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Updated: Nov 27, 2024, 2:12am
Marcus Hill is a distinguished home appraisal expert, real estate investor, professional speaker and author with nearly 20 years of experience in the real estate industry. His journey began just one month after graduating college when he became on...
Marcus Hill is a distinguished home appraisal expert, real estate investor, professional speaker and author with nearly 20 years of experience in the real estate industry. His journey began just one month after graduating college when he became on...
Marcus Hill is a distinguished home appraisal expert, real estate investor, professional speaker and author with nearly 20 years of experience in the real estate industry. His journey began just one month after graduating college when he became on...
Marcus Hill is a distinguished home appraisal expert, real estate investor, professional speaker and author with nearly 20 years of experience in the real estate industry. His journey began just one month after graduating college when he became on...
Expert Reviewed
| Homeownership, Home Warranty Claims and Coverag...Home warranties don’t have to cost a lot for you to find a good one. In fact, some of the cheapest home warranty companies provide the best warranty coverage for your home.
Compare and contrast the various home warranty companies out there to find the best one for you and your family.
The Forbes Home team is committed to bringing you independent, unbiased ratings and information. We use data and expert advice to inform all of our content. Plus, our advisory board of licensed professionals fact-checks and reviews our content for accuracy and relevancy. You can read more about our editorial guidelines and the cheapest home warranty companies methodology for the ratings below.
Featured Partners
1
Select Home Warranty
Plans Available
3
Response Time
Great
Number of States
46 + District of Columbia
2
Choice Home Warranty
Plans Available
2
Response Time
Excellent
Number of States
49 + District of Columbia
3
American Home Shield
Plans Available
3
Response Time
Excellent
Number of States
48 + District of Columbia
Best Overall
Best Overall
Liberty Home Guard
Liberty Home Guard made our list of best home warranty companies and it’s one of the most affordable home warranty companies with a $60 service fee. Liberty Home Guard offers three plans: Systems Guard, Total Home Guard and Appliance Guard.
Liberty Home Guard also has a $200 off deal, plus two month bonus coverage and free limited roof leak coverage for signing up.
Liberty Home Guard works with more than 10,000 vetted technicians who typically arrive within 24 to 48 hours to address any issues. Under some conditions you can use your own technician, but it’s usually when Liberty Home Guard can’t find a technician of its own.
Liberty Home Guard also earned a spot on our list of best HVAC home warranty companies. It has a $2,000 coverage cap for HVAC issues and will cover refrigerant up to $10 per pound. HVAC items must meet some requirements and are covered under the Systems Guard and Total Home Guards.
Liberty Home Guard has three plans you can choose. The base Systems Guard plan covers your HVAC components, plumbing and electrical. Liberty Home Guard includes appliances in a separate plan with its Appliance Guard plan and the Total Home Guard plan combines the Appliance and System Guard plans.
Liberty Home Guard will provide coverage for a wide selection of other items, but you need to purchase them a la carte. You can add extra services and coverage for the following items and systems:
Best Value Options
Best Value Options
American Home Shield
Few home warranty companies cover as many items as American Home Shield and even fewer have the longevity. American Home Shield is among the best home warranty companies because it provides some of the most comprehensive coverage.
American Home Shield has three plans: ShieldSilver, ShieldGold and ShieldPlatinum. American Home Shield has a $6,000 coverage cap with its ShieldPlatinum plan and a $3,000 cap with ShieldSilver and ShieldGold. American Home Shield does provide coverage on additional items, like electronics and computers, which others often don’t.
AHS has three plans: the ShieldSilver, ShieldGold and ShieldPlatinum. The ShieldSilver covers 14 items while ShieldGold covers 22 items and ShieldGold adds roof leak coverage, code violations and HVAC tuneup to the list of 22 items covered under the ShieldGold plan.
Three comprehensive plans are offered with your choice of service fees ranging from $75 to $125.
You can add extra services and coverage for the following items and systems:
AFC Home Warranty
AFC Home Warranty offers a workmanship guarantee for up to three years if you select a three-year plan, which provides excellent peace of mind. AFC Home Warranty ranks at the top of our Best Home Warranty Companies list and membership in the club has its perks. Membership includes a utility concierge that coordinates your utilities and home service in one call, plus you can add home security through AFC Home Warranty, save on insurance, receive free credit monitoring, identity protection alerts and Emergency Alert Network services.
