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Find the cheapest home warranty

Compare companies on costs and coverage

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Written by Kathryn Parkman
Edited by Justin Martino
American Home Shield, Choice Home Warranty, First American Home Warranty, HomeServe and American Residential Warranty
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A home warranty covers the costs to repair or replace your major home systems and appliances when they break down from regular, everyday use.

Basic plans start around $20 or $30 per month. On average, it costs $50 per month for comprehensive coverage, which protects both systems and appliances.

Top 5 cheap home warranty companies

If you’re looking for a balance between having coverage and not breaking the bank, our picks for the cheapest home warranties are a great place to start.

Below, we compare five of the cheapest home warranty companies rated above 3.5 stars on our site. Service fees differ based on the coverage plan you choose, but monthly premiums start around $40 or less. All of our top picks offer combo plans that average less than $60 per month.

Prices are based on a quote for a house of less than 5,000 square feet in Austin, Texas. Read our methodology to learn how we made our picks.

Our pick for cheapest combo planFirst American Home WarrantyAUTHORIZED PARTNER
  • Monthly premium: Starts at $38 per month
  • Annual premium: $420 to $546
  • Service call fee: $85
  • Discounts: Reduced premiums for paying annually

First American Home Warranty offers flexible payment options for coverage. You can request service 24/7 through an online portal, and a service provider will contact you to schedule an appointment.

Basic plans cover essential major appliances (refrigerator, washer, dryer, oven and cooktop) but not ice makers or ceiling fans. With the Premier plan, which averages $48.50 per month, you also get coverage for plumbing, electrical and heating systems.

Recent positive reviews frequently highlight that claims are processed quickly. “When I make a call with an issue, they immediately process the claim and connect me with a provider,” a reviewer in Washington said. “Also, I'm satisfied with the technicians they've sent out and the quality of work.”

We also like that you can cancel within 30 days for a full refund. Beyond that, you could still be eligible for a prorated refund (minus the amount for any claims paid). One potential disadvantage is that First American Home Warranty isn’t available in all states.

Our pick for low service feeAmerican Residential WarrantyAUTHORIZED PARTNER
  • Monthly premium: Starts at $34.99 per month
  • Annual premium: $394.88 to $1,424.99
  • Service call fee: $55
  • Discounts: Reduced premiums for paying annually or quarterly

At $55, American Residential Warranty’s service fee is one of the lowest we’ve seen. Depending on your coverage, payout limits range from $500 to $2,500. Its service recall period is 30 days for labor and 60 days for parts.

Plans for heating and cooling, kitchen appliances and bundle packages are available — combo plans average $60 per month. The company also offers an electronics protection plan for mechanical and electrical failures on computers, televisions, gaming consoles and more.

Recent positive reviews highlight customer service and value. According to a reviewer in Louisiana, the “person answering was very helpful and friendly. My repair order was placed and in 3 business days the service repairman was out at my home to make the repairs. I would recommend this company to my family and friends. The cost is very reasonable.”

Our pick for low starting costsHomeServeAUTHORIZED PARTNER
  • Monthly premium: Starts at $7.99 per month
  • Annual premium: $95.88 to $699.96
  • Service call fee: $100
  • Discounts: 20% off first year on TotalHome plans

HomeServe starting costs are cheap because you can get select coverage options on an a la carte basis. For example, you can get a plan specifically for exterior water service line coverage for just $7.99 per month. Interior plumbing and drainage system coverage is $12.99 per month on its own.

At around $58, the average monthly costs for combo plans are pretty standard. Still, it’s nice that you can add additional coverage at any time after you sign up. Service recall periods are typically one year. Plans are available throughout the U.S. and Canada.

“The ease to which this service works was outstanding. I didn't have to pay any deductibles or balances,” a reviewer in South Carolina said. “It's the best program to protect yourself and your household against any home disasters.” We also like that you can submit claims 24/7 through an app.

Our pick for affordable roof coverageChoice Home WarrantyAUTHORIZED PARTNER
  • Monthly premium: Starts at $46.83 per month
  • Annual premium: $532 to $627
  • Service call fee: $85
  • Discounts: Reduced premiums with annual payments; free extra month

Choice Home Warranty is one of only two top picks for cheap plans that also offer limited roof leak protection. This optional coverage includes shake, shingle and composition roof leak repairs over occupied living areas of single-family homes.

“Spend a little saved a lot,” said a reviewer in Louisiana. “Gives us peace of mind, everything is covered, inside and out. This is a must have and not just for the big things like roof, AC, electrical but all my appliances."

The company pays up to $500 per contract term to access, diagnose, repair and/or replace roof leaks. According to the sample contract, if the “roof must be partially or completely replaced to effect repair, this coverage does not apply.” It also does not cover metal roofs.

A reviewer in Illinois said their roofer technician was “a reliable person and he is a professional in his job. He made a good job and he fixed my roof. He explained me what the problem was. He showed me some options to solve it, and after I choose the best options he repaired what is was wrong."

Our pick for overall valueAmerican Home ShieldAUTHORIZED PARTNER
  • Monthly premium: Starts at $29.99 a month
  • Annual premium: $359.88 to $839.88
  • Service call fee: $75, $100 or $125
  • Discounts: Varies

American Home Shield is our pick for overall value because it’s highly rated by existing customers and still starts at around $30 per month. You can choose ShieldSilver or ShieldGold, or you can combine coverage with ShieldPlatinum for $60 per month. It's available in most states and has a standard 30-day recall period for repairs.

