It's no secret that appliances and systems can be expensive to maintain, especially as they approach the end of their useful life. Home warranties offer a cost-effective solution, allowing homeowners to pay a relatively small annual fee and keep everything in order. But is appliance insurance a good idea? In this article, we'll explore what a home warranty is, how much it costs, and whether it's worth it. A home warranty is a protection plan that covers your home in the event of accidents and thefts.
It's designed to protect against costly repair bills and provide peace of mind. For those without an emergency fund or who want to set it aside for other things, a home warranty can act as a shock absorber. Extended home appliance warranties can be purchased from retailers and manufacturers, while an appliance warranty always comes from a third-party home warranty company. Appliance insurance comes with a coverage limit and not all repair costs are always covered, but the cost savings can be significant.
If an appliance needs to be repaired under an extended warranty or home appliance insurance, the first step is to file a claim with the warranty provider. Your home warranty coverage will include what appliances you can expect to be repaired or replaced under your policy. You may be able to purchase an extended appliance warranty from the manufacturer of the original appliance, the dealer where you purchased it, or from a third-party supplier. If your appliance breaks and the problem is covered under warranty, you may only have to pay a small deductible; the insurer will pay all other repair costs.
An extended warranty is a service agreement that covers the costs of repairing or replacing an eligible appliance when something goes wrong. However, routine appliance maintenance is always recommended regardless of what coverage you choose or if you opt for insurance on your primary appliances. With household appliances and vehicles, buying a warranty depends on the balance between the cost of the item and the cost of possible repairs. Your claim must be accepted within 24 to 48 hours and a warranty provider will arrange for a contractor to come to your home to inspect the appliance and manage repairs.
Home warranties are renewable residential service plans that offer discounted repair and replacement services for covered appliances and home systems. Keep reading to learn more about extended warranties for appliances and how they compare to appliance insurance. One of the biggest drawbacks of an extended warranty is that they don't cover accidents, which are a common cause of appliance repair. However, you can continue to protect your appliances with a home warranty package that includes the appliances of your choice.