AFC Home Warranty has four coverage plans: The available plans include the Systems Plan, Silver Plan, Gold Plan and Platinum Plan. Each offers affordable monthly fees, though the cost may vary depending on the service fee option you select It’s important to take a close look at the contract because AFC Home Warranty has specific coverage and coverage limits on items. Plans can last one to three years.
AFC offers four coverage plans. Each plan has three pricing tiers, $75, $100 and $125. Monthly plan pricing varies by location and choice of service fee level.
You can add extra services and coverage for the following items and systems:
Choice Home Warranty
Choice Home Warranty makes our list with a 3.8 consumer rating on the stingy Trustpilot review platform. Pricing and plans are straightforward, with two combined appliance and systems plans to choose from and one pricing tier for service claim fees of $85.
Even with just two plans available, Choice has comprehensive coverage for both. Choice’s Basic plan covers most of the essential systems in your home. For a bit more per month, you can include coverage for the rest of your major appliances as well.
A $50 cancellation fee applies after 30 days on yearly contracts. Veteran and military personnel discounts are available, as are coverages for manufactured homes and condominiums.
Simple, easy-to-understand coverage plans include a service fee of $85.
You can add extra services and coverage for the following items and systems:
The Home Service Club
The Home Service Club has only two plans but it covers a lot with those plans. The standard plan covers 18 items and the comprehensive plan covers 33 items. Plus, you have a selection of 15 other items you can cover, if needed. The Home Service Club guarantees repairs for 90 days, which is slightly more than other home warranty companies.
The Home Service Club will cover items in your home regardless of their age, make or model and is known for its fast response to service requests. Should items need replacing, The Home Service Club uses new and name brand items.
The standard coverage plan can run around $50 per month but that can vary, based on the service fee price you select. The standard plan covers 18 items, which is more than competitors.
The standard plan covers:
The comprehensive plan costs $62.50 per month and covers the standard plan items plus:
You can add extra services and coverage for the following items and systems:
| COMPANY | FORBES HOME RATING | PLANS AVAILABLE | DISCOUNTS AVAILABLE | NUMBER OF STATES COVERED | LOWEST PLAN COSTS PER MONTH | SERVICE FEES | LEARN MORE |
|---|---|---|---|---|---|---|---|
 4.9   | 3 | Yes | 50 + D.C. | $49.99 | $65 – $125 | On Liberty Home Guard's Website | |
| 4.6  | 3 | Yes | 49 | $39.99 | $75 – $125 | On American Home Shield's Website | |
| 4.4 | 4 | Yes | 49 + D.C. | $40.00 | $75 – $125 | On AFC's Website | |
| 4.4 | 2 | Excellent | 49 + D.C. | $46.83 | $85 | On Choice Home Warranty's Website | |
| 4.4 | 2 | Yes | 50 | $50 | $65 – $125 | On The Home Service Club's Website |
A home warranty acts like an insurance policy of sorts for appliances and components in your home. Homeowners typically pay per monthly rate and a service fee for a technician to come to their home to perform repairs after they file a claim. A home warranty can safeguard homeowners from having to foot the bill completely for expensive repairs.
Each home warranty company has plans that cover a variety of items. Home warranties typically cover:
The primary benefit of a home warranty is to provide protection against expensive repairs for homeowners with a limited budget where an expensive repair can have a drastic impact. Another benefit of a home warranty is it can protect you if you have aging appliances. Several warranty companies will cover appliances with pre-existing conditions and if they can repair it, they’ll replace it or at least provide you with cash for a replacement.
Home warranty costs can vary widely depending on the coverage level and service fees you choose. Basic plans, such as a Systems or Silver Plan, typically cover essential home systems and tend to have lower monthly premiums. More comprehensive plans like the Gold or Platinum Plan offer broader coverage, including both systems and appliances, often at a higher cost.
Additionally, service fees charged when you request a repair can influence the overall price. Opting for a higher service fee can lower your monthly payments, while a lower service fee may result in higher premiums.
— Marcus Hill, home warranty expert, Advisory Board Member
Several things can affect the cost of a home warranty. Homeowners can choose the service fee they want to pay with their home warranty. A higher service fee results in a lower monthly premium and vice versa. The type of plan will affect pricing, too. A more comprehensive plan will cost more than a basic plan. Home warranty companies also offer add-on coverage for things like roof leaks or septic systems.
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Home warranties can protect you against unexpected expenses. Click on your state today to find out more.
