7 Best Home Warranty Companies in Columbia, MO

How Does a Home Warranty Work?

A home warranty is a protection policy that helps Columbia homeowners lower the costs of appliance and system repairs. The plans offer coverage to repair or replace 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 fix or replacement. Homeowners may have out-of-pocket costs only if the cost of repair or replacement goes over the item's coverage limit. A home warranty plan gives homeowners peace of mind and can help avoid costly 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 need a home warranty.

What Does a Home Warranty Cover?

Home warranties protect many household systems and appliances. Typical covered appliances include refrigerators, dishwashers, garbage disposals, microwaves, dryers, washers, and more. Covered systems include plumbing, heating, air conditioning, and electrical. Many home warranty plans offer extra coverage for septic systems, roof leaks, central vacuums, and even locksmiths. Columbia homeowners should know that most home warranty plans have a 30-day waiting period before repairs are covered. Additionally, most policies only address repairs and replacements due to normal wear and tear. Home warranties don't include pre-existing conditions, natural disasters, cosmetic issues, or misusing a system or appliance. Remember to keep up with preventative maintenance to help ensure your next repair or replacement is covered.

Key Home Warranty Terms to Know

Home warranty contracts use several terms that you'll want to know before signing, such as:

• Coverage limits: How much money your warranty provider will pay for specific repairs or replacements. Check limits on repairs for things like roof leaks, air conditioning units, and appliances.
• Contract rate: A pre-negotiated rate that your home warranty provider has worked out with contractors. This rate is typically less than what you would pay retail.
• Service fee: The amount you pay our of pocket per claim for access to a contractor and repair coverage.
• Trade call fee: An added fee that you'll sometimes need to pay for appliance-related claims.
• Deductible: The amount you pay toward a covered repair before the warranty covers the rest. Some plans have per-claim or yearly deductibles.
• Endorsements: Optional add-on coverage for systems such as well pumps, septic, pools and more. Endorsements typically come with an additional fee.
• Claim approval: The process by which your provider determines whether a requested repair or replacement is covered under your warranty.

Keeping these terms and key factors in mind will help you understand a home warranty contract and select a plan that's tailored to protect your most important home systems. Discuss specifics of coverage with potential companies during the quote process to avoid unexpected fees.

Key Factors in Choosing a Home Warranty Company

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

Coverage Options

Home warranties differ greatly in the items covered. Basic policies typically include AC, heating, electrical, plumbing, and appliances, while more comprehensive plans may also cover roof leaks, pools, spas, and well pumps. Look for companies with varied coverage options, including upgraded plans. This allows you to tailor protection to your home's needs.

Service Fees

Homeowners should anticipate paying a $60–100 service fee when filing home warranty claims. These per-repair charges can potentially accumulate over time, so some homeowners prefer using companies with more affordable per-claim fees to maximize savings. Some providers also offer disappearing deductibles if a customer doesn't submit any claims in a set timeframe.

Reputation

A home warranty provider's reputation provides insight into things such as contractor quality, approval rates, repair timeliness, and customer service. Check review platforms such as the Better Business Bureau (BBB), TrustPilot, or Google Reviews to research providers. Positive ratings and feedback indicate a company known for exceptional service.

Contractor Network

Home warranty providers keep networks of professionals to handle covered repairs. Wider networks increase the likelihood of getting qualified technicians to service your home ASAP. Reach out to potential providers and ask how many contractors they have in Columbia to get a sense of how soon your repairs could happen in an emergency.

Added Benefits

Some home warranty providers may include perks such as energy efficiency upgrades, reduced maintenance fees, and smart home device coverage. These extras can offer extra value beyond just repair coverage. Added bonuses allow you to enhance your home and get the most from your warranty policy.

Is a Home Warranty Worth it in Columbia?

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Benefits of a Home Warranty

Since temperatures in Columbia can be quite hot in the summer, the weather can put a lot of strain on your air conditioning unit and HVAC system. Purchasing a home warranty can help homeowners save money if one of these systems or appliances breaks suddenly.

A home warranty also can also save you time and energy. Instead of spending hours researching and selecting a contractor to fix your appliance or system, home warranty providers do the hard work for you and send a trusted professional to your door whenever you need them. Another good thing about having a home warranty is if you want to sell your home, some providers let you transfer your home warranty to the new owners. This can make your house more attractive to potential homebuyers and help your house sell faster.

Downsides of a Home Warranty

One drawback of getting a home warranty is that there are often exclusions. For example, if you already have a manufacturer's warranty on one of your appliances, it may be excluded from the home warranty, so it’s important to read over any contracts you’re considering carefully to understand what is included and what isn’t.

Another drawback is that home warranties may exclude some repairs, like those needed because of natural disasters. For example, if your house floods, the impacted systems and appliances most likely won’t be covered by the home warranty.