6 Best Home Warranty Companies in Lowell, MA

How Does a Home Warranty Work?

A home warranty is a protection plan that assists Lowell homeowners cut the costs of appliance and system repairs. The plans offer financial coverage to fix or replace appliances and systems that malfunction due to normal wear and tear. When something breaks down, you file a claim and pay a service fee. The home warranty company then arranges a contractor to handle the repair or replacement. Homeowners may have out-of-pocket costs only if the repair or replacement goes over the item's coverage limit. A home warranty plan gives homeowners peace of mind and can help avoid expensive emergency repairs. They can be especially helpful for buyers of older homes or homes with systems near the end of their life span. However, newer homes with modern appliances and fixtures may not require a home warranty.

What Does a Home Warranty Cover?

Home warranties safeguard both your home systems and appliances. Common covered appliances include microwaves, refrigerators, washers, dishwashers, garbage disposals, dryers, and more. Covered systems include air conditioning, heating, electrical, and plumbing. Many home warranty plans offer additional add-on coverage options for locksmiths, central vacuums, septic systems, and even roof leaks. Lowell homeowners should know that most home warranty plans begin with a 30-day waiting period before repairs are covered. What's more, most policies only address repairs and replacements resulting from normal wear and tear. Home warranties don't include cosmetic issues, natural disasters, pre-existing conditions, or misuse of a system or appliance. Make sure to keep up with preventative maintenance to help make sure your next repair or replacement is covered.

Key Home Warranty Terms to Know

There are several home warranty terms to learn before signing an agreement, including:

• Service fee: The out-of-pocket cost you pay per claim for access to a contractor and repair coverage.
• Endorsements: Additional coverage for systems like septic, pools, and well pumps, which usually comes with a fee for each add-on.
• Claim approval: The process by which your provider determines whether a requested repair or replacement is covered under your warranty.
• Contract rate: The rate that your home warranty provider has pre-negotiated with its contractors. Normally, this rate is lower than what you'd pay retail.
• Trade call fee: An added fee that you'll sometimes need to pay for appliance-related claims.
• Deductible: How much you pay for a covered repair before your warranty covers the rest. Deductibles can be per-claim or yearly.
• Coverage limits: How much money your warranty provider will pay for specific repairs or replacements. Check limits on repairs for things like air conditioning units, roof leaks, and appliances.

With these terms and key factors in mind, you'll be able to understand pricing and choose a home warranty customized to protecting your most essential home systems. When getting a quote, make sure you review coverage details with potential companies, so you don't encounter any unexpected fees.

Key Factors in Choosing a Home Warranty Company

There are several important considerations when choosing a home warranty provider:

Coverage Options

Home warranty coverage can have major differences in what's included. Most plans cover electrical, AC, plumbing, heating, and appliances. More comprehensive plans also cover other items such as pools, roof leaks, well pumps, and spas. Focus on companies with an expansive array of coverage choices including upgraded plans. This flexibility enables you to customize your plan to meet your home's needs.

Service Fees

You'll pay a standard service fee of around $60 to $100 for each claim filed with your home warranty provider. These per-claim charges can quickly add up, so you may look for companies advertising lower service fees to optimize savings on each repair claim. Certain companies may eliminate deductibles if homeowners don't submit any claims within a set period of time.

Reputation

A home warranty company's reputation gives insight into things such as claim approval rates, timeliness of repairs, contractor quality, and overall customer satisfaction. Look at third-party review sites such as the Better Business Bureau (BBB), Google Reviews, or TrustPilot to research providers. Favorable ratings and reviews indicate a company known for stellar service.

Contractor Network

Home warranty companies maintain networks of professionals to handle covered repairs. More extensive networks increase the probability of getting qualified technicians to quickly service your home. Ask potential providers how many contractors they have in Lowell to get a sense of how soon your repairs could happen in an emergency.

Added Benefits

Home warranty providers may include bonuses such as maintenance discounts, energy efficiency upgrades, and coverage for smart home devices. These add value beyond basic repair coverage. Additional perks help maximize the usefulness of the home warranty.

Is a Home Warranty Worth it in Lowell?

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Benefits of a Home Warranty

Temperatures in Lowell can vary greatly throughout the year, which means your air conditioner and heating systems are most likely going to get a decent amount of use. As a homeowner in Lowell, one of the benefits of having a home warranty is that these home systems and major appliances can be covered in the event they need to be repaired or replaced.

Not only can a home warranty save you money on repairs and replacements, it saves you time too. Instead of needing to vet contractors by yourself, home warranty providers do the work for you and send pre-screened technicians right to your door when you need them. Another added benefit of having a home warranty policy is that it can raise your home’s property value. If you ever decide to sell your house, you may be able to transfer your home warranty plan to the new homebuyer depending on the provider you have your home warranty with.

Downsides of a Home Warranty

There are also some negatives to getting a home warranty policy, like the coverage exclusions. For instance, home warranties may not cover systems or appliances that are already covered under a manufacturer's warranty.

Another thing to consider is that some companies don’t cover pre-existing damage and may require an inspection before coverage begins. Ask the home warranty company for clarification about it if you need more information or if this is an issue for you.