Top 5 Best Home Warranty Companies

Your AC dies on the hottest day of summer.

Your water heater floods the basement on a Sunday morning. Or your fridge stops running the night before Thanksgiving.

These moments happen when you least expect them. Repair costs can hit $1,000 or more, and finding a trustworthy technician adds to the stress.

Home warranty companies step in to cover these expensive fixes. According to a 2025 survey by This Old House, 80% of homeowners report satisfaction with their plans, and nearly 70% say they plan to renew.

This guide breaks down the five best home warranty companies for 2025. You’ll see how each one handles coverage, pricing, and customer service, so you can pick the plan that protects your investment.

Key Takeaways

• According to ConsumerAffairs, the average home warranty costs $684 per year in 2025, with monthly fees ranging from $30 to $90 across major providers.
• American Home Shield, Select Home Warranty, First American Home Warranty, Choice Home Warranty, and Liberty Home Guard rank as top providers based on coverage limits, response times, and customer satisfaction scores.
• Service fees typically range from $75 to $125 per claim, and coverage limits vary widely. First American offers up to $7,000 per appliance on its Premium Plan, while Liberty Home Guard provides over 40 add-on options.
• A 2025 This Old House survey found American Home Shield is used by 41% of respondents, making it the most popular choice among homeowners.
• Response times matter for emergencies. Choice Home Warranty provides a four-hour initial response, and many companies guarantee workmanship for 30 to 180 days after repairs.

Top 5 Best Home Warranty Companies

Picking a home warranty company feels like shopping for the right insurance policy. You want solid coverage, fair pricing, and a team that responds fast when something breaks.

These five companies earned their spots through high customer ratings, strong coverage limits, and transparent pricing. Each one offers something unique, whether it’s fast claims processing, high payout caps, or flexible add-ons.

Why these companies made the list (Top 5 Best Home Warranty Companies)

We evaluated over 20 home warranty providers using clear standards: reliability, cost, coverage depth, and verified customer feedback. Companies like American Home Shield and Liberty Home Guard made the cut because their plans protect major systems and appliances with high coverage limits across multiple states.

According to U.S. News, most leading companies offer service request response times within 24 to 48 hours and workmanship guarantees ranging from 30 to 180 days. You benefit from 24/7 claims service, customizable add-ons, and affordable pricing that works for older homes or investment properties.

Providers offering nationwide or multi-state services ranked highest. Industry leaders stood out by allowing you to tailor your coverage while keeping rates reasonable for homes with aging systems.

In my 15 years as a licensed broker, I’ve seen that the best home warranties balance broad coverage with fair pricing and deliver support when you need it most, says Chief Editor Jay Hernandez.

Factors considered: coverage, cost, and customer satisfaction (Top 5 Best Home Warranty Companies)

After reviewing why these companies made the Top 5, here’s what set them apart for home buyers, sellers, and real estate investors.

Plan clarity matters. Companies like American Home Shield provide easy-to-read terms so you know exactly what your warranty covers before signing.

High coverage limits are crucial. Top companies pay out anywhere from $2,000 to $7,000 per claim, which helps protect bigger investments. Fast claims response times also matter for urgent problems. Several companies provide 24/7 claims filing so technicians come to your home quickly.

Best Overall: American Home Shield

American Home Shield offers flexible plans that stand out for both appliance and system coverage. Many real estate investors appreciate how these options help protect their properties from costly repairs.

Founded in 1971, American Home Shield is the largest and most established company in the US home warranty market, with over two million members nationwide.

Features & Benefits (American Home Shield)

American Home Shield provides serious protection for home buyers, sellers, and real estate investors. This company leads the market with flexible coverage and valuable extras you won’t find everywhere.

