What’s Covered Under a Home Warranty — and What’s Not (2025 Update)
A home warranty can provide additional protection for essential home systems and appliances. While it doesn’t cover every household element, it can help renters or homeowners manage repair, replacement, and maintenance costs.
If you’ve been curious about home warranties and whether it’s worth investing in coverage, here’s your comprehensive overview on what is and isn’t covered by these plans.
What Is a Home Warranty and How Does It Work?
Home warranties are optional service contracts that help cover the costs of repairs and replacements of essential home systems and appliances due to natural wear and tear. They typically require an annual fee of a few hundred dollars or more (depending on coverage). To activate coverage, you must submit a claim and call your warranty provider, who will dispatch a contractor.
However, the repairs or replacement services aren’t free. Homeowners must pay a service or trade fee when submitting a claim.
What Do Home Warranties Cover in 2025?
A home warranty covers two categories of repairs and replacements due to normal wear and tear: basic home systems and appliances.
Basic Home Systems:
HVAC: Heating, cooling, and ductwork
Electrical: Wiring, panels, and outlets
Plumbing: Fixtures, pipes, and water heaters
Built-in Appliances: Garbage disposal
Appliances
Kitchen appliances: Oven, stove, refrigerator, microwave. However, appliances not integrated into the home, like the EcoFlow GLACIER Classic Portable Refrigerator Freezer, will likely not be covered.
Laundry: Washer and dryer are often an optional add-on to standard coverage.
Garage door: Opener and mechanical components.
Ceiling fans: Both electrical and motor maintenance.
What’s Typically Not Covered by a Home Warranty?
Other elements may seem like essential home systems or equipment, but do not qualify for home warranty coverage. These may include:
Pre-existing conditions: Any issues that existed before purchasing the warranty
Damage caused by neglect or misuse: Improper installation or damage beyond normal wear and tear.
Cosmetic issues: Dents, scratches, etc., on appliances or fixtures.
Structural elements of the home: Roofs, windows, doors, walls, solar panels, or home solar systems like the EcoFlow DELTA 3 Plus Solar Generator (PV220W).
Damage from acts of nature, such as roof leaks from heavy rain or destruction from hurricanes, floods, etc.
Many people get confused about what systems a home warranty covers. While HVAC and electrical are covered, other systems like a whole-home battery backup, household water filter, or security system aren’t covered.
Thankfully, despite the significant initial cost of a whole-house battery backup, these systems require little to no maintenance, helping to manage ongoing costs.
What Should You Look for in a Home Warranty Plan?
Shopping for a reliable home warranty plan requires careful examination of contracts and consideration of all options available.
Types of Plans
Basic plans may only cover HVAC, electrical, and plumbing. They have a lower annual cost between $300 and $500 and are ideal for newer homes with new and reliable appliances.
Premium plans may include both systems and appliances. They have a higher annual cost, around $500 to $800, but they have much more comprehensive coverage.
Appliance-only plans are also an option for covering kitchen appliances and laundry machines. These plans have the lowest cost, around $200 to $400 annually. If you’re a renter or own a condo, this plan will cover what you’re responsible for without unnecessary coverage for elements managed by the landlord or complex.
Though rare, some modern plans may offer add-on coverage for items like the EcoFlow DELTA Pro 3 Solar Generator (PV400W), solar panels, pool equipment, septic systems, or additional refrigerators.
Coverage Limits
Plans will have varying coverage limits, as caps for individual items and aggregate or total limits. Per-item caps may be in the $1,000 to $5,000 range for appliances, HVAC systems, water heaters, and electrical panels.
Aggregate limits cap the total amount the warranty will pay yearly on repairs or replacements. There may also be category limits, such as a $10,000 limit for appliances. Check to see if there’s a difference between your replacement and repair caps.
Certain conditions or appliance age may also restrict total coverage amounts. For example, appliances over 10 years old may have lower coverage limits.
Service Fees
Home warranty coverage does not equate to free service repairs or replacements. Standard fees are around $75 to $125 per service call, and payment is due at the time of service. You’ll be responsible for paying this fee whether the repair was successful or not.
Fee structures aren’t always straightforward. Some may employ variable fee structures, with tiered pricing that includes higher costs for complex systems. Others may use flat fees or charge a percentage of the repair cost.
EcoFlow DELTA Pro 3 Solar Generator (PV400W)
Contractor Network
Consider what contractors will be available for your service calls when the time comes. National warranty providers tend to have larger contractor networks. Contractors will be easier to access in urban or suburban areas than in rural areas.
Response Times
You won’t want to wait long for a repair or replacement when something is broken or damaged. The contracted response time guarantees the timeframes for contact and service. A 24-48 hour window is standard for initial contact, with same-day service for emergency repairs or service within 2-7 days for non-emergency scenarios.
Renewal Terms
At the point of renewal, you’ll want to know the fine print. Will your rate increase each year? This is common, but increases beyond 5-15% are not. Ensure you can change your terms at renewal, but be aware of whether the warranty provider has the right to increase service fees, add new exclusions, or adjust your coverage limits.
Is there auto-renewal available? Are there benefits to enrolling in it? Are they required to alert you to rate changes? Get these kinds of questions answered.
Frequently Asked Questions
What’s the Difference Between a Home Warranty and Homeowners Insurance?
Homeowners' insurance protects you from damage due to perils like fire, theft, hurricanes, or hail. A home warranty covers your basic home systems and appliances for everyday wear and tear and aging. Homeowner’s insurance requires you to meet your deductible, while a warranty requires you to pay service fees when submitting a claim.
Are Smart Home Devices Covered Under a Home Warranty?
No, smart home devices are not covered under a home warranty. However, some newer providers may include smart home coverage options for things connected to basic home systems, including smart thermostats, water heaters, garage door openers, and appliances.
Home Warranties Provide Peace of Mind
Home warranties provide additional coverage beyond homeowner’s insurance, protecting basic home systems, such as HVAC and electricity, and appliances from normal wear and tear. It’s important to understand that they do not cover structural elements like roofs, windows, or add-ons like solar panels. However, you may be able to find manufacturer warranties on solar equipment like the EcoFlow DELTA 3 Plus Solar Generator (PV220W) to cover these items.