One of the biggest costs of owning a home is maintenance. If your water heater starts acting suspiciously or your fridge suddenly malfunctions, you might be looking at a hefty repair or replacement bill.
For a relatively low monthly fee, a home warranty can save you this type of trouble, covering the cost of those repairs or replacing broken items. Unlike homeowners insurance, which focuses on unexpected disasters or accidents, a home warranty covers events that may be expected, such as normal wear and tear. Depending on the coverage you choose, it can protect your home’s most vital systems, such as HVAC and plumbing, your most used appliances — or both. Often, you can even add your expensive electronics to the policy.
CNBC Select analyzed dozens of home warranty companies based on several factors and chose the best options, whether you’re looking for the most comprehensive coverage, great customer service or something budget-friendly. (See our methodology for more information on how we choose the best home warranty providers.)
Best home warranty companies
Best overall
American Home Shield
-
Plans available
-
State coverage exclusions
Alaska, New York City, Hawaii
-
Service fee
-
Membership benefits
Maintenance services, plumbing installation, HVAC upgrade discounts, rekeying, tech installation and support (benefits vary by plan)
Pros
- Maintenance benefits
- Option to choose your own contractor
- Comprehensive coverage
- Roof leak repair included in the highest-tier plan
Cons
- Comprehensive coverage can be expensive
Who’s this for? American Home Shield can be an excellent option for many types of homeowners thanks to its customization options and additional membership benefits. The provider offers three plans, so you can cover your HVAC, electrical and plumbing systems and add kitchen and laundry appliances. The most comprehensive plan also comes with roof leak repair, which is rare for home warranties. Further, you can opt to include add-ons, such as for your home electronics, pool and spa equipment, guest or rental unit and more.
Standout benefits: Membership benefits include maintenance services, such as HVAC upgrade discounts and seasonal maintenance, rekeying, plumbing installation and maintenance services and tech installation and support. Benefits vary by plan.
[Jump to more details]
Runner-up
America’s First Choice Home Club
-
Plans available
-
State coverage exclusions
-
Service fee
-
Membership benefits
Discounts on insurance, home security, electronics coverage, household goods and more
Pros
- Four plan options
- Option to choose your own contractor
- Many customizations available
- Access to discounts
- Repair guarantee for the life of the membership
Cons
- No coverage for unknown preexisting conditions for systems and appliances
Who’s this for? America’s First Choice (AFC) Home Club is another great pick for customizing your home warranty policy to fit your needs. You can choose from four plans, protecting the most common household systems or appliances — or combining these coverages, as well as adding extras such as fans, ice makers and others. Examples of add-ons include electronics, pool and spa, roof leak repair and central vacuum.
Standout benefits: AFC is an insurance marketplace and you might be able to find insurance discounts, including for home and auto insurance (in certain states), life insurance and pet insurance, among other coverage types. Additionally, you can unlock discounts on home security, electronics coverage, parts and home goods.
[Jump to more details]
Best for customer satisfaction
Liberty Home Guard
-
Plans available
-
State coverage exclusions
-
Service fee
-
Membership benefits
Discounts on appliances and for additional policies, referral incentives
Pros
- Affordable plans
- High customer satisfaction
- Access to discounts
- Many add-on options
Cons
- No coverage for unknown preexisting conditions
Who’s this for? If you prefer to rely on customer reviews when choosing financial products, Liberty Home Guard is worth looking into. The company has an A rating with Better Business Bureau (BBB) — the highest of all providers on our list.
Standout benefits: Liberty Home Guard offers three simple plans and a variety of add-ons to customize your coverage. According to the company’s website, the plans start at less than $1 per day. There are many opportunities to save with Liberty Home Guard, including discounts on appliances, discounts for buying home warranties for multiple properties as well as referral incentives.
[Jump to more details]
Best for affordable plans
Select Home Warranty
-
Plans available
-
State coverage exclusions
-
Service fee
-
Membership benefits
Pros
- Affordable plans
- Generous discounts
- Low service fees
Cons
- Can’t choose your own technician
Who’s this for? Select Home Warranty could be a good choice if your primary goal is to save on your home warranty. The company offers affordable plans and advertises promotions, such as $150 off any plan, two extra months free of charge and even free roof coverage. It also has lower service fees than other providers.
Standout benefits: Select Home Warranty can be a budget-friendly option — but it doesn’t provide any additional benefits.
[Jump to more details]
More on our top home warranty companies
American Home Shield
Types of dwellings covered
Single-family homes, duplexes, triplexes and quadplexes, townhomes and condos, mobile homes
Plans
- ShieldSilver: Covers 14 major systems, including HVAC, electrical and plumbing systems.
- ShieldGold: Covers everything included in ShieldSilver, plus nine appliances, offering up to $2,000 per appliance for replacement or repair.
- ShieldPlatinum: Covers everything in the ShieldGold plan, but increases the appliance coverage limit to $4,000 per appliance and adds coverage for roof leak repairs.
