What a Home Warranty Covers and How Long It Lasts

Family at their home

Home warranty plans protect homeowners from the cost of repairing or replacing major home systems and appliances. Depending on the specific policy, these plans may cover items such as plumbing, electrical wiring, heating and cooling, and major appliances like refrigerators and washing machines. 

It’s important to read the service contract to understand what is covered and what’s not, as well as any terms, limitations, and exclusions in the policy. Knowing what your home warranty covers can help you choose the best plan for your home repair needs.

What Is a Home Warranty?

A home warranty is not the same as homeowners insurance, which covers damage from storms, fires, and vandalism. Homeowners’ insurance will not cover repairs or replacements for home appliances and systems that break from normal wear and tear. A home warranty plan protects these items so that if they break down or malfunction, the home warranty company will cover the cost of repairs or replacements minus a service call fee.

What Does a Home Warranty Typically Cover?

A home warranty is a service contract where a homeowner pays a fee to the home warranty company for the protection of home systems and appliances such as plumbing, electrical wiring, heating and cooling, and major appliances such as refrigerators, water heaters, and washers. If these items break down, the home warranty company will cover the cost of eligible repairs or replacements minus the service call fee. This differs from homeowners insurance which covers damage from storms, fires, and vandalism.

What Does a Home Warranty NOT Cover?

A home warranty agreement between a homeowner and a home warranty company provides coverage for certain home repairs and replacements. It is important to read the details of the contract carefully, as it may not cover pre-existing damage, repairs due to normal wear and tear, or certain appliances. Additionally, there are limits on the amount the warranty company will pay for repairs and a service fee or deductible.

This warranty does not cover any additional appliances, items that are not large appliances, parts or components of the appliance, breakdowns caused by lack of proper care or maintenance, damage caused by incorrect installation, repairs or modifications, malfunctions caused by sediment, rust or corrosion, structural features of the home such as floors, windows, and doors, and damage from mold, wood rot, or roof leaks.

How Long Does Home Warranty Last?

A home warranty contract typically lasts for a period of one to three years. You can get a discount if you pay the entire warranty cost upfront. You can get an additional discount if you have a longer contract. Companies may even allow you to combine these discounts to make the cost of your home warranty more affordable.


A home warranty covers many appliances and systems in a home and can protect homeowners from costly repairs. Homeowners should do their research to determine which type of warranty is best for their needs and budget. Furthermore, it is important to read the fine print and understand what the warranty does and does not cover. With a home warranty, homeowners can rest assured that their investments are protected and can enjoy peace of mind for the long term.

Home Membership provides home warranties made easy. Experience membership benefits and protection for your home—so you can enjoy the things you love more. Our plans let you customize how much protection you need and tell you upfront which costs are covered—so you never get stuck with unexpected charges. Plus, all membership levels include free perks, discounts, and tips to make home ownership easier and more rewarding. If you want to get a home warranty in Louisville, KY, or anywhere in the United States, we’ve got you covered! Check out our plans and pricing now!