7 Best Home Warranty Companies in Greeley, CO

How Does a Home Warranty Work?

A home warranty is a protection policy that helps Greeley homeowners lower the high costs of household repairs. These plans offer financial coverage to repair or swap out appliances and systems that break down from normal wear and tear.

Homeowners submit a claim and pay a service fee when something breaks. The home warranty company then finds a contractor to make the repair or replacement. The only time you may pay out-of-pocket is if the repair or replacement costs exceed the item's coverage limit. A home warranty gives homeowners reassurance, as it helps avoid expensive emergency repairs. The coverage is especially helpful for buyers of older houses or houses with systems near the end of their life span. However, people with newer homes and functioning appliances may not need a home warranty.

What Does a Home Warranty Cover?

Home warranties protect your home systems and appliances. Common appliances covered include washers, refrigerators, dryers, dishwashers, microwaves, garbage disposals, and more. Covered systems are normally electrical, air conditioning, heating, and plumbing. Many home warranty companies provide add-on coverage for septic systems, locksmiths, central vacuums, and roof leaks. Greeley should understand that most home warranty plans have a 30-day waiting period before repair claims will be approved. Most policies also only cover repairs and replacements due to normal wear and tear. Home warranties don't include cosmetic issues, pre-existing conditions, natural disasters, or misusing a system or appliance. Stay current with preventative maintenance to help guarantee your next repair or replacement is covered.

Key Home Warranty Terms to Know

Here are some essential home warranty words to know before signing a contract:

• Trade call fee: An added fee that you'll sometimes need to pay for appliance-related claims.
• Service fee: The amount you pay our of pocket per claim for access to a contractor and repair coverage.
• Endorsements: Optional add-on coverage for systems such as well pumps, septic, pools and more. Endorsements typically come with an additional fee.
• Coverage limits: How much money your warranty provider will pay for specific repairs or replacements. Check limits on repairs for things like appliances, air conditioning units, and roof leaks.
• Deductible: The amount you're responsible for before your warranty covers the remainder of the cost. Deductibles apply to covered repairs and may be on a per-claim or yearly basis.
• Contract rate: A pre-negotiated rate that your home warranty provider has worked out with contractors. This rate is typically less than what you would pay retail.
• Claim approval: The process by which your provider determines whether a requested repair or replacement is covered under your warranty.

If you remember these important factors, it’ll help you understand costs and select a home warranty tailored to protecting your most essential home systems. Make sure to talk to providers about the specifics of coverage during the quote process, so you can avoid unexpected fees.

Key Factors in Choosing a Home Warranty Company

When choosing a home warranty provider, there are several important factors to consider:

Coverage Options

Home warranties vary widely in terms of included coverage. Basic policies typically cover AC, heating, plumbing, electrical, and appliances, while more comprehensive options may also cover roof leaks, well pumps, pools, and spas. Look for a company that offers comprehensive coverage choices, including upgraded plans. You want the flexibility to customize coverage to fit your home's specific systems and needs.

Service Fees

Expect to pay a per-service fee of $60-100 for each home warranty claim. As this charge applies to every separate claim, some homeowners prefer to choose a company with more affordable fees to maximize savings on every claim. Some providers also do away with deductibles if a customer goes a period of time without filing any claims.

Reputation

A home warranty company's reputation provides insights into factors such as contractor expertise, repair speed, claim approval rates, and customer satisfaction. Read through review sites like TrustPilot, the Better Business Bureau (BBB), or Google Reviews to learn more about providers. Favorable feedback and ratings suggest a company known for quality service.

Contractor Network

Home warranty companies maintain networks of local technicians to handle repairs in your area. Reach out to potential providers to learn how many repair technicians they have in Greeley and get an idea for how fast your repairs could take place in an emergency situation. Bigger networks improve the likelihood of getting qualified contractors to quickly service your home.

Added Benefits

Certain home warranty companies provide perks such as discounts on maintenance, energy-efficient upgrades, and protection for smart home devices. These bonuses offer extra value beyond repair coverage. Extra perks can enhance your home and maximize your home warranty.

Is a Home Warranty Worth it in Greeley?

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Benefits of a Home Warranty

Since temperatures in Greeley can be quite hot in the summer, the weather can put a lot of strain on your air conditioning unit and HVAC system. Purchasing a home warranty can help homeowners save money if one of these systems or appliances stops working unexpectedly.

Additionally, having a home warranty can save you time by removing the need to research contractors — most providers will send a trusted professional right to your door to complete the necessary repair or replacement. Another added benefit of having a home warranty policy is that it can increase your home’s property value. If you ever decide to sell your home, you may be able to transfer your home warranty plan to the new homebuyer depending on the provider you purchased your home warranty through.

Downsides of a Home Warranty

As for the downsides of home warranties, coverage varies by provider, so it’s important to review what each plan covers and excludes in the contract.

Another downside is that home warranties may not include some repairs, such as those needed because of natural disasters. For example, if your house floods, the affected systems and appliances probably won’t be covered by the home warranty.