Home repair insurance—also known as a home warranty—is an optional service agreement that saves homeowners money on repair and replacement costs when a household appliance or system fails or malfunctions. Covered items typically include clothes washers and dryers, dishwashers, refrigerators, HVAC, electrical, plumbing, and more. Homeowners use these machines on a daily basis—sometimes several times a day, so it’s inevitable that they will eventually wear down and break. And when they do, it’s expensive and stressful.
There are different types of home protection plans that can cover costly home repairs—home repair insurance or a home warranty, homeowners insurance, utility insurance, and a manufacturer’s warranty. They all sound similar, but each is useful in different scenarios. Read our guide below to learn about all four insurance plans—from cost and coverage to the best home warranty companies and answers to customers’ frequently asked questions—and find out how to choose the right home repair plan for you.