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Debunking 7 Common Misconceptions about Home Warranties

Home warranties have stood the test of time, shielding homeowners from the unwelcome burden of unexpected expenses that come with repairing or replacing household appliances and systems. Yet, despite their proven benefits, a cloud of misconceptions looms, casting shadows on the true value of these services. If left unchallenged, these myths can hinder your ability to reap the full rewards of a home warranty, and in the worst-case scenario, drain your hard-earned dollars.

But fear not, for we are here to shed light on the matter. Let’s uncover the hidden truths about home warranties and save you from the pitfalls of misinformation. Here are seven of the most common misconceptions about home warranties, debunked and explained in detail.

7 Myths about Home Warranties

Home Warranties are the Same as Home Insurance

Home warranties and home insurance are two very different things. Home insurance is a policy that covers damages to your home caused by natural disasters, fire, theft, and other accidents. On the other hand, a home warranty only covers expenses for damages to major home appliances.

According to Cinch Home Services (, a home warranty is designed to cover the repair or replacement of the systems and appliances in your home. It typically includes items like refrigerators, dishwashers, ranges, ovens, microwaves, washers, dryers, and garbage disposals, if they break down due to normal wear and tear.

Home Warranties are Expensive

Have you ever avoided purchasing a home warranty because you assumed it’s just as expensive as home insurance? Well, let me tell you that you can take off your top hat and monocle because home warranties are way more affordable than you think. You don’t need to be a millionaire to protect your home from unexpected breakdowns and repairs. In fact, the average cost of a home warranty is only around $550 per year, which is less than your monthly avocado toast budget.

Home Warranties Require a Lot of Paperwork

Don’t believe the hype about home warranties drowning you in a sea of paperwork and administrative nightmares. That’s as far from the truth as it gets. The process of claiming a home warranty is a breeze, plain and simple.

Picture this: You pick up the phone or hop online to submit a claim, and just like that, the wheels are set in motion. No need to dive into a labyrinth of paperwork or get entangled in a web of bureaucratic red tape. It’s like having a magical genie at your service, giving you peace of mind without the hassle.

Home Warranties are Only Needed for Old Homes

Another common misconception is that people often associate home warranties with older homes at a higher risk of breaking down. However, even new homes can benefit from a home warranty, especially if the home’s appliances or systems haven’t been thoroughly tested before you move in. So, new homeowners, don’t be afraid to consider a home warranty. It’s like a safety net for your home’s appliances and systems.

All Home Warranty Providers are the Same

Home warranties offered by different providers can be very different in terms of coverage, pricing, and terms & conditions. So, put on your Sherlock Holmes hat and do some investigating. With a little bit of research, you’ll be sure to find a provider that fits your budget and needs.

Home Warranties Cover Everything in Your Home

Home warranties typically cover a range of systems and appliances, but there are some that don’t cover much. Therefore, knowing what your warranty covers is important before any sad scenario plays out.

Sure, it might cover your dishwasher and air conditioning system, but not everything is going to make the cut. Don’t be caught off guard by pre-existing issues or that unsightly scratch on your fridge. Read the fine print and rest easy, knowing you’re covered where it counts.

Home Warranties are Not Worth the Investment

Let’s address a very common myth, that home warranties aren’t worth the investment. Oh, how far from the truth that notion strays. Home warranties are the secret weapon that can rescue your wallet from unexpected expenses and save you a fortune.

Let’s keep it real, shall we? We’ve all experienced those pesky surprises that pop up out of the blue, threatening to drain our bank accounts. They’re like little monsters lurking in the shadows, ready to pounce and wreak havoc on our financial well-being. This is where home warranties become the unsung hero of our lives. For a small yearly fee, you can have peace of mind that your home systems and appliances are always protected.

Jeff Campbell