Does a Home Warranty Cover My HVAC?
A home warranty can provide excellent protection when unexpected issues arise in a home. Sometimes the seller of a house includes a home warranty that is transferred to the new buyers, but you can also opt to purchase your own home warranty at any time. However, if you have never had a home warranty, you may be confused about what the warranty covers and how to use it. One of the most common questions that people have is whether or not a home warranty covers an HVAC system.
In most cases, home warranty plans do cover a home’s HVAC system. While the majority of companies include this coverage in standard plans, there are some companies that require customers to add HVAC coverage onto an existing plan.
In addition to providing HVAC coverage, a comprehensive home warranty usually also covers the electrical system, plumbing system, ductwork, water heater, and other major appliances in a home. Many people opt to purchase a home warranty plan because it provides great peace of mind for homeowners.
Stipulations for HVAC Coverage Through a Home Warranty Plan
It is important to note that some home warranty plans may include stipulations in order for an HVAC system to be covered. One common stipulation is that the HVAC system must be properly maintained. This can include yearly inspections and tune-ups by an HVAC technician. This means that if a home warranty plan has this type of clause, repairs to the HVAC system may not be covered if the system has been neglected for years.
If you purchase a home warranty plan, make sure that you know whether or not your plan includes any stipulations. In the event that it does, make it a point to stay on top of required maintenance so you do not invalidate the warranty coverage. When a home warranty is transferred to you through the sale of a home, ask the sellers to provide maintenance records so you have proof that the HVAC system has been maintained.
HVAC Replacements and Home Warranty Plans
Ideally, a properly maintained HVAC system will last for many years. But all HVAC systems age and eventually need to be replaced. One of the big questions that homeowners have is whether or not a home warranty plan will cover the cost of having a new HVAC unit installed.
Typically, a home warranty company will cover the cost of having the system repaired if it is still possible to fix. You should expect all different repair options to be explored before contacting your home warranty company to inquire about having your HVAC system replaced.
You should not expect your home warranty plan to cover the cost of a new unit simply because it is old and no longer as energy efficient as it used to be. But if your HVAC system fails and cannot be repaired during the warranty period, your home warranty plan will most likely cover the cost of purchasing a new HVAC unit and having it installed by a professional.
Understanding Costs Associated With Your Home Warranty Plan
A comprehensive home warranty plan usually costs between $300-$600 per year, and many people opt to pay monthly premiums to make purchasing the plan more affordable. If your HVAC system is not working properly and you need it to be repaired, you need to know that you will be responsible for some small fees on top of the cost of the home warranty plan.
There are some home warranty companies that have deductibles, so you will be responsible for paying the deductible amount before the home warranty company begins covering the cost of repairs. However, the more common method used with home warranty plans is a service fee for each claim made. On average, a service fee ranges from $75 to $125. When you need your HVAC system repaired, all you will be responsible for paying is the service fee—your home warranty company will cover the rest of the costs associated with the repair, including parts.
In conclusion, a home warranty can be a great investment for any homeowner who wants to ease their mind about how they’ll cover the costs of wear and tear to their household systems, including their HVAC system.