Home Warranties: What You Need to Know | The Loken Group

Home ownership and all the responsibilities that come along with it can sometimes be difficult to navigate. First and foremost, it’s a good idea to get a home protection plan. A home warranty can provide peace of mind, defray unexpected costs, and protect your new investment as a homeowner. We met with Kim Dockins, an Account Executive at Home Warranty of America, to have her answer some of the most commonly asked questions regarding home warranties.

1. What is a home warranty?

A home warranty offers you protection against unexpected things that could come up after the purchase of a home – specifically big-ticket items that may breakdown or malfunction, thereby protecting you from costly repairs.

2. What is covered under a home warranty?

A home warranty will cover repairs and replacements on systems and appliances due to normal wear and tear. This typically includes plumbing, electrical, appliances (stove, oven, trash compactor, dishwasher, and microwave), cooling, and heating.

3. What is not covered under a home warranty?

Damage done to items outside of normal wear and tear are not covered under a home warranty, as well as any problems that predate the coverage or are due to lack of maintenance. This means if you were hoping to cover a particular item that has been on its last leg for a while, you’ll be disappointed. Items outside of systems and appliances that are not covered include, but are not limited to, sprinklers, faucet repairs, swimming pools, spas, and permit fees.

4. How is a home warranty different from homeowner’s insurance?

Unlike a home warranty, home insurance covers your home’s structure and belongings in the event of a fire, storm, flood, or other accident.

5. Do I have to have a home inspection before I can enroll?

Although an inspection report is not required, it is always nice to have. Be prepared for the vendor to ask for it if something looks negligent.