What Is a Home Warranty?

So, what is a home warranty? Simply put, a home warranty is a yearly service contract that protects specific home systems and appliances. Imagine you discover water leaking out of your dishwasher onto the kitchen floor. When a breakdown like this happens to your dishwasher and it is covered by a home warranty plan, the home warranty company can repair or replace it.

Home warranties protect systems such as heating, air conditioning, and plumbing. The can also cover appliances including your dishwasher, oven, washer/dryer, refrigerator, and more. When covered items break down, your home warranty company is there to take care of diagnosing the issue and repairing or replacing the items.

home kitchen
I'm interested in a home warranty

I'd like to get home warranty coverage. How do I find a quote that fits my budget?

What Does a Home Warranty Cover?

Wondering, "what do home warranties cover?" Typically, they cover important home appliances and systems that you use every day. When these items inevitably break down, they are expensive to fix or replace.

Choose from a different home warranty plans and options to suit your needs.

Without a home warranty, it could cost you:*

Air Conditioning
Air Conditioning
Water Heater
Water Heater

Take a look at the items our home warranty plans can cover throughout your home. Chances are that most of them are systems and appliances you use every day to keep your home clean, healthy, and comfortable.


  • Heating
  • Ductwork
  • Central air conditioning
  • Electrical system
  • Garage door openers
  • Attic, ceiling, and exhaust fans
  • Central vacuum system


  • Plumbing system
  • Plumbing stoppages
  • Toilet tanks and bowls
  • Water heater
  • Circulating pump
  • Sump pump
  • Pressure regulators


  • Built-in microwave
  • Clothes washer and dryer
  • Dishwasher
  • Kitchen refrigerator
  • Oven/range/cooktop
  • Garbage disposal
  • Instant hot water dispenser
  • Trash compactor


  • First Class Upgrade
  • Additional refrigeration
  • Pool and/or spa equipment
  • Well pump
  • Additional options available in some regions

Home Warranty Coverage Options and Upgrades

First American’s home warranty plans cover crucial home appliances and systems, but what else do home warranties cover? Here are coverage options and upgrades you can purchase with your home warranty plan to fully meet your home's needs and fit within your budget.


You can add optional coverage for items such as:

  • Pools and spas
  • Well pumps
  • Additional refrigeration
  • And more


You can purchase upgrades that will cover:

  • Haul away of the old appliance or system
  • Correction of failures caused by improper installations
  • Building permits
  • Correction of building code violations

Choosing the right home warranty plan and options is easy.

What Home Warranty Plans Typically Don't Cover

Like other types of warranties or service contracts, home warranty plans have limitations on coverage. Typically, home warranties don't cover the modifications or changes required when new equipment is installed.

For example, if an HVAC system needs replacing, electrical or structural modifications may be required to accommodate the new unit. Or a new hot water heater might require changes to pipes coming in and out of the unit. A home warranty usually will not cover these types of changes. Learn more about what's not covered by a home warranty.

Why Do I Need a Home Warranty?

If you’re a homeowner, ask yourself when you last experienced an appliance or heating/air conditioner breakdown? The truth is, most home systems and appliances eventually fail. And it's usually when you least expect it. But with a home warranty, you get the peace-of-mind that comes from protecting your budget against the wear and tear of covered home systems and appliances.

First-time homeowners especially benefit from home warranty coverage. That's because extra funds are often in short supply during the first few years of homeownership. Surprise out-of-pocket expenses can potentially derail dreams of improving or updating a newly purchased home.

How Does a Home Warranty Work?

request service

1. You Contact Us to Request Service

When an appliance or home system covered by your home warranty breaks, it’s easy to get help. Simply sign into your online home warranty account or contact us by phone 24/7 to request service.

assign service provider

2. We Assign a Service Provider

We'll assign a technician from our prescreened network of service providers. The technician will contact you to schedule a mutually agreeable appointment.

technician diagnoses issue

3. The Technician Diagnoses the Problem

At the appointment, the technician will diagnose the problem and report the findings to you, and First American, if needed.

repair and replace

4. We Repair or Replace Covered Item

If the problem can be fixed, the technician can often repair the item that day. If the item can’t be repaired, we will replace it. In some cases, parts may need to be ordered and additional visits may be needed to complete the repair or replacement. **