• Choose from three plan options: ShieldSilver, ShieldGold, and ShieldPlatinum. Each covers different levels of appliances and home systems.
• The ShieldPlatinum plan offers up to $5,000 in repairs per system and $4,000 per appliance, according to American Home Shield’s 2025 plan details. This is higher than many competitors.
• Roof leak repairs come covered under ShieldPlatinum. Most competitors exclude this critical item from their top plans.
• A free HVAC tune-up comes standard with the highest-tier plan. This helps keep essential systems running before they fail.
• According to U.S. News, American Home Shield has a $50,000 annual aggregate coverage limit, one of the highest in the industry.
• File a claim using online tools or try video chat troubleshooting before a service call gets dispatched to save time.

Covered issues include pre-existing conditions plus problems caused by rust, sediment buildup, or corrosion, rare among providers. Clear policy terms help you see exactly what your home warranty contract covers so there’s no confusion during a stressful repair.

According to a 2025 This Old House survey, American Home Shield is the leading choice, used by 41% of respondents.

Pros & Cons (American Home Shield)

If you’re weighing American Home Shield for your next home warranty, check out the strengths and drawbacks below. This side-by-side look will help you see if it matches your needs as a buyer, seller, or investor in today’s real estate market.

Best for Affordability: Select Home Warranty

Saving money matters, and Select Home Warranty offers affordable protection for your home appliances and systems. See how this company stands out in pricing compared to other providers we reviewed.

Features & Benefits (Select Home Warranty)

Select Home Warranty scores high for value and straightforward coverage. You can pick a plan that fits your budget as a home buyer, seller, or real estate investor.

• All Select Home Warranty plans cover roof leak repairs, according to CNBC. This is included with all policies, unlike competitors who charge extra.
• Optional add-ons include central vacuum systems, pools, spas, and septic systems to match your property’s needs.
• Coverage is available in most states except Nevada, Washington, and Wisconsin. Investors with properties in those areas should check other options.
• Three plan choices (Bronze Care, Gold Care, and Platinum Care) let you decide if you want basic appliance or complete system protection.
• Promotional discounts are available if you pay annually. This can help lower the cost of a home warranty.
• HVAC coverage goes up to $3,000 per claim, giving peace of mind for expensive heating or cooling repairs.

Service fees stay competitive across all plans, with rates as low as $60 per visit. Most plans give clear limits on what they cover, which helps avoid surprises about what your home warranty covers during claims.

Pros & Cons (Select Home Warranty)

You want clear facts before deciding if Select Home Warranty fits your needs. Here’s a straight-shooting summary for home buyers, sellers, and real estate investors, rounding up the best and worst Select has to offer.

Best for High Coverage Limits: First American Home Warranty

If you want top-dollar protection, First American Home Warranty offers some of the highest coverage limits in the industry. Many home buyers and real estate pros pick this company for bigger repair needs and strong support on costly home systems or appliances.

Features & Benefits (First American Home Warranty)

First American Home Warranty offers you some of the highest coverage limits in the business. This provider stands out for home buyers, sellers, and investors who want stable protection and solid value.

• Premium Plan covers luxury appliances, including high-end refrigerators and central vacuum systems. According to U.S. News, the appliance cap reaches $7,000 per item, great if your investment includes top-tier equipment.
• No payout caps apply to major systems like HVAC units, electrical panels, or plumbing networks. This feature gives peace of mind to those protecting older properties or multiple units.
• Starter Plan takes care of basic needs such as plumbing issues, heating system repairs, electrical services, and common kitchen appliances. Ideal if you need affordable entry-level coverage.
• Essential Plan adds more options like washer, dryer, air conditioner repairs, water heater fixes, and even garage door opener replacements. This plan can fit growing families or landlords managing several homes.
• Premium Plan extends protection to full garage doors, faucets throughout the house, and even instant hot water dispensers, increasing convenience for everyday living or quick property turnovers.

First Class Upgrade shields you against code violations from past work or improper installations from previous owners. This perk is rare among home warranty companies of 2025.

Pros & Cons (First American Home Warranty)

You’ll find First American Home Warranty stands out for anyone buying, selling, or investing in residential property. Here’s a quick snapshot of what works and what could work better, all wrapped up in a table built just for you.

