Home Warranties Fill an Important Homeowners Insurance Gap

Homeowners often mistakenly believe that homeowners insurance will cover everything in their house, and then are disappointed to learn that’s not the case.  Often, they realize it at inopportune times, too, such as after a major home appliance or system conks out on them. Then they’re hit with major repair or replacement expenses because they’re told the breakdown was due to “normal wear and tear,” a common insurance exclusion. If you really want to protect your family’s savings account, it’s very important to know ahead of time what’s covered and what’s not.

The Limits of Homeowners Insurance

Insurance policies will differ depending on the type of policy and the state where you live.  However, there are some items and events that are generally covered and these include the following.

  • Structure and contents of the house
  • Personal property such as indoor and outdoor furniture, clothes and home electronics such as computer, TV, stereo, etc. Jewelry may be covered up to a certain value, or itemized for its full value, or excluded entirely.
  • Living expenses if your home is uninhabitable as a result of a natural disaster
  • Covered events (named perils) include theft, vandalism, fire, windstorm, lightning, hail, falling objects and smoke. Floods, earthquakes and termite damage are typically not covered.
  • Personal injury liability in the event that someone gets hurt on your property

How Can a Home Warranty Fill the Gap?

A home warranty plan can pick up where homeowners insurance leaves off. This type of plan protects homeowners against the high costs of repairing or replacing major home systems and appliances in the event of a mechanical failure.

A Home Warranty Will Cover These Items

Items covered by a home warranty, such as those provided by TotalProtect, may vary by company and plan but typically include:

  • Heating, ventilation and air conditioning system (HVAC)
  • Electrical system
  • Plumbing system
  • Water heater
  • Kitchen appliances such as refrigerator, stove/oven/range, built-in dishwasher, built-in microwave, garbage disposal, built-in trash compactor
  • Clothes washer and dryer
  • Garage door opener
  • Coverage for pools, spas, well pumps and other items may be available for an additional fee

Homeowners insurance is required by your mortgage company, but a home warranty is not.  However, a home warranty adds an additional level of protection against the risk of costly home system repairs, and that helps protect your family’s savings.


The information in this article is intended to provide guidance on the proper maintenance and care of systems and appliances in the home. Not all of the topics mentioned are covered by our home warranty or maintenance plans. Please review your home warranty contract carefully to understand your coverage.