Best Home Warranty Companies of 2021

The best home warranty companies include Landmark Home Warranty, American Home Shield, and Choice Home Warranty. Before you buy, read our home warranty reviews to find the right company for you. Our guides offer information on what a home warranty covers, how to choose a home warranty, and which top-rated home warranty companies are available in your state.

Our Best Home Warranties of 2021 Rating

#1 Landmark Home Warranty
#2 American Home Shield
#2 Choice Home Warranty
#4 AFC Home Club
#4 First American Home Warranty
#6 Select Home Warranty
#7 Total Home Protection
#8 Old Republic Home Warranty
#9 2-10 Home Buyers Warranty

If you’ve ever had an air conditioning unit go out in the middle of summer or a refrigerator die right before a big holiday gathering, then you’re familiar with some of the appliances a home warranty can cover. Instead of maintaining several warranties on individual appliances and systems, a home warranty covers service, repair, or replacement of your home’s major systems and appliances under one contract.

When unexpected breakdowns occur, it can be difficult to quickly arrange repair service and budget for large out-of-pocket replacement costs. However, for a monthly or annual fee, a home warranty plan gives you peace of mind by helping mitigate these costs if a home system or appliance fails.

Compare the Best Home Warranty Companies of 2021

The 2021 Best Home Warranty Companies rating is based on research performed and data collected in October 2020.

Note: Once a new home warranty contract is in place, most companies have a waiting period. The waiting period is the amount of time that must pass before a customer can file a claim for service. The companies in our rating all have a 30-day waiting period.

Landmark Home Warranty: Landmark is a regional home service contract company serving Arizona, Idaho, Utah, Nevada, Oregon, and Texas. Landmark will diagnose and treat subterranean termites, and it offers no-fault coverage for plumbing and electrical systems that fail due to improper installation, repair, modification, or capacity issues. Both of these are unusual for a home warranty company. For more information, see our Landmark Home Warranty review.

American Home Shield: American Home Shield is the industry’s oldest home warranty company. It offers comprehensive coverage for 21 home systems and appliances, along with optional electronics coverage. American Home Shield is owned by Frontdoor, which also owns Landmark, OneGuard, and HSA. American has a network of more than 16,000 contractors and is available in every state except Alaska. For more information, see our American Home Shield Home Warranty review.

Choice Home Warranty: Founded in 2008 with a contractor network of more than 15,000 service professionals, Choice operates in most states except for California and Washington. Unlike some companies, Choice assigns each service request a team of two or three representatives who follow the claim from start to finish. Choice offers some less-common coverages, such as for whirlpool bathtubs. Its service fee is about average at $85. For more information, see our Choice Home Warranty review.

AFC Home Club: With four plans that allow for customization of your home warranty needs, AFC Home Club is a leader in the home service industry. It is one of few home warranty companies that allows its customers to hire their own contractors. Alternatively, AFC can provide access to its network of contractors, and work is guaranteed for up to three years. If you purchase a new home warranty plan with AFC, you’ll have access to discounts on appliances and items for your home. Coverage is available in all states except California, South Carolina, Hawaii, and Nevada. For more information read our AFC Home Club review.

First American Home Warranty: First American began 36 years ago and has some of the lowest monthly premiums among home warranty companies. It has two plans and offers additional coverage for improper installation repairs and building permits as needed for any covered repair. First American allows its customers to make unlimited service calls, which are available every day of the year, including holidays. It offers discounts to active and former U.S. military personnel and is available in 36 states. To find out more, check out our review of First American Home Warranty.

Select Home Warranty: Select Home Warranty has been in business for eight years and is one of few companies offering no exclusions on certain items. It has one plan for appliances, one for systems, and a combination plan that covers both. Discounts are available if you purchase a new home warranty with Select. Depending on the time of the purchase, you can save up to $150 or get two months of free roof leak coverage. For more information, see our Select Home Warranty review.

