Cheapest Home Warranties of 2022

A home warranty can provide peace of mind that your essential home systems and appliances are covered should they fail due to normal wear and tear. With a quality home warranty plan, you’ll avoid paying out of pocket for expensive repairs and replacements and receive service from a vetted technician.

While the home warranty market is saturated, there are many providers that offer a balance of affordable and comprehensive coverage. However, searching through a variety of home warranty companies and comparing quotes can become a tedious process.

To help you in your search, we researched the best home warranty companies and compared their cost and coverage details. For consistency, we received quotes from each provider for a three-bedroom home in Raleigh, North Carolina, with a 27610 ZIP code.

In This Article: 

1. Best Overall: American Home Shield

2. Best Value for Shoppers: Select Home Warranty

3. Most Comprehensive Claim Coverage: First American Home Warranty

4. Best Add-On Coverage: ServicePlus

Today’s Homeowner works with an independent reviews team to create evidence-based research that helps our readers make informed decisions. The reviews are always independent. For transparency, we may be compensated if you purchase through a link.

#1 Best Overall: American Home Shield

American Home Shield has been a leader in the home warranty industry for more than 50 years, serving customers throughout the continental United States and Hawaii. The provider is known for its comprehensive offerings and online portal, which makes tracking claims and receiving status updates simple.

American Home Shield provides customers with three protection plan options that cover major home systems and appliances, including your heating, electrical and ductwork. The variety in AHS’ offerings allows customers to pay for only what they need, helping homeowners save money while protecting their home’s essentials.

Plan & Cost Breakdown

American Home Shield offers three different plan options: ShieldSilver, ShieldGold and ShieldPlatinum. Take a look at the cost and coverage breakdown of each plan below.

American Home Shield also offers a handful of additional coverage options, listed below:

• Electronics protection plan
• Pool or spa
• Guest unit less than 750 square feet
• Septic pump
• Well pump

It’s important to point out that the cost of your American Home Shield plan will vary based on a number of factors, including your location and selected plan. Additionally, while American Home Shield isn’t the most affordable provider on this list, its combination of comprehensive coverage and fair pricing makes it an excellent choice for people who want extensive protection for both systems and appliances.

Additionally, American Home Shield is one of the few providers that allows you to select your own service fee. The company gives customers the option of a $75, $100 or $125 service fee, with a higher fee reducing your monthly premium and a lower fee increasing it. American Home Shield also has rolling promotions to help you save money. For example, at the time of this article, we talked to a customer service representative who offered us $100 off of our selected plan.

If you’re interested in protecting your home with an American Home Shield plan, fill out this online form or contact a representative at 844-529-9298.

#2 Best Value for Shoppers: Select Home Warranty

Select Home Warranty provides homeowners with a variety of affordable plan options and charges a standard $75 service fee. The provider serves homeowners in all 50 states and allows customers to submit service requests online instead of by phone.

Select Home Warranty offers a variety of coverage options, including one plan for appliances, one for systems and one that protects both systems and appliances. Additionally, Select makes its plans even more affordable by offering free roof-leak coverage and two months of free service for new customers.

Plan & Cost Breakdown

Select Home Warranty has three different plan options: Bronze Care, Gold Care and Platinum Care. The cost of each plan and its covered items are detailed below.

Select Home warranty also offers many useful additional coverage options, listed below:

• Central vacuum
• Lawn sprinkler system
• Pool
• Roof-leak coverage
• Septic system
• Spa
• Stand-alone freezer
• Sump pump
• Well pump

While we listed approximate prices for each plan above, the cost of your Select Home Warranty coverage will vary based on your location and selected add-ons.

If you’re interested in a Select Home Warranty plan to protect your home’s essential systems and appliances, fill out this quick form or contact 888-370-3956.

#3 Most Comprehensive Claim Coverage: First American Home Warranty

First American Home Warranty offers the most comprehensive claims coverage on our list. Unlike many home warranty providers, First American Home Warranty doesn’t limit coverage on a system or appliance based on its age, as long as it doesn’t have pre-existing conditions.

In addition to its industry-leading claims coverage, First American Home Warranty gives its customers up to 60 days to add optional coverage to their plan. This includes the company’s First Class Upgrade, which covers the cost of certain services, such as hauling away an appliance or using a crane during installation.

Plan & Cost Breakdown

First American Home Warranty offers two affordable plan options: Basic Plan and Premier Plan. Take a look at each plan’s cost and coverage details below.

First American Home Warranty also gives its customers the option of choosing a variety of extra add-ons, listed below:

• Central air conditioning (electric)
• Additional refrigeration
• Pool and spa equipment
• Well pump
• First Class Upgrade
• Septic tank pumping system
• HVAC tune-up

Your quote from First American Home Warranty will vary depending on where you live, the coverage you select and your optional add-ons. However, the provider is one of the few in the industry that explicitly details its military discount. Both active and retired military personnel can receive up to $25 off their plan.

If you’re interested in a plan from First American Home Warranty, fill out this simple form or call a representative at 800-891-9778.

#4 Best Add-On Coverage: ServicePlus

ServicePlus, formerly known as Total Home Protection, has been in business for about four years but has already established itself as an affordable and reliable home warranty option. The company prioritizes customers with its 24/7 claims center and online customer portal, which simplifies the claims process.

