Many homeowners may panic about the sudden, unexpected expenses you’re sure to incur if a household appliance suddenly stops working, especially if you don’t have the savings to cover such an expense.
A home appliance insurance policy, also known as a home warranty, can provide peace of mind by helping you prepare for the repair and replacement costs and hassle of locating a contractor when your major appliances and home systems break down.
We at the Home Media reviews team have examined dozens of the top home warranty companies in the industry, taking into account their coverage options for your home’s most valuable appliances, such as dishwashers, refrigerators and laundry machines. We’ve also considered factors such as customer service, overall trustworthiness, number of items covered and cost.
Top Home Appliance Insurance Companies
Review these top options for your home appliance insurance needs:
*Note: All cost figures in this article are for single-family homes under 5,000 square feet in Raleigh, N.C. Exact plan prices may vary slightly by location.
American Home Shield
Availability: 49 (all but Alaska)
Year founded: 1971
American Home Shield (AHS) received 4.60 out of 5 stars in our rating system. Notably, it received high scores for its number of plan options, high coverage caps, flexible service call fee and excellent combination coverage for major systems and home appliances. AHS received our Editors’ Choice designation because it offers higher coverage caps, more covered items and a strong industry reputation with several decades of nationwide service.
Plan and Cost Breakdown
AHS offers three plans — two of which cover appliances. You can select a $75, $100 or $125 service call fee during the quote process, which will adjust your monthly fee to your liking. You can review the prices of those two plans below:
- ShieldGold ($39.99–$54.99 per month)
- ShieldPlatinum ($59.99–$74.99 per month)
Below you’ll find a coverage breakdown of American Home Shield’s two plans that cover appliances. It’s worth noting that American Home Shield does not offer an appliance-exclusive plan, but appliances are covered under both plans.
Methodology: Our System for Ranking the Best Home Warranty Companies
Our consumers rely on us to provide objective and accurate information — as such, we create a comprehensive rating system to formulate our rankings of the best home warranty companies. This system accounts for a wide range of ranking factors, and we collect data on dozens of home warranty providers to grade the companies on each factor. The end result is a cumulative score for each provider — companies that score the most points top the list.
To ensure our research is as thorough as possible, we call every major home warranty provider directly and speak with representatives to get quotes, specifics on coverage options, availability based on location and additional information. We also review sample contracts to better understand what each plan covers and to identify limitations. In addition, we simulate the process of reaching out to each company’s customer service team to evaluate their level of helpfulness and ability to solve problems.
Once we gather all relevant data, we use the following scoring system to grade each home warranty company on a 100-point scale:
- Overall plan options (25 points): Companies that offer a variety of plan options are more likely to meet consumer needs. Thus, we award more points to providers that offer more plans and greater flexibility.
- Cost (25 points): Monthly fees and service fees are both taken into consideration. The lower the fees, the higher the score.
- Trust (25 points): We analyze customer feedback on third-party review sites to gauge the reputation of each company. We deduct points for companies that are currently facing or have recently faced civil lawsuits.
- Customer service (10 points): We base this factor on the responsiveness, friendliness and helpfulness of a company’s customer service team.
- State availability (5 points): Most home warranty companies do not serve all 50 U.S. states. Providers that offer service in the most states score the highest in this category.
- Additional benefits (5 points): Promotions and discounts are among the perks that can make a home warranty more attractive to consumers. Companies that offer benefits that competitors don’t are awarded more points.
- Coverage specifics (5 points): While the total number of plan options is important, it is also essential to consider what is covered under each plan. The more comprehensive the coverage, the better.