Total Home Protection: Total Home Protection offers Standard and Gold plans that cover a combination of appliances and systems. Each plan can be enhanced by Total Home’s extensive list of add-on coverage options. It is one of the few companies offering limited roof leakage coverage, as well as coverage for a second refrigerator. Total gives discounts to veterans and other homeowners and is available in all states except California and Nevada. Check out our Total Home Protection review to learn more about its home warranty coverage.

Old Republic Home Protection: Founded in California in 1974, Old Republic Home Protection offers five plans, the most of all the companies we reviewed. Each of its plans includes coverage for limited pest control, and limited roof leak coverage is optional. Plans began at a low yearly cost and include both appliances and systems. Old Republic Home Protection is available in 27 states and the District of Columbia. To learn more about its home warranty plans, read our Old Republic Home Protection review.

2-10 Home Buyers: 2-10 Home Buyers is a 40-year-old company that provides home warranty services to homeowners, builders, and realtors. It offers three plans, and pricing is low if you just want a plan to cover basic kitchen appliances. Limited roof leak protection is available with 2-10 Home Buyers, with some exclusions. Coverage is available in 34 states and Washington, D.C. For more information, see our 2-10 Home Buyers Home Warranty review.

Home Warranty Companies Offering Roof Coverage

Roof coverage can be tricky. If your roof is damaged by fire or an act of nature, your homeowners insurance will normally cover it. However, routine roof maintenance or wear and tear can be excluded from a homeowners insurance policy. For that reason, when deciding on a home warranty plan, one of the first things customers look for is roof coverage.

Although roof coverage normally costs extra, some home warranty companies do offer limited roof leak coverage as part of a standard plan. That means the home service plan can help repair a minor problem with the roof, though the coverage doesn’t typically include drywall damage or other issues that may be caused by a leaking roof. Like other items in a home warranty contract, there are exclusions and limitations that apply to roofs, and coverage varies between companies. Some companies like Landmark Home Warranty, for example, have a roof repair limit of $1,000. Others, like Choice Home Warranty, place the cap a bit lower, at $500 on the repair costs. When coverage is included, it can be very specific. Select Home Warranty is a good example. It only covers leaks over an occupied living area in a single-family house.

No matter which company you choose, be sure to review your contract to see what is covered and what is not. To learn more about home warranty coverage visit, What Does a Home Warranty Cover?

Which Home Warranties Are Available in My State?

Not all home warranty companies provide service in all states, so your first task when shopping for a home warranty is to find the options that are available in your area. Use the map below to determine which of our Best Home Warranty Companies of 2021 sell home warranty contracts in your state.

At the time of our review, only Home Warranty of America offered nationwide coverage. However, as home warranty companies continue to expand their reach and as many independent contractors relocate throughout the U.S., more companies may offer nationwide service.

What Is a Home Warranty?

A home warranty, also known as a home service contract, will pay for unexpected home repairs or replacements for major appliances and home systems, such as refrigerators, water heaters, plumbing systems, electrical systems, garage door openers, and heating and air conditioning units. Homeowners may not have budgeted for such repairs, which can cost up to hundreds or thousands of dollars. Home systems in particular can be expensive to repair, and if you don't have the money, you'll be left without heating, air conditioning, electricity, or another major component, which could make your home uninhabitable. In addition, it can take a lot of time to research and find a reliable service contractor you trust, who can complete the job efficiently and within your budget.

Having a home warranty can streamline this process for you and take the guesswork out of finding a reputable technician. For a monthly or annual fee, a home warranty gives you access to already vetted and certified technicians as well as repairs – sometimes at a fraction of the normal cost. When an item or system breaks, you call your home warranty provider, and a customer service representative will initiate your claim. All you need to pay is the service fee, which can range from $35 to $125. Your home service plan will only pay for items that are covered under your contract. You will have to pay for additional repairs or exclusions.

Be sure to note that home warranty plans are different from homeowners insurance. Home warranties will cover your home’s main systems and appliances if they fail and require repair or replacement, but home warranty plans do not cover walls, foundation, or flooding. However, a homeowners insurance covers your home’s structure and damage resulting from theft, insects, water, fire, or acts of nature if those items are listed in the policy.