“The contract is well worth it financially because American Home Shield does cover all the things that are going to go wrong,” according to a reviewer in Florida. “There is always a service charge so you don't want to call them for something minor because the service charge is material. But generally, it's a really good value for the service.”

“If you're looking to cut your costs in terms of parts and labor, go with this home warranty,” a reviewer in Maryland said. Other happy customers highlight that the claims process is easy to complete online.

What factors influence the cost of a home warranty?

The total cost of a home warranty is made up of a monthly or annual premium and any service fees you need to pay when you make a claim and a contractor visits your home to diagnose the problem.

The main factors that companies use when determining the cost of their plans include:

  • Plan type: If you choose a plan with more items covered, like a combo plan that covers both appliances and systems, the cost will be higher than a policy that covers just appliances or systems.
  • Service call fee: This is the amount you pay each time you make a claim and a contractor comes to your home. Service fees tend to vary between companies, and some offer multiple options. Many home warranty companies offer plans where you can pay a lower monthly fee but have a higher service call fee. In general, the higher this fee is, the lower the plan cost.
  • Availability: Where you live can affect the cost of your home warranty. If you live in a city where contractors charge more, the price of your plan is likely going to be higher.

Compare our top picks

Compare our picks for cheap home warranty companies on premiums, service fees and roof coverage options.

Starting cost*Average combo plan cost*Service fee*Roof leak add-on
first american home warranty logo$38 per month$48.50 per month$85
american residential warranty logo$34.99 per month$60 per month$55
homeserve logo$7.99 per month$58.33 per month$100
choice home warranty logo$46.83 per month$54.75 per month$85
american home shield logo$29.99 a month$60 a month$75, $100 or $125
first american home warranty logo$38 per month$48.50 per month$85
american residential warranty logo$34.99 per month$60 per month$55
homeserve logo$7.99 per month$58.33 per month$100
choice home warranty logo$46.83 per month$54.75 per month$85
american home shield logo$29.99 a month$60 a month$75, $100 or $125

*All information is accurate as of the time of publication.

What to look for in a home warranty (besides cost)

Cost matters when you’re choosing a home warranty. However, you also want to be sure you select a reputable provider that offers the right coverage for your home.

Consider the factors below when making your decision.

  • Service plans and coverage: If you have something specific you want covered, be sure it's in the plan you select. This is especially important if it's something that not all companies cover in their standard plans, like roof leaks. Always check the fine print for parts and components that are excluded from coverage. If you're not sure, ask a representative.
  • How to submit a claim: Most home warranty companies offer the ability to submit claims online, through an app or by calling. Before purchasing a plan, you should know how to submit a claim and make sure it’s convenient for you.
  • Customer service access: If an appliance or system breaks down and you can't get someone on the phone, it only adds to your frustration. Look for a company that gives you 24/7 access to customer service.

Cheap home warranties to avoid

Before you purchase a home warranty, it’s important to know what red flags to avoid. Read reviews and look out for warning signs like a slow claims process or limited service network.

Previous and current customers can tell you a lot about a company. If there’s a large number of reviews that mention difficulty with filing claims, denied claims, poor repairs or bad customer service, you should look elsewhere.

Slow claims process

Making a service claim shouldn't be a hassle. Do your research about the claims process for any home warranty company you’re considering. Does the home warranty provider have a way to file a claim online or through an app? Can you call if you want? Can you make a claim 24/7? If there isn't a clear and convenient way to make a claim for service, cross the company off your list.

Limited service network

It's important to research a home warranty company’s service technician network. First, make sure the company has a process to check contractor licensing and insurance. Then ask how many contractors are in your area. If the company doesn’t have enough contractors near where you live, it could be difficult to schedule repairs, leading to longer waiting times for repairs.

Repair and replacement restrictions

Don't gloss over the fine print in your home warranty contract — you should read it to ensure it provides what you need. The contract should cover the topics below, and you should make sure the terms meet your expectations so there are no surprises. Here are some of the questions to ask before buying a home warranty:

  • What are the repair limits? All home warranty companies have dollar limits for repairs. This means there is a maximum amount of money the company will pay per term or per repair for an individual system or appliance. You will usually have to pay for any costs that go above the limit. Companies also limit what parts or components of a system or appliance are covered; check the terms for each household item.
  • What is the replacement policy? If an appliance or system can’t be repaired, the home warranty company should offer a replacement. If a replacement is required, there is a limit on the amount the company pays and the effort it makes to match your existing item. Understanding these details can save you a headache if you end up with something that can’t be fixed. The fine print of a home warranty contract states the criteria for replacing a product when it can’t be repaired properly.
  • What is the time frame for repairs? You can get this information from the home warranty company, but it is also something you can research by reading customer reviews. The company might say it aims to have a technician come out within 48 hours, but customers might note longer times before a contractor arrives.

Bottom line

Whether a home warranty is worth the price depends on your home’s characteristics, your financial situation and your personal preferences. If you have older appliances and systems, you’re probably more likely to need repairs. If you’d rather not pay 100% out of pocket for work by a contractor, having a home warranty might be a good idea. Just keep in mind that the cheapest home warranty plan might not always have the most value.

To find the top affordable home warranties, we compared 15 popular providers on the following factors:
  • Starting monthly premium
  • Average cost for combo plan
  • Annual premium cost range
  • Service call fees
  • Coverage options
  • Discounts
  • Availability

The ConsumerAffairs Research Team also analyzed more than 6,500 recent verified reviews. To make our final selections, we gave preference to companies rated above 3.5 stars on our site.

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