Calculating the price of your home warranty policy shouldn't be a daunting endeavor.
Let's break it down.
How is Home Warranty Cost Determined?
When it comes to coverage, one size doesn’t fit all. That’s why we need a few key details from you to generate an accurate home warranty quote. Here are the factors that determine your monthly home warranty cost:
Home Details
We offer home warranty coverage for the following property types:
- Single-family homes
- Duplexes, triplexes, and quadplexes
- Townhomes and condos
- Mobile homes
In addition to the type of home you have, the square footage of your home can affect warranty pricing and availability. Depending on where you live, your cost could also include state or local taxes. When you request a free home warranty quote from American Home Shield, we use the details you provide to inform you of your full plan costs upfront, including any applicable taxes.
Plan Type
Whether you’ve been in your home for years, just closed 90 days ago or are currently buying or selling a home, we offer a variety of warranty plans for every stage of homeownership.
With flexible plans and pricing, American Home Shield has a solution that works for your home and budget.
Additional Coverage
From electronics to swimming pools, we offer protections that go beyond typical home warranties — and you can add them to any American Home Shield plan.
When you request your free home warranty quote, you will see the monthly cost for your plan, plus any additional coverage options you select.
Service Fee
If you’ve never had a home warranty before, you might be unfamiliar with a Service Fee. But rest assured, it’s a standard way to get prompt service from a qualified professional. Because different plans have different Service Fees, this can affect your monthly payment.
When you request service, you pay a small fee to have a Pro diagnose the problem. This fee covers the time your Pro spends investigating the issue and figuring out how to fix it.
- If it’s confirmed that the breakdown is covered, that’s it. Your plan will pay for the repair or replacement once you’ve paid your Service Fee.If the cause of the breakdown of covered item is not covered, or the repair or replacement exceeds your coverage limit, you will still pay your Service Fee for the Pro's diagnosis. You will work with your Pro to determine the out of pocket costs for repair or replacement.
WHAT DOES COVERAGE LOOK LIKE IN THE REAL WORLD?
With over 2 million members, American Home Shield pays out more claims than any other home warranty company. If a covered item breaks, we fix it — if we can’t fix it, we replace it.*
Without a home warranty, it can cost a lot to repair or replace the systems you rely on.
Repair/replacement costs are the eightieth percentile of U.S. costs according to a nationwide survey of homeowners conducted in 2019 by ClearVantage for American Home Shield.
See the plan agreement for coverage details, including service fees, limitations and exclusions. Coverage limits and charges for non-covered items may apply.
Fortunately, our home warranties help with the cost of household repairs, and coverage lasts for a full year. So even if repair prices keep going up in the coming year, the cost of your coverage won’t.
You could pay THOUSANDS for a single repair or replacement — or a fraction of that cost for an entire year of coverage with American Home Shield.
REAL MEMBER CLAIMS AND HOW WE HANDLED THEM
The easiest way to understand the value of our coverage is to see it in action. Check out the following real system and appliance breakdowns and how we took care of our members in each situation.*
- COVERED
Refrigerator Not Working
Luz in Lemoore, CA
Luz’s refrigerator was not cooling due to an issue with the compressor. Our expert Pro noted the estimate to repair or replace the part was higher than replacing the entire refrigerator. So American Home Shield covered the cost to replace the appliance and connected Luz with our purchasing department to select her new refrigerator.
NOT COVEREDRefrigerator Overheating
Raymond in Las Vegas, NV
Raymond’s refrigerator was missing a back panel, causing the unit to overheat and not cool properly. American Home Shield did not cover this issue because we do not cover failures due to missing parts or components.
- COVERED
Refrigerator Not Working
Luz in Lemoore, CA
Luz’s refrigerator was not cooling due to an issue with the compressor. Our expert Pro noted the estimate to repair or replace the part was higher than replacing the entire refrigerator. So American Home Shield covered the cost to replace the appliance and connected Luz with our purchasing department to select her new refrigerator.
NOT COVEREDRefrigerator Overheating
Raymond in Las Vegas, NV
Raymond’s refrigerator was missing a back panel, causing the unit to overheat and not cool properly. American Home Shield did not cover this issue because we do not cover failures due to missing parts or components.
- COVERED
A/C Not Cooling
Christopher in Rotonda West, FL
The evaporator coil on Christopher’s A/C was leaking, which caused the unit to stop cooling. American Home Shield fully covered this malfunction by replacing the coil. Because Christopher was a ShieldPlatinum™ member, we also recharged his A/C with refrigerant at no additional cost.
NOT COVEREDA/C Not Cooling
Boris in Phoenix, AZ
Boris improperly stored pool chemicals with his A/C, which damaged the condensing unit and caused the system to stop cooling. Because the failure was caused by hazardous chemical exposure — not normal wear-and-tear — American Home Shield did not cover the cost of repair.
