Home Warranties and why they are important
How does it work?
l If a home system or appliance breaks down or stops working, you call the home warranty company providing that you required one at close of escrow.
l Your home warranty company will call a service provider it has a business arrangement with within your service area.
l The service provider representative will call you to make an appointment.
l The service provider will fix the problem. If an appliance or system is malfunctioning and can’t be repaired, depending on your contract coverage, your home warranty company will pay to replace and install the appliance.
l You will pay a small trade service fee (usually less than $100).
What’s not covered? Check your specific policy, but in general: l Outdoor items such as sprinklers l Faucets l Refrigerators, washers, dryers and garage door openers l Spas and pools, unless specific coverage requested l Permit fees l Haul away's.
What can cause denial of a claim? l Improper maintenance l Code violations l Unusual wear and tear l Improper installation, check with your representative for any other exclusions.
General coverage includes: l Air conditioning l Dishwashers l Doorbells l Furnace/heating systems l Water heaters l Duct work l Garbage disposals l Inside plumbing stoppages l Ceiling fans l Electrical systems l Range and oven l Telephone wiring.
Many times the seller will agree to provide coverage with an accepted offer, sometimes the buyer and seller will split the cost as well. Check again with your agent.