Home Warranty Benefits

Here are some of the great benefits of our home warranty plans:

  • 24/7 availability to request service
    When a covered home appliance or system breaks, we’re here for you day or night. Simply give us a call or go online to request service.
  • A simple solution when something breaks
    With a First American home warranty, you can eliminate the hassle of finding a service provide. We’ll assign a qualified technician who will contact you to set up an appointment to come to your home to diagnose and either repair or replace the covered item.
  • Protection from huge, unexpected repair or replacement bills
    When a covered appliance or home system breaks, you contact us and pay a small service fee, and we’ll take care of the covered repair or replacement costs.
  • Unlimited service calls
    You can request service as many times as needed. In fact, last year, over 63% of our customers requested service at least once.
  • Coverage backed by experience, integrity, and stability
    First American Home Warranty company has been an industry leader in home warranties since 1984. Each year, we spend hundreds of millions of dollars to repair or replace covered appliances and home systems for homeowners just like you.*

Do I Need Homeowners Insurance and a Home Warranty?

couple budgetingHomeowners insurance protects your home against damage from fire, storms, vandalism, and more. A home warranty, however, covers your home systems and appliances when they inevitably break. 

Having both home warranty coverage and homeowners insurance is the best way to fully protect your home against the unexpected, but a home warranty gives you more value year to year because of the benefits it provides.

Homeowners with First American home warranty coverage often request service for broken systems or appliances multiple times in one year alone. The bottom line? Protect yourself with both homeowners insurance and a home warranty.

Home Warranties for Home Buyers and Sellers

Whether you are buying or selling a home, a home warranty can help protect your budget from unforeseen repair costs. In fact, we have special home warranty plans just for buyers and sellers. 

Buying a Home?

As a home buyer, the last thing you want to worry about is having critical systems and appliances fail after your home closes. Fortunately, with a home warranty, you can relax knowing that your budget is protected when covered appliances and systems break.

Selling a Home?

If you're selling your home, a comprehensive home warranty can not only protect your budget while your home is on the market but also help your home stand out and give prospective buyers the confidence to submit their best offers.

Real estate plans for buyers are available online. Learn more about coverage and option for buyers.

Home Warranty FAQs

How much does a First American home warranty cost?

For homeowners, the price of a home warranty varies depending on the coverage you’re seeking. We also offer special home warranty plans tailored for home buyers or sellers. To find the best home warranty for your budget, it’s easy to compare plans by getting a free quote.

Does the age of my appliances matter?

No, as long as a unit is functional when the home warranty plan is activated, First American will cover it regardless of age.

Are there any exclusions or limits?

Covered items are protected from damage or breakdowns that are the result of normal wear and tear. Damage caused either deliberately or accidentally, such as dropping a refrigerator down a flight of stairs, would be outside the warranty's scope. Learn more about what’s not covered by a home warranty.

Who will you send to my home to service my system or appliance?

We will send a technician from our network of thousands of independent service providers who are pre-screened and monitored for performance through customer satisfaction surveys.

How often can I request service?

There is no limit to the number of times you can request service during your contract. Many of our customers request service multiple times each year and save hundreds to thousands of dollars on repair and replacement costs.

First American Home Warranty Reviews

Here's what our customers are saying about how home warranty coverage helps them save money.

I've had to get my garbage disposal fixed, I've had to get my AC serviced, my dryer fixed. Calling a different technician for each of these issues would have cost so much money, and so I've saved thousands of dollars with First American.

Tara, customer since 2018

It's so great, because if they can't repair the appliance, they'll replace it. So that's also a huge comfort, because when you buy your first house, there's a lot of money going into it all at once, so it's nice to not have to be like, "Do we have to replace this major thing right now? We can't afford that." So just to have that weight off our shoulders is amazing.

Jade and Chris, customers since 2018

A home warranty company covers the day to day repairs. Things like a toilet leaking, a disposal that has to be replaced, hair down a drain that has to be removed. Those are the little nuisances that you're really facing day to day, week to week. And thank God we have First American to cover that stuff for us.

Tom, customer since 2002

Read more reviews from First American Home Warranty customers.