Here’s the Difference Between Home Insurance and a Home Warranty


Owning a home is an incredible achievement, but it’s essential that you learn how to protect your property as soon as you can. What that protection should entail depends entirely on your home, your circumstances, and your budget. Between warranties, insurance, and other types of policies available to homeowners, you have plenty of options when it comes to home protection, but it can be difficult to know what the best choice is for you and your family. If you’re a new homeowner or want to take better care of your home, read on to learn more about the differences between home insurance and a home warranty.

What’s the difference between home insurance and a home warranty?


It’s important to understand the meaningful difference between insurance and a warranty, when it comes to how they can help you protect your home. Home insurance is designed to guard against emergency expenses. Typically, that covers categories like theft, storms, natural disasters, and fires. Since the damage caused by those types of emergencies can be extensive, home insurance prevents you from being on your own when it comes to potentially needing to rebuild your entire home or replace thousands of dollars worth of stolen possessions. Insurance is always a good idea, but it’s even more essential in areas where weather can be more intense, like parts of the United States that experience tornado or hurricane seasons.

A home warranty, on the other hand, is targeted more towards helping with day-to-day issues with your systems and appliances. In exchange for a monthly premium, a home warranty will handle your sudden repair costs, less the service fee. Often these plans cover both major or minor repairs and offer the ability to book a service request and have a technician take care of your repair quickly, saving you both time and money. A home warranty plan ensures that you aren’t on your own if something goes wrong.

Do I need a home warranty?


While many homeowners understand they need homeowner’s insurance, not everyone knows about the benefits of investing in a warranty. If you have a lot of systems or appliances within your home that are vulnerable to breaking down or needing expensive repairs, a home warranty can guard you from being responsible for a massive bill due to a problem caused by routine wear and tear. Whether its an in-home recording studio full of studio monitors, vocal microphones, and acoustic panels or a kitchen that you’ve invested a lot of money into upgrading, it’s important to protect the investments you make at home. Some common appliances that warranties cover include your dishwasher, dryer, microwave, stereo, and septic system.


When purchasing a warranty, it’s a good idea to look for home warranty companies like AFC Home Club that offer the ability to make a service request for a piece of gear whenever you need a technician. AFC also allows you to choose your own technician, which is great way for homeowners who are particular about the work that’s done on their home to have some control over the process. A reasonable monthly payment can go a long way with regard to terms of the home protection it provides.

Protecting your investment in your home can be difficult, especially when it’s impossible to predict what challenges or difficulties you’re going to face in the future. However, that’s why different types of insurances and warranties exist, to help shield you from unexpected large expenses related to repairing damage at home. Home insurance does this by handling the costs of recovering after an emergency, while home warranties cover the breakdowns and repair needs of your appliances and home systems that arise from day-to-day use. For homeowners who want to feel completely protected from both emergency expenses and costly appliance repairs, having both home insurance and a home warranty is the best way to give yourself complete peace of mind.

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