Home Warranty Insurance for Appliances - Is it Worth It ?

Q. I need some insurance for my appliances. What is the best home warranty insurance with no hassles. Is home warranty insurance a rip-off?

A. Look at your house and the age of the built-in appliances. How old is each one? What is the average life expectancy for that type? What would it cost to replace it? And a big question, WOULD YOU BE HAPPY WITH THE UNIT AN INSURANCE COMPANY IS GOING TO PROVIDE YOU?

Home warranty policies are just like any other policy. They have their place and purposes. Placing a value on having one is a personal decision based upon personal needs. Always read the fine print.

An existing homeowner purchasing such a policy may have many reasons for doing so. Best advantage does not have to pick and choose contractors, dealers and or repair service agents for each different occasion and need. Usually one phone call to the warranty company does it all. Simply explaining what the problem is, in generalized terms, such as plumbing, heating, cooling, water leak, etc, the warranty company sends out the franchised contractor whom provides that type of service(s) etc.

Warranty contracts can be limited or inclusive, generalized and or specialized. Read the fine print to determine what is and what is not covered. Also note any copayments and or deductibles.

Pricing of policies is geared to entice buyers with low costs. Knowing what the exclusions are and the deductibles are, along with other exclusions explained in the "Fine" print may not be as expected, to say the least.

Contact the local government agencies that regulate insurance companies to learn more of what is legal and what is not. Call the local BBB to inquire about companies past service records, etc. Buy from a company that has the better track record for customer satisfaction, etc.

Home appliance warranties and home policies inclusive of all services do have their place for those whom care not to have the burdens of finding and dealing with contractors and service or repair agents.

Equally so, home warranties can create additional problems and the choice of who provides the actual service is often not selectable by the policyholder.