Are you on the fence about buying a New Jersey home warranty? After reviewing the pros and cons, you’ll have a much better idea of whether it makes sense for you. If it does, you can then get a quote and buy a policy. First, let’s go over the benefits and drawbacks of these plans so you can make a decision.Pro: Budgeting Is Easy With a Home WarrantyYour house is full of expensive appliances and systems, and you never know when they will break down. Without a warranty, you’ll have to come up with large sums of money to pay for replacements or repairs when that happens. You might need hundreds or even thousands of dollars to address a single problem, and finding that money is a challenge.Fortunately, budgeting will be a problem of the past once you get a home warranty. You’ll choose a plan and then pay an annual or monthly premium. You’ll know exactly how much that will be, so you won’t have to worry about any surprises.When the time comes to file a claim, you’ll also need to pay a small service fee. Since the amount is small, often less than $100, it shouldn’t impact your overall budget. That makes home warranties a great choice for budget-conscious people.Con: Some Systems and Appliances Might Be ExcludedHome warranties include exclusions for items that aren’t covered. For instance, some plans only cover some of a system’s components and parts. Additionally, the policies only cover normal wear and tear, so you can’t file a claim if something is destroyed in a natural disaster.Fortunately, though, this isn’t an issue since you’ll also have homeowner’s insurance. When you combine both policies, you’ll have comprehensive coverage.Pro: Numerous Add-on Options for Robust Coverage
While there are some exclusions, there are also add-ons you can include to increase your coverage. For instance, you can add your swimming pool, roof, and a second and third refrigerator if you’d like. With this type of flexibility, you can build a policy to your liking.Con: Most Plans Choose Repair TechniciansSome warranty companies allow you to choose your own service technicians, but that’s rare. Most often, the company selects from its list of providers. Fortunately, companies generally rely on licensed and experienced contractors, so this should not be much of a concern. In fact, you can expect top-notch technicians since warranty companies strive to satisfy customers.Pro: Scheduling Service Is a BreezeWhile you might not get to choose who repairs your appliances or home systems, you can’t beat the ease of scheduling these service calls. With a home warranty, you don’t have to worry about finding a repair technician who has experience with your specific appliance or system. Instead, the company will take care of all the scheduling. If you don’t like spending the better part of an afternoon hunting down a service technician, you’ll appreciate how easy a home warranty makes the process.Con: You Might Not Get to Choose Between Repairs and ReplacementsWhen you file a warranty claim, the company will decide if it is going to repair or replace the item. You can’t simply determine that you want a new freezer or air conditioner and then make it happen. However, if repairs aren’t enough to keep your appliances and system in good working order, most companies will authorize a replacement. Thus, you might have to wait a bit longer to replace items that you’d like, but you won’t have to worry about your house being filled with broken items you cannot use.Pro: Most Plans Are TransferableDid you know that home warranty plans are usually transferable? That means you can transfer your policy to another person if he or she buys your home. Because of this, many homeowners choose to add warranties when listing their houses. This provides an incentive for buyers and also protects them leading up to closing. If anything breaks down before closing, the homeowner can file a warranty claim instead of paying out of pocket.Is a Home Warranty Right for You?Now that you’ve reviewed the pros and cons, you likely know if you want to move forward with a warranty. If you do, you can start by getting quotes. Then, compare policies and make a decision.
