6 Best Home Warranty Companies in Oakdale, MN

How Does a Home Warranty Work?

A home warranty is a protection plan that assists Oakdale homeowners in reducing the costs of appliance and system repairs. The plans offer financial coverage to swap out or repair appliances and systems that stop working due to normal wear and tear.

When something breaks down, you submit a claim and pay a service fee. The home warranty company then arranges a contractor to handle the replacement or fix. Homeowners may have out-of-pocket costs only if the cost of the repair or replacement goes over the item's coverage limit. A home warranty gives peace of mind to homeowners, as it helps prevent costly emergency repairs. Home warranties are especially useful for older houses or those with aging systems. New homes with modern appliances may not need a home warranty.

What Does a Home Warranty Cover?

Home warranties protect many household systems and appliances. Typical covered appliances are washers, microwaves, garbage disposals, refrigerators, dryers, dishwashers, and more. Covered systems include heating, plumbing, electrical, and air conditioning. Many home warranty plans offer extra coverage for septic systems, roof leaks, central vacuums, and even locksmiths. Most home warranty plans require Oakdale homeowners to refrain from making claims for 30 days before the plan will cover repairs. Moreover, policies typically only cover repairs and replacements resulting from normal wear and tear. Home warranties don't cover cosmetic issues, natural disasters, pre-existing conditions, or misusing a system or appliance. To help ensure your next repair or replacement is covered, keep up with preventative maintenance.

Key Home Warranty Terms to Know

Here are some key home warranty words to know before signing a contract:

• Service fee: The out-of-pocket cost per claim that you pay for contractor access and repair coverage.
• Coverage limits: The maximum dollar amount that your warranty provider will pay for certain repairs or replacements. Check your contract's limits on repairs for things like appliances, roof leaks, and air conditioning units.
• Trade call fee: An additional fee that some companies charge for appliance-related claims.
• Contract rate: The pre-negotiated rate a home warranty company has with its contractors. This rate is usually less than typical retail costs.
• Deductible: The amount you're responsible for before your warranty covers the remainder of the cost. Deductibles apply to covered repairs and may be on a per-claim or yearly basis.
• Claim approval: The process a provider uses to validate that a requested repair or replacement is covered under your plan.
• Endorsements: Optional add-on coverage for systems such as septic, pools, well pumps and more. Endorsements typically come with an additional fee.

If you remember these important factors, it’ll help you understand costs and select a home warranty tailored to protecting your most vital home systems. Make sure to talk to companies about the specifics of coverage during the quote process, so you can avoid unexpected fees.

Key Factors in Choosing a Home Warranty Company

When you're deciding on a home warranty provider, there are several key things to take into account:

Coverage Options

Home warranties have significant variation in what they include. Basic plans typically provide protection for AC, electrical, plumbing, heating, and appliances, while more comprehensive plans may also cover well pumps, roof leaks, spas, and pools. Look for providers with a range of coverage choices, such as upgraded plans. Flexibility helps you tailor your protection for your home’s needs.

Service Fees

With any home warranty claim, you'll pay a service fee that can range from $60 to $100, which is paid per repair request filed. The per-request costs can add up. You may decide to look for companies with more affordable fees to maximize your savings on each claim. Some firms also offer disappearing deductibles when customers go a period with no claims filed.

Reputation

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

Contractor Network

Home warranty providers maintain networks of professionals to handle covered repairs. Larger networks improve the likelihood of getting qualified technicians to promptly service your home. Contact potential providers to find out how many contractors they have in Oakdale to get a sense of how soon your repairs could happen in an emergency.

Added Benefits

Home warranty companies may offer extras such as energy efficiency upgrades, coverage for smart home devices, and maintenance discounts. These extras add value beyond basic repair coverage. Added perks can maximize the usefulness of your home warranty.

Is a Home Warranty Worth it in Oakdale?

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Benefits of a Home Warranty

Temperatures in Oakdale can drop to the negatives in the winter, which means your heating system is likely to get a decent amount of use. As a homeowner in Oakdale, one benefit of having a home warranty is knowing that these home systems and major appliances can be covered in the event they have to be repaired or replaced.

Not to mention, having a home warranty can save you time by removing the need to research technicians — most providers will send a trusted professional right to your door to carry out the repair or replacement. Another benefit of having a home warranty is while selling your home, some providers let you transfer your home warranty to the new owners. It can make your home more attractive to potential homebuyers and help your home sell faster.

Downsides of a Home Warranty

As for the drawbacks of home warranties, coverage varies by company, so it’s important to read what each policy covers and doesn’t include in the contract.

Another drawback is that home warranties may exclude some repairs, such as those needed because of natural disasters. For example, if your HVAC system is damaged from an animal infestation, the impacted systems and appliances most likely won’t be covered by the home warranty.