Whether you're a recent homeowner or have lived in your house for a decade or more, a home warranty is a valuable resource. So, what is a home warranty? It's a renewable contract (typically lasting one year) that helps protect your home's systems and appliances from breakdowns due to normal wear and tear. Think of it like this: your homeowners insurance covers accidents, extreme weather, and even theft — all situations you can't see coming.

On the other hand, home warranty plans protect you from what you know will happen eventually. Appliances and systems don't last forever, and having protection in place when they break down can save you time searching for qualified repair technicians, as well as money on repairs and replacements. In this guide, we'll walk you through the different levels of home warranty coverage and help determine the best home warranty plans for your home.

Note: If you're buying or selling a home, read more about our home warranties for buyers and sellers

Home Warranty Plans for Homeowners

While all home warranties from First American offer protection for your home's systems and appliances, be sure to compare home warranty plans for current homeowners: Starter, Essential, and Premium. Essential and Premium coverage offers benefits beyond our Starter plan. We'll review a few differences between our three homeowner plans so you can determine which is the right choice for your household. You'll want to consider things like home warranty cost, the age of your home, and what's already covered by your homeowners insurance.

Starter Plan

Starting at $35/month*

First American Home Warranty's Starter Plan is our most basic (and affordable) protection plan for current homeowners. With home warranty coverage for most kitchen appliances, plenty of plumbing items, electrical systems, and heating and ductwork, many of your most-used systems and appliances will be protected from unexpected breakdowns. The Starter plan may be a good choice for homeowners on a tight budget who want to safeguard against unforeseen expenses.

Essential Plan

Starting at $50/month*

Ideal for established homeowners who know exactly what items they'd like covered — or simply find that extra budget protection is within their means — our Essential Plan extends the coverage of our basic appliance warranty to include clothes washers and dryers as well as trash compactors. Added coverage for air conditioning, water heaters, mini-split ductless systems, fans, and more, helps keep your budget intact through more of the unexpected.

Premium Plan

Starting at $70/month*

First American's Premium home warranty plan is our most comprehensive coverage for homeowners. With expanded coverage for almost every system and appliance, the Premium plan is a great way to protect your investments in your home. Whether you need more home warranty coverage for upgraded appliances or simply want the most protection in place for your home and budget, Premium is the choice for you.

What to Consider When Choosing a Home Warranty Plan

When choosing between Starter, Essential, and Premium plans, there are several factors for you to consider as a current homeowner. The Starter plan might be perfect if you're on a tight budget or are just starting out with your first home. If you're an established homeowner who has experienced first-hand how much homeownership can cost, the Essential Plan can offer a bit more coverage for a slight increase in home warranty cost. Finally, the Premium plan offers superior protection with the most coverage for everything from your roof to the concrete encasement on your plumbing. Here are a few things to consider when looking at home warranty plans:

Home Warranty Cost

How much does a typical home warranty cost? The average cost of a home warranty for homeowners from First American ranges from $35 to $70 per month. But we have plans to fit any budget! It's easy to get a quick quote with customized coverage for your home. Consider how much you can comfortably set aside each month, knowing it will help you cover inevitable expenses like broken appliances or systems down the road.

A family sits on the couch together and looks at home warranty plans on their laptop.

Appliance Age

A First American home warranty covers your systems and appliances regardless of age as long as they're in working condition at the beginning of your contract. However, only our Premium plan offers higher appliance coverage limits for homeowners. For items like smart laundry and cooking appliances, replacement often comes at a higher cost — which means you'll benefit from increased limits.

HVAC Requirements

If your home doesn't have central AC or a mini-split ductless system, you may opt for the Starter plan, since these aren't covered in this basic plan. In contrast, if your home has central air conditioning that you use regularly, you may benefit from the Essential or Premium plans that include AC and mini-split systems. The Premium plan also covers parts like registers, grills, filters, and window AC units. HVAC tune-ups are also available as an option for all home warranty plans.

Add Ons

You can protect the following items with optional home warranty coverage. Simply add coverage to your chosen plan:

Well pumps
Water softeners
Pool and spa equipment
Additional refrigeration appliances
Septic systems
Limited roof leak (included in Premium plan, optional in Essential and Starter plans)

Benefits of Essential and Premium Plans

Our Starter plan covers many basic systems and appliances for homeowners, but the Essential and Premium plans offer benefits you may not have considered. Let's review the benefits of more comprehensive coverage to help you compare home warranty plans.

A luxury kitchen in a modern home, complete with high-end appliances.

Higher Limits

For appliances, the Premium plan offers higher coverage limits — up to $7,000 per appliance, double the limit of the other plans. This can be beneficial for newer high-end or smart appliances since parts or replacements can come with a heftier price tag.

If you have air conditioning or a heat pump, the Premium and Essential plans also increase the coverage for refrigerant, which can be quite a cost saver as refrigerant costs continue to rise. The Essential plan doubles the dollar amount we will pay per pound while reducing the amount you are responsible for out of pocket. The Premium plan covers all refrigerant costs. It's easy to get a quick quote and compare coverage.

More Items Covered

Essential and Premium plans cover many items not included in the Starter plan. Items covered in these plans include air conditioning, washer and dryer, trash compactor, water heater, fans (ceiling, exhaust, whole house), garage door openers, and more. See what each plan covers in your area.

Increased Budget Protection

While higher-tier plans come with a slight price increase, higher limits and more extensive coverage can mean expanded budget projection when a covered item unexpectedly breaks.

Learn More: Explore coverage from First American Home Warranty

How to Get the Most Out of Your Home Warranty

In addition to upgrading your coverage for more complete protection, make sure you take advantage of the many helpful benefits that come with your First American home warranty coverage. You’ll get access to discounts on appliances, savings on home maintenance projects, and more.

Finally, don't be afraid to file a claim! Learn more about filing home warranty claims, and take advantage of your warranty when a covered system or appliance breaks. There's no need to be hesitant; we're here to help get your home back in order and protect your budget.

So, What's the Best Home Warranty for You?

Whether you need the basic plan, upgraded appliances warranty coverage, or every add-on in the book, First American has one of the best home warranty plans to fit your needs. Get a free home warranty quote today and work with our team to discover which plan is the best for your family.

FAQs About Choosing a Home Warranty

Are there items that home warranties usually don't cover?

Yes, there are. Home warranties usually don't cover items protected by your homeowners insurance. You can read more about What's Not Covered by a Home Warranty on our blog.

Can I get a home warranty for my older appliances?

Yes! First American Home Warranty covers appliances that are in working condition at the start of your contract, regardless of their age.

*Monthly plans include a $2 handling fee per payment, which will not apply if you pay annually. Pricing varies by location. Please review the sample contract for specific coverage, limitations, terms and Service Call Fee amount.