- COVERED
Dishwasher Not Draining
Amanda in Alexander, AR
The electrical connection on Amanda’s 2-year-old dishwasher drain pump shorted out, causing the unit to fail to drain properly. Because this was a failure due to normal appliance wear-and-tear, American Home Shield fully covered the repair.
NOT COVEREDDishwasher Too Noisy
Ashley in Scottsdale, AZ
The motor on Ashley’s older dishwasher became noisy during wash cycles but functioned normally. If there had been a mechanical failure due to age, American Home Shield would’ve covered the repair — but we do not cover noise if the appliance is running properly.
- COVERED
Dishwasher Not Draining
Amanda in Alexander, AR
The electrical connection on Amanda’s 2-year-old dishwasher drain pump shorted out, causing the unit to fail to drain properly. Because this was a failure due to normal appliance wear-and-tear, American Home Shield fully covered the repair.
NOT COVEREDDishwasher Too Noisy
Ashley in Scottsdale, AZ
The motor on Ashley’s older dishwasher became noisy during wash cycles but functioned normally. If there had been a mechanical failure due to age, American Home Shield would’ve covered the repair — but we do not cover noise if the appliance is running properly.
See the plan agreement for coverage details, including service fees, limitations and exclusions. Coverage limits and charges for non-covered items may apply.
FREQUENTLY ASKED QUESTIONS
A home warranty is a year-long, renewable home warranty plan that covers home systems and appliances when they stop working due to normal wear and tear — like your air conditioning system, refrigerator, water heater, and washer and dryer. What is covered in a home warranty can be adjusted according to your needs and budget — at AHS, we offer home warranty coverage in a variety of tiers to suit you.
See the plan agreement for coverage details, including service fees, limitations and exclusions. Coverage limits and charges for non-covered items may apply.
The price of a home warranty depends on a few factors, such as the level of coverage and add-ons you need for your home, the size of your home, and the Service Fee you select. At American Home Shield, a basic plan begins with an affordable price. See plans for more information.
The cheapest home warranty American Home Shield offers is the ShieldSilver plan. Starting at $39.99 per month, ShieldSilver covers 14 major systems that fall under heating and cooling, electrical, and plumbing systems. For more information on all our plans, head to the compare plans page.
We have 3 plans with multiple add-ons so you can customize your plan depending on your and your family's needs. From a basic plan to our more comprehensive coverage options, our mission is to cater to everyone.
For example, having an add-on that covers the electronics in your house might be especially relevant if you're currently working from home, but you would not need protection for pools and built-in spa equipment if you don't have one. We offer the flexibility to create your own plan so it fits your unique needs and budget.
The standard home warranty service contract for most home warranty companies is one year.
You can start requesting service 30 days after you buy your warranty. If you purchased or were given a home warranty during a real estate transaction, your coverage starts from the day of closing.
Our home warranties are tailored so you can cover the home systems and appliances that match your needs. All standard plans cover normal wear and tear, major repairs, and replacements of covered appliances and systems. For that extra level of protection, our Shield Platinum plan covers additional systems and appliances while also allowing you to save money on your Service Fee.
Home warranties are generally not tax-deductible unless they are used for business purposes. We recommend you speak to a tax professional if a home warranty provider is something you wish to deduct from your personal tax declaration.
Everyone's home is filled with different things that they use with different degrees of frequency. As a leading home warranty company, it is in our best interests to offer our customers customizable coverage according to what they need it for the most. From major appliances and major home systems, our home warranty covers a broad range of indoor and outdoor items. Some of the common systems and appliances that we cover in our plans include:
Major appliances like built-in microwaves, ovens, refrigerators, dishwashers, garbage disposals, instant hot/cold water dispensers, washers, and dryers.
Major home systems like ceiling fans, air conditioning, doorbells, garage door openers, your electrical system, and interior plumbing lines.
Additional coverage for some personal belongings like electronics, pools & built-in spa equipment, guest units, septic pumps, and well pumps. For more coverage options, visit our plans page for more information.
We get it — there are many home warranty companies out there, so you want to make sure that you are getting the best deal for what you're paying. The home warranty industry can be challenging to navigate and filled with confusing fine print, meager coverage limits, and unfulfilled promises — but we are not your typical home warranty provider.
AHS is an established company committed to providing both home buyers and real estate professionals with affordable and transparent home warranties. We offer multiple plans that have been carefully crafted to ensure that our members get the bits that they need (and can ditch the bits they don't).
If you want a manageable monthly premium, clear information about what is included in your home warranty cost, and good old-fashioned reliable service, we're the home warranty company for you.
†New Jersey Residents: The product being offered is a service contract and is separate and distinct from any product or service warranty which may be provided by the home builder or manufacturer.