What is the Difference between a Homeowners Insurance Policy and a Home Warranty?

What is the Difference between a Homeowners Insurance Policy and a Home Warranty?

What is the Difference between a Homeowners Insurance Policy and a Home Warranty?

Homeowners insurance and home warranties are both designed to help you in the event that you experience a loss or damage to your home and/or your belongings.

A homeowners insurance policy covers many things in the event of a disaster including: the structure of your home, your personal belongings, and other structures on your property in case of fire, theft, wind storm, lightning, falling of a tree, vandalism and many other damages. Homeowners Insurance also protects against a claim or lawsuit that result in bodily injury or property damage to others caused by an accident on your property or by your personal activities anywhere.

A home warranty is an annual service contract which lasts one year, not a policy. It usually does not carry a deductible, but a service charge every time a service professional comes to your home. The cost of a home warranty is usually 0-0 per year, and the cost of the service call will run between – per visit and per item.  It is a form of coverage that you can use to supplement your homeowners insurance policy and will protect you from the cost of repairs that your homeowner’s policy doesn’t cover; it can pick up where your homeowner’s insurance leaves off. There may even be a possible overlap in coverage between homeowners insurance