A home warranty for rental properties does not just protect your appliances. It gives you a guarantee that you will not have to pay for the miscellaneous repairs in case of defunct appliances. Usually, home warranty companies send their own technicians for repairs. However, they seldom replace depleted appliances, especially if the appliance was in poor shape before the homeowner started paying their warranty premiums or if the item wasn’t in sound shape during installation.
What home warranty for rental property covers
Home warranty for rental property covers basic items such as electrical systems, home appliances, heating, plumbing and cooling systems. In some instances, property owners pay a premium fee to cover pools, lighting fixtures, roofs, lawn mowers and sprinkler systems.
Your rental warranty policy should not be confused with insurance policy and as such, rental property owners need to understand that building structures and systems are not covered under the home policy contract. If you wish to cover your structures, you need to apply for an independent home insurance policy altogether.
Here is a list of items/appliances covered in a home warranty contract
• Air conditioner
• Clothes dryer
• Refrigerator
• Wall furnace
• Dishwasher
• Laundry machine
• Water heater
• Oven/range
• Main electrical panel
• Heating with duct work
Note that the average cost of repair varies from one provider to another. Check out the contract and read thoroughly through the fine print. Ask your preferred provider to furnish you with a comprehensive summary of the charges.
Ensure that you outline appliances that you wish to have covered and if you want to cover more, discuss it with your service provider and agree on the additional cost. Note that while a basic warranty will cover the basic appliances, stating them categorically will ensure that you will not have a misunderstanding should there be a claim to be made.
There has been a significant amount of complaints claiming that home warranty companies tend to evade coverage claims, especially if the fault existed before the contract. In some instances, homeowners are to blame as they fail to outline what they wish to cover in the contract.
Be keen before signing the contract
While there are malicious home warranty providers in the market, some property owners bring disaster upon themselves. Traditionally, home warranty coverage is based on a number of factors and they vary from one company to another.
Some rental property warranty will come to you with shiny deals, do not skip reading the fine print and if you feel that anything is not adding up, move on to the next one. Check out for exclusions and denial provisions. An eye for detail will save you from hectic disaster in the future.
Here is what is not covered in the traditional rental property warranty unless agreed with the contract provider at a premium fee:
• Pools, hot tubs
• Combo ceiling fans
• Ice maker and food spoilage
• The septic tank system and pumping
• Faucet repairs
• Office package
• Central AC unit
• Limited roof leak
• Well pump
• Haul away debris
• Sprinklers
• Wine cooler
Mostly landlords can be exploited easily if they are not keen when looking for the best home warranty coverage. By understanding a few tips, you can have an easy time with home warranty companies.
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