find, don’t forget to read the fine print and understand the terms