6 Best Home Warranty Companies in Lakewood, NJ

How Does a Home Warranty Work?

A home warranty is a protection plan that assists Lakewood homeowners reduce the high costs of household repairs. These plans provide financial coverage to fix or replace appliances and systems that break down from normal wear and tear.

Homeowners file a claim and pay a service fee when something breaks. The home warranty provider then arranges a contractor to make the repair or replacement. The only time you may pay out-of-pocket is if the cost of the repair or replacement exceeds the item's coverage limit. A home warranty gives homeowners peace of mind, as it helps avoid expensive emergency repairs. The coverage is particularly helpful for owners of older houses or houses with fixtures near the end of their life span. However, homeowners with newer homes and modern appliances might not require a home warranty.

What Does a Home Warranty Cover?

Home warranties cover your household systems and appliances. Covered appliances typically include garbage disposals, washers, microwaves, dishwashers, refrigerators, dryers, and more. Covered systems include plumbing, heating, electrical, and air conditioning. Many home warranty companies also provide additional coverage for central vacuums, roof leaks, septic systems, and locksmiths. Most home warranty plans require Lakewood homeowners to wait 30 days before they can use the policy to pay for repairs. Additionally, policies typically only cover repairs and replacements resulting from normal wear and tear. Home warranties don't cover natural disasters, cosmetic issues, pre-existing conditions, or misuse of a system or appliance. To make sure your next repair or replacement is covered, keep up with preventative maintenance.

Key Home Warranty Terms to Know

Before signing a home warranty contract, you should understand key terms like:

• Claim approval: The process a provider uses to validate that a requested repair or replacement is covered under your plan.
• Endorsements: Additional coverage for systems like well pumps, pools, and septic, which usually comes with a fee for each add-on.
• Trade call fee: An additional fee that's sometimes required to appliance-related claims.
• Coverage limits: The maximum dollar amount that your warranty provider will pay for certain repairs or replacements. Check your contract's limits on repairs for things like roof leaks, appliances, and air conditioning units.
• Service fee: The out-of-pocket cost you pay per claim for access to a contractor and repair coverage.
• Deductible: The amount you pay toward a covered repair before the warranty covers the rest. Some plans have per-claim or yearly deductibles.
• Contract rate: The pre-negotiated rate a home warranty company has with its contractors. This rate is usually less than typical retail costs.

Keeping these key details in mind will help you understand home warranty contracts and pricing, so you can pick the right plan and protect your most important home systems. Discuss coverage details with potential companies when getting a quote, so you can avoid surprise fees.

Key Factors in Choosing a Home Warranty Company

When you're deciding on a home warranty provider, there are several key things to take into account:

Coverage Options

Home warranty plans vary widely in what they include. Most plans provide protection for plumbing, AC, heating, electrical, and appliances. More comprehensive options also include coverage for other items such as well pumps, spas, pools, and roof leaks. Look for providers with an array of coverage options, such as upgraded plans. You'll want to tailor your protection for your needs.

Service Fees

Expect to pay a per-service fee of $60-100 for each home warranty claim. With these per-request costs adding up over time as you file claims, some homeowners prefer to choose a provider with lower service fees to maximize savings. Some companies also remove deductibles when customers have a claim-free period.

Reputation

A home warranty provider's rating gives insight into things such as contractor quality, claim approval rates, timeliness of repairs, and overall customer satisfaction. Look at third-party review sites such as the Better Business Bureau (BBB), TrustPilot, or Google Reviews to research companies. Complimentary ratings and reviews indicate a provider known for stellar service.

Contractor Network

Home warranty companies use networks of local repair technicians to manage repairs in a given area. Contact potential providers to learn the number of repair professionals they have in Lakewood and get an idea of how quickly your repairs could be handled in an emergency. More extensive networks improve the probability of getting qualified contractors to swiftly service your home.

Added Benefits

Home warranty providers often offer extras such as maintenance discounts, coverage for smart home devices, and energy efficiency upgrades. These add value beyond just repair coverage. Additional perks can maximize the usefulness of the home warranty.

Is a Home Warranty Worth it in Lakewood?

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Benefits of a Home Warranty

Home warranty plans are a great way to protect your home systems and appliances from normal wear and tear. With temperatures in Lakewood hitting an average high of 61℃F, you may find that certain appliances, like your air conditioning unit, get a lot of use. A home warranty can considerably lower out-of-pocket expenses should your HVAC system break down.

A home warranty also can also save you time and energy. Instead of spending hours finding and selecting a technician to fix your appliance or system, home warranty providers do the hard work for you and send a trusted professional to your door whenever you need them. Plus, having a home warranty can make your house more appealing to potential homebuyers if you ever decide to sell in the future. Many home warranty companies will allow you to transfer your policy to a new owner and give them the protection you’ve been benefiting from.

Downsides of a Home Warranty

One drawback of getting a home warranty is that there are usually exclusions. For instance, if one of your appliances already has a manufacturer's warranty, it may be excluded from the home warranty, so it’s important to read through any contracts you’re considering thoroughly to understand what is included and what isn’t.

Also, if you don’t maintain your home systems or appliances properly, or if they were damaged due to a natural disaster or animal infestation — anything besides normal wear and tear — the home warranty may not cover it.