The Most Common Mistakes People Make When Looking for a Home Warranty
Whether you recently moved into a home or whether you have been there for years, a home warranty is something you should consider. You know that one of your big responsibilities as a homeowner is to make necessary updates and repairs when areas break down or wear out. Upkeep and maintenance will keep your home comfortable and safe. Some repairs are financially manageable, but others can be difficult or impossible to afford, given your current situation. In such cases, you may be forced to delay renovations or replacements.
However, with the benefit of a Florida home warranty, you can get the financial help you need to pay to fix or replace items at home. A warranty will pay a portion for certain appliances and systems, leaving you with fewer out-of-pocket costs. There is a lot to know about home warranties, so you should begin by understanding how they work. This will help to ensure that you avoid some big mistakes that homeowners often make.
Not Recognizing the Caps
Be aware that when you purchase a home warranty, it won’t likely pay for 100 percent of the costs. There will be a cap on how much the warranty will cover. This amount can vary, depending on the plan. The amounts can also be different from item to item. For example, fixing or replacing the plumbing in a home will almost certainly be more than fixing or replacing the dishwasher. Therefore, the cap on the plumbing system will likely be higher than it would be on appliances.
Your plan may have a cap as low as $500 on an item, but it could also have a cap as high as $5,000. Make sure you understand your plan and what these limits are. A big mistake that people make is not realizing this at the time of the repairs. This can catch people by surprise when a final repair bill comes requiring the homeowner to pay some out-of-pocket costs.
Not Understanding What It Includes
A home warranty provides tremendous benefits. It can give the homeowner peace of mind and financial protection. However, it is not all-inclusive and does not cover every item in the home. A home warranty will cover major appliances, including refrigerators, stoves, ovens, dishwashers, and built-in microwaves. It will cover a water heater and the washer and dryer in your house. It also includes systems such as plumbing, electrical, and HVAC.
Be aware that the warranty does not cover small appliances. These include toasters, hand mixers, blenders, and waffle irons. The warranty also won’t cover cosmetic damage, such as dents and scrapes. Damage from pests will also not be part of the coverage.
Not Understanding the Limitations
Even covered items will not be part of the warranty under certain conditions. The warranty covers normal wear and tear and also breakdowns that occur due to defects or unexpected damage. If you intentionally damage an item, the warranty will not be valid. The same is true if you do not install the item problem.
You should also know that you must properly maintain the appliances and systems. If you fail to do this, you may not have coverage when something stops working. Also, if the manufacturer’s warranty still covers the product or system, you should not expect double coverage from the warranty as well.
Not Realizing There Are Other Costs
When a covered item starts to fail, you should call the warranty company right away. You will not have to take care of the repairs or replace the appliance or system yourself. This is a good benefit that can save you time and effort. However, some homeowners mistakenly do not realize that they are responsible for paying the technician for the service call. During this preliminary visit, the technician will diagnose the issue and recommend a solution. You will have to pay a fee for this, which can range from $75 to $150, depending on the item, the problem, and the warranty company.
As you thoroughly understand your plan, you can move forward feeling good about the coverage. This will reduce the chances of you finding an unwanted surprise once the repairs are finished. Don’t make these mistakes as you search for the right home warranty.