In summary, a home warranty provides a safety net. You won't have to worry if a major appliance or system breaks, leaving you with the choice of living without it or putting an expensive repair bill on your credit card, since you know you'll be covered with your home warranty plan.

How to Choose a Home Warranty Company

As a homeowner, choosing a home warranty requires determining your coverage needs, getting quotes from reputable companies, and understanding exactly what is and isn't covered.

1. Determine your coverage needs. Take an inventory of all of your home's major appliances and systems. You probably won't want to purchase home warranty coverage for newer items that are unlikely to break anytime soon, and home warranties won't cover those that are still under their manufacturers' warranties. By contrast, if you have an older refrigerator, a furnace that could be on its last legs, or some other major system or appliance that could fail and present you with a major repair bill, these are the items you should consider covering with a home warranty.

2. Get quotes and coverages from several reputable companies. Don't just rely on a quick Google search. Read about good home warranty companies like the ones in this guide, and ask friends and neighbors what companies they use. If you're buying a home, ask your real estate agent, who can probably recommend reliable companies.

3. Make sure you understand the coverage. Read the fine print to find out exactly what is and isn't covered, along with how much you'll be reimbursed for replacing a given item if you're buying replacement coverage. Don't overlook a company's terms and conditions or assume that something is covered when it might not be.

For more information, see How to Buy a Home Warranty.

How Does a Home Warranty Work?

A home warranty is an added protection on your home appliances and systems. It’s not to be confused with homeowners insurance, which will cover the cost of damage to the structure of your home as well as the things in it due to an event like a fire, storm, other natural disaster, or theft. A home warranty, on the other hand, covers repairs of specific elements in your home that can fail or malfunction due to normal wear and tear.

If a covered appliance or system, such as a washing machine or an HVAC system, has a problem or stops working entirely, you don’t need to find a repair technician and pay for their service entirely out of pocket. With a home warranty, you submit a service request to your home warranty company. The company will then send a technician to repair or replace the item.

Be aware that the specifics of home warranty plans can vary. Some are designed to just cover appliances, like refrigerators or dishwashers, while others are for systems, like heating or electrical. When shopping for a home warranty plan, make note of what each plan covers and whether or not you’ll need to purchase add-on coverage for specific appliances.

For more information, see our How Does a Home Warranty Work? guide.

What Does a Home Warranty Cover?

A home warranty will pay to service, repair, or replace major home appliances and systems. However, you only have coverage for what's specifically listed in the contract, and there are always exclusions that you need to read carefully. For example, while your refrigerator might be covered, the ice maker probably isn't. Moreover, less vital items like pool and spa equipment might not be covered by a basic plan and will require add-on coverage, or they might be excluded entirely. The fine print of every home warranty contract lists exactly which systems, appliances, and appliance components are covered and which are the homeowner's responsibility.

If you want a home warranty that only covers appliances or one that only covers systems, that's often an option. This can be useful if some of your systems and appliances are still under manufacturers' warranties, in which case most home warranties wouldn't cover them.

Should I Get a Home Warranty?

If you have older appliances and systems that might malfunction at some point and want financial protection when it comes time to repair or replace them, a home warranty could be a good choice.

On the other hand, if your appliances and systems are still covered by manufacturers' warranties, a home warranty won't cover them and isn't necessary in any event. A home warranty also won't cover an appliance or system that has a history of malfunctioning or poor maintenance, and few cover building code issues, or items that weren’t installed properly.

How Much Does a Home Warranty Cost?

A home warranty can cost on average anywhere from about $300 to $700 a year. The most comprehensive coverage options for our top-rated home warranty companies vary from $510 to $675 per year. With some companies, you can lower your monthly bill by choosing a higher service fee. In addition, it's often cheaper to pay annually rather than monthly. For example, the warranty might cost $50 per month or $570 for 13 months. In this example, opting for the annual plan over monthly payments saves you $80. The key is to compare plans to determine what you're really getting for the price.

