The costs of a home warranty vary from one provider to the next. The LA Times presented the findings of a survey conducted by home warranty companies across 7 locations in the US. At the time, the average annual cost of these services ranged between $400 and $600. But how do you know whether one home warranty provider is better than the next?
According to Consumers’ Checkbook, an acclaimed non-profit entity based out of Washington DC, you should do your homework when it comes to home warranty providers. This is especially true when purchasing a home with an existing home warranty.
Consumers’ Checkbook was so critical of the shoddy policies, that they recommended homeowners rather deposit that money into what they called a home-repair fund.
How Do Home Warranty Providers Measure up against One Another?
Home warranties are designed for handling the replacement of household devices, appliances, and systems based on their normal wear and tear.
Since most homeowners are not familiar with fixing their own household appliances, home warranties are important.
Regardless, it’s critical to evaluate home warranty providers based on the range of coverage they offer you as a homeowner.
Most of the home warranty providers surveyed by the nonprofit company did not cover things like chimney repairs, leaking windows, roofs or basement moisture.
Some of the home warranty providers even levied additional fees on things like HVAC, and plumbing-related systems. It’s really important to work with a reputable home warranty provider to ensure that the coverage you need is offered by them.
Case Study: Choice Home Warranty
It’s a good idea to read and get an impression by several reviews before you blindly select a home warranty provider.
There are multiple parameters that you need to consider when choosing one home warranty provider over another, including the type of coverage they offer, the plan variety, the T&C of the policy, the cost, the credibility and user reviews.
Choice Home Warranty has been on the market for over a decade and offers a comprehensive selection of home warranty coverage plans for homeowners.
Coverage includes heating systems (with a limit of $1500), air-conditioning systems, plumbing systems, septic systems, home appliances, and electrical systems.
Some of the items included in your coverage would be things like the septic system, the second refrigerator, stand-alone freezer, roof leaks (limited coverage), central vacuum, well pumps, septic tank pumping, pool and spa equipment, green, garage door opener and others.
The credibility of the home warranty provider is paramount. You cannot go on the reviews listed on site alone – it’s imperative to go with the independent reviews posted on consumer report websites.
According to the data collected, 12 consumer reporting sites feature 10,000+ Choice Home Warranty reviews with ratings between 1 and 5. The Better Business Bureau (BBB) ranks Choice Home Warranty with a B – ranking.
On the Better Business Bureau website, the choice home warranty has received a rating of 2.81/5 based on 565 customer reviews.
Case Study: Total Home Protection
Total Home Protection is another home warranty provider with a Better Business Bureau rating of A -. It has been on the market for less than 5 years, but already it is making a big splash with homeowners around the world.
The company’s complaint handler, Mr. David Johnson is deeply invested in the customer service function and is happy to resolve queries as they crop up.
The Total Home Protection review offers insights into customer experiences with this company. It is clear that Total Home Protection prides itself on customer service and fully comprehensive home warranty services.
Clients have choices when it comes to optional add-ons, and the type of courage they are seeking. Standard coverage includes air-conditioning, heating systems, plumbing systems, stoppage, electrical systems, home appliances and the like.
The cost of the Gold plan is $349 per year and $45-$60 per service call. The Platinum plan costs $499 per year, with greater coverage.
Optional coverage is also available for a wide range of appliances and systems such as water softeners, spa, pools, additional water heaters, and garage doors etc.
It’s always better to go with a credible home warranty provider as opposed to a no-name brand, unchecked company.