A home warranty is a service contract that covers the repair or replacement of certain appliances and systems in your home due to normal wear and tear. It can save you money and hassle when something breaks down unexpectedly in your home. However, not all home warranty companies are created equal. Some may have limited coverage, long waiting times, poor customer service, or low-quality contractors.
In this article, we will review Home Warranty American, a home warranty company that claims to offer affordable and reliable service to homeowners across the country. We will look at the following aspects of Home Warranty American:
- The history and background of the company
- The features and benefits of their plans
- The costs and fees involved
- The pros and cons of their service
- The customer reviews and ratings
- The comparison with other competitors
By the end of this article, you will have a clear idea of what Home Warranty American is, how it works, and whether it is worth considering for your home protection needs.
The History and Background of Home Warranty American
Home Warranty American (HWA) was founded in 2009 by a group of industry veterans who wanted to provide a better alternative to the traditional home warranty companies. Their mission was to offer comprehensive coverage, competitive pricing, fast service, and excellent customer care to homeowners across the nation.
According to their website, they believe that “homeowners deserve more than just a home warranty”. They argue that most home warranty companies have hidden fees, exclusions, limitations, and poor service quality that leave customers frustrated and dissatisfied.
To address these issues, Home Warranty American offers transparent and flexible plans that cover most major appliances and systems in the home. They also provide 24/7 customer support, online account management, and a network of over 40,000 pre-screened contractors who can handle any repair or replacement request.
Home Warranty American is currently available in 49 states (excluding Alaska) and the District of Columbia. They have served over 500,000 customers and have paid over $100 million in claims.
The Features and Benefits of Home Warranty American Plans
Home Warranty American offers three types of plans: Standard Plan, Premium Plan, and Platinum Plan. Each plan covers different items in the home and has different coverage limits. Customers can also add optional items to their plans for an additional fee.
Here is a summary of what each plan covers:
|Item||Standard Plan||Premium Plan||Platinum Plan|
|Air Conditioning System||$1,500||$1,500||$1,500|
|Microwave Oven (Built-in)||–||–||$250|
|Trash Compactor (Built-in)||–||–||$250|
Here are some of the optional items that customers can add to their plans:
- Pool/Spa Equipment ($150)
- Septic System ($100)
- Well Pump ($100)
- Roof Leak Repair ($100)
- Garage Door Opener ($50)
- Ceiling Fan ($50)
Some of the benefits of Home Warranty American plans are:
- They cover both repair and replacement costs up to the specified limits.
- They do not require proof of maintenance or inspection records for the covered items.
- They do not have age or model restrictions for the covered items.
- They do not charge extra fees for permits or disposal.
- They allow customers to transfer their plans to new owners if they sell their homes.
The Costs and Fees Involved with Home Warranty American
The costs and fees involved with Home Warranty American depend on the plan chosen, the location of the home, and the number of service requests made. Generally speaking, the annual premiums range from $350 to $550 for the standard plan, from $450 to $650 for the premium plan, and from $550 to $750 for the platinum plan. The optional items cost extra depending on the item.
The service fee is the amount that customers pay to the contractor for each service request. It can vary from $75 to $125 depending on the plan and the contractor. Customers can choose to pay a higher or lower service fee when they purchase their plans. A higher service fee means a lower annual premium and vice versa.
Home Warranty American also offers discounts for customers who pay their premiums annually or biannually instead of monthly. They also offer discounts for customers who purchase multiple plans for multiple properties.
The Pros and Cons of Home Warranty American Service
Like any other service provider, Home Warranty American has its pros and cons. Here are some of the advantages and disadvantages of their service:
- They offer affordable and competitive pricing for their plans
- They offer transparent and flexible coverage for most major appliances and systems in the home
- They offer 24/7 customer support, online account management, and a network of over 40,000 pre-screened contractors
- They have a simple and straightforward claims process that does not require lengthy paperwork or phone calls
- They are not available in Alaska, which limits their reach and accessibility
- They have some exclusions and limitations in their coverage, such as cosmetic damage, pre-existing conditions, improper installation, code violations, and manufacturer’s warranty
- They have a cap on the number of service requests per year, which is 10 for the standard plan, 15 for the premium plan, and 20 for the platinum plan. If customers exceed this limit, they will have to pay out of pocket for any additional services
Read more about Home Warranty Division: What You Need to Know
The Customer Reviews and Ratings of Home Warranty American
One of the best ways to evaluate a service provider is to look at what their customers have to say about them. Home Warranty American has received many reviews and ratings from various sources, such as online platforms, social media, blogs, and forums. Here are some of the common themes and sentiments that emerge from these reviews:
- Most customers are happy with the affordability and flexibility of the plans. They find that Home Warranty American offers reasonable prices and comprehensive coverage for their home protection needs
- Most customers are satisfied with the speed and efficiency of the claims process. They report that Home Warranty American responds quickly to their requests and pays the contractors promptly
- Most customers are pleased with the customer service and communication. They feel that Home Warranty American is friendly, helpful, and professional in handling their concerns or questions
- Some customers are unhappy with the exclusions and limitations of the coverage. They complain that Home Warranty American does not cover certain items or situations that they expected to be covered
- Some customers are unhappy with the service fee or the annual premium. They feel that Home Warranty American charges too much for their services or changes their prices without notice
- Some customers are unhappy with the quality or availability of the contractors. They feel that Home Warranty American does not have enough contractors in their area or that the contractors are rude, unskilled, or unreliable
Overall, Home Warranty American has received mostly positive feedback from its customers. It has an average rating of 4 out of 5 stars on Google, 4.1 out of 5 stars on Trustpilot, and 4.2 out of 5 stars on Facebook. It also has an A+ rating from the Better Business Bureau, although it is not accredited by them.
The Comparison with Other Competitors
Home Warranty American is not the only home warranty company in the market. There are many other competitors that offer similar or different services to customers. Here are some of the main competitors that Home Warranty American faces:
- American Home Shield: This is one of the oldest and largest home warranty companies in the industry. It offers four types of plans: Appliances Plan, Systems Plan, Combo Plan, and Build Your Own Plan. It covers most major appliances and systems in the home as well as some optional items. It has a network of over 15,000 contractors across the country. It charges an annual premium of $300 to $600 and a service fee of $75 to $125.
- Choice Home Warranty: This is another popular home warranty company that offers two types of plans: Basic Plan and Total Plan. It covers most major appliances and systems in the home as well as some optional items. It has a network of over 10,000 contractors across the country. It charges an annual premium of $400 to $500 and a service fee of $85.
- Liberty Home Guard: This is a relatively new home warranty company that offers three types of plans: Appliance Guard, Systems Guard, and Total Home Guard. It covers most major appliances and systems in the home as well as some optional items. It does not have a network of contractors, but allows customers to choose their own licensed contractors for all services. It charges an annual premium of $500 to $800 and a service fee of $60 to $125.
Home Warranty American is a home warranty company that offers affordable and reliable service to homeowners across the country. It offers transparent and flexible plans that cover most major appliances and systems in the home. It also provides 24/7 customer support, online account management, and a network of over 40,000 pre-screened contractors