Finding the right home warranty company for your home requires some thorough research because many companies compete with each other and each one has slightly different coverage. When you begin you search, decide what you need covered, compare coverage plans, read sample contracts to learn coverage limits, check online reviews and check for any national organization affiliations.
Home warranty companies provide plans that can cover only the essential systems of a home, like HVAC, plumbing or electric. They also have plans that just cover appliances and others offer a combination of both. Home warranty companies typically list the specific items they cover with each plan, plus you can usually add items a la carte that you want covered.
It’s a good idea to check the age of your appliances and systems and see which companies cover those items with pre-existing conditions.
Some home warranty companies will offer as few as two plans and others will have more than a handful. When you’re reviewing those plans and comparing them, pay attention to the service fee and the monthly premium. Some companies will offer introductory discounts, too.
Sample contracts provide valuable information like coverage limits for specific items, like refrigerators. Sample contracts will also provide the exclusions on things it won’t cover. The things a home warranty company won’t cover on an appliance might surprise you and it’s better to know that ahead of time.
You might have to take reviews with a grain of salt, but they can provide help on how quickly a home warranty company fields calls and responds to service calls. Some reviews can provide insight into the technicians a home warranty company uses and give you insight into the type of service you might receive.
Many home warranty companies are part of the National Home Service Contract Association, which means the company is a reputable, licensed home service contractor in good standing with the NHSCA.
Home warranties in the United States are under federal regulation. However, they typically vary from state to state, so there is no uniform format for warranties. Therefore, homeowners should look into the laws and regulations specific to their state regarding home warranties and understand the terms of any warranty agreement before buying.
Homeowners should not only be familiar with the laws and regulations of their state but should also examine the coverage provided by their warranty provider. This involves thoroughly examining the terms of the agreement to understand what is included, excluded or limited in coverage, especially since warranty providers can establish contract terms, such as covered items and regional add-ons.
The amount of money you can save with a home warranty will depend on what you get serviced and what you pay for home warranty coverage. If you end up replacing several items, you can potentially save thousands of dollars. Plus, a home warranty can provide you with peace of mind, which can be priceless.
Best Home Warranty Companies By State
While home warranties are designed to protect your investment, it is wise to explore ways to minimize the costs of purchasing one. With careful consideration, you can ensure the coverage of your appliances and systems while managing your expenses effectively.
Like home insurance, home warranties come with a certain level of risk. If nothing goes wrong, the money spent on coverage may seem like a waste. Therefore, if a significant repair issue occurs without coverage, a homeowner may regret the decision to forego a home warranty. However, despite this uncertainty, the assurance of being prepared for unexpected emergencies often justifies the expense of a home warranty for many homeowners.
While a low-priced home warranty can provide a certain degree of protection against costly repairs or replacements, it is essential to thoroughly review the limitations and exclusions carefully to ensure they’ll suit your needs. Additionally, assessing the reliability and responsiveness of the warranty company is crucial in determining the overall value of the warranty. Therefore, investing around $50 per month in a warranty can be beneficial when you need to replace a central system or appliance due to breakdowns. Our home warranty content is reinforced by the Forbes Home Advisory Board. Our home warranty experts have more than 20 years of combined first-hand experience in the field. Along with home warranty, our board members boast a depth of knowledge and expertise ranging from property management to home inspections and real estate investing. With their extensive knowledge, these industry experts help us review articles and advise on content at numerous stages in the editorial process, from ideation to publication. Residential home inspections, rental and investment property inspections Homeownership, Home Warranty Claims and Coverage, Real Estate Investing, Property Value, Home Insurance
Forbes Home - Home Warranty Advisory Board
Hilary Bluestein-Lyons
Hilary is a licensed California home inspector, and both her formal education and training set her apart from others in the field. She earned her lice Marcus Hill
To determine the cheapest home warranty companies ranking, the Forbes Home editorial team analyzed 54 companies, with each company’s star rating determined by evaluating a variety of metrics and subcategories, including:
When looking at pricing, we looked at subcategories such as example pricing as shown on the website, instant quotes and highest and lowest service fees. Pricing made up the majority of the points at 27% of the total ranking.
The number of covered items in the policies and the number of optional items available for coverage determined the included coverage rating.
Credibility and customer satisfaction ratings were determined by each company’s BBB grade, accreditation, reviews, complaints and the number of years in business, as well as consumer ratings on Trustpilot and Google Maps.
When ranking each company on customer support, we looked at service request methods and availability.
