How Does Home Warranty Work?

If you purchased a home warranty, you might wonder how it works. First, learn about the benefits of a home warranty and its cost. Then, this article will explain some common questions about home warranties. After reading it, you should feel confident about buying a home warranty.


If you are in the market for a new home warranty plan, you’ll want to ensure it covers the types of things you use most in your home. The home warranty for your Texas home should clearly outline which significant appliances and systems are covered and what is and isn’t covered. You should also be aware of the exclusions and limitations for each item, and the specific contract language should be easy to understand.

The price of a home warranty depends on several factors, including the age of the home, the appliances, and the homeowner’s skills. A few things will inevitably break down in a home, and it might be cheaper to do the repairs yourself, but it isn’t always possible. A home warranty can also be worthwhile if you expect to need repair services often. The best home warranty companies will cover at least $2,000 per item annually.

Waiting period

Many home warranty plans come with a waiting period before they cover repairs. This is usually anywhere from one to thirty days, though it can vary depending on the issuing company. Before purchasing a home warranty, read the fine print and understand precisely what your coverage entails. If you have a problem with one of your appliances or systems, you should consider getting a professional home inspection. A professional review can ensure that the issues were not present before the home warranty coverage began.

Many home warranty companies increase their waiting periods during weekends and holidays. Most will promise to fix malfunctions within 14 days, three days, and 24 hours, but only a small percentage will do so. Understanding the waiting period before signing up for a home warranty plan is essential.

Claims process

If you are looking for a way to make the claims process for your home warranty as easy and quick as possible, here are some tips to help you do that. First, you need to understand what the claims process is. The process will either be done online or over the phone. You may be asked to provide documentation to prove your claim. The process should be streamlined for both parties, ensuring that your claim is handled quickly and smoothly.

First, understand that there are many reasons why your home warranty claim may be denied. Common causes include an item not covered by your service plan, secondary damage, or damage exceeding your coverage limit. Knowing what your home warranty plan covers and keeping detailed maintenance records is critical. Secondly, you need to take steps to mitigate damage where possible. Finally, if you cannot repair the problem, you can request a new review of your claim.


The cost of a home warranty depends on several factors. Some guarantees cover specific systems and appliances, while others are general. Some warranties cover more than one system, such as a boiler, and some cover only certain types of devices. Home warranties are often cheaper for apartments than single-family homes. Apartment warranties can be more inexpensive because they are spread across more units. While this is unfortunate, it’s often the best option.

The cost of a home warranty plan varies based on state, company, and strategy. An annual home warranty can cost $300 to $600, with a slight difference in the monthly price. Combined system and appliance plans cost around $600 a year, while platinum-level coverage can cost as much as $1,000. However, these prices are only average and do not reflect every possible option. A home warranty plan should be researched thoroughly before deciding, as many features are worth paying extra for.


Many people assume their home warranty will be transferable when buying a new house. Unfortunately, most of them are not. Schmidt Kramer Partner Scott Cooper explained in a recent FOX43 news story that most home warranties are not transferable. You should always check with your home warranty company to see what the requirements are before you transfer the policy. If you move, you will need to change the address for the warranty to remain valid.

Another way to transfer a home warranty to another person is to sell your home. If the previous homeowner has moved, you can transfer the contract to the new owner. Likewise, if the builder sold the house within a year of installation, you can transfer the warranty to the new owner. If you sell your home within a year of building, the warranty will transfer to the new owner. A home warranty is an excellent way to keep a home safe and working.