ServicePlus also features a comprehensive 90-day parts guarantee and offers multiple plans that cover a variety of systems and appliances. The provider serves customers in 45 states, excluding California, Iowa, Nevada, New York and Washington.

Plan & Cost Breakdown

ServicePlus offers two different plan options: Gold Plan and Platinum Plan. Take a look at the coverage details and costs of both plans below.

ServicePlus also offers some of the most comprehensive additional coverage options, listed below:

• Pool/Spa
• Additional spa
• Limited roof-leak coverage
• Central vacuum
• Sump pump
• Well pump
• Septic system
• Septic pumping
• Second refrigerator
• Stand-alone freezer
• Water softener
• Refrigerator ice maker
• Freestanding ice maker
• Additional A/C system
• Additional heating system
• Additional water heater
• Additional garage door opener
• Additional oven/range/stove

The cost of your ServicePlus coverage will vary based on a variety of factors, including your location and selected optional coverage. Unlike other home warranty providers, ServicePlus doesn’t allow you to select your own service fee. However, its service fee of $75 is one of the lowest in the industry. Additionally, the provider allows customers to receive limited roof-leak coverage and two months free when they choose to pay for an annual plan in one lump sum.

If you’re interested in a free quote from ServicePlus, fill out this simple form or contact a representative at 478-210-5091.

Final Thoughts

If you’re looking for the right balance of affordability and comprehensive coverage, we recommend American Home Shield. While it doesn’t provide the most affordable coverage in this review, AHS offers a variety of plans that cover your home’s essentials and provides a flexible service call fee structure that allows you to lower or raise your monthly plan rate.

First American Home Warranty and ServicePlus are also both solid options for those who want more affordable coverage or a longer list of add-ons. Before buying a home warranty, we ultimately recommend getting quotes from at least three home warranty providers to compare coverage plans and pricing in your area.

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What Is a Home Warranty?

A home warranty is a service contract that helps pay for repairs or replacements when your major systems and appliances break due to normal wear and tear. Most home warranty plans last for one year and can be paid on a month-by-month basis.

What Does a Home Warranty Cover?

Most home warranty providers cover major home systems and appliances, such as your refrigerator, electrical system, plumbing, dishwasher, oven and stove.

Here’s a list of the items typically covered under a provider’s most comprehensive plan:

• Air conditioning system
• Heating system
• Electrical system
• Plumbing system
• Ductwork
• Water heater
• Refrigerator
• Oven/Range/Stove
• Cooktop
• Dishwasher
• Built-in microwave
• Garbage disposal
• Clothes washer
• Clothes dryer
• Garage door opener

How Much Does a Home Warranty Cost?

The cost of a home warranty will depend on a variety of factors, such as the coverage you select, your location and the add-ons you choose. However, a home warranty typically costs between $350 and $600 per year.

How Do I Find the Best Home Warranty?

If you’re on a budget, it’s understandable why you’d want to search for a cheap home warranty. However, it’s important to understand that the most affordable plan isn’t always the best. The companies above offer a solid combination of affordability and comprehensive coverage, though there are many providers on the market that offer limited coverage and have hidden exclusions.

Before you sign a contract, consider the following factors:

• Cost: Many providers offer a discount when you pay for a plan, while other companies will charge a higher service fee for a lower monthly payment. Collect quotes from multiple providers to ensure you’re receiving the best price.
• Coverage: Don’t purchase a home warranty that solely protects home systems when you need appliance protection—sign up for a home warranty plan that covers the items you need protection for most. Additionally, look into a provider’s add-on options, which you can purchase to supplement gaps in coverage.
• Exclusions: Many providers have coverage caps, which are the amounts a provider will pay to repair or replace a covered system or appliance during a contract term, and exclusions for specific systems and appliances. It’s important to review a company’s sample contract to parse through coverage limits and gaps before signing up for a plan.
• Customer service: Look into the hours of a company’s claim center and be sure to read customer reviews on trusted sites, such as the Better Business Bureau (BBB) and TrustPilot.

Are Home Warranties Worth It?

For a low monthly rate, a home warranty can help save you money on expensive repairs and replacements when your essential systems and appliances fail. This is particularly helpful to individuals who may not have a large emergency fund that can cover the cost of a repair.

Even if your systems and appliances are running smoothly, a home warranty can still be of benefit and save you money in the long run, particularly when it comes to finding a trusted service technician that can get the job done right.

Home Warranty Rating Methodology

To help you find the best home warranty, our reviews team researched numerous home warranty companies, analyzing their coverage plans, pricing and customer service, among other factors:

• Coverage: Home warranty companies that provide extensive coverage and protect important systems and appliances, including your air conditioning, refrigerator and heating, scored higher than companies with minimal coverage.
• Plan variety: A provider with more coverage plans allows for more flexibility among customers. In general, most home warranty companies provide an appliances-only plan, systems-only plan and combination plan.
• Pricing: We scored providers based on their monthly plan prices and service call fees compared to the industry average pricing. Companies with more affordable coverage received more points than companies with more expensive plans.
• State availability: Where you live will determine what companies are available in your area. Home warranty companies that covered more states received more points than companies with a limited state availability.
• Trustworthiness: There are some home warranty companies that are scams and don’t follow through on their service agreements. We rated companies based on their years of experience, ratings on the Better Business Bureau (BBB) and customer reviews.

To keep our data current, our team regularly updates the data points for each company to ensure their coverage offerings, pricing and availability are accurate.