Home Warranty, how many of you have one and do you think it is worth it?

[kprocivic]

Washer machine, microwave, dishwasher covered. Not sure why you wouldn't on a new house.

[TXF87]

Originally Posted by radiofrequency

This, but I have it as my home is up for sale. A couple of weeks ago one of my hot water heaters went kaput. Warranty cost $400, hot water heater cost $800 to replace, all I paid was the $75 deductible. FYI.

In Texas at least many of these companies offer free seller's coverage. Once a house is on the market and has an MLS number the listing agent can order it.

[angelr]

I have one for my rental in Fl. Just a service fee is all I pay, the rest is covered. Just had a new washer put in and they sent us a list of about 12 that were no charge options and then another list of options that we could upgrade to. For us living in socal now with a rental property in Fl it makes some sense, even if only for convenience.

[Maynard]

Insured for the gas lines and external electric feeds, because coverage is about 1/20th of anticipated minimum repair charge. All the rest of it seems a waste/bother - substandard work by random irresponsible workers you can't trust is a bad idea even if it is a "bargain". No offense to those honest contractors who are using this to get a foothold in the business - but I've worked with too many felons or addicts who did this kind of work to ever feel secure w/ somebody I don't know, and the quality of work is suspect, at best.

[joooiiiiii]

I had a very old home (1927) and definitely paid off. Called services for plumbing/sewage, A/C unit (old), oven burners stopped working, etc. If it's a new home, I would wait a long time before ever getting one.

[upstatedoc]

I just call Marty. He shows up pretty quick and is very reasonable.

[bimmer456]

So I called the gas company and they found a leak when the home warranty folks didn't. Only charged me $65 to replace the line vs $75 trade call fee lol.

[Hawkeye]

Originally Posted by dreamingat30fps

As with any extended warranty, the odds are against you ever using it. Sure you could be the one who has every appliance in the house go out, but statistically speaking... probably not.

If it was worth getting then they wouldn't be selling it to start with.

I am sure you don't get comprehensive auto coverage or life insurance either then do you? That pooled risk concept is the whole idea behind insurance. The majority pays a smaller fee so that the minority can benefit.

Having said that - most of the extended warranties on items, houses, cars, etc are grossly overpriced compared to their expected payout.

My buddy bought a warranty with a house he bought ~10 years ago and got his money worth easily from water heater, air conditioner, etc. but his was 5 year coverage or something like that.

[G35POPPEDMYCHERRY]

...House is 22 years old. AC and a few appliances are about to go. What stops me from adding on the warranty, banking three items, then cancelling a year down the road?

[jmg]

Originally Posted by UncleWede

I pay a few $ to have gas Co cover pipes.

I've seen this spammed to my mailbox several times, but it's not actually the "gas co". It's some insurance company that the gas co has given my info to. I reject it on that principle alone, but a part of me 2nd guesses that decision.

[bimmer456]

Originally Posted by jmg

I've seen this spammed to my mailbox several times, but it's not actually the "gas co". It's some insurance company that the gas co has given my info to. I reject it on that principle alone, but a part of me 2nd guesses that decision.

I asked the gas co guy about it and I've read articles that the gas company shouldn't endorse a particular insurance but the guy said they used gas co approved contractors and they inspect the work after the contractor does the repairs. The price is pretty good but then again he only charged me $63 to replace my dryer line today so I decided not to sign up.

[UncleWede]

Originally Posted by jmg

I've seen this spammed to my mailbox several times, but it's not actually the "gas co". It's some insurance company that the gas co has given my info to. I reject it on that principle alone, but a part of me 2nd guesses that decision.

I pay direct to gas Co. Didn't get a second contract or anything

[dreamingat30fps]

Originally Posted by Hawkeye

I am sure you don't get comprehensive auto coverage or life insurance either then do you? That pooled risk concept is the whole idea behind insurance. The majority pays a smaller fee so that the minority can benefit.

Having said that - most of the extended warranties on items, houses, cars, etc are grossly overpriced compared to their expected payout.

My buddy bought a warranty with a house he bought ~10 years ago and got his money worth easily from water heater, air conditioner, etc. but his was 5 year coverage or something like that.

I still don't want to bet on being the minority. I don't buy insurance for anything I can afford to self insure. I'm sure most members here can self insure any home appliance.

[jaye944]

There are 2 choices in life:

1> Burgers with fries and a shake

2> Or wimp out and go half a$$ed with just a Burger

I try to live my life by this simple creed, I want the burger with EVERYTHING

[bimmer456]

So my central AC went out and I used the home warranty after getting reduced coverage with a higher deductible. The AC was still covered but not appliances so I was good there, but got hosed on the price of Freon the contractor charged, I could have brought it myself for less and the warranty only covered like $10 a pound so that is nothing compared to what I was charged. I'm paying like $25/month but the call fee is $125 so I paid that plus $70/lbs for 2 lbs refrigerant. Only way this would be worth it is if I got a new AC out of it but likely there would have been charges related to install and refrigerant not included so that buying it from Home Depot and having them install would have been cheaper and also no premium every month. And a new AC includes warranty for parts and install.