Home warranties: what’s covered and what’s not
Are you buying a new home or considering purchasing a home warranty for your current property? Home warranties can provide peace of mind and financial protection in case of costly home repairs. However, it’s important to understand what exactly is covered by a home warranty and what is not. In this article, we’ll delve into the world of home warranties and break down exactly what’s covered and what’s not.
What is a Home Warranty?
Before we dive into the details, let’s first define what exactly a home warranty is. A home warranty is a contract between a homeowner and a home warranty company that covers the cost of repairs or replacements for certain home systems and appliances. These can include things like plumbing, electrical, heating and cooling systems, kitchen appliances, and more.
What’s Covered by a Home Warranty?
Home Systems
One of the main things covered by a home warranty is home systems. These are the major components that keep your home running smoothly, such as your HVAC system, electrical, and plumbing. In most cases, a home warranty will cover the repair or replacement of these systems if they break down due to normal wear and tear.
For example, if your air conditioning unit stops working during the summer months, your home warranty may cover the cost of repairing or replacing it. However, it’s important to note that coverage may vary depending on the specific plan and company you choose.
Kitchen Appliances
In addition to home systems, home warranties also typically cover major kitchen appliances. This can include things like your refrigerator, dishwasher, oven, and more. Again, the coverage may vary depending on the specific plan you choose, so it’s important to carefully review what’s included.
Burst Pipes and Leaks
In some cases, a home warranty may cover the cost of damage caused by a burst pipe or leak. This can include things like damage to your walls or floors, as well as any repairs needed for the pipes themselves. However, it’s important to read the fine print in your home warranty contract to understand exactly what types of water damage are covered.
What’s Not Covered by a Home Warranty?
Pre-Existing Conditions
One of the main things not covered by a home warranty is pre-existing conditions. This means that if a system or appliance was already broken or not functioning properly before you purchased the home warranty, it will not be covered. It’s important to thoroughly inspect your home and make any necessary repairs before purchasing a home warranty.
Certain Types of Damage
In addition to pre-existing conditions, there are also certain types of damage that may not be covered by a home warranty. This can include things like fire or flood damage, as well as cosmetic damage. Again, it’s important to carefully review your contract to fully understand what’s covered and what’s not.
Permits and Code Violations
Home warranties do not typically cover costs associated with obtaining permits or fixing code violations. So if you purchase a home and discover that the previous owner made improvements without proper permits or against building codes, the cost of remedying these issues will most likely not be covered.
In Conclusion
Home warranties can provide valuable protection and peace of mind for homeowners. However, it’s important to fully understand what’s covered and what’s not before purchasing a home warranty. Thoroughly review your contract and ask any questions you may have to ensure you’re getting the coverage you need. Remember, different companies and plans may offer different coverage, so it’s important to carefully compare your options to find the best home warranty for your needs.
