Understanding Home Warranty Coverage: What’s Included and Excluded

So you’re considering a home warranty, or maybe you already have one. Smart! A good home warranty can save you from those unexpected repair bills. But before relying on that coverage, understand what it does and doesn’t cover. Nobody likes financial surprises.

Think of a home warranty as a service contract for your home’s major systems and appliances. It’s not homeowners insurance, which covers things like fire or theft. A home warranty covers wear and tear that happens over time.

What’s Typically Included?

While the specifics can vary between providers and plans, most home warranties will cover repairs or replacements for:

  • Major appliances: These are workhorses—your refrigerator, oven, dishwasher, washer, dryer—the things your home needs for you to be productive.
  • HVAC system: This is your heating, ventilating, and air conditioning system. Keeping you cool in the summer and warm in the winter is a big deal, and repairs can be pricey.
  • Plumbing system: This means pipes, water heaters, and the types of leaks that will give you a headache.
  • Electrical system: This covers your wiring, outlets, and electrical panels (the stuff that gives you power).

What’s Typically Excluded?

Now, here’s where things get a little tricky. Every home warranty has exclusions – things that just aren’t covered. It’s important to understand these exclusions before you need a repair, so you’re not caught off guard. Common exclusions include:

  • Pre-existing conditions: If the problem existed before the warranty started, it’s probably not covered. However, some companies require a home inspection before beginning coverage.  We don’t deny claims because of pre-existing conditions at Contractors United. We may be the only ones, though
  • Cosmetic defects: Warranties cover functional, but not aesthetic repairs. A scratch on your refrigerator won’t be covered.
  • Improper maintenance: Your claim may be denied if the system breaks down because you neglected it.
  • Specific components: Some warranties exclude certain parts of a system. For example, ductwork may not be included in HVAC coverage.

Don’t Skip the Fine Print

The key to understanding your home warranty coverage is to read the contract carefully. Don’t just skim it — actually read it, word for word. Pay close attention to the sections on coverage limits, exclusions, and the claims process.

If anything is unclear, don’t hesitate to ask the warranty company for clarification. A reputable company, like Contractors United, will be happy to answer your questions and make sure you understand exactly what you’re getting. We believe in transparency, and we want you to feel confident in your coverage.

The Bottom Line

A home warranty can be a valuable investment. But go in with your eyes open, understanding the inclusions and exclusions. By doing research and choosing a reputable provider like Contractors United, you can ensure your warranty works for you. We are always available to answer your questions. Give us a call or check our website!