Misinformation about home warranties can turn into myths that lead homeowners to skip coverage they would otherwise benefit from. Other myths may lead homeowners to buy a plan with false expectations about what is covered. Separating home warranty facts from home warranty misconceptions can help you make a more informed decision about whether a warranty is right for your home. 

Myth 1: A Home Warranty and Homeowners Insurance Are the Same Thing

Do I need a home warranty if I have homeowners insurance? This is one of the most common questions that homeowners ask, and it starts with the misconception that a home warranty is the same thing as homeowners insurance. 

The reality is that a home warranty and homeowners insurance are not the same thing. Homeowners insurance is something that most mortgage lenders require homeowners to have, as it provides coverage in the event of a disaster, like fires, storms, theft, etc. A home warranty, by comparison, provides coverage for specific appliances and systems in your home that break down due to normal wear and tear. 

These two products are meant to work alongside each other, not replace one another. 

Myth 2: A Home Warranty Covers Everything in Your Home

A strong home warranty misconception is that it will provide coverage for any repairs in your home. However, this is not how home warranties work.

What is a home warranty? It is a service contract that provides coverage for specific systems and appliances, with coverage subject to per-item coverage limits. The amount of coverage will vary between providers and plan levels. 

In many cases, routine maintenance, cosmetic repairs, and items not listed in the service agreement are not covered by a home warranty. By reviewing the agreement in detail before purchasing a warranty, you can have a clearer understanding of what this policy may cover and up to what amount. 

Myth 3: You Can Only Buy a Home Warranty When Purchasing a Home

Many homeowners believe that a home warranty is only available during a real estate transaction. This can keep homeowners from getting the coverage they might need.

Home warranties are available to homeowners at any time, not just during the closing process of a real estate transaction. Whether you have lived in your home for a few days or a few years, you can still purchase a home warranty plan that reflects your needs as a homeowner. 

Myth 4: Home Warranties Are Not Worth the Cost

Is a home warranty worth it? Many homeowners can benefit from a home warranty, especially if they choose a quality plan over the lowest-cost one they can find. A plan with clearly explained coverage limits, a quick, simple claims process and a choice of contractors can offer more value than the savings you may find in the cheapest available plan. 

A home warranty can help offset repair or replacement expenses when a covered appliance or system breaks down, subject to plan limits, deductibles and other terms.

Myth 5: You Have No Say in Who Repairs Your Home

Many homeowners dread the idea of filing a warranty claim and a stranger showing up to do the repairs. 

APHW doesn’t assign a technician. With APHW, you can choose your own licensed contractor to complete covered repairs. This way, if you already have a preferred HVAC technician, plumber, or other licensed service provider, you can use them. That kind of contractor flexibility is one of the many home warranty facts that set APHW apart from many other providers. 

Get the Facts and Get Covered

Understanding what a home warranty can do for you means you can get the most out of a home warranty. APHW home warranty plans cover 26 home systems and appliances, offer a simple claims process that you can start online or by phone, customer service available 24/7/365, and the freedom to choose your own licensed contractor for covered repairs. 

Request a free quote or call 800.648.5006 to find the right plan for your home. Terms and conditions apply. Coverage varies by plan. The full terms and conditions are available for download on APHW.com.

Frequently Asked Questions

What is a home warranty?

A home warranty is a service contract that can provide financial support for the cost of repairing or replacing a covered system or appliance after breaking down from wear and tear. This coverage is not the same as what is offered in home insurance policies, like fires and storms. The coverage in your home warranty plan will depend on the plan tier you choose and the terms of the service agreement. 

Do I need a home warranty if I already have homeowners insurance?

A home warranty can provide additional protection for covered appliances and systems that break down due to normal wear and tear. Since homeowners insurance generally covers different types of damage, having both can provide complementary protection.

Is a home warranty worth it?

A home warranty can be worth having, depending on your home's appliances and systems, the coverage you choose and your budget. A reliable warranty provider offers flexibility in repair technician selection, a smooth claims process, and a wide selection of covered appliances and systems. Additionally, a home warranty gives homeowners peace of mind that help is waiting if a covered appliance or system breaks down.