When you buy a new home or household upgrades, you might consider purchasing a home protection or warranty plan.
Home protection plans and warranties are different from home insurance plans. Home insurance plans protect homeowners from uncalled or unprecedented events like fire, weather related damages, theft, etc. Unlike home insurance, home protection and warranties come with a fixed terms that begin on the purchase date. Protection plans and warranties can be renewed indefinitely.
What is a home protection plan?
A basic home protection plan is basically a service contract that guarantees maintenance, repairs of household appliances or systems at no additional cost. Most plans include routine maintenance and safety checks. If something goes wrong with your home system or appliance, customers can arrange a service visit at no cost. Every protection plan is designed to cover individual system in your home like heating, cooling, plumbing, electrical. It makes convenient for you to customize the coverages according to your specific requirements. If you have an age-old heating system and brand new air conditioning system, you can go for maintenance and repairing plan for your heating system and maintenance plan for your cooling system.
What is a home warranty plan?
It’s an all-in-one policy that covers whole home’s worth of systems and appliances at a go. The home warranty plan doesn’t cover routine maintenance service like a home protection plan. A home warranty plan takes a small fee for service appointments.
Home warranty plans allow you to go for maximum coverage where you can virtually cover every area in your home. A legitimate home warranty plan gives you the peace of mind of knowing the fact that a professional service is just a phone away. It is available 24 hours a day.
Is the additional coverage important?
Protection plans and home warranties cover systems and appliances that are vital to regular living. If any of your systems and appliances shows a problem, you won’t need to go through all the customer reviews and calling contractors for getting quotations. These plans ensure a high quality of services at reasonable prices.
A lot of homeowners still use do-it-yourself methods with their systems and home appliances, but without a proper training, these DIY ventures can go terribly wrong and damage the entire system or appliance.
Home protection plans and warranties are often offered as incentive during the home buying process. Not all sellers provide the same perks but if you need additional coverages, you should talk to the seller and ask them to give you a customized price for that.
How much do these home protection or warranty plans cost?
The cost varies on the kind of services offered and what are things that need to be covered. Replacing the old systems and appliances cost more than repairing a new one.
Finally, if you are planning to buy a home protection plan or warranty plan, you should do proper homework and research beforehand. Make sure the plan you are going to purchase, should cover the exact things that you want.