Best for Quick Service: Choice Home Warranty

You want help fast, and Choice Home Warranty steps up with speedy service that home buyers appreciate. Their home warranty coverage keeps your house running, so you can focus on what matters.

Features & Benefits (Choice Home Warranty)

Choice Home Warranty helps you protect your home’s major systems and appliances from costly repairs. Many home buyers, sellers, and investors choose this company for its fast service and strong coverage.

• According to U.S. News, Choice Home Warranty contacts its network of contractors within four hours of receiving your claim. This brings quick attention to emergencies or urgent issues with your covered items.
• A fixed $100 service fee offers predictable costs every time you make a repair request, helping you manage your budget.
• Coverage limits reach up to $3,000 per item each year, giving peace of mind for high-ticket appliances like HVAC units and refrigerators.
• You can file claims 24/7 through the website or by phone, making it convenient no matter what time trouble strikes.
• Both the Basic Plan and Total Plan cover many items. The Basic Plan covers 14 items, while the Total Plan covers 18, giving you flexibility to match your needs.
• Extras like pools, spas, and roof leak protection are available if added to your plan for an extra cost.
• Choice Home Warranty plans are available in every state except Washington, with third-party management in California for compliance.

Many reviewers on Trustpilot praise the speed of service and the prompt responses to claims, noting that technicians are often knowledgeable, friendly, and efficient.

Pros & Cons (Choice Home Warranty)

Expect affordable home warranty plans with Choice Home Warranty, ranging from $39.99 to $57.50 per month. The company offers 24/7 claims, letting you report issues anytime, which helps busy real estate investors or homeowners handle sudden repairs fast.

Quick technician dispatch stands out in recent customer reviews. According to CNBC, Choice Home Warranty provides a response time of four hours for service requests. A fixed $100 service fee keeps budgeting simple for every user.

Best for Customizable Plans: Liberty Home Guard

Liberty Home Guard offers flexible home warranty plans, so you can pick coverage that fits your needs. If you want to customize a plan for your property, this company stands out among different providers.

Features & Benefits (Liberty Home Guard)

Liberty Home Guard offers strong coverage options, giving you flexibility and control over your home warranty plan. You benefit from nationwide service and several perks that set this provider apart.

• Pick from three plan choices: Appliance Guard, Systems Guard, or Total Home Guard. These plans help you cover only what you need, which can save money and avoid waste.
• According to U.S. News, Liberty Home Guard offers more than 40 add-on options, including pool and spa coverage, roof leak repairs, smart home tech, pest control, and electronics protection. This is more than any other company we reviewed.
• Rely on fast claims processing across all 50 states with a skilled contractor network serving urban and rural ZIP codes.
• Coverage limits range from $2,000 to $3,000 per claim. That means more issues get resolved without digging into your own pocket.
• Expect a 60-day workmanship guarantee for every repair, according to NerdWallet. This is twice the industry standard and provides extra peace of mind after the technician leaves your property.
• Service call fees fall between $65 and $125 based on plan selection. Liberty Home Guard starts at $65, lower than many competitors.

According to NerdWallet, Liberty Home Guard earns more positive customer reviews than most competitors, with consumer ratings averaging about 4.5 stars out of 5 on the Better Business Bureau.

Pros & Cons (Liberty Home Guard)

Nationwide coverage makes this home warranty a smart pick for many real estate investors and sellers. You get plenty of customizable options, including add-ons to meet the unique needs of your property.

How to Choose the Best Home Warranty Company

Choosing a home warranty can feel overwhelming with so many options. Each plan comes with different coverage levels, pricing structures, and special features.

Read on to see which features line up best with your own needs, so you can get coverage that fits your lifestyle and budget.

Types of coverage offered (How to Choose)

Home warranty plans typically offer three main types of coverage. Providers let you pick between appliance-only, systems-only, or combination plans.

Major systems coverage focuses on essentials like HVAC, plumbing, and electrical. Appliance protection covers items such as refrigerators, washers, dryers, and ovens. Some companies even include options for high-end appliances and improper installations.

