Before signing up for a home warranty, you should know what you are getting. You should know what coverage you will get, what the service call fee is, and what is excluded. Having this information will help you choose the right plan for you.
Coverage options
So depending on your needs and budget, this company may be the right fit. Home warranties can also cover systems, including electrical and plumbing systems. Some plans also cover major appliances, including refrigerators and dishwashers. Ask about solar coverage before signing up.
Service call fee
The service call fee is a fixed charge that covers the labor cost for a professional contractor and diagnostic tests. This fee is typically the only payment required for service calls. Service call fees usually range from $60 to $100. This fee is akin to the deductible on homeowners’ insurance.
Most home warranty companies in Texas offer different coverage options. Some plans cover appliances and other systems for 90 to 180 days. This is a great way to avoid multiple visits for the same problem. Different plans have coverage limits, which can be set at a specific monetary amount or number of visits for a single item. Although the price of your home warranty is not directly correlated with the size of your house, it is crucial to consider your demands when comparing estimates. There are also different costs associated with home warranties for different types of homes. For example, smaller homes typically do not have as many systems, so they have lower costs than larger homes. On the other hand, duplexes and apartment buildings with four or more units may have higher prices.
Exclusions
A home warranty is a type of insurance that pays for repairs and replacements when a system malfunctions. It can be an appliance-only plan or a comprehensive one. Exclusions vary between companies.
Homeowners’ insurance usually has a high deductible that you must pay before the coverage kicks in. But a home warranty requires a small service fee, usually about $85, and the rest is covered by the policy. Some home warranties may not include solar coverage, but this is an option you can add to your plan. However, it is advisable to check the terms and conditions of any Texas home warranty plan before purchasing it.
A home warranty should be comprehensive but must cover specific exclusions. Typically, a home warranty will not cover scratches and dents. Other exclusions include cosmetic repairs, pre-existing conditions, and problems caused by natural disasters.
Buying a home warranty
Home warranties are a great way to protect your budget from unforeseen repair costs. Whether your home is brand new or remodeled, a home warranty can give you peace of mind and financial security. But first, it is essential to know which types of warranties are available. In Texas, most consumers opt for a standard home warranty, which is available in yearly and monthly payment options. An annual plan is usually the most cost-effective option, but monthly payments may be best if you own an older home. Below are the typical monthly costs for these plans. The average cost of a home warranty in Texas is $420 to $745 per year, depending on the level of coverage. It is worth noting that a combined systems and appliances plan, which covers the majority of your house’s systems, will cost more than an essential home appliance plan. However, most companies will let you pay upfront or every month, and most offer an option to add optional coverage.
