If you’re in the process of buying a home, your friends and family will likely ask you which home warranty plan you’re going with. This type of plan is different from homeowners insurance and is a way to protect your home systems and appliances. Investing in a good warranty plan will protect your bottom line by covering expensive repair costs. Are you feeling unsure of which home warranty plan to go with? Don’t worry, we’ve got you covered. In this guide we’ll reveal the best home warranty plans of 2022.
What Is A Home Warranty Plan?
A home warranty plan is a type of service contract that provides coverage for your home systems and appliances. If anything is damaged or breaks, the warranty plan kicks in and covers the cost of repairs. Examples of items covered under a typical plan include electrical systems, plumbing, HVAC, and kitchen appliances. Customized plans also cover additional items such as a pool, spa, or well pump.
Note that home warranty plans are different from homeowners insurance. The latter provides insurance coverage in the case of unexpected events, such as a fire or natural disaster. A home warranty protects you when your systems and appliances break down from normal wear and tear. If you were trying to decide between a home warranty plan vs. a homeowners insurance plan, we encourage you to obtain both instead of one or the other.
What Does A Home Warranty Cover?
When you first purchase a home warranty plan, it will cover home systems and appliances that are in good condition. Before you purchase your contract, be sure to review its coverage terms thoroughly.
You’ll want to be clear on what items are covered by the warranty, if there are any cap limits on the coverage, and what your deductibles might be. Deductibles are often called “trade fees,” which is the cost of having a service provider come to your property to diagnose the issue. Look for the trade fee on your contract as it should be clearly stated on it.
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The 10 Best Home Warranties Of 2022
If you’re not sure which home warranty plan to go with, we’ve got you covered. The best home warranty plans should offer a wide range of coverage options, provide excellent service, offer high cap limits on coverage, and make it easy for you to file claims.
Below you’ll find our roundup of the 10 best home warranty companies of 2022:
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American Home Shield
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AFC Home Club
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Liberty Home Guard
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Select Home Warranty
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American Residential Warranty
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First American Home Warranty
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ServicePlus Home Warranty
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Cinch Home Services
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Landmark Home Warranty
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Complete Care Home Warranty
1. American Home Shield
Of the best home warranty companies, American Home Shield takes the cake. AHS has been in service for 50 years and is one of the most trusted and loved warranties available.
What We Like About It
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Offers three plans to choose from
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Provides low-cost options
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Optional add-ons available
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Claims process is easy
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Generous coverage caps on most items
Plans & Pricing
ShieldSilver ($44.99 per month): 14 home systems are covered, including plumbing, HVAC, and electrical.
ShieldGold ($54.99 per month): A step above ShildSilver, ShieldGold covers nine additional systems, including kitchen and laundry appliances.
ShieldPlatinum ($69.99 per month): AHS’ most comprehensive plan that covers 23 systems and appliances.
2. AFC Home Club
A close second, America’s First Choice Home Club offers fast, reliable service. Customers love being able to select their repair person without having to obtain prior approval.
What We Like About It
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Low service fees
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Select your technician without pre-approval
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Wide array of plans and add-on options
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Excellent customer service
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Consumer discounts for members
Plans & Pricing
Systems Plan ($43.18 per month): This plan offers basic coverage for the most common home systems, such as HVAC, water heater, electrical, and plumbing.
Silver Plan ($43.18 per month): Covers kitchen and laundry appliances, plus your garage door opener.
Gold Plan ($52.27 per month): Combines the Systems and Silver plans to provide coverage for most systems and appliances.
Platinum Plan ($59.09 per month): Comprehensive plan providing coverage for additional items such as your built-in microwave and ice maker.
3. Liberty Home Guard
Liberty Home Guard is relatively a newcomer on the market but has risen in popularity for its affordable prices and 24/7 customer service. It also offers 20 add-on options, which is more than what its competitors offer.
What We Like About It
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Great customer service
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“A” rating from the Better Business Bureau (BBB)
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Guaranteed 60-day workmanship
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Lowest service fee of just $60
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20 add-on items you can include with any plan
Plans & Pricing
Appliance Guard Plan ($39.99 per month): This is the plan to pick if you want basic coverage for your home appliances at a low monthly cost.
System Guard Plan ($49.99 per month): Conversely, pick this plan if you just want coverage for your systems.
Total Home Guard Plan ($59.99 per month): The Total Home Guard Plan combines the Appliances and System Guard plans for comprehensive coverage for both systems and appliances. Include add-ons for any items that aren’t included.
4. Select Home Warranty
We picked Select Home Warranty because they offer the lowest deductible on the market. They also offer plans that are lower than the industry median. Once you sign up, you get to enjoy two months of free coverage, plus free roof leak coverage.
What We Like About It
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Guaranteed 90-day workmanship
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Discounts on multi-year plans
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Optional septic system add-on
Plans & Pricing
Gold Care ($41.00 per month): Covers 6 major home systems, such as HVAC and plumbing.
Bronze Care ($41.00 per month): Covers 7 common kitchen and laundry appliances.
Platinum Care ($47.00 per month): Comprehensive coverage that combines the Gold and Bronze Care plans.
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5. American Residential Warranty
If you’re looking for low and transparent pricing, American Residential Warranty is the way to go. Plans start at low prices, and they also charge low service fees at just $55. Better yet, ARW has an A+ rating through the Better Business Bureau.
What We Like About It
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A+ Better Business Bureau (BBB) rating
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Plans start at a low cost
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You get to pick your technician
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Guaranteed 30-day service repairs
Plans & Pricing
Kitchen Plus ($34.99 per month): If you’re looking for a comprehensive plan specifically for your kitchen, this is a great option. It covers most kitchen appliances, plus your interior electric system and water heater.