Sign-up and restriction ratings were based on the number of plans available, whether or not an inspection is required, available contract terms and whether or not age is a factor for denying system coverage.
Category rating was based on whether customers have the option of choosing their technician or if the company assigns one.
We looked at any fees or penalties resulting from discontinuing coverage before the company’s threshold.
Discount ratings for each company were determined by the availability of veteran or military discounts and any sign-up price reductions.
When rating for property types covered, we examined coverage availability for homes such as mobile or manufactured houses, condos and rental properties in addition to typical single-family home coverage.
Ratings for nationwide availability includes the number of states plus DC in which coverages are available.
All figures and facts were accurate at the time of first publication.
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Home warranties can be worth the cost depending on the state of appliances and systems in your home. If you have aging appliances and systems, a home warranty can help guard against expensive repairs or even help toward replacement costs. Paying a monthly premium and service fee can add up, so it’s important to keep track of what you’re paying and what you’re getting.
Home warranties typically have service fees between $75 to $125 and monthly fees range from $25 to $80. Many homeowners pay between $400 to $800, depending on the type of plan.
If you’re buying a home, you can negotiate a home warranty. Sometimes sellers will agree to pay the annual fee for a period of a year, but the home buyer will have to pay service fees. Home warranties included in a home sale typically come with a one-year limit, but the home buyer can continue to purchase a home warranty each year.
No, a home warranty is not the same as home insurance. A home warranty is optional coverage that covers appliances and systems, like your HVAC, plumbing and electrical. Home insurance is required by mortgage companies and covers items damaged by natural disasters.
During a home sale, the seller will often pay for the home warranty, however, if it’s a seller’s market, the home buyer might have to purchase the home warranty, if they want one.
You can purchase a home warranty at any number of company sites that service your state.
A home warranty has generally low costs in comparison to repair and replacement costs. A home warranty can be cost-effective should you need repairs or replacements on an annual basis, however, many homeowners can go years between repairs or replacement.
If you don’t have many repairs or replacements, a home warranty might not be as cost-effective. It’s best to keep track of your costs as well as the repair or replacement costs that your warranty has covered to evaluate whether it’s cost-effective.
After 10 years in print journalism, Nick transitioned to the home improvement space. He has specialized in maintenance, mortgages, home warranties, moving, car shipping, home security and more for 7 years. Nick contributes to publications like Angi, Trusted Company Reviews and Family Handyman as well.
Sami Allen is the managing editor at Forbes Home, with over seven years of experience in the home space and 10 years of editing experience.
Marcus Hill is a distinguished home appraisal expert, real estate investor, professional speaker and author with nearly 20 years of experience in the real estate industry. His journey began just one month after graduating college when he became one of the youngest in America to train and start a real estate appraisal company at 26 years old during the 2008 housing recession. Marcus's career has been marked by a continuous dedication to mastering various facets of property valuation, investment, mortgage, property management and home warranties. This early experience laid a critical foundation for his approach to navigating the real estate industry, emphasizing the importance of property inspection, market analysis and understanding home values.
Parallel to his appraisal career, Marcus ventured into real estate investment, acquiring and managing multiple properties over the years. This practical experience gave him a unique perspective on market trends, property management and investment strategies. His expertise further extends to his role as a valuation analyst for Fannie Mae, where he valued and estimated repairs on residential properties across every state in America, giving him a comprehensive understanding of the national real estate market. He is also one of the few in America to publish a book that shares his journey learning home appraisals at half the typical age of an appraiser in America. His book, Assessing My Value: Thoughts from a Trailblazer in the Real Estate Industry, also provides insights into home ownership and investment.
As a homeowner and long-time real estate investor, Marcus has frequently utilized home warranties and worked with numerous contractors, gaining deep insights into their practical benefits and limitations. His knowledge offers real-world advice on navigating home warranty claims and maximizing their coverage. Currently, as a professional speaker and author, Marcus shares his extensive knowledge and experiences with a broader audience, helping others understand and navigate the real estate landscape. Outside of his professional life, Marcus is an avid traveler who enjoys exploring new cultures and landscapes, enriching his perspective on global real estate markets. He is also a dedicated community advocate, often participating in local initiatives aimed at improving housing and real estate education in diverse communities. Marcus Hill's professional journey, driven by a commitment to excellence and a passion for real estate, makes him a trusted advisor dedicated to helping others navigate the complexities of real estate and home warranties with confidence.
