Homeownership typically requires proactive maintenance to stay ahead of problems, but some breakdowns are still unavoidable due to normal wear and tear. With a home warranty, you can easily connect with a trusted technician while financially protecting the systems and appliances you use the most.
After reviewing dozens of home warranty providers, our team arrived at the nine best home warranty companies in the nation. We considered a variety of key factors, including service reputation and coverage caps, which you can read about in our review below.
The Top 9 Home Warranty Companies
- American Home Shield
- Choice Home Warranty
- Liberty Home Guard
- First American Home Warranty
- America’s 1st Choice Home Club
- HomeServe
- Cinch Home Services
- Select Home Warranty
- Priority Home Warranty
A home warranty is similar to homeowners insurance: You pay a monthly fee to keep your policy active plus a small fee whenever you file a claim. We gathered all cost data, coverage options, and add-on availability in this article through a simulated quote process for a single-family home smaller than 5,000 square feet in Philadelphia.
American Home Shield
Choice Home Warranty
Liberty Home Guard
First American Home Warranty
America’s 1st Choice (AFC) Home Club
HomeServe
Cinch Home Services
Select Home Warranty
Priority Home Warranty
Our Recommendation
In carefully vetting all of the providers on this list, our team considered factors such as customer support infrastructure, how comprehensive the plan offerings are, and whether or not the company provides additional features such as coverage for roof leaks or particularly high coverage allowances. We recommend the featured companies as among the most reliable across the industry.
We advise all interested consumers to request quotes from as many providers as possible, read sample agreements thoroughly, and speak to representatives for clarification before enrolling in any policy. With that said, American Home Shield has remained an industry leader for more than 50 years, and its high coverage caps and comprehensive policies are unmatched by any other provider on this list. However, one drawback is that its workmanship guarantee is limited to 30 days, while some providers offer workmanship guarantees between 60 and 90 days.
If you’re interested in a long workmanship guarantee that protects you for the entire length of your plan, AFC Home Club may be a worthwhile consideration. On the other hand, if you have highly specialized needs, HomeServe’s impressive suite of plan options and Liberty Home Guard’s long list of add-on coverage options may appeal to you.
How to Choose a Home Warranty
Shopping around is essential to choosing a home warranty that fits your needs. Below you’ll find a breakdown of the best way to select a home warranty.
- See what’s out there. Before you even decide what to cover, you’ll need to know what’s available. Reading reviews like this one and diving into the nitty-gritty of what each company offers will help you set your expectations for what coverage is available to you.
- Request more than one quote. Once you determine the home warranty providers that service your area, request a quote from as many providers as possible. During this process, you’ll find out the available plans in your area, how the prices compare, and what might best suit your needs. At this time, you’ll want to ask for clarification of any plan terms that seem vague, ambiguous, or difficult to understand.
- Compare the fine print. It’s essential to take the time to read each company’s sample service agreement. This step will allow you to understand the covered scenarios and any possible exclusions that may leave you financially responsible.
- Make your selection. You can enroll in a home warranty plan by calling the provider or completing the checkout portion of the online quote form. You can choose to pay for your policy in a one-time annual payment or monthly installments.
Is a Home Warranty Worth It?
A home warranty is worth it for the peace of mind of knowing that your most-used home items aren’t your sole responsibility. Enrolling in a home warranty plan can take the pressure off finding a reliable contractor because all you have to do is request service, pay the service fee, and someone will contact you.
Based on our survey of 1,000 homeowners, we learned that the most significant homeownership expenses were related to general maintenance and repairs. General maintenance included changing air filters and cleaning gutters, while repairs included repairing a leaking pipe. In any of these scenarios, a home warranty can lessen homeownership expenses by providing necessary repairs and replacements or reimbursing you for approved claims.
Are Home Warranty Companies Trustworthy?
While there are many reputable home warranty providers in the industry, there are some red flags you can look for to determine a company’s trustworthiness. For example, if a company lacks coverage and claims information on its website, has unclear language in a sample policy, or has a hard-to-reach customer service team, it may not be the most reliable provider.
Additionally, home warranty companies don’t face the same strict regulations that home insurance companies face, which can open the door to legal issues like cease-and-desist orders and lawsuits. While it’s important to be aware of any legal matters surrounding a home warranty company, these issues are fairly common in the industry and don’t necessarily indicate that plan-holders will have a negative experience.
Do Home Warranty Companies Have Coverage Limits?
Each home warranty provider’s coverage will vary depending on its plan terms and conditions. When researching a provider, you’ll want to read the exclusions and limitations sections to identify the coverage caps and gaps.
Some providers, such as American Home Shield, don’t impose a limit on built-in systems but may set a coverage limit up to $6,000 on appliances. On the other hand, some providers may stipulate a total coverage amount per plan term. It’s always a good idea to compare service contracts to determine how coverage caps are set for each provider.
Do Home Warranties Cover Old Appliances?
Many home warranty providers cover appliances and built-in systems regardless of age. Still, the amount of coverage available on a five-year-old refrigerator may vary from what’s available for a fridge purchased earlier this year.
When you file a claim, the service technician will determine whether the malfunction results from normal wear and tear. If your claim is approved, the home warranty provider will determine the amount of coverage your item is eligible for based on the age and depreciated value. The homeowner will be responsible for all additional expenses that exceed the coverage limits outlined in the plan.
How We Chose the Top Home Warranty Providers
Our team reviewed and researched dozens of home warranty providers, thoroughly analyzed sample agreements, and identified customer pain points based on customer-review analysis and interviews with industry experts.
During this process, we determined that the most critical aspects of a home warranty company include available service plans and add-ons, depth of coverage, plan cost, industry reputation, customer support infrastructure, and additional features. We also focused on the ability to choose your own contractor; upgrade your coverage package; transfer your plan to another owner; and cover roof leaks, high-end appliance brands, ceiling and exhaust fans, and faucets and fixtures.
Our research supported that plan coverage should carry the most weight, with customer support as the second-most important factor. Industry reputation, plan availability, and additional features were rated equally. Therefore, we determined that price range, while worth considering, should not be the primary basis for choosing a home warranty provider for your home’s needs.