Heating & Cooling ($39.99 per month): Alternatively, the Heating & Cooling plan covers your central air, hearting, humidifier, and your interior electrical system.
Platinum ($49.99 per month): If you want everything that’s covered by Kitchen Plus or Heating & Cooling, Platinum bundles both plans at a low rate.
Platinum Premier ($59.99 per month): If you want everything covered by Platinum and then some, you can bump your plan up to Premier. This plan includes ceiling fans, ductwork, plumbing, your range hood, and the ice maker in your refrigerator (not included in Kitchen Plus.)
6. First American Home Warranty
For the best value overall, consider First American Home Warranty. They are known for their exceptional customer service and reliability. Further, they offer an optional upgrade that protects systems and appliances that were improperly maintained or installed. This is extremely rare in the home warranty business.
What We Like About It
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Submit claims and access customer service 24/7
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No coverage cap on heating, cooling, or ductwork
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Coverage for duplicate appliances
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Optional add-ons
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First-class upgrade covers damage and improper installation
Plans & Pricing
Basic Plan ($25 per month): The Basic Plan covers common appliances such as your washer and dryer and kitchen appliances.
Premier Plan ($39.50 per month): This plan covers everything in the Basic Plan, plus major home systems such as HVAC, electrical, water heaters, plumbing, and ductwork.
7. ServicePlus Home Warranty
At four years old, ServicePlus is relatively new to the business but has already garnered attention as the best home warranty company for emergency service. Note that they have high monthly premiums and low coverage caps. However, they have an extensive network of prescreened technicians.
What We Like About It
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90-day parts guarantee
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30-day labor warranty
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24/7 claim hotline with an online portal for customers
Plans & Pricing
Gold Plan ($41.55 per month): The Gold Plan offers a solid amount of coverage between major home systems and appliances.
Platinum Plan ($45.83 per month): The Platinum Plan adds additional coverage on air conditioning systems, heating, refrigerator, washer, and dryer.
8. Cinch Home Services
Cinch Home Services stands out from the crowd because it offers the best workmanship guarantee at a whopping 180 days. This is significantly longer than the industry standard of 30 days. This warranty is recommended to homeowners who want peace of mind knowing that technicians will repair items fully and return for free if needed.
What We Like About It
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180-day workmanship guarantee
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$500 home insurance deductible reimbursement
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$25 air conditioner or water filter credit
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Free water sensor included in each plan
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Customizable service call fees
Plans & Pricing
Appliances Plan ($39.99 per month): As you might have guessed, the Appliances Plan covers 12 major home appliances. Coverage limits are roughly $2,000 per item.
Built-In Systems ($45.99 per month): This plan covers 16 major home systems and is one of the more comprehensive warranty plans in this area. Even the smoke detector and jetted tub are included, which are typically add-ons.
Complete Home ($55.99 per month): Choose Complete Home for the best of both worlds. This plan totals 28 systems and appliances, and customers receive a $500 deductible reimbursement each term.
9. Landmark Home Warranty
Landmark Home Warranty offers exceptional service to a specific regional area. This warranty plan is a great choice for those who live in Arizona, Idaho, Nevada, Oregon, Texas, and Utah. They notably offer pest control and subterranean termite treatment. You must have lived in your home for at least 30 days to become eligible.
What We Like About It
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Transparent about pricing
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Intuitive customer platform
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Flexible payments plans
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Add-on options
Plans & Pricing
Home Systems Plan ($35.00 per month): Covers major systems such as HVAC, electrical, plumbing, and tune-ups. They also offer pest control, a re-key service, and subterranean termite treatment.
Total Protection Plan ($55.84 per month): If you want comprehensive coverage for your entire home, the Total Protection Plan covers appliances plus all of the systems covered in the Home Systems Plan. The garage door opener is also included in this plan.
10. Complete Care Home Warranty
Complete Care Home Warranty is our favorite pick in terms of offering the cheapest service fee in the industry. They only charge $45 to $60, while most warranty plans charge in the range of $75 to $150.
What We Like About It
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Cheapest service fee
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24/7 customer support
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90-day parts guarantee
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Free roof leak coverage
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Available in 48 states
Plans & Pricing
Systems Plan ($43.00 per month): Covers 7 major home systems, including HVAC, plumbing, and electric.
Appliances Plan ($43.00 per month): 10 kitchen and laundry appliances are covered under this plan.
Combo Plan ($50.00 per month): For just $7 more per month, you can get the full range of coverage offered by both the Systems and Appliances plans.
Summary
When you first start reaching home warranties, you might be astonished at just how many companies are competing for your attention. It can be hard to decide, since so many offer different freebies, add-ons, and coverage plans. That’s why we provided a round-up of the best home warranty plans available on the market.
Selecting the best home warranty company depends on your personal preferences. To one homeowner, obtaining the lowest possible monthly cost might be important. Another homeowner might be scarred from previous experiences and pay anything to get the highest quality service and guarantees. The next homeowner might not be handy at all and just wants the best coverage possible. We recommend taking some time to think about what qualities are most important to you. You’ll likely find just what you’re looking for in the list we provided.
What is the most important to you when picking out a home warranty company? Low service fees? Coverage? Customizable plans? Let us know in the comments below!
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The information presented is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. Nothing provided shall constitute financial, tax, legal, or accounting advice or individually tailored investment advice. This information is for educational purposes only.
