A home warranty plan protects your major home appliances and built-in systems more effectively. If any covered item breaks down or stops working due to regular wear and tear, you can file a service claim with the home warranty company. You'll need to pay a deductible amount, and the company will send a registered professional to inspect and either repair or replace the damaged component in your home.
As a homeowner, it's essential to
choose one of the best home warranty plan, especially when you've recently
purchased a new home, are attempting to sell one, or currently reside in an
older property. When your home is new, there might not be an immediate
necessity for a home warranty because your appliances and systems likely have
coverage under the manufacturer's or builder's warranty. This article aims to
guide you on how to select a good home warranty so that you can obtain the best
protection for your home.
Steps to buy the best home warranty
There are numerous home warranty
companies in the market, and deciding which one is best for you can be
overwhelming. However, not all companies are indeed equal, and taking the right
steps can indeed lead you to the best plan for your needs. In this article,
we'll guide you through a series of steps to make the process of choosing a
home warranty plan easier and more effective for you.
Determine your coverage
First, determine the type of coverage you need. Do you require a plan that exclusively covers your appliances and systems, or one that encompasses everything? Exclude items already covered by manufacturer's warranties. Now, assess if you need additional protection for any specific items. If a particular item is not included in the plan, you may have the option to purchase additional coverage for it. Next, decide on the total coverage amount you desire. Different plans offer various types of coverage, with some providing a $500 limit for certain appliances, while more expensive plans may offer a higher limit, such as $3,000 for the same appliance.
Research is the key to buying
the best plan:
When you're considering purchasing something, it's not just about conducting research beforehand, but it's also important not to overlook the local context. Research companies that provide services in your state. Make an effort to gather as many details as possible about each company. Save the results in a spreadsheet. At this stage, instead of asking for quotes, focus on checking several critical factors.
Carefully, check the following
· BBB ratings
Collect quotes from home
Now, as your initial research is complete, the next step is to gather quotes from the companies you've shortlisted. By now, you may have identified a company that appears to offer the best deal, meeting most, if not all, of your requirements. Obtain quotes from at least three companies and compare their coverages, premiums, customer reviews, reputation, and any other factors you deem important.
Read the contract thoroughly:
You might have already gone through a sample contract, but now it's crucial for you to carefully read the final contract. Refrain from making any final decisions until you've thoroughly reviewed the entire contract. Many companies withhold revealing the service fee until the final contract. This is the right time to negotiate your service fee or deductible amount. Pay close attention to identifying any components that are excluded from the contract.