Choice of contractor
American Home Shield has a network of 17,000 licensed contractors, but policyholders may also be able to choose their own contractors.
Notable perks
American Home Shield offers additional membership benefits that include maintenance services and vary by plan. Plus, besides normal wear and tear, American Home Shield offers coverage for pre-existing breakdowns, items with no maintenance records or insufficient maintenance, items that haven’t been installed or repaired correctly and more.
[Return to summary]
America’s First Choice Home Club
With its emphasis on customizations and savings, America’s First Choice (AFC) Home Club can protect more than your home, offering access to free programs and discounts on services and goods.
Types of dwellings covered
Single-family homes, condos, townhomes, mobile homes
Plans
- Systems Plan: Offers coverage for six major systems, including HVAC, water heater, electric and plumbing systems.
- Silver Plan: Protects nine common appliances, from your fridge to your garage door opener.
- Gold Plan: Combines the Systems and Silver plans.
- Platinum Plan: The most comprehensive option, adding coverage for plumbing stoppages built-in microwaves, fans and ice-makers.
Choice of contractor
AFC lets you work with any licensed and insured contractor of your choosing. If you don’t have one in mind, they’ll find a technician for you.
Notable perks
AFC takes service requests by phone or online 24 hours a day and provides a repair guarantee that’s good for the life of the plan. You’ll also get a locked-in rate, which will stay consistent for five years.
[Return to summary]
Liberty Home Guard
Established in 2017, Liberty Home Guard is relatively new to the home warranty market, but it has already proven to be a favorite among consumers.
Types of dwellings covered
Single-family homes, mobile or manufactured homes, condos and rental units
Plans
- Systems Guard: Protects your major home systems.
- Appliance Guard: Provides coverage for kitchen and general home appliances.
- Total Home Guard This plan is a combination of the Systems Guard and Appliance Guard plans.
Choice of contractor
Liberty Home Guard works with a wide network of technicians. You also can use your own contractor, but the company must authorize them first.
Notable perks
Liberty Home Guard lets you submit your claim 24/7, either by phone or online. Unlike other providers on our list, Liberty Home Guide also has an app, available at Apple Store and Google Play.
[Return to summary]
Select Home Warranty
Founded in 2012, Select Home Warranty stands out for its discounts and affordable plans which include coverage for roof leak repairs.
Types of dwellings covered
Single-family homes, multiple units, condos, mobile and manufactured homes, rental properties
Plans
- Bronze Care: Protects your appliances.
- Gold Care: Protects your major home systems.
- Platinum Care: This plan is a combination of the Bronze Care and Gold Care plans.
Choice of contractor
The company will find a licensed technician for you.
Notable perks
Select Home Warranty allows you to submit a claim virtually or over the phone 24/7.
[Return to summary]
FAQs
Is a home warranty worth it?
A home warranty can be worth it to financially protect your home’s systems and appliances — unless they’re still covered by manufacturer warranties.
What is a service call fee?
A service call fee is the fee you pay each time a contracted technician comes to your home after you submit a claim.
Is a home warranty required?
Is a home warranty the same as home insurance?
A home warranty is different from home insurance as it covers repairs and replacements of systems and appliances in your home that happen due to normal wear and tear, while home insurance covers damage to the home and its contents due to covered perils, such as natural disasters or burglary.
Bottom line
A home warranty can bring peace of mind by providing financial protection for the systems and appliances in your home. However, offers can vary greatly by company, so it’s essential to shop around. Compare plans from different providers, as well as any extra benefits they advertise. Pick several companies and contact them for quotes to find coverage that works for you.
Subscribe to the CNBC Select Newsletter!
Money matters — so make the most of it. Get expert tips, strategies, news and everything else you need to maximize your money, right to your inbox. Sign up here.
Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every home warranty review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of home warranty products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best home warranties.
Our methodology
To determine the best home warranty companies, CNBC Select analyzed dozens of home warranty providers and compared them based on various factors.
While narrowing down the best options, we focused on the following factors:
- Plans and add-ons: We favored companies that offer a solid variety of plan and add-on options, allowing customers to customize their coverage to match their needs.
- Costs: We used home warranty costs data points gathered by MarketWatch, as well as information published by the companies on discounts and service fees.
- Customer satisfaction: All the companies on our list have a Better Business Bureau (BBB) rating of B or higher.
- Licensed technicians: All the companies on our list connect their customers with licensed technicians in their network. We also noted companies that allow customers to work with the technician of their choice.
From there, we sorted our recommendations by the best overall and runner-up, the best for customer service and best for affordable plans.
Catch up on CNBC Select’s in-depth coverage of credit cards, banking and money, and follow us on TikTok, Facebook, Instagram and Twitter to stay up to date.
Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.
Alice J. Roden started working for Trending Insurance News at the end of 2021. Alice grew up in Salt Lake City, UT. A writer with a vast insurance industry background Alice has help with several of the biggest insurance companies. Before joining Trending Insurance News, Alice briefly worked as a freelance journalist for several radio stations. She covers home, renters and other property insurance stories.