You can add extra protection for pools, spas, septic tanks, roof leaks, or smart home features. Liberty Home Guard offers more than 40 different add-ons, while some companies only have five choices available.

Cost of plans and service fees (How to Choose)

According to ConsumerAffairs, home warranties cost an average of $684 per year in 2025. Monthly premiums typically range from $30 to $90 across major providers.

Service fees per claim usually fall between $75 and $125. American Home Shield starts plans at $29.99 per month with service fees running from $100 to $125. Liberty Home Guard begins at $50 monthly and charges between $65 and $125 for each call.

About 57 percent of homeowners select an annual payment option over monthly payments, according to a 2025 This Old House survey. Real estate investors often look for lower entry premiums to control costs on multiple properties.

Customer reviews and reputation (How to Choose)

Switching focus from the cost of plans and service fees, you should weigh what real customers have to say. Recent survey data shows that providers with higher satisfaction scores get more trust from buyers, sellers, and investors.

For example, First American Home Warranty holds a Better Business Bureau (BBB) rating of B+, which many people use as a quick reputation check. Quick help matters too. Companies that respond fast to claims or offer 24/7 customer support stand out.

Top picks for the best warranties also back their work with repair guarantees ranging from 30 up to 180 days. This policy helps protect your budget if problems come back.

Additional perks and exclusions (How to Choose)

Providers may offer perks that help you get more value from your plan. Look for home warranties that include free HVAC tune-ups, repair guarantees up to 180 days like Cinch Home Services, or deductible reimbursements if you never file a claim.

Check exclusions in detail before choosing any warranty. Most companies do not cover pre-existing conditions, cosmetic damage, or issues caused by improper maintenance and neglect.

Add-ons can extend coverage to special systems such as electronics or pest control, but annual and per-claim caps often limit reimbursement amounts. Many home warranty providers activate coverage after a waiting period of 30 to 60 days.

What Do Home Warranties Cover?

A home warranty is a service that protects your major systems and appliances against breakdowns. Check out the options to see how these plans can save you money.

Major systems (Coverage)

HVAC, plumbing, and electrical systems get standard protection under most home warranty plans. You can expect coverage for issues like heating failures during a cold snap or sudden circuit loss in the middle of movie night.

Some providers, such as First American Home Warranty, place no caps on coverage for these major systems. Companies like American Home Shield raise limits up to $5,000 per system, which helps you avoid big out-of-pocket bills when home systems let you down.

Appliances (Coverage)

Refrigerators, ovens, dishwashers, washers, and dryers often fall under standard home warranty plans. Top providers cap appliance coverage between $2,000 and $4,000 per item.

First American Home Warranty goes higher with a $7,000 limit in its Premium plan. Some companies offer appliances-only or combination plans for more flexibility.

Optional add-ons (Coverage)

Expand your home warranty coverage with optional add-ons that match your property’s needs. Protect pools, spas, roof leaks, or electronics by choosing extra features on top of the main plan.

Liberty Home Guard now offers more than 40 add-on options, including smart home technology and guest unit protection. This sets it apart in a crowded market.

What Don’t Home Warranties Cover?

Home warranties will not cover every repair, so you need to read the fine print before signing up. Skipping this step can lead to costly surprises if your plan leaves out certain fixes.

Common exclusions to be aware of (Exclusions)

Many home warranty plans sound perfect, but key exclusions can leave you surprised. Know these details before you buy, sell, or invest so your expectations stay realistic.

• Pre-existing conditions will not get coverage. If an appliance or system had an issue before your policy started, even the top home warranty companies usually deny claims.
• Cosmetic damage like scratches or dents gets excluded from most plans. This applies to both appliances and major systems covered by your contract.
• Damage caused by neglect, rust, corrosion, or sediment often falls outside of protection. Read provider agreements for specifics since some highlight these as clear exclusions.
• Improper installations rarely qualify unless you upgrade your plan. Many providers state that only code-compliant systems installed correctly are eligible under standard policies.
• Commercial-grade equipment does not have coverage unless a special endorsement exists. Properties used for business are also not included in most residential contracts.
• Structural components such as walls, ceilings, and foundations almost always lack protection through home warranty contracts. Repairs here require separate insurance.