Home warranty costs also involve service fees if someone comes out to repair a system or appliance. Below are the service fees charged by our top home warranty companies.

What Should I Look For in a Home Warranty Company?

Select a company that can meet your coverage needs, which you can determine by noting the approximate age, condition, and service histories of your major appliances and systems. The newer they are – especially if they're still covered under manufacturers' warranties – the less likely you'll need a warranty to cover the cost of repairing or replacing them. However, older appliances and systems might need protection, assuming they're currently working properly and don't have a history of breaking down due to pre-existing conditions (which a home warranty won't cover).

In addition to coverage needs, consider these factors:

Is a Home Warranty Worth It?

If your home’s major appliances and systems are new or still covered by manufacturers’ warranties then it doesn’t make much sense to purchase a home warranty plan to cover them. In fact, it’s likely that most of those items would be excluded from coverage under your home warranty contract.

Be straightforward when accessing your needs. Consider the installation and repair history of your home’s systems and appliances and be honest about how the item performs. If there is a history of breakdowns, poor maintenance, or improper installation there’s a chance the home warranty company may not cover it. Therefore, purchasing coverage for those items could be more costly than helpful in the long run. Likewise, look out for coverage on less expensive items like microwaves, or certain garage door openers. Appliances such as these are not usually worth paying extra to include them in the contract because their replacement cost can be much lower.

If you’re a home buyer or seller, purchasing a home warranty can make a difference in the asking price and offers given for your home. See Buyers’ vs. Sellers Incentives to Buy a Home Warranty to learn more.

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360 Methodology for Home Warranty

The following describes our 360 approach to researching and analyzing home warranties to provide guidance to prospective consumers.

1. We researched the companies and products people care most about.

U.S. News analyzed and compared a variety of publicly available data, including internet search data, to determine which home warranty companies Americans are most interested in. We found 19 companies that stand out in terms of volume of searches and research among consumers, as well as across the different rating sources.

We then compared the available home warranties provided by our top home warranty companies across several criteria, including cost, appliances and systems covered, unique warranty features, customer satisfaction, and availability. Research shows that these are the most important criteria for people shopping for a home warranty. We compared the costs across different companies and plan types using an archetype that, as much as possible, captured the features of a standard American home: A 2,500 sq. ft. single-family home in Austin, Texas. We compared the most comprehensive plans offered by each company, including coverage for a combination of home appliances and systems.

2. We created objective 360 Overall Ratings based on an analysis of third-party reviews.

U.S. News’ 360 Reviews team applied an unbiased methodology that includes opinions from third-party reviews as well as consumer reviews.

Our scoring methodology is based on a composite analysis of the ratings and reviews published by credible third-party professional and consumer review sources. The ratings are not based on personal opinions or experiences of U.S. News. To calculate the ratings:

(a) We compiled two types of third-party ratings and reviews:

Please note that not all professional and consumer rating sources met our criteria for objectivity. Therefore, some sources were excluded from our model.

(b) We standardized the inputs to create a common scale.

The third-party review source data were collected in a variety of forms, including ratings, recommendations and accolades. Before including each third-party data point into our scoring equation, we had to standardize it so that it could be compared accurately with data points from other review sources. We used the scoring methodology described below to convert these systems to a comparable scale.

The 360 scoring process first converted each third-party rating into a common 0 to 5 scale. To balance the distribution of scores within each source’s scale, we used a standard deviation (or Z-Score) calculation to determine how each company’s rating compared to the source’s mean score. We then used the Z-Score to create a standardized U.S. News score using the method outlined below:

(c) We calculated the 360 Overall Score based on a weighted-average model.

We assigned “source weights” to each source used in the consensus scoring model based on our assessment of how much the source is trusted and recognized by consumers and how much its published review process indicates that it is both comprehensive and editorially independent. The source weights are assigned on a 1-5 scale. Any source with an assigned weight less than two was excluded from the consensus scoring model.

Finally, we combined the converted third-party data points using a weighted average formula based on source weight. This formula calculated the consensus score for each product, which we call the 360 Overall Rating.