Average Cost Range
$350 – $700
National Average
$500
Home warranty plans cost between $350 and $700 per year, with the national average around $500 annually. Service call fees typically range from $75 to $125 per visit on top of the annual premium. Coverage varies significantly between providers and plan levels, so comparing options is essential to finding the right balance of cost and coverage.
Cost Breakdown
| Item / Type | Low | High | Average |
|---|---|---|---|
| Basic Systems Plan | $300 | $450 | $375 per year |
| Appliance-Only Plan | $250 | $400 | $325 per year |
| Combo Plan (Systems + Appliances) | $450 | $700 | $550 per year |
| Premium / Enhanced Plan | $600 | $900 | $750 per year |
| Service Call Fee | $75 | $125 | $100 per visit |
| Optional Pool/Spa Coverage | $100 | $200 | $150 per year |
| Optional Well/Septic Coverage | $75 | $200 | $125 per year |
Labor Costs
Home warranty service call fees of $75–$125 cover the technician visit and diagnosis. Covered repairs and replacements are handled through the warranty, though some plans have per-item coverage caps that may leave you with out-of-pocket costs for expensive replacements.
Factors That Affect Home Warranty Cost
Plan Level & Coverage
Basic plans cover major systems or appliances only, while combo plans cover both. Premium plans include additional items like roof leaks, code violations, and improper installations.
Home Age & Condition
Older homes with aging systems and appliances benefit most from warranty coverage. Newer homes may not need coverage for several years, as manufacturer warranties may still be in effect.
Service Call Fee
Lower annual premiums often come with higher service call fees. Consider how many service calls you're likely to make when comparing plans with different fee structures.
Coverage Limits
Most plans have per-item and per-year coverage caps. Check the maximum payout per covered item—if your HVAC system fails and the cap is $2,000, you'll pay the difference out of pocket.
Tips To Save Money On Home Warranty
Compare Multiple Providers
Home warranty plans vary significantly between companies. Compare at least 3–4 providers to find the best combination of coverage, cost, and service quality.
Choose the Right Plan Level
Don't overpay for coverage you don't need. If your roof and pool are new, skip those add-ons and focus on covering older systems and appliances.
Read the Fine Print
Understand exclusions, coverage caps, and pre-existing condition clauses before purchasing. The cheapest plan isn't a good deal if it denies most claims.
Negotiate When Buying a Home
Sellers often provide a home warranty as part of the purchase agreement. Ask for it during negotiations—it's a common concession that costs the seller $400–$600 and protects you during the first year.