Service limitations (Exclusions)

Providers set strict service limitations on home warranty coverage. Knowing these rules helps you avoid surprises and manage claims with confidence.

• Most home warranty companies enforce a 30 to 60 day waiting period before any claim is processed, so urgent repairs may not get covered during this time.
• Coverage limits can cap the payout for each claim or year, ranging between $10,000 and $50,000. Higher-value homes may need extra protection.
• Only network-approved technicians usually handle covered repairs. Using your own contractor often requires prior approval from the provider.
• Home warranties often exclude certain system parts like radiant heating or humidifiers, which means specialty equipment might be left out of repair plans.

Frequently Asked Questions About Home Warranties

Still have questions about home warranty contracts or coverage for your air conditioner? Check out these common FAQs to clear up any confusion.

How much does a home warranty cost? (FAQ)

According to ConsumerAffairs, the average annual cost for a home warranty is about $684 in 2025. Monthly costs typically range from $30 to $90, depending on the provider and level of coverage you choose.

Most homeowners save more by paying yearly. A 2025 This Old House survey found that 57% choose the annual payment over monthly installments.

Service call fees add another layer. You will likely spend between $75 and $125 every time a technician visits your property.

Do I really need a home warranty? (FAQ)

Home warranties protect you from unexpected repair costs on major systems and appliances. If your home is older or has aging equipment, a warranty plan can give peace of mind and help with surprise bills.

A home warranty makes sense if your property is high risk due to frequent repairs or outdated systems. You get financial protection that may save money over time, especially since many policies start as low as $40 per month, with service fees ranging from $75 to $125 per call.

How long does a home warranty last? (FAQ)

Most home warranty contracts last for 12 months. You usually get the choice to renew every year, and some providers even offer multi-year discounts for locking in extra time.

Contracts kick in after a short waiting period, often 30 to 60 days from your sign-up date. Many companies guarantee repairs for anywhere from 30 up to 180 days, depending on which plan you pick.

Can I use my own contractor? (FAQ)

Home warranty companies like American Home Shield and Liberty Home Guard usually require you to use their network of pre-screened technicians. These providers run quality control checks before sending people out.

If you have a favorite plumber or HVAC professional, some companies may allow outside contractors but only with written approval first. Skipping this step often leads to denied claims and lost coverage.

Conclusion

Choosing the right home warranty company can save you money and stress. Top providers like American Home Shield, Choice Home Warranty, First American, Liberty Home Guard, and Cinch offer coverage plans that protect your budget.

Each stands out for fast claims, clear terms, or flexible options. Your appliances and systems deserve strong protection as you build or sell real estate in today’s busy market.

Use these insights to help secure peace of mind for both now and the future.

FAQs

1. What makes a home warranty company one of the best options for homeowners?

Top providers now offer coverage limits up to $5,000 for critical systems like HVAC, which is a major advantage for protecting your investment. Beyond just savings, the best companies maintain 24/7 portals to dispatch pros within 24 to 48 hours, ensuring tenant or buyer complaints are handled instantly.

2. How do I know if I need a home warranty or if regular homeowner’s insurance is enough?

Insurance covers catastrophes like fires or storms, but a home warranty is the only thing that pays for the inevitable failure of an aging water heater or AC unit. Think of it as a budget safety net for the mechanical wear and tear that insurance policies explicitly exclude.

3. Can I use any repair person I want with these top home warranty companies?

While most brands restrict you to their network, companies like AFC Home Club allow you to hire your own licensed contractor, giving you total control over who enters your property.

4. What’s the typical cost difference between the top five home warranty companies?

In 2025, you should expect standard plans to run between $45 and $85 per month, with comprehensive premium coverage reaching up to $120 for larger homes. You also need to budget for a trade service fee of $75 to $125 that is charged every time a technician visits.

References

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