Home Insurance vs. Home Warranty

​Did it ever occur to you how home insurance may differ from a home warranty? Is it necessary to get both, or will you get by with only one? Both are significant inquiries that many people have. Let’s discuss what home insurance is, how it differs from a home warranty, and its distinctions.

What is a Home Warranty?
A home warranty covers the internal structures and fixtures of a house. However, it has similarities with home insurance regarding its homeowner usage; they are still very different.

Homeowners often have an annual fee to their home warranty provider, typically ranging from 300 to 600 dollars. When an appliance or system in their house stops working, you can call your home warranty provider rather than repair companies. If your home warranty covers the device or machine, the provider will let a professional in that field know.

What Does a Home Warranty Cover?
A home warranty covers the critical services in a building, such as the electrical systems, plumbing, cooling, and heating. It also includes larger appliances in the household, such as the dryer, refrigerator, dishwasher, washing machine, and oven. Home warranty providers often offer various policies that cover any or only a few of these products.

What is Home Insurance?
If homeowners have their houses on a mortgage (which most do), their mortgage lender may expect them to buy home insurance. Home insurance protects a homeowner’s belongings and the foundation of their home in the event of a robbery or fire. It can also include hospital bills for injuries suffered while on your land.

What Does Home Insurance Cover?
Overflowing water, earthquakes, fires, wind, hail, rain, theft, and other hazards can cause damage to a house’s foundation and most of your personal property. In most cases, they are referred to as “perils” in an insurance policy. Most of the time, plans have “named-peril” policies that only compensate for personal property or home loss if the contract explicitly mentions the peril.

Conclusion
To secure the house and the home’s equipment and facilities, homeowners must have both a home warranty and home insurance. Try buying both if you own a home. They’ll cooperate to guarantee that any part of your house is protected.

At Black and Associates Insurance, Inc., we do our best to ensure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (509) 464-0058 or Click Here to request a free quote.