Appliance Warranty vs. Home Warranty: What Is the Best Option?

An appliance warranty and home warranty are alike in many ways. In some cases, people will use these terms interchangeably. The question is which one is the right option for a homeowner?

When it comes time to choose between an appliance warranty and a home warranty, knowing what each one offers is essential. Keep reading to learn more about each of these and how to select the option that is right for a homeowner and their situation.

The Home Warranty Defined

Now it is time to learn a bit more about the home warranty. This is a type of service contract that is used to provide ongoing maintenance and repairs for specific home appliances and major home systems. The homeowner will pay a monthly fee to keep their home warranty active. If one of the items covered in the warranty malfunctions or breaks, the homeowner can simply file a claim with the warranty provider.

With this type of model, a warranty provider is going to provide coverage for all labor and parts that are involved with the repairs provided. When homeowners opt for this type of warranty, they are preparing for a surprise or sudden expense. They can also avoid having to pay the full fee for the appliance or system that has broken or malfunctioned. In the long run, the right home warranty will help homeowners save a large amount of money.

In most cases, the home warranty will not be a one-size-fits-all product. The plans can be adjusted to provide coverage for some appliances and systems while excluding others. There are some appliances and systems that are more commonly covered than others. Some of the most commonly covered appliances and systems include water pumps, washing machines, water softeners, dryers, air conditioning, and heating systems, refrigerators and freezers, ventilation systems, lighting fixtures, ranges, electrical wiring, ovens, plumbing fixtures or systems, cooktops, and built-in microwaves.

It is not an uncommon thing for a homeowner to make an adjustment to their home warranty to cover other items. Some of the other items that may be covered include televisions, audio equipment, and several other types of electronics.

Put simply, a home warranty is an all-encompassing, comprehensive policy that is designed to provide coverage for several needs that are around or in a home. A broader home warranty may include appliance warranty coverage along with systems warranty coverage.

The Home Appliance Warranty Defined

Another option to consider is the home appliance warranty, which may also be called a household appliance warranty. It is like the home warranty mentioned above, but it is not all-encompassing or comprehensive like the other.

There are some people who will use the term “appliance warranty” when they are referring to the product’s manufacturer’s warranty. The manufacturer’s warranty is what is provided by the item’s actual manufacturer. It is essentially a guarantee that the product is going to work as intended for a specific amount of time. Usually, these warranties will be good for about two to four months for smaller appliances. For major appliances, the warranty may last for several years.

If the product breaks down or malfunctions, and after an inspection is diagnosed as being defective within the set amount of time included on the manufacturer’s warranty, then the company is responsible for paying to have it repaired or to have it replaced. This will be provided at no cost to the owner.

A real appliance warranty is not the same as the manufacturer’s warranty that is described above. Instead, it is more like the home warranty mentioned above. It is an actual service contract.

Extended Appliance Warranties

In some situations, a homeowner may require an appliance warranty that is sold and described as being an extended home warranty or it may be referred to as an extended warranty for the household appliances. The reason for this is because the appliance warranty is providing coverage after the manufacturer’s warranty has expired.

Since an appliance warranty is usually included under the umbrella of a more general type of home warranty, there are home warranty providers who also offer customers an appliance warranty. With this, it lets homeowners purchase the appliance coverage without buying the system’s coverage, too.

Sometimes, an appliance manufacturer is going to provide unique extended appliance warranties. While this is true, they may be underwritten by a third-party company. For example, Sony and Samsung will provide extended warranties for several of the products they sell.

One of the benefits offered by the OEM-based warranty is that the owner will have access to a technician that has been certified by the company. The biggest downside of this is that it is necessary to keep up with several policies if they need coverage for other appliances that have a different manufacturer. An OEM plan may also be more expensive and not as comprehensive than a plan that is provided by the home warranty company.

Selecting The Right Warranty: Appliance Extended Warranty Or Home Warranty?

The question that each homeowner has to figure out for themselves is which warranty option is right for them -; the extended appliance warranty or the home warranty. If a homeowner is interested in bundled and all-inclusive coverage for many home systems and appliances, the home warranty is the best option. If someone needs extended coverage for just one appliance, then the extended appliance warranty is usually going to be the best option.

In either situation, a homeowner can feel confident that they have extended coverage for their home systems and appliances when they make this investment. It is necessary to find a quality warranty company, as this is going to impact the type and level of coverage that is provided. Being informed and knowing what each option offers is one of the best ways to ensure that the desired results are achieved. Keep in mind, not all warranties are the same, which means it is necessary to consider the options and find out which one is going to provide the best level of coverage.

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